Xinhua
17 May 2025, 17:25 GMT+10
JINAN, May 17 (Xinhua) -- A decade ago, Algerian trader Ahmed Musa began sourcing tires from Guangrao, a county of only about half a million people in east China's Shandong Province.
"You'll get quality tires here at competitive prices. My clients now specifically request Guangrao tires," said Musa during the 15th China (Guangrao) International Rubber Tire & Auto Accessory Exhibition, which concluded on Saturday.
The event attracted over 50 world's top 75 tire companies and Fortune 500 companies. All the world's top 10 tire manufacturers attended the exhibition.
Musa's company, Sarl Famo Pneumatique, sold 200 containers of nearly 300,000 Guangrao tires last year and plans to expand orders.
In the mid-1990s, Guangrao, located adjacent to China's second-largest oilfield, Shengli Oilfield, had already established itself as the country's biggest hose production base. As the hose market approached saturation, some local manufacturers began trial production of vehicle tires.
With an annual output of 177 million radial tires and exports reaching 86.6 percent of production, Guangrao is home to China's largest rubber tire industrial cluster, according to Sun Xiaohua, director of the local industry and information technology bureau. The county's 25.95-billion-yuan (about 3.6 billion U.S. dollars) export revenue in 2024 underscored its dominance -- even as it quietly reshapes industry dynamics.
"Here, you can find practically all the most advanced tires at 30 to 40 percent off world market prices," said a Russian buyer named Ivanov, highlighting a disruptive value proposition.
At Shandong Huasheng Rubber Group's booth, engineers showcase self-sealing tires using polymer composites and specially-engineered foam noise-reduction inserts, a technology once monopolized by premium brands. "Many Chinese manufacturers can now achieve comparable or even superior results through independent R&D," explained Liu Kaihua with the company.
International buyers have taken notice of this qualitative leap. "Guangrao tires are reaching new heights in quality and performance. Those premium tires priced from 1,000 yuan upwards deliver outstanding value at every price point," Musa said.
Behind Guangrao's rise are dedication to innovation and the accelerating pace of intelligent transformation among Chinese tire manufacturers -- a tech overhaul supported by the government.
In 2015, China's Ministry of Industry and Information Technology included the tire industry in its smart manufacturing pilot program, driving intelligent transformation through policy guidance, standardization and financial support. A 2024 guideline further outlined plans to modernize outdated tire manufacturing equipment, targeting over 85 percent digitalization of key processes by 2027.
The Guangrao-based Shandong Yongsheng Rubber Group Co., Ltd. has completed a smart retrofit for its radial tire line, replacing 182 core machines and deploying automated logistics, achieving major efficiency gains. "The IoT-enabled machinery and automatic guided vehicles have slashed labor needs," said Hao Yufeng, who oversees the company's smart manufacturing, noting that their core equipment is 95 percent digitally controlled.
Guangrao's tire boom shows no sign of slowing. If anything, the county is doubling down on expansion and innovation to secure its lead. According to Sun, the county is investing 9.31 billion yuan across 14 key projects this year, expanding its annual radial tire production capacity to over 260 million units upon completion.
This local boom highlights China's tire industry dominance. In 2024, China exported over 20 billion U.S. dollars worth of rubber tires, capturing 35 percent of the global market as the world's top producer and exporter.
At the bustling tire expo, it's clear that Guangrao's transformation is not just a local story but part of a broader shift in China's manufacturing. Traders like Musa remain bullish. "My clients and I are excited to experience the cutting-edge innovations Guangrao tires have to offer," he said.
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