Tire price increases highly 2 times since late March

December 29, 2020 - 13:37

TEHRAN- The price of tire has increased two times in Iran during the current Iranian calendar year (started on March 20), the chairman of Tehran Association of Tire and Oil Sellers stated.

Davoud Sa’adati-Nejad said the tire price rose 30 percent one time and 50 percent the next time in this year.

It is while, as reported, production of the tire in Iran has risen 20 percent during the first eight months of the current Iranian calendar year (March 20-November 20), compared to the same period of time in the past year.

Some 175,650 tons of tires have been produced during the eight-month period of this year.

In terms of number, a 23-percent growth has been also achieved.

In early August, an official with Iran’s Industry, Mining, and Trade Ministry said that increasing the amount of investment making for the production of the tire in the country is a necessity.

Kamran Kargar, the acting head of planning, supplying, and market regulating office of the ministry, said the consumption of tires is noticeable in Iran due to the country’s big transportation fleet.

“Now the ground is properly prepared for the production of light and heavy vehicle tires in the country, and investment making will play a significant role both for the establishment of new production units and for launching development projects”, the official noted.

Having an annual production capacity of 426,000 tons of tire, Iran accounts for 41 percent of tire output in the West Asian region, according to the deputy director of the non-metal industries office of the Iranian Industry, Mining, and Trade Ministry.

Mohsen Safdari has said that 11 tire production units are active in the country creating jobs for 14,500 people.

He said 426,000 tons is the nominal capacity, while the real output is less than this figure as some units are working with 60-70 percent of their capacity.

“Iranian tire industry is dependent on foreign raw materials by 40 percent, so we are self-reliant by 60 percent in this field”, the official announced.

MA/MA

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