Today, China has formed a complete tyre industry system. Since 2004, China has been the largest tyre output country in the world. In 2007, the total tyre output of China reached 330 million, in which radial ply tires took up 70%.

The tyre industry is a traditional labor-intensive and skill-intensive industry. In European countries and Japan, the salary takes high proportion of the total production cost (e.g. 33% for USA and 45% for Germany) which affects the competitive strength of products. Relatively, Asia-Pacific Region obtains low-cost labor forces with high quality. Recently, the global tyre industry has moved to the Asia-Pacific Region, in which China has become the largest producer and exporter. 40%-45% of the total output in China is exported overseas. In 2007, the volume of export of tyre in China reached 140 million. Both domestic-funded and foreign-owned enterprises do processing trade. Processing with import material in exporting enterprises takes up 60% of the production and some even reaches to 100%. China has become a centre of principal rubber products like radial ply tyres, and the tyre-exporting country with the greatest processing trade.