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Most people in the country have a preference for “being foreign and respecting foreigners†and believe that the products of foreign brands must be better than Chinese brands. Not long ago, a program broadcast on CCTV's "Consumer Claims" column surprised many people. 
The content of the program revealed that the column reporter selected 10 types of tires (four of which were international big brands and the rest were Chinese brands), and conducted tests such as impact, hydraulic blasting, ordinary road braking, professional venue braking, and tire thickness comparison. . The results of the test are quite predictable - in terms of safety, the performance of Chinese brand tires is not bad, and in many respects far exceeds individual internationally known big names.
It is worth noting that this is a professional test conducted by CCTV at the Yancheng Automobile Testing Ground of the China Automotive Technology and Research Center. The results should have certain authority and impartiality.
At present, one-third of the world's tire production comes from China, but according to statistics from the China Rubber Industry Association, the share of Chinese brand tire companies in the passenger car tire market in China is only 35%, and most of the market share is occupied by foreign brand tire companies. occupy.
Since the test results of Chinese brand tires can be compared with international big names, why is the difference in the share of the passenger car tire market so different?
The relatively low matching rate of Chinese brand tires in the passenger vehicle market is the key reason for this strange phenomenon.
The tire market is divided into matching and replacement markets, and they complement each other and coexist. In contrast, the matching market has a higher demand for tire brands, and replacement markets are more value-conscious.
Under normal circumstances, tire companies will aim to enter the matching market. Because this not only means the brand image and market position, but also will bring stable supply demand, it can also promote its sales in the replacement market.
According to statistics, the ratio of global tire sales to replacement markets is 2:1, China is 3:2, and developed countries are 3:7. In other words, most of the Chinese tire market sales are achieved in the matching market.
It is understood that in the original tires for passenger cars, Chinese brands entered the mini-vehicle market with a vehicle price of 50,000 yuan or less, and models with more than 50,000 yuan were basically unsupported.
The reason for this is partly related to the historical background of the Chinese auto industry, “rebuilding vehicles, light parts and heavy commercial vehicles, light passenger vehiclesâ€. This directly leads to the supporting capabilities of Chinese brand tires in the field of passenger vehicles. "Innate deficiencies."
In terms of “acquired developmentâ€, Chinese brand tire companies have experienced rapid growth in the past ten years, mainly benefiting from truck and bus tires, construction machinery tires and other fields. Like many domestic manufacturing industries, Chinese brand tires also rely on low-cost, low-cost market crowding in the context of high-speed construction of domestic real estate and infrastructure.
Moreover, the passenger car tire matching market has long formed an intrinsic, multinational brand-led supplier system, which cannot easily be entered overnight. Chinese brand tire companies are making efforts in the fields of commercial vehicles and construction machinery, and are actually a helpless choice.
The original tires of the joint venture are basically monopolized by foreign brands such as Michelin, Bridgestone, Goodyear, Hankook, and Kumho. In particular, among the Japanese and Korean joint ventures, the preferred suppliers for major parts and components are basically Japanese- and Korean-funded companies, while the Japanese and Korean component suppliers mainly provide support for Japanese and Korean-owned OEMs. The cooperation between the two parties is relatively closed. The weak brand power is another important reason why Chinese brand tires are difficult to enter the passenger car supporting system, and it will also have a greater impact on the replacement market.
Compared with the international big names, Chinese brand tire companies are basically "young." This means that they are latecomers to existing supporting systems.
The matching cooperation between auto manufacturers and parts and components companies will generally undergo a series of cumbersome procedures such as qualification determination, experimental testing, on-site evaluation, trials, and small-batch-to-batch procurement, which often takes a long time. Once the supporting system is established, OEMs are reluctant to take the initiative to change suppliers because the cost of conversion and reconstruction will be high.
Obviously, as a latecomer, it is not easy for Chinese brand tire companies to replace the international big names with passenger car companies.
For many years, Chinese brand tires, like many other parts, have relied on low-price advantages and have been removed from the low-end market, inevitably leading to a low-end brand image.
In the matching with passenger car companies, price is not a determining factor. In fact, some international big-tire tire companies pay great attention to their own brand image and are only keen on supporting medium and high-end models.
"Tire is like a car's shoes, tire brand will also affect the overall image of the car. Therefore, vehicle companies in the development of new models, the choice of tire suppliers is also very cautious." A Chinese brand car Senior executives said in an interview with AutoKol. For Chinese brands that strive to enhance their brand image, Chinese brand tires do not seem to be a good choice.
It is difficult to enter the supporting system, which is an objective reason for the replacement of Chinese brand tires. Through intensive cultivation in the replacement market, it is also possible to accumulate brand foundation, technical advantages and marketing experience for entering the supporting market. However, the impact of the original tire on the replacement of market consumption habits is hard to ignore.
Therefore, brand promotion is a proposition that Chinese brand tire companies cannot avoid, and this is undoubtedly a long-term and cumulative process. In fact, like many manufacturing industries, the Chinese brand tire industry is also facing the growing pains of overcapacity. According to Ye Shengji, deputy secretary-general of the China Association of Automobile Manufacturers, the barriers to entry in the tire industry are low. In the course of rapid growth over the past decade, there have also been serious blind expansions. As the economy has entered the new normal and the growth of car sales has slowed down, the ills of the past extensive development have gradually emerged.
According to the data, as of 2014, the number of enterprises above designated size in the tire manufacturing industry in China reached 554, of which 63 companies suffered losses.
In 2015, the domestic average operating rate of all-steel radial tires was about 62%, which was a decrease of nearly 9 percentage points from the same period of last year; and the semi-steel radial tire operating rate was about 67%, which was a year-on-year decrease of 5 percentage points. In addition, individual companies have closed down, some companies have stopped production and maintenance, and some corporate projects have been suspended due to capital and environmental issues.
At the same time, the ever-increasing “double opposition†in recent years has also had a greater impact on Chinese brand tire companies.
According to statistics from 42 tire companies of China Rubber Industry Association Tire Branch, the tire export volume in 2015 was 154.6 million, down 8.72% year-on-year; the export delivery value was 55.48 billion US dollars, down 15.81% year-on-year. The two export indicators "double drop" are the first occurrence in the tire industry in China.
In addition, with the rise in raw material prices and rising labor costs, the once-low-cost advantages of Chinese brand tire companies are gradually losing. Not long ago, a number of domestic tire companies have raised product prices in succession.
Under the above-mentioned series of factors, Chinese brand tire companies are increasingly aware of the necessity of transformation and upgrading, and the expansion of their share in the passenger vehicle tire market has also become an inevitable choice.
Therefore, CCTV's “Consumer Advocacy†column group is doing such a test at this time. The deep meaning contained in it is intriguing.
It is worth noting that Chinese brand tire companies are increasingly focusing on brand promotion, and overseas mergers and acquisitions may well be a good strategy.
In 2015, China National Chemical Industry Group spent 7.1 billion euros to acquire Pirelli, the international tire giant, and became a typical successful merger and acquisition in China's tire industry. In March this year, Pirelli and China National Chemicals' Fengshen Tire confirmed the restructuring plan. Fengshen Tire will be established as a large-scale international company focusing on industrial tires business, based in China, listing in China and having global influence.
Professionals believe that enhancing R&D and innovation capability is the fundamental way for Chinese brand tire companies to increase their brand power. Almost all major international brands have had major inventions and made significant contributions to the development of the world's tire industry. For example, Goodyear invented the rubber vulcanization method, Dunlop invented the pneumatic tire, Michelin invented the removable tire and the radial tire, and proposed the green tire concept. Overall, Chinese brand tires can compete with international big names in testing. It can be said that the results of the transformation and upgrading in recent years have become apparent. However, as far as the passenger vehicle tire market is concerned, the product image of Chinese brand tires needs further improvement. Obviously there is still a long way to go.
At present, the merger and reorganization of the Chinese brand tire industry is accelerating, and this will be a process of ebbing and sanding. Who can stand out and wait and see.