By Oliver Hall
The Chinese are continuing their relentless march on the European tyres market, according to industry experts.
The Boto Tyres company has revealed plans to build a new production facility near its existing tyres manufacturing complex in China.
While car tyre manufacturing investment projects in China are nothing new, the timing, investment and know-how associated with this project are “noteworthy”, according to Tyres and Accessories magazine.
Company officials told the magazine that Boto Tyres board and shareholders are confident that they can sell the up to 15 million passenger car radials the new plant is scheduled to produce.
The magazine’s online bulletin states: “Make no mistake, the company is aiming to sell its wares in Europe and is prepared to fulfil the necessary regulatory requirements in order to get there.
“In the face of turbulent times for most sectors of the world tyre market Boto Tyre have not only opted to paddle upstream in terms of investment and expansion, but are also ahead of the game as far as the law is concerned.
“While some parties at the European distribution and wholesale end of the market are still clarifying the finer details of their part in S-marking, clean oil and the future rolling resistance legislation, this little-known tyre factory has already sent tyres to the TUV Shanghai office for noise S-mark compliance testing.
“As far as the clean oil and other legislatory requirements are concerned, the company are not yet up to speed with these, but with the lucrative European market at stake, it is a challenge Boto Tyre’s research and development department are determined to beat.”
The news comes just days after the United Steelworkers (USW) union filed a petition asking President Barack Obama to restrict tyre imports from China that they said were destroying the U.S. tyre industry.