Follow Us
  • Facebook
  • YouTube
  • Instagram
  • TikTok
  • X

The Indestructible Roach: Chinese Tire Overseas Factories Conquer the US Market!

2026-08-18 17:30:00
HornbillSociety
0 Fans   25 Following   1 Posts

Accordingto the latest data from the US Department of Commerce, the US tire import landscape is undergoing a significant structural adjustment in the first half of 2026.

Although Thailand continues to hold the position of the top source country, Cambodia, driven by the concentrated commissioning of Chinese tire factories, has surpassed Mexico and Vietnam to jump to second place.

At the same time, the average declared customs unit price for three product categories has declined, reflecting that the price transmission effect of Chinese tire global capacity expansion on the US market is accelerating.

Cambodia Rises: Concentrated Launch of Chinese Factories

Cambodia's performance this year has been the most outstanding. In 2024, Cambodia was still the eighth-largest tire source country for the US; it rose to fourth in 2025; and in the first half of 2026, it jumped to second, behind only Thailand.

The direct driver of this jump is theconcentrated commissioning of Chinese tire factories in Cambodia.

Shouguang Fumai Tire Co., Ltd., Wanli Tire Co., Ltd., and Zhengdao Tire Co., Ltd. have all begun production in the past year, with combined capacity adding 34 million tires to the market.

In addition, the new factory of Shandong Huasheng Rubber Co., Ltd. is about to start production.Cambodia currently has a total of 8 tire factories, all owned by Chinese manufacturers.

By category, Cambodia ranks third in passenger car tires, with export volume growing 46.6% in the first half, approximately 2.8 million tires; in light truck tires category, it ranks second, with export volume growing 39.7%.

At the same time, Chinese tire companies supply the US market at more competitive prices through overseas factories in Southeast Asia, North Africa, and other places.

According to US Department of Commerce data, the average declared customs unit price for the three sub-categories in the first half of 2026 was lower than the same period in 2025.

Among them, the average unit price of passenger car tires dropped to $53.76,a year-on-year decrease of $3.63; the average unit price of light truck tires dropped to $75.33,a year-on-year decrease of $5.35.

Passenger Car Tires: Thailand Holds First Place, Morocco Emerges

Passenger car tire import volume to the US in the first half of the year fell slightly by about 500,000 tires compared to the same period in 2025.

Among them, Thailand's export volume fell 11%, but it still held the first place with a scale of about 20 million tires in the first half. Mexico ranked second, its market share increased by 6.7%, adding about 800,000 tires, growth benefited from Sailun new factory commissioning and existing manufacturers' capacity improvement.

The biggest highlight of this category came from Morocco,with a surge of 542%, Morocco entered the top ten for the first time, exporting 1.9 million tires in the first half, compared to about 300,000 tires in the same period of 2025.

This explosion is attributable to the Chinese brand Sailun Tire Co., Ltd. — the company opened a factory with an annual capacity of 12 million tires in Morocco at the end of 2024, which is also the only tire factory in Morocco.

In addition, Guizhou Tire Co., Ltd. is planning a factory for 6 million passenger car radial tires annually in Morocco.Morocco is becoming another bridgehead for Chinese tire companies to enter the European and American markets.

Light Truck and Medium Truck Tires: Decline Year-on-Year

Light truck tire category declined overall by about 1 million tires. Thailand continued to lead, followed by Cambodia, Vietnam, Canada, and Mexico.

Among the top five exporting countries, Thailand (-11.9%) and Mexico (-18.1%) saw shipment declines, while Cambodia (39.7%), Vietnam (4.2%), and Canada (31.3%) achieved growth. The three countries combined added 1.9 million tires compared to the first half of 2025.

The medium truck tire category saw the most significant decline in the first half, dropping nearly 2 million tires compared to the same period in 2025. Thailand and Vietnam, as the first and second largest source countries, were most affected — in the first half of 2025, the two countries supplied 5.35 million tires combined, dropping to 3.74 million tires in the same period of 2026.

Among the top ten suppliers, only four achieved growth: Japan (3rd), Indonesia (6th), Brazil (7th), and South Korea (8th).

Japan had the largest unit increase, adding 150,000 tires (9.5% growth). However, Indonesia had the largest percentage increase, reaching 559.6%, from 70,727 tires in the first half of 2025 to 466,537 tires this year.

This growth was mainly contributed by theIndonesian factories recently commissioned by Zhongce Rubber Group and Sailun Group. In July, Zhongce reported that Phase 1 of its Indonesian factory was completed, with an annual tire production capacity of 1 million.

Annual Outlook: Total Volume Expectation Downgraded, Landscape Continues to Evolve

Looking ahead to the second half of the year, the United States Tire Manufacturers Association (USTMA) predicted in July that US tire shipment volume in 2026 will be about 330.3 million tires, lower than 336.3 million in 2025, and also lower than the level at the time of USTMA's March prediction. This downgradereflects a weak trend in US market demand.

From the supply side, the global capacity layout of Chinese tire companies continues to accelerate. Factories in Cambodia, Mexico, Morocco, Indonesia, and other places will continue to release capacity, and the structure of US tire import source countries will become further diversified.

Although Thailand still holds the first place, its market share is being eroded by emerging sources such as Cambodia and Mexico. The downward trend of unit prices is difficult to reverse in the short term, and price competition in the US tire market will be more intense.

For Chinese tire companies, the strategy of overseas construction to avoid trade barriers is working, but also faces new challenges: Southeast Asian capacity is close to full load, the investment return cycle for new factories is lengthened, and policy risks in destination countries also need to be taken into account.

Finding a balance between global layout and localized operation will be a task that Chinese tire companies must face in the next few years.

Feedback