In recent years,the overall operation of Chinas cycle tires industry changed in silence.Due to serious structural overcapacity of the industry,relatively high product homogeneity degree,fierce market competition,etc.,some medium-and small-sized enterprises gradually quit the historical stage,however,the basic layout is not completely broken and the auction is still in a dominant position.Cycle tires industry urgently needs to enhance the intal cost control and optimize procurement strategy and digest the factors increasing the expenditure and reducing the profit within the limited price adjustment space.Meanwhile,the enterprises also have to face the constantly increasing labor cost brought about by disappearance of demographic dividend and pressure brought about by upgrading of national environmental regulation campaign to traditional manufacturing industry.