According to statistics released by the China Rubber Industry Association, the rubber industry started in the first quarter was significantly weaker than in the previous year, but the association expects that as the prices of raw materials fall into the second quarter, the downward trend in profitability of the industry will be curbed.
The first three months of the operation of the rubber industry were basically stabilized, while the profitability of the industry continued to decline due to the impact of rising raw material costs. Although the export growth rate has declined slightly, it still maintains a relatively high growth rate. According to the statistics of 392 companies of 11 branches including tires, tires, hoses, and rubber products, the total industrial output value of the current quarter was 67.335 billion yuan, a year-on-year increase of 21%; sales revenue was 67.182 billion yuan, an increase of 23% over the same period of the previous year. The value of export delivery was 18.887 billion yuan, a year-on-year increase of 38%.
In the first quarter, the industry’s profits and taxes fell by 12% year-on-year, and profits decreased by 21% year-on-year, of which tires decreased by 28% year-on-year, power tires fell by 24% year-on-year, and carbon black declined by 41% year-on-year. The industry's profit margin was 2.87%, a year-on-year decrease of 1.56 percentage points. Of the 316 key enterprises, 68 suffered losses, 22% suffered losses, and lost a total of 410 million yuan.
The major economic indicators such as output value, output, and sales of 10 key professional enterprises such as tires were all weaker than the previous year. According to the relevant person in charge of the association, the reasons for this situation are influenced by the base period data. The main reason is that the prices of bulk raw materials such as natural rubber have risen, and companies have been slowed down by the economic operating pressure. At the same time, the trend of the first quarter of various professional stable, indicating that the industry has basically stopped the decline in the momentum of last year, entering the second quarter, with the fall in raw material prices, the industry will be able to show a good run.
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