Tyre production up 29% in April-August

A sharp rise in automobile sales led to an increase in domestic tyre production. The overall tyre production during April-August increased 29 per cent.

During the April-August, all major tyre companies produced a total of 47.1 million tyres as against 36.7 million in the same period last year. According to the Automotive Tyre Manufacturers Association (Atma), 65 per cent growth was registered in the scooter segment, 44 per cent and 43 per cent in three-wheeler tyre and passenger car segment, respectively.

Despite a sharp rise in natural rubber (NR) prices, production grew due to the rise in commercial vehicle sales. According to the Society of Indian Automobile Manufacturers (Siam), the sale of commercial vehicles rose 41.59 per cent in April-September of the current year. Car sales increased 33.58 per cent while two-wheelers saw an increase of 25.86 per cent.

This, obviously, resulted in an increase in tyre production, especially in the original equipment (OE) segment.

In April-August, 7.4 million scooter tyres were produced in India while production of passenger car tyres edged up to 10 million as against 7.17 million in the same period last year.

The production of truck/bus tyres increased marginally by two per cent to 6.24 million from 6.1 million. The production of motorcycle tyres increased 30 per cent to 17 million from 13 million in April-August 2009-10, according to data from Atma.

The export segment performed moderately well, registering growth of 15.5 per cent. Export of truck/bus tyres, LCV tyres and tractor tyres declined while that of passenger cars, jeep, two and three wheelers and OTR tyres improved.