Ten years ago, the Algerian merchant Ahmed Musa began to obtain tires in Guangrao, a district of only half a million inhabitants in the Shandong province, in eastern China.
“Here, there are quality tires at competitive prices. My customers now demand Guanggrao tires,” said Musa during the 15th edition of the International Exhibition of Rubber Tires and Automobile Accessories in China (Guangrao), which has brought together more than 50 major world companies, including the first ten tire manufacturers in the world.
With an annual production of 177 million radial tires, of which 86.6% intended for exports, Guangrao stands out as the largest industrial base of rubber tires in China, according to Sun Xiaohua, director of the local industry and information technology. District export revenues were made at 25.95 billion yuan (around $ 3.6 billion) in 2024.
Formerly known to be the native land of the author of the art of war by Sun Tzu, Guangrao, has converted its industrial heritage into a competitive advantage, winning at the forefront of the sector, thanks to advanced technologies and good quality of products.
In the mid -1990s, Guangrao, located near the second oil field in China, the sheep -buried oil field, already supplied the country’s largest pipe production base, several local manufacturers then embarked on the production of car tires.
“There are practically the most sophisticated tires, 30% to 40% cheaper than on the world market,” said Ivanov, a Russian buyer participating in the exhibition.
Local company Shandong Yongsheng Rubber Group Co., LTD, completed the intelligent modernization of its radial tire production line, replacing 182 machines and deploying automated logistics. “The fully automated arms and automatic guidance vehicles have reduced labor needs,” said Hao Yufeng, director of intelligent manufacturing of the company, noting that 95% of their basic equipment was digitally controlled.
At Shandong Hongsheng Rubber Technology Co., Ltd it only takes 37 seconds for a high performance tire for new energy vehicles to be shaped before other processes and the final shipping to customers, presented Chen Jianjun, managing director of the company.
“With the popularization of the use of new energy vehicles, orders from our factory for tires for new energy vehicles continued to increase,” said Chen, adding that his business orders abroad had increased by 20% over a year in 2024.
Data show that in 2024, Chinese rubber tires exports will exceed $ 20 billion, with a global market share of 35%, making it the leading producer and exporter of tires in the world.
To support this dynamic, Guanggrao redoubles with efforts by investing 9.31 billion yuan in 14 key projects this year, which will bring its annual production capacity of radial tires to more than 260 million units.
After sending 200 containers, or nearly 300,000 Guanggrao tires last year, Mr. Musa plans to increase orders. “My clients and I are impatient to discover the advanced innovations that Guangrao tires will bring us,” he added.