In mid-December 2010, Hankook Tire's annual agent conference was held in Jeju Island, South Korea. Hankook Tire's senior officials and representatives from major cities across the country attended the meeting. In the four-day meeting, Hankook Tire executives reviewed with agents the achievements made by Hankook Tire over the past year and seriously discussed the upcoming 2011 sales plan.
Although raw material prices gradually increased, with the joint efforts of agents, Hankook Tire's development in the Chinese market showed a good trend: overall sales showed a strong upward trend; under the standard sales management system, sales of truck tires were lower than last year. The growth rate is 30%. In terms of passenger vehicles, sales of high-end products are the core to drive overall performance, and sales of high-end products account for about 50%.
"We will continue to develop and launch products that are very competitive in the Chinese market to meet customer needs." Han Qitai Tire President and Chairman of China's headquarters Xu Qilie said at the meeting that Hankook Tire will concentrate its efforts in sales and marketing. And increase the investment in circulation, all these inputs will help agents to expand sales.
Since the second half of 2010, cost pressures have continued to increase as raw material prices have risen sharply. Hankook Tire Co., Ltd. has achieved outstanding performance in the passenger car tire market and the truck and passenger tire market through active response and unremitting pursuit of quality. At present, Hankook Tire maintains a market share of approximately 20% in the passenger car tire market, and is also one of the manufacturers with the highest market share in the tires market. It exceeds German, Japanese and Korean brands including Audi and other high-end brands. 30 vehicle manufacturers provide product support.
In the replacement tire market, Hankook Tire expanded its product sales by launching high-end products and increasing channel construction. It is understood that Hankook Tire currently owns more than 1,000 T-STATION vehicles in China (one-stop service center), TIRETOWN (Chief Advanced Tire Store), and TBX Super-resistance (card passenger car tire stores) in China. There are more than 2,000 Hankook tires series stores in more than 60 cities.
Looking forward to the upcoming 2011, Hankook Tire will continue to focus on the needs of consumers, continuously improve product quality and services, continue to increase the efforts of high-end brand building, and better satisfy the market with superior performance and excellent service. According to the latest plan, Hankook Tire will launch new products in 2011. For example, the Smarttech H439 will be launched on the market in January 2011. This model uses Hankook Tire Technology, which is comprehensive and reasonable. Economy tires will meet the demand for cost-effective consumers. In addition, we will launch e-cube eco-friendly products in the field of truck and bus tires and continue to improve the product line. In terms of sales, the sales of high-end products will reach more than 60%, and sales of truck tires will be centered on tubeless tires to increase product competitiveness.
While achieving results, Hankook Tire also saw the crisis and pressure it faced. At present, the price of natural rubber has reached a new high, reaching US$4,500/ton, up 50% from the beginning of the year. According to authoritative forecasts, raw material prices based on natural rubber will continue to operate at high levels in 2011. “In 2011, both the internal and external operating environments are facing a crisis, but we believe that Hankook Tire will work with agents to resolve the crisis. Hankook Tire will be a solid wind wall for agents.†said Xu Qilie.
As one of the world’s fastest growing tire companies, Hantai Tire has always been adhering to the consumer-centric, proactive attitude of seeking development in a competitive environment and steadily progressing in the increasingly competitive market. In the face of increasingly fiercely competitive markets in 2010, Hankook Tire will continue to work hand-in-hand with its Chinese partners to face the opportunities and challenges of the future.
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