Apollo Tyres cuts tyre prices by 3-5%

In line with reduction in input costs, Gurgaon-based Apollo Tyres today announced a 3-5 per cent cut in various categories of tyres.

"This move (price cut) has been made in keeping with a softening of key raw material prices since September 2008," a company statement said.

However, the cost of both crude oil and natural rubber have been witnessing an upward trend once again. The benefit of lower raw material prices is yet to be felt in company's bottomline, since supplies have been taking place on earlier contracted rates.

Another leading tyre maker MRF had yesterday announced a cut of Rs 400 in truck tyres due to fall in the prices of natural rubber.

In December last year, the company had slashed its prices by four per cent following the government's decision to bring down excise duty by the same.