Automotive Articles - Indian tyre industry is on a brink of major structural change
The tyre industry is on a brink of a major structural change. T&B which is a dominant segment in terms of tonnage is witnessing a gradual rise in the proportion of radial tyres. Going by the global trend it seems that the radial tyre demand in India is at inflection point and with almost 97 - 98 per cent of the passenger car tyre production has been radialised, T&B tyre category is the next major category to witness spurt in the demand for radial tyres. And with improvement in road infrastructure and better cost economics the proportion of radial tyres in T&B category is expected to expand by around seven times from the current levels. Sighting this opportunity, almost all the expansion plans for T&B category tyres are for radial category tyres.
In FY10, almost all the manufacturers reported healthy rise in their top-line, driven by growth in both volumes and realisation. Operating margins also observed improvement owing to sharp drop in raw material prices. Going forward it is expected that, industry's top-line will continue to witness healthy growth scenario, however industry would face challenge of rising raw material prices and increase in interest cost.
It has developed detailed model for forecasting OEMs as well as replacement demand for all the tyre categories like Truck and Bus (T&B), passenger vehicles, two-wheelers, three-wheelers, tractors and light commercial vehicles (LCV). Strong understanding of automobile as well as tyre sector is percolated down to the auto component sector and thus the demand for tyres is forecasted as well on the basis of projected automobile sales and population.
To know more and to buy a copy of your report feel free to visit : http://www.bharatbook.com/detail.asp?id=71341&rt=Indian-Tyre-Industry.html
Related Reports :
Tyres - Top 5 European Markets Overview 2009 http://www.bharatbook.com/detail.asp?id=130159&rt=Tyres-Top-5-European-Markets-Overview-2009.html
Global market review of automotive tyres - forecasts to 2017 http://www.bharatbook.com/detail.asp?id=100381&rt=Global-market-review-of-automotive-tyres-forecasts-to-2017.html
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