In 2006, the Malaysian brand tires entered the Chinese market. In 2013, the Ma Brand began to introduce the "Viking" brand to cover the middle and low-end markets, and the results were not satisfactory. At the time, Xin Loan, executive vice president of the Asia-Pacific Replacement Market Division of the passenger tire division, hoped that the sales volume of original tires in China would account for 30% to 35% of the total sales.
Feng Hefei, who has just taken up a new position in 2015, said: “I don’t remember what goals the company’s boss had set for me before I took office. What kind of achievements will we have to achieve in the next three years for German brand tires? How many tires are, this is actually not the style of work done by German horse brand tires. We have put our eyes on the longer term and we value the future even further."
The world's leading Michelin has set up a sales office in Hong Kong as early as 1988. In 1989, it established its first representative office in mainland China. Goodyear, as early as in 1994, took the lead in investing and establishing factories in China; Stone also achieved localization of tires in China in 1999 – still a laggard. There is no doubt that the horse is a latecomer.
Horse speed and passion
Horse brand tires are being transformed in China. This German tire brand, founded in 1871, hopes to change from the details of the internationalization to the company's strategic localization and flexibility. Although Bridgestone and Michelin still ranked first and second in the rankings, the sales volume of the rubber segment of the company rose to US$4.3 billion, temporarily surpassing Goodyear, ranking third, and for at least 30 years in the past, The first three tires have never changed!
In May 2011, Horse Brand tires were officially put into operation at a plant with a total investment of 185 million Euros invested in Hefei, with an annual output of 4 million tires for passenger vehicles.
In March 2012, the construction of the second phase of the plant started with a total investment of 134 million euros, and the annual production capacity doubled to 8 million.
In November 2015, the third phase of the project was started. The total investment of the project will reach 2 billion yuan. Upon completion, it will achieve an annual production capacity of 14 million passenger car tires and 15 million two-wheel tires.
In 2006, the horse brand launched the Chinese market strategy, considering the location. First of all, it needs convenient transportation. It can't be too far away from Shanghai. It must be able to easily reach and cover customers. Second, this place also needs favorable policy advantages to reduce development costs. At the same time, what is more important is that this place can provide a highly qualified workforce. Horse tires eventually selected the location in Hefei, which is more than four hundred kilometers away from Shanghai.
Horse Brand Hefei Training Center
The Hefei R&D and testing center has been able to meet the needs of designing, developing, and selling new tires, while also serving other markets in the Asia Pacific region. Of course, due to the consideration of synergy, sometimes the R&D testing center here will also test some tire products for the European market or other markets.
Dalibor Kalina, General Manager of Marcom Tire China, Left; Secretary of the Work Committee of Hefei High-tech Industrial Development Zone; Song Daojun (middle), Director of Management Committee; and Executive Vice President of Replacement Division of Sedan and Light Truck Tire in Asia Pacific Region President Philipp von Hirschheydt (Right) cuts ribbons for the opening of the first training center in Asia Pacific
In 2012, Ma introduced the ContiMaxContact 5 MC5 tire designed specifically for China. Subsequently established a localized R&D center in China. Last year, the center has already started operations.
After both the production and R&D centers landed and achieved good results, the horse brand tire training center with an investment of over RMB 20 million was formally launched. At present, there are more than 60 dealers in Malaysia and more than 3,000 image stores.
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