Ukraine, China’s Rubber Business Potential In Emerging Markets
“Ukraine should become a potential rubber industry in emerging markets.” Inspected just last month, the China Rubber Industry Association of Ukraine, Deputy Secretary-General, Wen-Ying Xu said in an interview that Ukraine is a much-needed development of rubber industry in China market, at present China rubber products are also exported to Ukraine very little.
Wen-Ying Xu analysis pointed out that on the one hand, Ukraine is following Russia’s second largest area of European countries, a good highway infrastructure, higher car ownership, almost every family in the capital Kiev at least one car, auto industry and even the tire industry and rubber products market in great demand; the other hand, Ukraine local rubber producers less the higher production costs, Chinese products a competitive advantage, so in the domestic rubber additives, reinforcing materials, rubber machinery, tire, tube with and so on in Ukraine has a broad market prospect.
Wen-Ying Xu study in Ukraine found that Ukraine’s rubber companies know little about China’s rubber industry. She said: “to communicate with them and found that they are confident their product quality, but behind that rubber products in China, selling cheap. But by inspection, we found many Chinese rubber products, technology and quality far exceeds them Similar products and their prices about 30% higher than we. But the attitude of the Ukrainian people more friendly to China, the Chinese rubber company structure in export markets, should be concerned about the Ukraine and other Eastern European markets. ”
Wen-Ying Xu, the current study is the first time China Rubber Industry Association Organization of the domestic rubber enterprises to Ukraine, the main purpose is to rubber industry field to understand the basic situation of Ukraine for further development of Ukraine and Eastern Europe to prepare for.
Wen-Ying Xu pointed out that the global financial crisis on the Ukrainian market, significant impact, many businesses have closed or discontinued, the most professional in the Ukraine, the largest rubber show was particularly outstanding. The delegation’s visit to China Rubber Industry of Ukraine to visit one of the major events in the Ukrainian capital, Kiev City, Ukraine held the Eleventh International specialized exhibition of rubber, but the visit turned out disappointing. First, the scale of less than 40 exhibition booths, more than 80 exhibitors; second, show a low degree of international exhibitors in addition to two Russian companies, five Chinese companies, the others were Ukraine local businesses; third, the audience rarely, the main audience is all the way from China Rubber Industry Delegation. Organizers have explained that this small scale mainly by the financial crisis, last year there are more than 150 exhibitors, 80 booths, the number of visitors has more than 1,000 people, and this year only half of last year.
However, the Unique Spirit of the Ukrainian market is still very confident. Ukraine, the former Soviet Union important to passenger cars, trucks, car production base in the former Soviet Union disintegrated, although the Ukrainian automotive industry has experienced a period of silence, but now has started a new track of development. It is understood that thousands of people in Ukraine have a capacity of 130 vehicles, down from Russia’s 167, well below the national average of 323 in Eastern Europe, Western Europe, the average level of more than 500 vehicles. Ukraine’s vehicle population growth of 8% per year, has now reached about seven million (of which about 6 million are cars). The average life expectancy in the car for 13 years, of which 3.5 million cars produced in Russia, life expectancy even more than 18 years, a few hundred million old cars will gradually into the replacement cycle, which the Chinese automobile and parts manufacturers is an excellent opportunity. China’s auto market to enter Ukraine only two years time, but according to Ukraine’s automotive information company statistics, in the € 10,000 less economical family car, the Chinese automobile accounted for 30% to 40% of Ukraine’s market share, China tire should have greater opportunities.
In addition, the China Rubber Industry delegation also visited two factories in Ukraine, a city in Kiev hose Adhesive Tape Factory, another is about 80 km from Kiev city’s Rosava tire factory. Founded in 1972, the former Soviet Union Rosava tire factory tire plant during the 17 one, is currently the only three Ukrainian largest tire factory, a annual production capacity of bias tires, semi-steel tires of about 550 000 .
A very large area throughout the plant, plant in no smell, the factory logistics automation, high level of production specialization, but the molding machine and other equipment Que is the old, without the Guochan advanced machine, so China Rubber Jixie should make a difference in Ukraine .
Wen-Ying Xu said the Chinese rubber chemicals business has started to pay attention in Ukraine. Rubber in the international specialized exhibition of Ukraine, and China’s northeast additives, Shandong Hailong Bolet, horse fiber, and the eastern Zhejiang Huangyan Jiangsu Sunon five companies participated in such exhibitions, they hope to enter Ukraine as soon as possible through this exhibition and Surrounding Countries.
Wen-Ying Xu finally remind the business, as more conservative and Ukrainian language to Russian-based, very few people who can communicate in English, so communication is not very smooth. “English in Ukraine no access to the Chinese rubber company if you want to develop the Ukrainian market, we must solve the language problem.”
I am an expert from Frbiz Site, usually analyzes all kind of industries situation, such as 6063 aluminum , decorative aluminum fence.