Economy, Business And Markets

Chinese Tires Hurting Domestic Industry

Chinese Tires Hurting Domestic IndustryChinese Tires Hurting Domestic Industry

The majority of imported tires can be domestically manufactured but are only welcome in the market due to their competitive prices, said an official at the Tire Industry Association of Iran, calling it a hard blow to the domestic production.

“Between 100,000 and 110,000 metric tons of tires are annually imported, 30% of which are not manufactured inside the country such as 18 and 19-inch tires or a few radial sizes for the pickup cars. But the remaining 70% are manufactured with the highest qualitiy by domestic companies; however Chinese tires are offered at much lower prices”, Saeed Taqvaei, the adviser to the association, told ISNA.

He added that the bias tires produced in Iran for buses and heavy trucks, for instance, are of premium quality but their Chinese counterparts are available in the market with lower prices, “and of course lower quality.”

According to the Tire Association member, the domestic consumption is 340,000 tons per year; of which some 240,000 tons are manufactured domestically. Taqvaei added that the tire industry is working on development of new products based on market demand. “The tires for the South Korean car Cerato have been imported but Iranian tire companies are now producing them. Domestic manufacturers have even started the production of tires for sports utility vehicles (SUV’s) and the new products will soon hit the market”, he noted.