Shangpu Consulting: China's tire industry is under increasing pressure for transformation

The pressure for the tire industry transformation has been increasing. On the one hand, we must give full play to the leading role of the government and guide the transformation and upgrading of enterprises through policies. On the other hand, the market should also be given full play of its activity so that all its various factors can be positively manifested, so that competitiveness can be increasingly developed towards science and technology, and it can be developed into a circular economy.

Looking back at 2013, China's tire and rubber industry has made great progress. Looking ahead to 2014, what changes will China's tire and rubber industries welcome? The forecast and outlook for the development trend of China's tire rubber industry in the new year are as follows.

Outlook 1: Application of eucommia, dandelion, or breakthrough progress

The Eucommia Industry Green Paper released in 2013 pointed out that with the new cultivation technology, Eucommia can produce 400-600 kg of glue per hectare. If the planting area of ​​Eucommia is expanded to 3 million hectares, the annual output of Eucommia rubber can reach more than 1.2 million tons. In addition, as early as 2011, the National Development and Reform Commission has officially incorporated the cultivation of the Eucommia rubber industry into the national strategic emerging industry system.

It is understood that governments and enterprises in various parts of the country are actively responding to this policy, and the related Eucommia rubber projects are being vigorously promoted.

Outlook 2: Enterprises that go abroad have an increasing trend

In response to the prevailing status of the “two out” of the domestic tire rubber industry, enterprises represented by China Strategic, Triangular, Delicatessen, Race Wheel and Hainan Rubber have all gone out of the country to set up factories in foreign countries in an effort to resolve some countries’ tires against China. ” As well as the small rubber planting area in China, it has adversely affected the company’s survival and development.

Outlook 3: The overproduction of natural rubber will expand

An e-mail report from TheRubberEconomist Ltd. shows that due to the growth in rubber production exceeding consumption, the global natural rubber surplus in 2014 will expand, or from 336,000 tons in 2013 to 366,000 tons.

The report shows that the global rubber production will climb by 3.3% to 11.965 million tons in the new year, which is higher than the previous expected 3%. The increase in the output of Vietnam, Myanmar, Cambodia and other small-scale rubber producing countries increased the expectations for 2014 production.

Outlook 4: The spot trading platform may promote better rubber prices

The price of natural rubber has been at an irrational fluctuation stage in recent years, which has an impact on the healthy development of the domestic rubber industry. In 2013, the establishment of China's natural rubber spot trading center broke the pattern of guiding prices only in the futures market, and formed a multi-level market system in which the futures market, the spot market, and the physical circulation market interact and interact with each other.

Outlook 5: Tire RFID RFID Tags Will Be Popularized

In June 2013, South Korea’s Kumho Tire became the world’s first company to add RFID tags (also known as electronic tags) to tire products. Since then, the French Michelin Group has also accelerated the pace of promoting RFID (ie, RFID) tires.

Michelin believes that tire RFID with embedded technology is reliable and can improve the tracking of tire usage throughout the life of the tire. It is understood that there are already other tire manufacturers joining, these companies hope to develop a unified RFID international standards as soon as possible.

According to industry experts, there is a possibility that the technology will be popularized. In 2014, there may be more tire companies applying this technology, which does not rule out the possibility of Chinese companies joining the ranks.

Article original title: 2014 tire market outlook: RFID technology is expected to spread  

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