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The tire retreat volumes in China will reach to 15 million strips in 2009

In 2008, nearly 200 million scrap tires strips of old and were produced in China, only 11. Strips 5 million had been withdrawn.


In China, many consumers misunderstand the industry the removal of the tires. For example, maintain that it is safe to use the tire removal, removal of the tires do not wear resistance, a unit less mileage and inappropriate to the high temperature, etc. In addition, partial Chinese media industry report withdrawal decontextualized tires, and small workshops, illegal operation, time bomb, etc sudden huge profits thanks to the influence of these factors, the Chinese industry tire recall has highlighted the tendency for slow development over 10 years.


For contamination and usefulness of recycling old scrap tires is, China short of the relevant regulations and policies today. On the one hand, the mass and the burning of scrap tires age drop and will cause severe environmental pollution. On the other hand, the mass burning and dropping out of old scrap tires and will result in a shortage of raw material for ancient Chinese grave and scrap tire companies processing.


Despite the financial crisis affects the global economy, however, is an opportunity for the Chinese to withdraw from the tires. John. Liu, an analyst with the rubber and tire of China Research & Intelligence, argues that most consumers tend to choose tires economic decline under the influence of the international financial crisis. In addition, the influences of the international financial crisis on the Chinese industry will tire recall a wide range. Some tire companies small retreat will be closed because of backward technologies and the ability to malfunction. Some tire companies serious decline, especially those affiliated tire recall tire manufacturers, however, will quickly evolve. The concentration of Chinese industry tire recall will be higher.


Chinese companies recall of tires have two main operating modes: first, the tire companies to buy the retirement of old scrap tires and then sell and then retire then secondly, tire companies retreat retreat the old and scrap tires in the freight companies and then withdrawing the fees from customers. Companies operating the former model usually lack the old tires and scrap metal. Therefore, there is a new development trend in China’s industry recall of tires, ie, many tire manufacturers are engaged in industry removal of tires to maximize the use of their resource advantage. Compared with the simple removal companies tire, the tire affiliates withdrawal of most tire manufacturers and huge advantages.


The world of the giants of Michelin tires, Goodyear and Bridgestone had entered the Chinese industry of tire removal, in which Michelin is the first by the withdrawal of China’s tire industry. In September 2005, the Michelin tire factory in China’s first retirement came into operation in Shanghai, which means the plan of withdrawal of Michelin tires in China was officially established. In January 2009, Bridgestone (China) Investment Co., Ltd. formally established the removal of the tire development department. Domestic manufacturers of Chinese tires pipeline, such as Triangle group, have or plan to enter the industry consider removal of tires and the point of profit growth.


John. Liu is the views of withdrawal tire volumes increased by 30% to 15 million tapes in 2009 compared to 2008, which will reach 19 million strip in 2010. From 2009-2010, the Chinese government increases investment in fixed assets such as railways and highways in order to maintain economic growth. Meanwhile, demand and volumes of exploitation of construction machinery in China is much higher. It is expected that the removal of the tires of construction equipment will become the access point in the removal of tires Chinese industry over the past two years, which is worth paying attention to investors.

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Based on the database, Interviews and research methods from China Research and Intelligence, CRI analyzes the development and opportunities in this industry clearly.

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