Earlier, the EU introduced a new tire labeling bill: Since November 1, 2012, sold in the EU car tires, light truck tires, truck tires and bus tires must be labeled to indicate their fuel efficiency tire rolling noise and Wet grip level.
The new confederate tire labeling method will substantially increase the pressure on the safety and environmental protection of tire enterprises that export to the European Union. In addition, due to political considerations during the election year, the U.S. side has become increasingly tough on China’s trade. Industry insiders believe that the introduction of this policy has seriously hampered the development of China's tire companies. The downside risks of China's tire companies are continuously increasing, and it is very likely that there will be another storm of export problems for rubber tires following the US special security case.
Looking from the global market to the domestic market, the overall economic growth in China has slowed down, and the outlook for the domestic tire market is also slightly pessimistic. These factors will constrain the development of China's tire industry in the medium and long term, resulting in a slightly pessimistic outlook for the expected sales growth of tires. In addition, as far as traditional consumption habits are concerned, the peak of auto sales in China in the first half of the year is March, which will gradually decrease or remain unchanged month by month. Analysts expect that there will be no breakthrough in China's auto sales growth in April, or even a negative growth, which will increase the difficulty of removing rubber inventory in China. It is not an exaggeration to say that the current situation of China’s tire companies can be described in terms of internal and external problems.
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