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Brake pad cools down

By Hao Zhou (chinadaily.com.cn)
Updated: 2008-04-29 17:07

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Almost 80 percent of China's friction materials are used in automotive braking and driving systems, and annual demand for brake pads has already hit 80 million units, said Wang Yao, director of China Friction and Sealing Material Association.

Last year, the entire friction and sealing materials industry surged 29.92 percent from a year ago in terms of sales revenue to nearly 8.3 billion yuan ($1.2 billion), and export delivery value posted 31.17 percent growth year on year to 2.69 billion yuan. After years of sizzling growth, the brake pad industry has cooled down at pace with the entire auto industry, and rational development is urgently needed for the industry.

There were near 500 brake pad plants in China in 2006, and that number surpassed all other countries' combined. However, 80 percent of them are operated with outdated equipment and technology, and there is no certification system. As a result, they could only take advantage of low prices and linger at the low-end repair and maintenance market.

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The full text is available in theApril Issue ofAuto China