The global tire industry experienced "shock wave"

U.S. loan-to-time financial crisis triggered by the tsunami affected the world, real estate and automotive industries affected the most. The lower reaches of the global tire industry dragged down the auto industry, is also in a "worst-hit." Statistics show that in this year's financial crisis under the influence of the shock wave, most parts of the world tire demand dropped, original, after-sale markets at the same time in the history of a rare slump, many companies have cut the tire, the expansion projects cautious. Original, after-sale markets in the doldrums at the same time.

Rubber tire industry by the financial crisis quite heavy. Rubber tire industry this year to show the greatest feature of the original, after two major tire sales market showed an alarming decline. In general, when the original tire market downturn, after the tire market will thrive, and vice versa, as this year the two major markets in the doldrums at the same time the phenomenon is rare in the tire industry.

Automobile production companies coupled with the economic situation of people in families led to the deterioration of the driving mileage reduction in the rate of decline in the replacement tire. Related financial statements show that the Goodyear tire sales in the third quarter fell by 12.4 percent; the first nine months was also due to Bridgestone's sales lower. Lead to a significant decline in net profit.

Anomaly in the tire market in the doldrums, the global tire business is to reduce inventory, have taken "in accordance with market demand, adjust production plans," the response, cut production pressure, or even stop production. Digging to understand the current five-year business in North America following the tire dealers have been closed down nearly 90% or on the verge of collapse. Even at the world's top 10 tire companies have no choice but to do so.

Michelin North America Inc. announced that from November 1 onwards to reduce their output, Indiana, Alabama and the three tire plant by the use of light truck tire production line 8 weeks, while temporary layoffs of about 40% ( About 1,500 people). Bridgestone Firestone Inc. into the statement that the company has taken steps to implement the "sell by Ding Chan". Some of the company's production plant to extend the time for some reduction in the day-to-day plant production and the abolition of overtime. The company is paying close attention to market changes and continuously assess the market at any time to make further necessary adjustments. Goodyear Tire Rubber Company's tire plants in North America have also taken pressure producing a variety of ways. 3 birth of their cars from the factory to start production in August, and formally closed by the end of October; In addition, the first 4 car tire plant in October from late Sunday cut-off throughout the day; in the truck tire, the company has 2 Factories will be temporarily suspended until next year. Expansion projects at the tire maker said that more than cautious; as a result of the global economic slowdown will re-examine plans to expand the tire.

Michelin North America in August has made a decision based on the North American market continued to decline in the forecast, the abolition of Mexico in the new tire factory plans; Toyo Tire North America Inc. will be under construction in the United States' White tire plant expansion project delayed 6 To 12 months for completion, the project was originally scheduled to be completed before the end of 2010; Cooper Tire & Rubber Corporation component of specialized working groups within the company's existing production capacity of the United States to carry out economic census, with 90 days to complete the work, the The company said the expansion will shrink in the near future is to adjust the closure of at least a U.S. tire plant, medium and long-term goal is to gradually shift more production to low labor cost countries or regions, to change the current 75% of the capacity of the U.S. state of focus.

Fetal stem the general decline in corporate earnings, but also restricted the ability of the new investment projects and enthusiasm. Some experts predict that if in 2008 the world's total tire sales grew less than 4% of the global tire industry will experience 5 years after the beginning of the development of high-speed access to a new round of consolidation, indicates that "the winter season has arrived." As a result, in the current financial turmoil, the economic outlook uncertain, the tire industry expansion, new projects with caution.

Although the global tire industry output pressure around the middle, but not everything is in decline. Agricultural, non-road (OTR) tire market remains strong, aviation tire production line to continue to operate at full capacity in the state. So far, the world's leading OTR tire manufacturers in the market is optimistic about the prospects. Tan Tai International, Bridgestone and Michelin and so on the company's plant will continue producing at full capacity, speed up expansion in the field of OTR.

Chinese exports need a new direction

The financial crisis is often the biggest victims, some emerging market countries, particularly in export-led economic development. In recent years, China has become an annual tire products for nearly 40% of export structure. The loan-to-Wei Liu at the United States, China's tire industry is a major test of time is also new challenges and opportunities.

Chinese tire industry's staggering growth rate, which is the driving force in the international market especially in North America on the "Made in China (in China)" The growth in demand for tires. According to the China Rubber Industry Association Branch of the tires of 34 domestic-funded enterprises tire statistics, tire exports in 2007 delivered more than 52.2 percent growth last year. In recent years, China led Asia's rapid economic development has boosted the emerging markets of China and India's car sales in the region and tire manufacturers on the export of Western countries led to the rapid growth of China-centric Asia, the world's tire industry and land The tire manufacturing center.

However Cihuo crisis on China's tire industry has begun to show effects of China's tire exports sharply lower. According to the China Rubber Industry Association Statistics Branch of the tires, tires on 7, 8 and 9 this year, higher than the export growth last year marked a downward trend. Tire Branch of the statistical data shows that at the same time, in September this year, has 14 tire business losses, loss amounted to 33.3 percent, finished goods inventories reached a record high of 42.3 percent, which is a clear signal of excess production capacity.

In the face of a rapidly changing economic environment at home and abroad of the situation, there is an inevitable part of the tire companies have been unable to adapt out, only seize the opportunity to upgrade, change and novelty, an enterprise will it be possible degree of the crisis. To increase brand-building efforts to accelerate technological innovation and enhance value-added products, will become the consensus of the majority of enterprises.

Look for emerging markets has also become a tire enterprises Royal "cold" way. With the trend towards European and American markets, "Made in China" the world's new direction will be gradually transferred to South America to the Middle East, Russia, Africa, ASEAN and other countries and regions represented by the emerging markets.