Recently, the organizing committee of the 14th Guangrao International Tire Auto Parts Exhibition in 2024 revealed that the enthusiasm of Chinese and foreign enterprises participating in the exhibition has exceeded 600, showing a strong recovery trend of the market.
Relevant data show that in 2023, the comprehensive production capacity of Guangrao tires reaches 267 million, of which 194 million radial tires are produced, accounting for 1/3 of the province and nearly 1/5 of the country. In other words, the center of the global tire manufacturing industry is in China, the center of China's tire manufacturing industry is in Shandong, and the center of Shandong's tire manufacturing industry is in Guangrao.
Guangrao belongs to Dongying City, Shandong Province, and is located close to Shengli Oilfield. Initially, it produced rubber products for Shengli Oilfield, and later transformed into the production of tires. It gradually developed into the largest tire production base in China. The rubber tire industry in Guangrao County was rated as the "Top ten" industry in Shandong Province, the "wild goose array" cluster, the characteristic industrial cluster in Shandong Province, and the demonstration base of foreign trade transformation and upgrading determined by the Ministry of Commerce. Today, Guangrao has Changfeng tire, Huasheng Rubber, Fangxing tire, Jinyu tire, Zhongyi Rubber, Miluqi tire and a large number of well-known enterprises.
As one of the few exhibitions held in the industrial gathering place in the country, after more than ten years of development, China (Guangrao) International Rubber tire and Auto Parts exhibition has grown into a world-renowned professional tire exhibition and a well-known technical exchange and trade cooperation platform for the global rubber tire industry. For example, the 13th exhibition held in 2023, the scale of exhibitors reached 750, including 50 of the world's top 500 enterprises and 9 of the top 10 global tire companies. At the same time, more than 800 overseas professional buyers from more than 50 countries and regions such as Russia, Nigeria, Sri Lanka, the United Arab Emirates, and Canada will visit and conduct business negotiations.
In terms of domestic demand, China is the world's largest automotive market growth region, the next few years, China's car ownership and utilization rate will continue to grow. Since 2021, the General Office of the Ministry of Commerce has issued a series of relevant policies to promote automobile consumption and promote the high-quality development of the automobile industry, such as the "Guidelines for Promoting Automobile Consumption in the Commercial Field" and "Local Experience in Promoting Automobile Consumption", and the future development prospects of China's automobile market are still broad. In addition, under the strong promotion of the "New Energy Automobile Industry Development Plan (2021-2035)", China's new energy automobile industry is expected to continue to achieve steady development in the future for a long period of time. The strong development momentum of new energy vehicles provides a good market opportunity for the tire industry. Combined with the above factors, the growing automobile market will be the fundamental driving force for the tire industry to maintain an upward trend. According to media reports, after the Spring Festival in 2024, Chinese tire enterprises resumed work earlier than in 2023, and even some enterprises kept equipment during the Spring Festival.
From the perspective of the international market, China's tires are highly dependent on exports, and the slowdown of economic growth in developed countries and trade frictions have had a certain impact on the development of China's tire industry. However, market growth in developing countries such as Africa, Southeast Asia and Latin America offset the negative factors. With the help of the China (Guangrao) International Rubber Tire and Auto Parts Exhibition, Guangrao County has organized the "Chinese tire brand Overseas promotion Action" for five consecutive years, and has achieved good results in the markets of ASEAN, Pakistan, Mexico, Russia and RCEP (Regional Comprehensive Economic Partnership Agreement) member states.
The research institute predicts that the total tire sales will exceed 2.75 billion units in 2024, and the market value will increase from $239 billion in 2019 to $280 billion. Strong market growth is expected to promote the further recovery of the tire industry. The organizing committee of the 14th Guangrao International Tire Auto Parts Exhibition predicts that more than 780 enterprises will participate in the exhibition in 2024, including more than 120 overseas enterprises, which will become the largest exhibition in history.
