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High prices of raw materials to reproduce the tire industry face many challenges

Since Natural Rubber and other prices raw materials to return to record levels, the United States this year safeguard tires more serious damage to the tire industry, in addition to European Union, the United States began to establish a new tire rules and regulations, China's tire industry this year will face multiple challenges. This is a reporter in April organized by China Rubber Industry Association meeting tire overall 2010 branch received the information.
Fan Rende Association China Rubber Industry last year the international financial crisis, low prices of natural rubber and other raw materials, together the impact of U.S. safeguard action is not fully apparent then, the national car market was unusually hot, so the tire industry, production and marketing and the benefits are better with. tire industry to carry out this year trend last year, the overall market trend to improve, but the uncertainty increases substantially, the industry wants to develop long and short term, there are immediate concerns.
Branch Secretary-General in rubber tire Cai Weimin Association, this year the outstanding problems facing the tire industry, substantially increased costs, increased benefits decline. First Instead, rising prices of natural rubber and other raw materials, natural rubber prices in April was 25,900 yuan per ton, more than 100% increase in second Instead, water, electricity and gas have been increasing; Third, a substantial increase in labor costs. It is understood that all multinational companies since the fourth quarter last year, has adjusted the tire prices an average of more than 10%, then a number of multinational companies that the price of tires increase up to 5% -8%. Domestic companies tire early last year and this year also in the domestic and export prices were increased tires, but the range of only 3% to 5%, and generally slow operation. Some companies have adopted the attitude, look at the others before their own price adjustment transfer, and some businessmen to adjust your tone, for fear of losing market share following the price increase. Tsai people think it is such a high price of materials premiums, even at home and abroad tire dealers feel that the price increase is acceptable, the behavior of companies must protect their own interests and industry as a whole.
Fan Rende, said the rapid development of tires and structural risk should have a proper understanding of the problem. Products industry faces structural problems currently in circulation, the tendency of the serious problems of homogeneity, environmental protection and safety new products, such as planning capacity of the tires, a blind expansion of low-end products, must avoid a new round of enlargement capacity and low-level redundant construction. Moreover, international disputes this year, the trade will become more frequent, the situation is remain bleak tire exports from China. Because U.S. safeguard tariffs of 35%, significantly affect our exports of tires to the U.S. this year. The last two months the situation, the overall export growth of China are weak tires.
Hangzhou Zhongce Rubber Co., President Chen Jinrong Ltd., said that Europe and the United States in tire safety and environmental protection, low-carbon economy and thus raise the requirements. In the EU the implementation of the REACH regulations, all exports to Europe if the tire should detect excess hazardous substances, and submit supporting documents relevant, otherwise not allowed to export to the EU, also instruction 2005/69EC (environmental oil filling), polycyclic aromatic substances 8 proposed limit requirements on energy efficiency and other basic parameters of the labeling instructions will tire November 1, 2012 implementation Directive on the value of tire noise was October 1, 2009 applied for the first time. The United States also will be conducted after a year the fuel efficiency regulations. These rules and regulations has improved access to European markets tires threshold.
Chen said China promised Jinrong the world unit of GDP by 2020, carbon dioxide emissions by 40% in 2005 compared to 45% reduction in carbon emissions in China costly, many costs are expected to increase. Moreover, the growing pressure of RMB appreciation, China since 2005, the renminbi has appreciated by about 20%. According to surveys industry, the appreciation of RMB per one percentage point, the profit margins on exports should be reduced by one percentage point, while the profit margin half of the tire exports only 3% to 5%.
But Chen also said China Jinrong maintain continuity and stability of macroeconomic policies and further implementation of proactive fiscal policy and a moderately easy monetary policy, urbanization will continue to drive national roads, cars, real estate and other development sectors, and automobile output is expected to reach 15.5 million this year, a 15% interest in the more than 80 million dollars, will further expand the domestic tire market. These conditions are also supporting the tire industry.
Branch of the seventh president of the Council of the new tire, said Ding Yuhua, Chairman Triangle Group Co., Ltd., China's tire industry is a major turning point. Developed countries in the tires of new products, new technologies, new materials, innovation emerging in the field, India, Brazil and other emerging countries are also fast growing industry of tires, a global investment. If we are still at the current level and the level of development is required to detours, so must the power of innovation and accelerate the development of new approaches to the tire industry. industry the tire is the core of the new development strategy for the construction of "low carbon, green, environment protection and efficiency" productive. He believes that the development of China's tire industry is no longer the pursuit of quantity, but should accelerate the improvement of the quality of industrial development, brand and benefits to establish a global industrial distribution as soon as the new border.
To this end, Ding Yuhua recommended tire industry in China should accelerate adaptation the structure of the product worldwide with the development of high-tech market, high value-added products, the main direction should be energy efficient environmentally friendly new products, application of modern information technology, electronics, intelligent and high security products. He said that the tire green radial tire rolling resistance than the average reduction of 20% to 30%, fuel savings of 2% to 4% or higher mileage increased by 35% by 100 the carbon dioxide emissions km about 400 grams. If all domestic passenger cars be equipped with such products, fuel consumption at least 410 000 tons per year or more to reduce carbon dioxide emissions of 300 million metric tons. Today, international companies are green tire, intelligent tires, tire safety as the focus of future development, which should become the new strategic objectives tire industry. About the Author

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