Himile: Chinese Overseas Tire Expansions Fuel Mould Demand

Chinese machinery maker Himile Mechanical Science & Technology has reported strong growth in its tire mould business, driven by the accelerating capacity expansion of Chinese tire makers, particularly their recent wave of overseas plant investments. In a recent investors update, Himile posted a first-half revenue of Yuan6 billion (€770 million), up 14.3% year-on-year, while net profit attributable to shareholders declined 5.3% to Yuan1.13 billion. The decline in earnings was attributed to a significant swing in foreign-exchange effects. Himile’s tire mould sales increased 19.7% year-on-year to Yuan3.15 billion, but segment margin fell 3.72 percentage points to 36.49%. The company noted that demand from Chinese customers had grown strongly in recent years, with domestic and overseas customers now each accounting for roughly half of the business by value. Himile also reported sales of tire curing press for the first six months stood at Yuan344 million, with the business supplying both electrically heated and steam curing presses. The company commented that Chinese tire manufacturers have continued to increase their brand influence and market share globally in recent years, leading to increased capacity deployment and ‘intelligent’ manufacturing upgrades. In response to this growth, Himile has actively pursued overseas factory construction since 2023, with the scale and concentration of the projects significantly higher than in previous years. However, the company cautioned that recently announced tire capacity would take time to ramp up, and slower global economic growth, geopolitical tensions, rising raw-material prices, and changes in international trade policies could affect tire makers’ investment schedules and the pace at which new capacity comes onstream.