On March 24, Peru suddenly announced that it had officially launched an anti-dumping investigation into automobile tires exported from China.
As soon as this news came out, many domestic tire manufacturers and foreign traders were immediately worried.
This survey covers almost all household car tires, engineering machinery tires, bias tires, and radial tires.
The investigation period is for the whole year of 2025, and the announcement will take effect on the same day, directly affecting the export business of US$270 million, which is equivalent to pressing the pause button.
The driving force behind it is very clear, it is the only local tire factory in Peru – Goodyear Peru Company.
In recent years, Chinese tires have accounted for 83.5% of the Peruvian market due to their high cost performance, and eight and a half of ten vehicles use Chinese tires.
On the other hand, Goodyear has experienced a sharp drop in production, sales, and capacity utilization, making life very difficult.
Therefore, Goodyear launched a complaint on the grounds that the price of Chinese tires was 48% lower and the dumping margin was 21.8%.
But in fact, the cheapness of Chinese tires relies on a complete supply chain and economies of scale. It is a real cost advantage and is by no means malicious dumping.
Now, many major Shandong tire manufacturers have suffered heavy losses.
The containers cannot be picked up when they arrive at the port, and dealers are afraid to accept the goods. The monthly storage fees alone cost US$70,000 to 80,000, and all the channels and advance funds invested in the early stages are locked up.
However, the good news is that companies still have opportunities to respond.
The response period is 6 months after the announcement, which can be extended for another 3 months.
The key is that companies cannot fight alone, but must work as a team to respond and argue with real cost data.
This incident also reminded the industry: the road to relying on low prices to achieve volume is getting narrower and narrower, and in the future, it must transform towards high-end and differentiation.
For example, investment in research and development can be increased to improve the performance and quality of tires to meet the needs of different customers.
Or consider building factories locally in Latin America and using localization to avoid trade barriers. This is a long-term solution.
For those who are engaged in foreign trade and the tire industry, you must pay close attention to developments during this period, actively respond to complaints, and defend the market you have worked so hard to build.
Only in this way can we continue to move forward in the complex international trade environment and achieve sustainable development of the industry.
