Under The New Situation, How Does The Rubber Raw Material Industry Break Through The Predicament?

- Dec 07, 2018-

Trade frictions continue, the prices of raw materials such as skeleton materials and carbon black have risen sharply, and the tire industry has long been in a situation of “increasing production, increasing sales and not increasing revenue”.

The natural rubber market, which is an important raw material for tire production, presents a “pathological” development model due to the high-tariff, import and other accumulation effects. In the long run, it will definitely cause damage to the industry.

The new chairman of the China Rubber Association Rubber Materials Committee, Yang Fuyun, general manager of Guangdong Guangsheng Rubber Group Co., Ltd. said that China is a big rubber consumer and a major exporter of rubber products. In recent years, under the background of increasing environmental protection pressure and trade friction, China's rubber market has continued to slump, and the rubber industry has entered a period of micro-growth. The rubber industry has turned from a quantitative growth to a quality improvement.

China's rubber raw material supply pattern has also undergone major changes, domestic rubber demand has gradually slowed down, and powerful enterprises have stepped out of the country to build factories overseas. In 2005, Hirose Rubber began to develop rubber processing industry in Thailand. So far, it has established an industrial operation pattern in more than 40 countries and regions including Thailand, Indonesia and Laos.

The meeting awarded the "Integrity Rubber Industry Service Provider" and "Integrity Rubber Trader" Certificate in 2018.

Fu Xiangsheng, vice president of the China Petroleum and Chemical Industry Federation, delivered a speech entitled “The Status Quo and Countermeasures of China's Chemical Industry in a Complex Domestic and Foreign Situation”. He first analyzed the operation of China's petrochemical industry from January to August. It pointed out that the current petrochemical industry in China has a structurally low-end crowded, high-end lack of structure, and structural contradictions are very prominent. In the future, the petrochemical industry should strengthen the concept of green development, increase the intensity of transformation and upgrading, and accelerate the transformation of new and old kinetic energy.

Fu Xiangsheng added that in the face of trade friction, enterprises should be prepared for long-term operations, improve their innovation capabilities, aim at the high-end petrochemical industry, and enhance the industry's innovation competitiveness.