China lifts tire production but down profit

China's tire industry ran steadily during January to May, Shi Yifeng, Chief Secretary of Tire Bureau of China Rubber Industry Association.

In the first quarter, China's tire price climbed up with flourishing demand, but tire market cooled down because of fluctuated rubber price in the second quarter, which arose industry worries.

In the first five months, China's tire production rose by 10.66%, compared to the same period of 2016. And, radial tire production increased 11.66% during the same time, according to datas from 41 major tire manufacturers in China.  

Between radial tires, full-steel radial tires grew 14.08%, and half-steel radial tires up 10.9%.

Besides, tire sales income increased 12.27% in 41 major tire manufactures, and radial tire sales income increased 12.58%.

However, 38 tire manufactures posted 60.96% of profit diving in the first five months, and 15 in 41 major manufactures were in red.

With tightening international trade protectionism, Chinese tire manufactures were not working hard on Europe, Middle East etc. traditional market, but also actively developing emerging market like Africa and so on to keep tire export steadily rising, Shi said.

During January to May, China's tire export yearly rose by 9.1%, export value also rose by 13.3%.

Amongst, passenger tire export year-on-year increased 15.2% with value up by 17%; and truck tire climbed up 5.8% with value up by 10.8%.

Tire Export to USA kept declining. Passenger tire export to USA dived 33.1% with value down by 30.3%;truck tire export dived 32.1% with value down by 29.9%.

With Russian finance market getting stable, tire export to Russia also turned better.

In the first five months, passenger export to Russia grew 82.9%, with value up 85.7% and truck tire to Russia grew 88.8% with value surging 109.3%.