The Hindu: Indian Tyre Exports Down 22% in July
A report published by Indian newspaper, The Hindu states that while the country remains an important hub for passenger car exports, its tyre makers appear not to be keeping up. Citing a report by the Automotive Tyre Manufacturers Association, the paper reports in its Business Line section that “automotive tyre exports fell 22 per cent in July to 446,418 units against 571,479” in 2008, while quarterly exports fell “22 per cent to 1,558,393 units (2,042,428 units).”
According to Raghupati Singhania, chairman of the ATMA, Chinese competition intensifying and the global automotive slowdown have been the main contributing factors.
The report shows that overall production in the country has risen, while not all segments had seen a decline in exports; truck and bus and jeep tyres experienced rises:
“Exports of passenger car tyres fell 29 per cent to 74,257 units (105,233), while those of light commercial vehicle tyres (LCVs) were down 28 per cent to 120,046 units (166,810). Truck and bus tyre exports were up, albeit marginally, to 197,137 units (191,594) while jeep tyre shipments rose 12 per cent to 686 units (610).
“Overall tyre production in July was up 6 per cent at 7,768,632 units (7,343,858). Truck and bus tyre output rose 6 per cent to 1,290,274 units, while LCV tyre production was up 3 per cent at 508,979 units. Passenger car and jeep tyre production were down 3 per cent and 13 per cent at 1,480,605 units and 108,886 units respectively.”
The report ends with the suggestion that governmental support schemes are likely to encourage Indian tyre-makers to increase exports to countries such as Egypt, Brazil, Nigeria, South Africa and Australia, where Singhania predicts there are “good prospects for accelerated growth in tyre exports from India.”