| Date: |
12-08-2011 |
| Subject: |
Anti-Dumping Duty On Radials Removed; Tyre Companies Under Pressure |
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NEW DELHI: Duties on radial tyres imported from China and Thailand have been removed by Excise and Service Tax Appellate Tribunal, according to a report by ET Now.
The Indian market for radial tyres is around 2.5 lakh tonne per month. The move will put direct pressure on Indian tyre industry as they will face more competition from companies from China and Thailand.
Domestic tyre prices had soared in the last 18 months to a hefty 21 per cent rise since January, though natural rubber prices had come down significantly from the peak of Rs 240 a kg to Rs 207 now.
Chinese companies like Giti and Weifang will become direct competitors to Indian counterparts. Prices of tyre from China and Thailand will be cheaper by 40% as compared to domestic prices.
At 01:40 PM, shares in Apollo Tyres was trading lower by 4.2% to trade at Rs 67.75, JK Tyre & Industries Ltd slipped 2.3% and MRF Ltd was down 0.7%.
Source : economictimes.indiatimes.com
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