Apr 01, 2017
As Robert Simmons, head of the LMC International consulting firm, said during the China Rubber-2017 conference, the world market will see a more even increase in sales of light truck tires in 2017. According to his estimates, the global growth in this segment of the tire market will be about 3%, with India ahead of the Middle East and China and will demonstrate the fastest growth rate of the market - 8%.
In China, the growth rates of the light truck market will decrease slightly compared to 2016 and will be less than 8%.
In the markets of South America and East Asia, where last year there was a decline, 2017 will show growth of 3% and 2% respectively.
Imports continue to put pressure on developed markets. For example, the US over the past 15 years has greatly reduced annual production capacity (up to 100 million pieces of tires, mainly in the replacement market). However, by 2020, analysts expect that the volume of production in the country should increase by 30 million units, mainly at the expense of foreign manufacturers, creating their own production in the United States.
US shipping tariffs on tires from China have not done "absolutely nothing" to change the situation with imports, Robert Simmons notes. "Chinese imports left the US market, but the vacant place was taken by tires imported from other countries with cheap production," Simmons said. The only thing to which such obstruction measures lead, is the fact that China creates its own production in other countries.