subject: World Tire Industry Overall Revenue For The Better - China Digital Dive Watches - Leather Digital [print this page] Despite rising raw material prices, rising oil prices and other factors, the world tire industry is still full to a good income.
Michelin, Bridgestone, Continental, the world's leading tire company earnings have increased significantly. Goodyear after many years of continuous losses, finally achieved profitability in the second quarter of last year. Michelin first half of last year, net income rose 98.8%, reaching 403.6 million U.S. dollars; sales increase of 6.4% to 9.6 billion U.S. dollars. Bridgestone first half net income rose 64%, reaching 482 million U.S. dollars; sales rose 3.7% to 10.6 billion. Bridgestone expects full year net income increased 39% to reach 945 million U.S. dollars; sales profit rate of 4.4%. Goodyear in the first quarter loss of 76.9 million U.S. dollars, the second-quarter profit, profit 25.1 million U.S. dollars; tire production increased by 5.1% to 110.7 million, sales increased 13.7% to reach 7.74 billion dollars. Despite rising raw material prices, and huge pension liabilities and other pressures, but still insist on Goodyear 5% to 7% annual earnings growth remain unchanged, that is its second half earnings will increase rapidly. Continental AG in the first half sales increased by 9% to 6.93 billion U.S. dollars. Even less Mayfield plant in the United States to expand tire production cost of 144 million U.S. dollars, the company forecast 2004 revenue will be less than the mainland has increased over the previous year. Cooper in the first 6 months of last year, sales rose 20.3% to reach 1.97 billion U.S. dollars; net income doubled to reach 57.2 million U.S. dollars over the previous year. Among them, the tire sales increased 20.3% to 999.7 million U.S. dollars, net income increased 40.8% to 42.1 million U.S. dollars. Pirelli in the first half sales rose 8.3%, while operating income increased 33%; tire sales increased 9% to 20 billion. South Korean tire sales increased 7.2% in the first half, to 7.8 billion; net income increased 58.6% to reach 86.5 million U.S. dollars. South Korean tire sales in 2004 is expected to increase 6.7% over the previous year, net income doubled. Yokohama Tire, Toyo Tire, Kumho tire company's earnings are more substantial upgrade.
In 2004, the world's tire companies the economic environment far from ideal, natural rubber and synthetic rubber prices rose, oil prices lead to oil as the raw materials and chemical additives such as carbon black prices, steel prices led to steel cord and bead prices and shortages. To offset these pressures, most of the world's tire companies to raise prices, expand production capacity, improve labor productivity and so on, which means the greatest impact on the effectiveness of price increases is the tires. According to statistics, last year the tire company's tires in general more than 5% price increase, some companies raise prices many times, some companies more than 10% increase in tire prices.
Returns to the world's leading tire company is good, also benefited from China's rapid development of economy and tire industry. Most of these tire companies in China are joint ventures or wholly-owned tire factory, and began to profit. Foreign tire company tire to run as an industrial chain, raw materials, many companies built self-system, which is also the raw material price pressure on the buffer means. Bridgestone plant in Shenyang is the profitability of its global model, in two consecutive years of over 100 million yuan of profits based on the expected profit will still be over 100 million yuan last year.
While the tire industry in China has increased overall efficiency, but uneven in different enterprises. According to the China Rubber Industry Association Tire Chapter 45 tire companies on 1 October statistics, the overall profit increase of 57.91%. Among them, 21 the total profits of state-controlled enterprises fell 0.49%, and 16 private corporate profits grew 57.91 percent, eight foreign-owned enterprise profits up 127.53%.
Statistics on the branch of the tire 45 tire 1 ~ October analysis of economic indicators, our tire businesses, especially state-controlled enterprises is not ideal. In the 21 state-controlled enterprises in the six losses, loss nearly 30% growth in corporate profits is only seven, while profit growth of these enterprises generally do not; in 16 private companies, two loss-making enterprises, the profit growth of 8 companies home; eight foreign holding tire, only a small amount of business losses, six corporate profits increased sharply over last year, reaching 720 million U.S. dollars, the best in history. This also shows that China's tire industry, especially state-controlled enterprises in the same face of rising raw material prices, the capacity to respond very different than the world-famous enterprises. The world's leading tire company tire prices to maintain synchronization with the raw materials, while the price increase rate of China's tire industry is not widespread, even in some cases lower prices dumping.
