At the 2015 China Rubber Annual Conference that was held recently, experts and CEOs from the industry conducted an in-depth discussion on the tire export situation this year. Deng Yachen, president of the China Rubber Industry Association, believes that in the context of growth in the export of major rubber products, the increase in the export volume and export value of Chinese tires will decrease in 2015.

According to relevant sources, the export of Chinese tires in 2014 was characterized by an increase or decrease in volume. According to the data obtained from the media, last year, the national tire export delivery volume accounted for more than 42% of the total output, but the added value and the profitability rate were lower, the average price of car tires was US$3.23/kg, which was 8.2% lower than the same period of last year. The price was $2.7/kg, down 11.4% year-on-year.

According to the data of the statistics of the tire companies of the China Rubber Association’s tire branch, in 2014, the nation’s tire exports amounted to 181 million, an increase of 22.6% year-on-year, export tires accounted for 44.9% of the total tire production, and tire export delivery value was 69.75 billion yuan, a year-on-year increase. 3.5%, the export rate accounted for 33% of the total production.

According to an analysis and prediction, in 2015, the export situation of Chinese tires was still not optimistic, mainly due to the slowdown in global economic growth and shrinking domestic demand. On the one hand, the economies of Europe and Japan are on the brink of recession, and the economic growth rate of emerging economies has also slowed down, resulting in limited external market demand. On the other hand, the competitive depreciation of currencies in various countries has caused a passive appreciation of the renminbi, leading to competition in China’s export products. The force drops.

Tire World Net learned that trade frictions from foreign countries also have a major impact on tire exports, mainly reflected in two aspects: First, the US implemented "double reverse" on China's passenger car and light truck tires, and the amount of products involved reached US$3.337 billion. Second, the Russian-White-Kazakh customs union launched anti-dumping investigations on the tires of Chinese trucks and buses. The amount of products involved was nearly US$500 million.

From the perspective of the domestic market demand, the growth rate of auto production and sales tends to be “normalized”, which reduces the growth expectation of the tire market. The adjustment of the compound rubber standard and the natural rubber tariff also make the industry suffer from costs. Therefore, adjusting the export structure, increasing the scientific and technological content and added value of export products, and at the same time creating new comparative advantages and adopting effective measures to accelerate the pace of “going out” will become an inevitable choice for domestic tire companies.

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