Tire** Case Causes China's Tier 2 Exports to U.S. Tiers

Fan Rende, president of the China Rubber Industry Association, said on September 17th in Qingdao that due to the impact of the US tire special protection case, China’s tire exports to the United States fell by 20.1% in the first half of the year.

Fan Rende said at the 2nd Qingdao Natural Rubber International Forum that the US Tire Special Protection Case had only been implemented since September 2009, so the impact on the overall Tire exports in 2009 was not revealed, but the United States took it from January to September 2010. The import of tires from China imposes a 35% additional duty, which has a greater impact on tire exports. In the first half of the year, US tire exports fell by 20.1%. EU's environmental protection standards barriers to China's tires, Greece's debt crisis and other factors will have a major impact on the overall benefits of China's rubber industry this year.

Fan Rende also pointed out that although China's rubber industry faces many unfavorable factors this year, there are also many opportunities. For example, China will maintain a continuous and stable macroeconomic policy. The support of the economic policies for the automotive industry will benefit the healthy development of the tire and rubber industries; The construction of railways, airports and airports, as well as motorcycles and cars that are designed to stimulate rural consumption are all conducive to the development of the rubber industry.

Fan Rende expects that China's rubber industry will continue to maintain stable and rapid development in 2010, the overall growth rate will be higher than in 2009, most of the output of products will increase by 6% to 10%, but the efficiency will be a greater decline.

In September 2009, the United States decided to impose a three-year punitive tariff on all cars and light truck tires imported from China. The punitive tariff rate is 35% for the first year and 30% for the second year. The third year is 25%.

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