India’s tyre exports, production declines
Indian industry association the Automotive Tyre Manufacturers’ Association (ATMA) reports that exports of tyres from India decreased in the first half of the country’s current financial year, the period between April and September 2015. Exports of passenger car tyres produced in India fell 22 per cent year-on-year to 1.08 million units, while medium and heavy commercial vehicle tyre exports declined nine per cent to 968,000 pieces.
This dip in tyre exports was matched by a drop in production within most tyre segments in India during the period. Production of light commercial vehicle tyres – a segment that grew nine per cent in the 2014-15 financial year – fell by 14 per cent to 4.79 million units in April-September 2015. Medium/heavy commercial vehicle tyre production decreased two per cent to 8.39 million units; this segment rose four per cent year-on-year in 2014-15.
“In view of the fact that M&HCV segment accounts for 55 per cent of the tyre industry revenues, the de-growth in [the] heavy commercial vehicle tyre segment has hit the industry hard,” commented ATMA chairman Dr Raghupati Singhania. He added that: “A significant part of demand especially for truck and bus tyres is being met by cheaper imports from China. Capacity utilisation levels have touched new lows.”
Tractor tyre production continued to decline following an 11 per cent drop in 2014-15, with production of front tractor tyres decreasing nine per cent to 1.41 million units in April-September 2015, and rear tyre production falling 11 per cent to 1.08 million units. Passenger car tyres was the only segment to show growth, increasing seven per cent to 19.0 million units; the segment grew 13 per cent year-on-year in 2014-15.