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Semi-steel tire capacity utilization rate expected to decline in May

Source: Mysteel Apr 27, 2026 16:07

China's semi-steel tire capacity utilization rate is expected to decline in May due to mounting sales and production pressures (OilChem). Raw material costs for a mid-tier brand 205/55R16 tire rose 17.86% from end-2025, pushing theoretical profit to Yuan -0.81/kg as of April 23, 2026 (OilChem). Finished inventory at sample enterprises began turning upward in late April, while domestic demand remains slow and exports face disruptions from EU anti-dumping and Middle East shipping issues, prompting some companies to plan Labor Day production halts.

After a period of high production utilization rates in April, China's semi-steel tire industry is facing growing pressures from both domestic sales and exports. Entering May, seasonal headwinds and overseas market uncertainties are expected to drive capacity utilization rates lower. China's Passenger Vehicle Sales, 2022-2026 (Unit: '000 vehicles) Source: OilChem After several