Translation. Region: Russian Federal
Source: People’s Republic of China in Russian – People’s Republic of China in Russian –
Source: People’s Republic of China – State Council News
JINAN, May 19 (Xinhua) — Ten years ago, Ahmed Moussa, a trader from Algeria, started buying tires in a region of China known as Guangrao, a county with a population of only about half a million people in eastern China’s Shandong Province.
“You will find quality tires at competitive prices here,” Musa said at the 15th China /Guangzhou/ International Rubber Tire & Auto Accessories Exhibition, which ended on May 17. The event attracted more than 50 of the world’s leading tire companies, including those from the Fortune 500 list. Moreover, all 10 of the world’s largest tire makers were present at the exhibition.
A. Musa’s company, Sarl Famo Pneumatique, sold about 300,000 tires from Guangzhao in 2024 and plans to increase orders.
In the mid-1990s, the eastern Chinese county, located near China’s second-largest oil field, Shengli, had already become the country’s largest rubber hose production base. However, as the market became saturated with such products, some local manufacturers switched to producing automobile tires.
With an annual output of 177 million radial tires, 86.6 percent of which are exported, Guangrao is home to China’s largest rubber tire industrial cluster, said Sun Xiaohua, head of the local bureau of industry and information technology. The county’s export revenue of 25.95 billion yuan (about $3.6 billion) in 2024 underscores its dominant position.
“Here you can find almost all the most modern tires at prices 30-40 percent lower than world prices,” said a Russian buyer named Ivanov, emphasizing that this is a breakthrough offer in terms of cost.
At the Shandong Huasheng Rubber Group booth, engineers demonstrated self-sealing tires using polymer composites and specially designed sound-absorbing foam inserts – technologies previously monopolized by premium brands. Liu Kaihua, a representative of the company, explained that many Chinese manufacturers can now achieve comparable or even better results through independent research and development.
The buyers who came from all over the world took note of this significant breakthrough. “Tires from Guangrao have reached new heights in terms of quality and performance. Although many premium tires here now retail for over 1,000 yuan, the price-quality ratio is still very high,” Musa said.
Behind Guangrao County’s success is the drive for innovation by local enterprises and the accelerating pace of smart transformation in China’s tire industry, supported by government initiatives.
In 2015, China’s Ministry of Industry and Information Technology included the country’s tire industry in a smart manufacturing pilot program to promote intelligent transformation through policy guidance, standard setting, and financial support. Guidelines for 2024 included upgrading outdated tire manufacturing equipment, and by 2027, the document aims to achieve a level of digital transformation where the productivity of key CNC processes reaches more than 85 percent.
Guangrao-based Shandong Yongsheng Rubber Group Co., Ltd. has completed an intelligent upgrade of its radial tire production line, replacing 182 key machines/sets and installing automated logistics systems, resulting in a significant improvement in production efficiency. According to Hao Yufeng, who is in charge of smart manufacturing at the company, Internet of Things (IoT)-enabled equipment and automated guided vehicles have reduced labor requirements. He noted that 95 percent of the key equipment is controlled by digital technology.
The tire boom in Guangrao shows no signs of slowing down. The county is doubling down on expansion and innovation to maintain its lead. This year, the county government plans to invest 9.31 billion yuan in 14 key projects, increasing annual radial tire output to more than 260 million units.
The boom underscores China’s dominance in the tire industry. In 2024, China exported rubber tires worth more than $20 billion, accounting for 35 percent of the global total. That figure makes the country the world’s leading tire manufacturer and exporter.
At the 15th China /Guangzhao/ International Rubber Tire & Auto Accessories Expo, it was clear that Guangzhao’s transformation is not just a local story, but part of a larger shift in China’s manufacturing sector. Traders like A. Musa are optimistic. “My customers and I are looking forward to the cutting-edge innovations that Guangzhao’s tire companies can offer,” he added. -0-