Guangrao tire industry development bottlenecks need to be solved

The Guangrao County tire industry under the active guidance of the government has formed a cluster of advantages that are obvious to all, and the scale of the industry is also very small in the world. However, the enterprises are faced with a large and not strong status quo and lack of large companies that can affect the entire tire industry. There is not enough loud big brand.

Brand influence needs to be improved

Although Guangrao currently has more than 42 rubber tire companies and more than 100 small tire companies, none of them have well-known brands like Jiatong, Double Star, Aeolus, etc., but not Michelin. International big name. In the domestic A-share market, 14 listed companies in the rubber manufacturing sector are also hard to find tire companies from Guangrao.

“The Guangrao County tire industry belongs to the small and medium-sized enterprise clusters. From a scale point of view, it is generally not large. There is no large-scale group enterprise, and there is no ability to cultivate international tire brands.” Northeast Securities analyst in the China Economic Times reporter Interview reply letter said.

According to the statistics of this reporter, the total assets of the 42 rubber tire enterprises above the designated size of Guangrao totaled 55.5 billion yuan, but there were few companies with assets of 10 billion yuan or even 5 billion yuan, and it could even be said that they were basically not. In contrast, the listed tire companies only have a total of 7.794 billion yuan in the total assets of Aeolus shares in the middle of this year, and the main business revenue is nearly 4.152 billion yuan. The total assets of 7 listed rubber products companies, including Saiwan, Ai Tire A, Aeolus, S-Guitar, Shuangqin, Qingdao Doublestar and Hainan Rubber, reached RMB 51.5 billion at the end of 2012.

It is worth noting that statistics from China Fetal Friends Network show that “there are more than a hundred brand names used by more than 21 tire companies in Guangrao County.”

Among the large-scale tire enterprises in Guangrao County, Shengtai Group owns several tire brands such as San A, Shengtai, Yatong, Yatai, Otelli, Sanjia, etc.; Jinyu Group has created Jinyu, Jinlu, Jade Kirin, and Wanbao. , Sheng Kai and other tire brands; Yongsheng Group also has auspicious, Lu Bo, Locks, SHIMO and other brands; Xingyuan Tire Group also created Xingyuan, Hua Lu, Annet, National Treasure, Qiang Wei, the majority, An Guangda, etc. Multiple brands.

Looking at the many tire brands of Guangrao Tire Enterprises, there are only a handful of brands that are familiar to consumers, and there is no big brand that is known worldwide.

At the same time, Guangrao's tire companies generally have the business of substituting processing, and the products of the company's own brands do not even have large production capacity on behalf of the processed products.

This reporter learned that the survey, Yongsheng Group on behalf of the processing of the brand including the precious wheel, Suzhou and Hangzhou, Zhejiang and Hangzhou, Dirk, Dema, Zheng Kun, stone round, Sutong, Fuwei, Fulin Lin Yun new, Qingyun Fengshen, Beierli, Donglupupu, Haonai, Yilun, Wetley, Hongyuntong, Ounett, CROWN, AUFINE and dozens of other companies; Xingyuan Tire Group is also working on behalf of Freddy, Fulin, etc. Workers; Shengtai Group is for Lu Shitong, Angu and other brands.

“The scale of Guangrao's tire companies has limited its pre-development must take the road of processing, multi-brand development, development can only rely on OEM, to earn processing costs.” Northeast Securities analysts believe.

However, the analyst mentioned in the reply letter to the reporter that the Guangrao County tire company was able to do brand-name foundry to show that it had the ability to produce high-quality tires, and the product quality should be no problem.

Fortunately, in recent years, under the influence of the government and the industry environment, the brand awareness of Guangrao tire companies has been gradually strengthened.

“At present, enterprise development has scaled up and it is the primary goal for enterprises to build their own brand.” Song Shiliang, general manager of Shengtai Group, said that Shengtai Group is currently giving priority to developing its own brand, and its generation processing is already the company’s second choice.

Although Drepo Tire Co., Ltd., which has just been in production for more than two years, will do some OEM work, its Deputy General Manager Yuan Tingjun pointed out that “the quality of domestically produced tires is not much worse than that of foreign brands, and the only difference is brand influence. , not only less profit, but also very unfavorable for the long-term development of the company, the development of the company must have its own brand, the beginning must pay attention to their own brand, De Rui Bao fight for 100% to do their own brand.”

Insufficient innovation capacity

“Now the reason why the Guangrao County tire industry lacks its own well-known brands is that the size of the company is relatively small, and the company’s ability to innovate is insufficient.” Li Jie, Deputy Director of Guangrao County Bureau of Economics and Information Technology, told this reporter that the Guangrao tire company currently has equipment. The equipment is basically at the leading level in the industry, with 84% of the technical equipment reaching the domestic advanced level and 61% of the equipment reaching the international advanced level.

However, the tires that are produced are basically ordinary products that do not form products with their own characteristics, which also limits the development of corporate brands.

According to the development trend of the tire industry, the future tire industry market will be subdivided, specialized, characteristic, and green, and the market share will be further subdivided, which also requires tire companies to have their own specialty products.

At present, international brands such as Michelin have adopted the popularization of green tires, smart tires, and safety tires as the key targets for future development. Their products have been subdivided into a variety of road conditions, and even colored for consumer tastes. Tires and other new products.

However, on the other hand, in the domestic tire industry, the overall scale of the enterprises is relatively small, and their ability to innovate is insufficient. In particular, like the Guangrao region, tire companies are still basically in the stage of primary development.

Many Guangrao tire companies visited by this reporter have indicated that they have not established their own R&D centers, and the expansion of low-end production capacity has become a dilemma facing Guangrao tire companies.

At the same time, companies bringing together low-end production capacity will directly lead to excess production capacity, which will seriously undermine the market competitiveness of enterprises and their ability to resist risks. On the one hand, the low-end market tends to saturate, companies promote low-cost promotions, drive down profits, and on the other hand, tires in the high-end market are in short supply.

Therefore, how to improve the innovation capability of small and medium tire companies is not only related to the creation of the brand, but also directly affects the survival and development of the company.

Talent technology "short board"

According to the plan, during the “Twelfth Five-Year Plan” period, China’s tire companies will comprehensively promote the development of China’s green tire industrialization from the aspects of raw materials, process technology and product standards, and strive to achieve “Green Tire” industrialization by the end of 2015.

However, the tire industry will complete the transition from price war to brand warfare based on talents, which is the biggest “shortcoming” faced by Guangrao tire companies.

"According to the development model of modern enterprises, whether it is old or new enterprises, technical talents are now the core assets. Whoever has mastered the real talents will have the competitiveness and market." Derrybao Tire Co., Ltd. Deputy General Manager Yuan Tingyi stated that the development of Guangrao enterprises is not worried about the funding problem. With the strong support of the Guangrao County government, the commercial bank branch of Guangrao County now reaches as many as dozens of companies, striving to make loans to tire companies.

“The biggest issue facing Guangrao companies is the talent problem of the company.” Li Jie said that when tire companies start their own businesses, the talents basically rely on “excavating the footwalls”, starting from talented people hired by foreign and domestic old tire companies or The hiring of retired technicians later evolved into highly paid companies to excavate in-service technicians and even corporate executives.

Song Shiliang, General Manager of Shengtai Group, said in an interview with this reporter that “Guangzhou has limited local conditions and it is difficult to retain talents. Guangrao County is not like a second-tier city and has complete living facilities. As a county environment, no matter how good it is, it is not great. Urban quality of life and learning opportunities."

Land becomes a development elbow

Unlike other regions where the development of SMEs is mainly faced with difficulties in financing, Guangrao tire companies are not worried about money. Besides worrying about talent issues, there are also land requirements for enterprise development.

It is understood that tire companies, unlike most high-tech enterprises, can operate in multi-story buildings. The development of tire companies requires sufficient land support. A tire production line with a capacity of 3 million yuan needs the support of nearly 1,000 mu of land.

Into a number of tire companies in Guangrao County, reporters rarely find that the factory area is less than 1,000 acres, and the larger enterprises cover an area of ​​several thousand acres.

The first three phases of the construction of De Ruibao Tire Co., Ltd. in March 2010 took up an area of ​​2,000 mu, and the company also reserved nearly a thousand mu of land for the later development.

Among the two projects newly invested by Shengtai Group, the 300,000-ton steel cord project jointly built with Jiangsu Xingda Group had to be selected in Yantai. “The main consideration is the transportation problem. Guangrao County does not have railways and ports, and the transportation is relatively inconvenient. At the same time, the land problems faced by enterprises are also too large. There is no more land to support enterprises to land.” said Song Shiliang, general manager of Shengtai Group.

“This is not only a problem for enterprises, but also an urgent problem that the government wants to solve.” Li Jie said that the current reason for Guangrao County's building out of factories is that one of the reasons is that powerful companies are pursuing the maximization of profits, and they have chosen convenient transportation facilities and have Regional plant construction sites with advantages in natural collagen materials or with market advantages; second, the land available for development in Guangrao County is very limited, and the cost of land is too high.

According to China's state-owned land use right transfer approval system, the use of state-owned land at county level requires the approval of higher levels of government, as well as restrictions on the use of land.

However, Guangrao County is located in the Bohai Economic Development Zone and the Peninsula Economic Development Zone. It is one of the top 100 counties in China and the land area available for development has been extremely limited. This has brought a lot of constraints to the development of the company.

“Going abroad is a big loss to Guangrao County, local employment opportunities have been reduced, and fiscal revenues have also been lost.” Li Jie told this reporter.

At present, many companies in Guangrao County, including tire companies, use land that belongs to the “recruitment for rent” property. The rent per mu is between 2,000 yuan and 3,000 yuan, which puts great pressure on the company.