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Cai Weimin, Secretary General of the China Rubber Industry Association’s tire division, said that in the first 9 months of this year, the cost of finished goods for 43 companies in the tires branch has increased by nearly 30%, and profits have dropped by 20.6%. “In recent days, the rubber market has become increasingly Serious, there is a rising trend, tire companies have already struggled."
Cai Weimin said that as industry associations, they are strongly appealing to the relevant departments such as the State Administration of Taxation to abolish the import tariffs on natural rubber as soon as possible to reduce the burden on enterprises and help enterprises tide over the difficulties; at the same time, they plead with the State Bureau of Materials Reserve to provide 100,000 to 150,000 tons of reserves as soon as possible. Rubber auctions to curb the rise in natural rubber prices and stabilize market prices.
The recent skyrocketing prices of natural rubber all over the world have caused tire companies in China, the world’s largest consumer of natural rubber, to fall into trouble. From the China Rubber Industry Association Tire Branch, it was learned that tire companies are brewing price increases, or up to 8%.