Tire Industry Profit Increases 40% YoY in 2012


Due to the appearance of hazy weather, the automobile and tire industries have received extensive attention from the society. Many tire companies have expressed their desire to develop green tires.

“With the deepening of green, energy saving and low-carbon environmental protection concepts, tire companies at home and abroad are very concerned about the development of this topic. Tire products are advancing in energy conservation, environmental protection, safety and comfort.” Kumho (China) Cao Zhuangxi, general manager of the marketing and logistics department of Tire Sales Co., Ltd., told reporters that energy saving and environmental protection are the requirements of the global environment. Safety and comfort are the requirements of users for driving experience. In recent years, both the international and domestic industry policies and the leading brand's product development have both catered to this trend.

Look at the prospects of the tire industry

On February 1, Beijing began to implement the national emission standards. Since then, on February 17, the “Opinions of the General Office of the State Council on Strengthening Energy-saving and Emission Reduction of the Internal-combustion Engine Industry” was released, which put forward energy-saving and emission-reduction requirements for the entire internal combustion engine industry, as well as energy consumption and Waste emissions set clear standards. The “Energy-saving and New Energy Vehicle Industry Planning (2012-2020)” in 2012 was even more proposed. In 2015, the fuel limit of passenger cars should reach 6.9 liters.

With the stricter domestic requirements for emission standards, there is no doubt that the auto market will be affected. In addition, the return of refined oil prices back to the 8 yuan era hit the auto market even more. The National Bureau of Statistics released data showing that in 2012, China’s auto production reached 19.27 million vehicles, an increase of 4.7% year-on-year. According to statistics from the China Association of Automobile Manufacturers, last year, the nation’s car sales were 19.3064 million units, an increase of only 4.33% year-on-year.

Although the development of the automotive industry faces many unfavorable factors, Cao Zhuangxi believes that this is only a phased adjustment. "According to statistical data, China's auto sales have only slowed down, and have not fallen." He believes that automobile tires are divided into matching tires and replacement tires, and matching tires have a clear proportional relationship with new vehicle sales. Affected by the slight increase in corporate sales last year, the company’s sales in the matching tire market also showed a corresponding growth rate. The replacement of the tire market, its sales and car ownership.

In 2012, the number of civilian vehicles in China was 12.89 million (including 11.45 million three-wheeled vehicles and low-speed trucks), an increase of 14.3% over the previous year. Replacement of the tire market entered a period of great prosperity with the substantial increase in car ownership. “So, the sales of the Chinese tire market in the future are still quite optimistic.” Cao Zhuangxi believes that under such a huge consumer market in China, the pace of development of the tire industry in 2013 should be greatly improved.

According to the report of the National Development and Reform Commission, in 2012, China's tire industry realized a profit of 27.5 billion yuan, a year-on-year increase of 43.7%, and an asset profit rate of 7.3%, an increase of 2 percentage points from the same period of last year.

Fog weather promotes green travel

With the public's increasing emphasis on environmental protection concepts, major tire companies have launched green tires to seize the market. Many tire companies believe that green tires will be the main theme of the future tire industry.

“Kumho Tire also continuously develops products that are more energy-efficient, environmentally friendly, safe, and comfortable. We have improved the braking performance of many products and the mileage under the same fuel consumption in order to achieve the effect of energy saving and environmental protection.” Cao Zhuangxi told reporters Road, taking Kumho Tyre’s eco-friendly tire ECSTALXKU28 as an example, during the driving process, the overall rolling resistance of the tire has dropped by 20%, resulting in a 4% reduction in fuel consumption; the other is the same amount of fuel and the same mileage The comparison of different tires shows that with the ECSTA Wingda LXKU28 tires, the cruising range of the vehicle is about 50 kilometers more than that of a normal tire.

Because green tires have high technical requirements for enterprises, some analysts believe that the future tire market will no longer be dominated by the low-end market and will focus on the mid-to-high end tire market. Kumho Tire, which has been producing middle- and low-end tires, has also begun to actively operate in order to seize the high-end tire market.

“In the long run, consumers are increasingly demanding the quality of their tires, and safety and comfort indicators are constantly on the rise. Therefore, the focus of tire demand in the future will be tilted toward mid-range and even high-end tires, and the market share of low-end tires will shrink.” Cao Zhuangxi said that Kumho Tire will position itself in the high-end market based on the stability of the mid-end market, and it has been reflected in the current main products.



The function of the Fuel System:

The function of the fuel system is to supply the car engine parts with a certain amount of clean and atomized gasoline, which can be mixed with a certain amount of air to form a combustible mixture according to the need of engine running condition. At the same time, the fuel system also needs to store a significant amount of petrol to ensure that the car has a considerable distance to continue driving mileage.


The main auto parts and functions of fuel system:

The fuel system also includes electronically controlled petrol injection systems, fuel supply systems (petrol tanks, petrol filters, petrol pumps, oil and gas separators, tubing and fuel gauges, and other ancillary devices).

Fuel System

Fuel System

Fuel System,Automotive Fuel System,Car Fuel System,Fuel Management System

Jinan Dingtai Auto Parts Co., Ltd. , http://www.dthavalparts.com