Comprehensive Tire Industry News: In the first half of 2024, the global tire industry experienced steady growth, with demand rising and the operating rates of Chinese tire enterprises continuing to reflect strong performance. A-share listed tire companies reported significant year-on-year growth in the first half of the year, announcing increased earnings.
However, since the second quarter, rising raw material costs and sea freight rates have become significant challenges for the industry, raising concerns about the short-term fluctuations in sea freight and the mid-term stabilization of raw material costs.
Global tire demand maintained steady growth. Sales of auto parts and tire stores in the United States continued to show strong year-on-year growth, reflecting robust demand for tire imports. The European passenger car tire market remained stable, with EU passenger car registrations reaching their highest levels since 2020. In contrast, demand for truck and bus tires has been subdued, primarily due to pressures from high energy, raw material, and labor costs in an inflationary environment.
The outlook for passenger tires, considered essential products, is expected to remain positive. In contrast, the commercial tire market’s recovery will depend on the broader economic growth rate, with hopes of gradually emerging from the current downturn. Currently, the operating rate of China’s semi-steel tire industry is nearly 80%, the highest since the same period in 2015. In comparison, the operating rate for the all-steel tire industry is below 60%, reflecting weaker downstream demand.
