A Good Prospect on Chinese Market, World Tyre Magnates Scrambled for the Market

According to the latest statistics from the China Rubber Industry Association, the tyre industry in 2004 hit the highest level for the past 10 years, and the production exceeded 230 million tyres, of which 200 million tyres were for automotive use.

Total sales revenue in the industry amounted to RMB70 billion, up by 37.6% on a year-on-year basis. On the other hand, statistics from the National Bureau of Statistics of China indicated that the annual increase in the rate of tyre production in 2005 was 21.33%, hitting a new high compared with 18.7% in 2004.

The global tyre market is nearing saturation, therefore, 9 of the World Top 10 Tyre Producers have recently entered the Chinese market and announced investments to enlarge production.

(Source: Network Center of MOFCOM)