The change in trade tariffs applied to TBR tyres from China is going undoubtedly alter the landscape of the commercial tyre business in Europe. This will have a heavy impact on some entry level China centric manufacturers but provide opportunity for other players with wider manufacturing footprints.
Giti Tire Confronts EU Antidumping Tariffs
In a statement announced at The Tire Cologne the Giti Group announced that, “the vacuum created by this trade law action will undoubtedly create some supply tension and price pressure. We hope that the re-tread business in Europe will start to regain traction as we are an active player within it, we have designed our EU TBR products to be re-treaded and sold such ranges in the EU for over a decade. We also market our own brand re-treads named ‘Giti Genesis’ in the EU.”
In 2013, the Giti group invested in a state of the art TBR plant within their Tangerang manufacturing complex in Jakarta Indonesia. This facility was completed in late 2016 and now produces a wide range of TBR tyres.
With this in mind, Giti is well-placed since it already has the production capability to produce the majority of products sold in the EU in this new TBR plant, with the revised sourcing project to be completed in full by Q3 2018 to supply the vast majority of our EU catalogue from this facility.