Major Chinese tire makers admitted being involved in the latest anti-dumping measures by the United States and emphasized the move would have very little impact on their companies.
According to the manufacturers’ notes, Linglong Tire received an anti-dumping rate of 22.57 percent; Triangle Tire, 9 percent; Aeolus Tire, 22.57 percent; and Sailun Jinyu Tire, 9 percent. All of the four companies will also have to pay a 52.04-percent of anti-subsidy duty to the U.S. government.
The four tire makers have three common characteristics. First, they have all built factories in countries outside China. Second, they have all focused on improving quality. Third, they all work on internationalization.
Actually, leading Chinese tire makers have built factories mainly in southeast Asia after they first met anti-dumping duties in 2008, a move to avoid risks of trade frictions.
Linglong Tire:
Linglong Tire has paced up in exploring the international market in recent two years.
Its Thailand factory, with an annual production capacity of 10 million pieces of steel & nylon tires and 1.2 million pieces of all steel tires, can almost fulfill orders from the United States.
The company expected its deliveries to the U.S. to hit a record high in 2017.
In the first 11 months of 2016, Linglong Tire saw a 15.84-percent increase in its tire output and a 17.81-percent growth in tire sales.
Triangle Tire:
According to statistics of the first nine months of 2016, only 1.11 percent of the revenues of Triangle Tire were involved in the anti-dumping move of the U.S.
Thus, the company expects this round of anti-dumping would not have much impact on its performance.
Besides,Triangle Tire was under high exposure with two “smart factories” launching production in 2016. One is designed with an annual capacity of 4 million pieces of premium passenger vehicle tires. The other can produce 2 million pieces of premium commercial vehicle tires a year.
Sailun Jinyu:
Sailun Jinyu Tire has been working hard to expand business on the international market.
Its factory in Vietnam is expected to realize mass production this year.
Sailun Jinyu has forecast a 50-80 percent increase in net profit for 2016.
