China has been the largest global producer and consumer of tires since 2005. Tire production and consumption has registered very healthy growth in the 21st century, yet in the last few years, especially the last two, the market has proven to be very challenging for domestic and foreign companies operating in the country.
More than 300 big, mid-sized and small tire producers across all segments exist in China. The Chinese tire industry is the world’s largest in value and volume. According to data from the China Rubber Industry Association Tire Branch, the 38 key member companies produced a total of 529.22 million tires in 2021, an increase of 11.28% as compared to 2020. Total output of passenger car tires was 378.42 million, a year-on-year increase of 14.25%, while output of TBR tires was 122.39 million, a year-on-year increase of 4.12%.
Tire output registered a sharp decline in China in 2020. Along with a decline in the domestic market, export markets registered a sharp decline. Though in 2021, the Chinese tire industry registered steady growth, it was on low base of 2020.
Source: Tire Review