Downstream Terminal Demand Is Poor,Future Rubber Decline May Be Slowing Down

- Nov 15, 2018-

The heavy-duty truck consumer market, which has maintained rapid growth for several years, ushered in the “winter” in the second half of this year. It can be found that the domestic heavy truck market in 2018 is characterized by “high before and low”. Since July, domestic heavy truck sales have dropped significantly, down 17% year-on-year, down 23% year-on-year in August, and down 25% year-on-year in September. Although the chain rebounded slightly in October, the year-on-year decline was still as high as 14%. The author believes that there are three reasons for the above phenomenon: 

First, the continued pressure on the domestic economy has a great impact on the growth of freight turnover, which has led to a weakening demand for heavy trucks in the logistics and transportation market. 

Second, environmental protection policies have led to high pollution. The company's production limit has increased, and engineering heavy-duty truck sales have declined. 

Third, the policy dividends of the previous over-limits have gradually come to an end. 

Under the constraints of high base, the growth pressure of the heavy-duty truck market in the second half of the year is highlighted.