China has become the world's largest auto consumer market and tire consumer market. It is estimated that by 2010, China's total tire demand will be approximately 300 million. This has created a good market environment for the development of China's tire industry. In order to improve international competitiveness as soon as possible, China's tire manufacturing companies must improve their market competitiveness through integration. According to China’s environmental protection policy, China’s government will soon shut down the small-scale tire production enterprises that are seriously polluting, and some enterprises with strong strength and advanced technology and equipment will gain more opportunities for development in the process of integration. Qingdao Double Star (000599) is recommended. The company successfully transformed from a shoe-making enterprise to a leading domestic tire manufacturer. It has established a firm foothold in the highly competitive market. It has grown in recent years and has excellent growth. It is a rare high-quality, low-cost stock.
The company has strong production capacity and complete product range. It can produce 1.5 million sets of all-steel radial trucks, 2 million sets of oblique plastic truck tires, 4 million sets of agricultural light truck tires, and 5 million inner tubes. The annual production value reaches 5 billion yuan. The company has more than 120 agency companies, a strong sales network, not only covering the national market, but also exported to Southeast Asia, Central and South America, the Middle East and more than 130 countries and regions, has become a world-class enterprise with a certain degree of influence. The company's good development momentum has been focused on by foreign investors. The majority shareholder, Double Star Group, and South Korea's Samsung have reached a cooperation agreement on tire sales. Through the cooperation between the Double Star Tire Corporation and well-known multinational corporations, it is possible to closely track the development trend of tires at home and abroad, especially international tires, and increase foreign market share. Samsung Electronics is South Korea’s largest electronics manufacturer. Its subsidiary, Samsung International Trading Co., Ltd. has been exporting tires for many years and has strong sales strength in Dominica, Brazil, Argentina, and Venezuela. At present, the reputation of the Double Star Tire Corporation in the international market is increasing, and it is favored by many overseas customers.
In August of this year, the company signed the "Asset Transfer Contract" with the Dongfeng (Shiyan) Tire Co., Ltd. liquidation group. The company plans to acquire Dongfeng Tire's assets in Shiyan City, Hubei Province, for a price of 314.61 million yuan. Through the acquisition of Dongfeng Tire, the company will gradually form a semi-steel radial tire production base, which will improve the company's tire product structure and operating layout, and increase the overall competitiveness of the company's tire main business. Since the company has hosted Dongfeng Tire Assets and established Double Star Dongfeng Tire Co., Ltd., it has injected Double Star Dongfeng into the dual-star cultural philosophy and capital, technology, and management, which has enabled the management and production management of Double Star Dongfeng to become increasingly formal, and achieved profit in the first half of 2007. In 2007, the Interim Report disclosed that the radial tire project and the Dongfeng tire reform project of Double Star have all generated some benefits. The acquisition of Dongfeng Tire's assets is beneficial to the development of the company and the Dongfeng Dongfeng and further enhance the company's overall competitiveness, and enhance the company's overall strength.
The company also owns a large amount of land resources. Under the background of the continuous appreciation of the RMB, there is great potential for future appreciation. With the large petrochemical projects developed by Sinopec settled in Qingdao, industrial land in Qingdao is being coveted by the community. The company has approximately 2,000 mu of land and 400,000 square meters of factory buildings in Qingdao downtown and Jiaonan. After the construction of the Jiaozhou Bay Cross-Sea Bridge, the company's land resource value will be greatly enhanced. Under such good expectations, the company's stock price is in an unreasonably low price zone, and its value is obviously underestimated. It is a rare value drop. Technically, the stock's recent rebounding trend is relatively strong, and it has already broken through its previous highs. From Thursday's trend, there are more signs of pulling up the main force and the market outlook is expected to continue to rise.
Fenghua Jade Motor Co., Ltd. , http://www.plasticgranulator-supplier.com