Surging tyre import worries rubber sector

KOCHI: A rising tide of Chinese-made two-wheeler tyre import has the domestic tyre industry and rubber planters worried. 

The import of two-wheeler tyres (mostly for motorcycles) has seen a sharp rise to 3.23 lakh tyres in 2009-10 from 21,137 in 2008-09. Automobile Tyre Manufacturers Association (ATMA) spokesmen said nearly 80-90% of this import is from China. 

According to automobile industry spokesmen, the two-wheeler tyre import could follow the trend seen in truck tyre shipment. The import of truck tyres increased from 80,000 to 13-14 lakh tyres in 5 years. 

Speaking to ET, Mr Rajiv Budhraja, ATMA director general, said, “The industry is keeping a close watch on the import scenario and will take a call on the development soon.” The import price is sometimes as low as $5 for motorcycle tyres and $1.2 for tubes as some importers take advantage of dumping and under-invoicing.

(economictimes.indiatimes.com)