Extensive development, irrational expansion, light technological progress and slow product upgrades are the main reasons for the excessive structural surplus of tire products and the large number of enterprises.
Shandong's tire production capacity accounts for half of the country's total, and it is also the first province in China to explicitly propose the removal of backward production capacity. Other provinces and cities are actively carrying out this work.
According to incomplete statistics, about 24 tire companies in the whole industry have withdrawn from the market from 2016 to 2017, and the total output of bias tires has been reduced by about 19 million. The average low-grade radial tires are about 33 million, including 15 million all-steel tires. 18 million semi-steel tires.
From January to July, about 12 companies in the industry had to wait for production, stop production, go bankrupt, and exit the market due to problems such as capital and environmental protection. They removed about 9.5 million steel tires and about 29.5 million semi-steel tires. The tire industry product structure.