Cheap tyre dumping is "pure smuggling": JK Tyre's Dr. Raghupati Singhania
He added that if the situation is allowed to continue unabated, then India may become the dumping capital of the world for such tyres, which may also not be environmentally safe or meet safety standards.
Dr. Raghupati Singhania, the Chairman and Managing Director of JK Tyre & Industries Ltd., expressed concerns that the dumping of low-cost tyres into the country earlier, which came largely from China, has now started coming from other Southeast Asian countries like Thailand, Cambodia, and Vietnam.
He added that if the situation is allowed to continue unabated, then India may become the dumping capital of the world for such tyres, which may also not be environmentally safe or meet safety standards.
Singhania remarked that such tyre dumping practices are "pure smuggling," further elaborating that the government agencies are taking it very seriously and cracking down on it.
"It is a very serious issue," said Singhania during a post result conference call with the media.
Singhania's comments come, amidst the Automotive Tyre Manufacturers' Association's (ATMA) communication to the Government of India, stating that the automotive tyres rank at the forefront of those sectors where domestic manufacturing capabilities can render imports unnecessary.
The government had recently asked the industry to name items on which India has the capability of being self-reliant so that upcoming FTAs (Free Trade Agreements) could be drafted while safeguarding the interests of domestic industry.
According to ATMA, India's domestic tyre industry is among the largest in the world, with annual production exceeding 200 million units across various categories, including two-wheelers, passenger vehicles, commercial vehicles, and off-road vehicles.
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21 May 2024
Autocar Professional Bureau
