More global tire manufacturers are eager to cash in on China's growing vehicle population.

Companies, like Italy's Pirelli and German peer Continental, said they will mainly focus on the medium and high-end market in China, as giant latecomers, such as Michelin of France and Japan's Bridgestone, enter China.

"The entire Chinese tire market is set to rise at a rate between 20 and 25 percent a year," said Luca Cico, sales and marketing director of Pirelli for China.

Pirelli started selling products in China last year, after forming a venture with a local company to make truck tires in Shandong Province.

"We compete in the mid and high-end segments ... people who use our products are those who are more knowledgeable in tire technology and more open to changes," Cico said in an interview on Saturday at the Auto Shanghai 2007 show.

"Our sales could grow faster than the industry average."

In 2006, Pirelli sold more than 330,000 truck tires made in the Shandong plant, and 250,000-plus passenger car tires which were imported, in China, Cico said. It is building another plant in Shandong for passenger car tires which will be operational this year.

China's mid and high-end replacement tire market is mainly shared by early birds like Michelin, which has two tire plants in the country, Bridgestone, with four, and Goodyear, which has a site in Dalian and was the first global tire firm to set up a plant in China.

"We still see huge growth in China's high-end tire sector," said Di Fangmin, a marketing manager for Continental in China. The company set up a Shanghai sales office last year.