Takashi: For Indian tire makers, the devaluation of the yuan is a double whammy.

They have been hit by increased imports of Chinese tires due to the downturn in the market and fear that the devaluation of the yuan will further increase supply from neighboring countries.

The industry is forecasting a sharp increase in imports this month.

According to the Automotive Tire Manufacturers Association, China’s share of imported tires has increased from 48% to 90% over the past three years (ATMA).

“It is time to devalue the yuan,” Apollo Tyres chairman Onkar S Kanwar he said. He said China’s tire imports grew 24% in the last fiscal, with year-on-year growth in truck tire imports in the April-June quarter. Compared to last year, there was almost 75% growth.

“For related trucks with midday tires, low-cost Chinese tires account for more than 10 percent of the industry’s replacement market, and this is likely to increase in the future due to further depreciation of the renminbi.”

India, the US and Europe are the three main target markets for Chinese tire exports.

China has built up a huge production capacity, but it is in danger of shutting down due to the downturn in the automobile market.

To keep its factories running, the country is trying to export more tires. Currency devaluation is expected to help, as it will make Chinese products cheaper on the international market.

Raji, Secretary General of ATMA “The US imposes anti-dumping and countervailing duties on tires imported from China to offset the countervailing subsidies received by some Chinese tire industries.” He added that it consists mainly of Chinese tires. Radial configurations for trucks and buses are growing rapidly in India.

Vikrami Malhotra, Vice President, JK Tires “These tires are sold across India and are 25-30% cheaper than locally produced tires.” ‘

Average tire import tariffs are 6.5% and 8%, but recently natural rubber, the main raw material for tire manufacturers, was increased to 25%.

Tire companies say this creates a hostile environment for tire makers. them. In this case, the voice of the tire makers could become louder.