In 2012, the market demand for passenger tires in Europe fell by about 13% year-on-year, and it is expected that it will not be able to return to its pre-2011 level until 2020. In January of this year, European car sales were 918,280, which fell 8.5% year-on-year and fell for 16 months, the lowest level in 23 years. According to analysis by industry insiders, at present, the US auto industry is gradually recovering, and China's autos have entered the era of “micro-growthâ€. The European auto industry, which is deeply affected by the European debt crisis, is still in need of a “bitter day†if it wants to reach the bottom. . The downturn in the European auto market has a direct impact on the tire industry. Faced with this situation, various tire manufacturers have performed differently, but they all started to plan for the long term. Some manufacturers cut their production capacity and even closed down European factories. Some manufacturers choose to expand or build factories in other emerging markets. However, there are still some companies who are “in the opposite direction†and insist on expanding production and manufacturing in Europe. As early as the end of 2012, Bridgestone issued an announcement that it will cut about 510 employees in Europe, including 442 in three plants in Spain and 50 in French factories; in March 2013, Bridgestone Announced that it will close its factory in Bari, Italy, which is expected to stop work in the first half of 2014. Michelin also took similar measures and plans to reduce tire production and inventory levels in Europe. It is reported that Michelin's passenger car tire factory in Europe currently has only 75% capacity (capacity is not equipment, can not run), while the production of truck tire factory only uses 60% of the capacity. Sources said that Michelin will adopt a large-scale production cut-off measure for its Spanish factory; in addition, Michelin has also planned to close the Greek subsidiary which has been operating for 34 years, and the relevant business will be transferred to Romania. In comparison, Han Tae's move is a bit "out of the ordinary." The expansion project of Hankook European Technology R&D Center was officially completed recently. The opening ceremony of the new facility was officially held in Hanover, Germany. Its Hungarian plant in Europe has invested 8.6 million euros in October last year for expansion. It is expected to be completed in the second half of 2013. . While some tire giants plan for Europe's stay, other big tires are eager to try in other markets. Continental Tire South Africa (CTSA) plans to add 91 million rand (about US$11 million) to its factory in Port Elizabeth this year to upgrade the plant and add new equipment. Yokohama Rubber Co., Ltd. plans to set up a wholly-owned sales subsidiary in Singapore as a sales and marketing base for industrial products groups in Southeast Asia, the Pacific region and South Asia. The company began operations in April this year. Pirelli plans to invest 200 million U.S. dollars in the Chinese factories by the end of 2014 to build its largest manufacturing center in Luzhou, Shandong Province. With the development of China's auto industry and the growing demand for high-end vehicles, the Chinese market has become a “hot spot†for the competition of various tire manufacturers.
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