NEW DELHI: India’s tire production declined in the first two quarters. Data from the Automotive Tire Manufacturers Association (ATMA) showed that production declined in all categories except passenger cars in the current fiscal.

According to the latest data released by ATMA, the production of passenger car tires increased by 7% to 18.98 million in April-September this year compared to the same period last year.

The second largest segment is medium and heavy commercial vehicles (MHCV) tire production was 8.387 million in the reporting period, down 2% from 8.548 million in the April-September period last year. Finance.

Commenting on the trend, Raghupatita chairman Ragh Singhania said, “Production and sales of MHCVs have recovered in the current fiscal while domestic production of MHCV tires has declined.”

Considering MHCVs, the segment accounts for 55% of the tire industry’s revenue and the low growth in the heavy commercial vehicle tire segment has hit the industry hard, he added.

Singhania further elaborated that the Rs. 3,500 crore investment in the industry over the last few years is about to bear fruit at a time when production is falling.

“While production has stopped, the manufacturing capacity is yet to be utilized. Most of the demand, especially for truck and bus tires, is being met through cheap imports from China. Capacity utilization is at a record low,” he added.

Light commercial vehicle (LCV) tire production fell 14% to 4.788 million tires, compared with 5.575 million tires in the same period last year, ATMA data showed.

From April to September, tractor front tire sales were 14.09 million units, down 9% from 15.41 million units in the same period last fiscal year.

Tractor rear tire production declined 11% to 1.081 million units from 1.209 million units in the same period last year.

Exports of tires in key categories also declined during the period, the ATMA said. MHCV tire exports declined 9% to 9, 68, 061 sets from 10, 63, 938 sets in the same period last fiscal year.

Passenger car tire exports declined 22% to 10, 81, 841 units compared to 13, 95, 921 units in April-September last year.

“Unlimited imports of low-cost tires put the tire growth environment at risk. Passenger car tires are one of the fastest growing categories in the tire industry, but imports account for more than 30% of the domestic replacement market. production,” said Singhania.