China introduces market-access conditions for tire industry

Beijing, China - The 'Market Access Conditions for the Tire Industry' issued by China's Ministry of Industry and Information Technology came into force on 1 Oct.

The conditions is separated from the Tire Industry Policies launched by the Ministry in 2010, with new regulations regarding environmental protection and new terms promoting independent intellectual property*, according to the websites of the Ministry and China Rubber Industry Association.

The Conditions document covers automotive tires (excluding bias tires) and engineering machinery tires, and sets restrictions on new companies as well as established ones.

For instance, it stipulates that new tire makers shall have a fresh water consumption volume below 7 tonne for every tonne of tire products, while existing tire makers shall have an 8 tonne per tonne maximum consumption volume.

Restrictions are also set on tire companies' rubber consumption and the recycling efficiency of waste water and solid waste.

"Most large tire companies and some medium-sized ones can meet such requirement, while a majority of  smaller companies with high energy- and material- consumption will find it rather difficult," said Zhu Hong, head of the Technological and Economic Committee of CRIA.

A by-law with more details regarding penalty for not meeting such standards is expected to be launched in a few weeks.

There are only a few very general lines in the conditions saying independent intellectual property should be encouraged. However, an official who declined to be identified, expected a more detailed IP policy to be included in the by-law.