Auto makers, truckers oppose duty on tyres
Transporters and heavy vehicle manufacturers are protesting against the imposition of anti-dumping duty on radial tyres for trucks and buses from China and Thailand, reports HT Correspondent.business Updated: Jan 18, 2010 21:06 IST
Transporters and heavy vehicle manufacturers are protesting against the imposition of anti-dumping duty on radial tyres for trucks and buses from China and Thailand.
The ministry of commerce and industry had imposed duties ranging from $ 24.97 (Rs 1,150) to $ 88.27 (Rs 4,000) on January 1, to protect the domestic industry from ‘artificially cheaper’ imports.
The domestic automobile industry represented by Society of Indian Automobile Manufacturers (SIAM) has however said the duties will delay the switch to radial tyres in commercial vehicles.
“The duty will raise prices of tyres and that will ultimately have to be borne by commercial vehicle manufacturers,” said a senior official at SIAM. “There is a demand-supply mismatch in tyre supplies and steps to restrict imports will only worsen it.”
SIAM had earlier recommended that original equipment manufacturers be made exempt from any restrictions and a reference price for imports be introduced instead.