The credit and debt of Guangzhou Pearl River Tyres Co., Ltd. have been taken over by the parent company as it is experiencing operating difficulties.
CreditChina.gov.cn information shows that Pearl River Tyres has been involved in the blacklist of dishonest entities.
A source disclosed that the company has suspended production.
Pearl River Tyres have been sued by Guangzhou Haizhu Sub-branch of Bank of China, Jiangsu Baosteel Precision Wire Co., Ltd., and Guangzhou Hehong Rubber Material Co., Ltd.
Guangzhou Pearl River Tyres was established in 1993 by Guangzhou Guangxiang Group and Garwin Co., Ltd.
Garwin was registered in Virgin Islands.
Guangzhou Pearl River Tyres was controlled by foreign capital and the foreign investment ratio was 70% then.
Guangzhou Wanli Group became a shareholder of Guangzhou Pearl River Tyres in 2000.
Guangxiang Group quit the company in May 2017.
Currently, Guangzhou Wanli Group Asset Management Co., Ltd. is the controlling shareholder of Guangzhou Pearl River Tyres with a 40% investment. Garwin has a 39% share and Yudeng Holdings has a 21% share.
An industry insider said that Guangzhou Pearl River Tyres is an old company and it is hard to predict what will happen next.
