GURGAON, India—Apollo Tyres Ltd. Chairman Onkar Kanwar is calling on the Indian government for action to stem the flow of low-priced truck tire imports coming into India.
Imports of truck/bus radials had almost doubled in the three months that ended Sept. 30 over the same period last year, he said, with economy brands, predominantly from China, accounting for nearly 90 percent of the imports.
“The problem of low-cost imports is putting at risk the entire ‘Make in India' clarion call by the Indian government,” Kanwar said in the financial update issued Oct. 30.
Despite the increasing truck tire imports, Apollo said it managed to “maintain revenues” for the second quarter and first six months of its 2015-16 financial year, at prior-year levels.
Sluggish demand was another feature, though, as Apollo reported lower sales at its Indian operations. Mild weather in Europe, meanwhile, hit expected sales and pre-orders for winter tires for its European operations.
In the second quarter, Apollo posted an 8 percent rise in net profit despite a 10.5 percent drop in net sales, unaudited financial results show. First-half net profit, meanwhile, came in 17 percent higher on 11 percent lower sales.