Covering Iranian economy,
business and current affairs.

Single Report

Iran's Tire Industry - January 2017

Jan 15, 2017

Preface and Executive Summary

In Iran some 15,000 people are directly employed by factories which produce tires. Government’s failure to pay attention to their conditions and support them would translate into definite trouble for such a large number of workers involved in this industry. Officials with the tire Industry Association of Iran believe that imports should be limited to tires which are not manufactured locally or that imports should merely be designed to tackle the domestic shortage. That is not the case at the moment, though. Businessmen are bringing in all sizes of tire in whatever quantities they choose to.

The huge volume of imports and the Chinese dumping along with 13-15 percent awards for Chinese manufacturers have rendered local producers unable to remain competitive. As a result, Iranian factories are not operating at full capacity and foreign firms have snatched their market share. When the Iran-Iraq war was underway in the 1980s, tire production hit 330,000 tons. By 1394 [the 12 months to March 20, 2016] production had slumped to 220,000 tons.

As is the case with other contraband, smuggled tires play an important role in the market. The smuggled tires have plunged both local manufacturers and official merchants into trouble. That has prompted the body that spearheads the campaign against smuggling goods and foreign currencies to step in and convene several sessions on how the crackdown on smuggling in tires should be conducted.

What is certain is that officials unanimously believe that imports of tires which are already being produced locally should stop. They are striving to make this a reality. By doing so, not only will they support the local industry but help maintain the sustainable employment of Iranian workers.
The present report takes a look at the tire industry in Iran including:

The status and market share of producers, introduction of tire production companies, introduction of tire importing companies, widely-used tires, market analysis, future plans, SWOT (Strengths, Weaknesses, Opportunities, Threats) analysis, and a review of demand, production, imports, etc.

Table of Contents
1    Notes    3
2    Preface and Executive Summary    4
3    A Glance at the Tire Industry in Iran    4
3.1    Some of Problems of the Tire Industry in Recent Years    5
4    Statistics on Vehicle and Tire Production in Iran    6
4.1    Types of Tires    7
4.2    Share of Iran’s Tire Production in the World    8
4.3    Tire Demand in Iran    8
4.3.1    Raw Materials    9
5    Active Companies and Brands in the Iranian Market    9
5.1    Share of Iranian Tire Brands of Domestic Market    10
6    Imports and Exports of Tires    11
6.1    Import tariffs    15
6.2    Future Plans and Forecast    15
7    Introduction of Iranian Tire Manufacturing Companies    16
8    Companies Importing Tires to Iran    19
9    Tire Industry SWOT Analysis    20
10    References    22

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