Skip to main content
Sister Publication Links
  • European Rubber Journal
  • Plastics News
web
Subscribe
  • Login
  • Register
  • Subscribe
  • News
    • ITEC
    • Automotive
    • Tire
    • Non-Tire
    • Suppliers
    • Silicone
    • Latex
    • Coronavirus
    • Executive Action
    • Government/Legal
    • Opinion
    • Technical Notebooks
    • International Elastomer Show
    • Women in Tire & Rubber
    • HEXPOL Sponsored Content
    • Goodyear recognized by Lockheed Martin as 'elite supplier'
      EV tire advancements to help secure future
      Lambillotte: Only question on AVs is timing
      CAR official says EV future brighter than autonomous
    • Smithers webinars focus on performance materials in green tires
      Ford to close 3 plants, end production in Brazil, costing $4.1 billion
      Study: Vehicle buyers cling to familiarity amid pandemic
      Kumho launches commercial LT, performance tire lines
    • Smithers webinars focus on performance materials in green tires
      Ferentino Tyre opens Sri Lanka plant; eyes exports to U.S., Europe
      Kumho launches commercial LT, performance tire lines
      Taiwan tire makers propose settlement of import duties case
    • JobsOhio funding gives Sperry & Rice room to grow
      TRAC's Glenn Maidment caps 51-year rubber industry career
      LafargeHolcim looks to solidify U.S. presence with Firestone Building Products purchase
      Hankook Tire holding company adopts Hankook & Co. identity
    • Smithers webinars focus on performance materials in green tires
      Endurica earns prestigious Tibbetts Award from SBA
      Kuraray to raise elastomer prices again
      Synthomer optimistic, raises earnings forecast
    • Safic-Alcan extends distribution agreement with Momentive
      Momentive aims to grow silicone presence in Asia-Pacific region
      IRP Medical solidifies portfolio with KDL deal
      Rubber lab services firm Ace reports record year
    • ASTM cancels April meetings as COVID-19 continues impact
      Paycheck Protection Program funding reopens Jan. 15
      Detroit Auto Show canceled; alternative event being planned for September
      Top Glove reopens COVID-hit factories with enhanced precautions
    • Jack Murphy joins Akron Dispersions
      Adriano Alfani named Versalis CEO
      Maroon Group adds to Southeast sales team
      ASTM taps rubber executive as new board member
    • Paycheck Protection Program funding reopens Jan. 15
      Taiwan tire makers propose settlement of import duties case
      Lobbying group unveils policy agenda to speed transition to EVs
      NADA, bank group to assess political contributions after U.S. Capitol siege
    • Column: Pandemic looms over everything in life, business in 2020
      Column: Lessons from the 2020 Best Places to Work
      Editorial: Silicone hit hard by pandemic, expected to bounce back
      Column: Still far way from normal
    • Effects of multiple repurposed materials for reinforcements of standard rubber compounds
      Impact of peroxide blends on the cure rate and aged properties in HNBR
      Techniques to detect long chain branching in polymers
      A comparative study looking at effects of curing kinetics and batch variation on SBR injection molding and numerical analytics
    • WORD panelists say evolution, authenticity keys to success
      IEC keynote: Communication key to logistics
      IEC speaker: Specialized elastomers may reduce spread of life-threatening pathogens
      Rubber Division seeking abstracts for Spring Technical Meeting
    • WORD panelists say evolution, authenticity keys to success
      New video celebrates women in rubber industry
      ITEC panelists say women can thrive in tire industry
      Rubber Division planning second Women of Rubber event
    • Sponsored By HEXPOL Compounding
      Faster Access to Your Polymer Compounding Experts Around the World
      Sponsored By HEXPOL Compounding
      Take a walk thru a HEXPOL Lab
      Sponsored By HEXPOL Compounding
      HEXPOL offers a unique selection of High Performance Elastomers to match your application requirements
      Sponsored By HEXPOL Compounding
      It’s what you can’t see that makes the Difference at HEXPOL
  • Blogs
    • Products
    • Wacky World of Rubber
    • New Products: MonTech introduces 1,500 kN lab press
      New products: 3M introduces new durable, pliable medical adhesive
      New Products: Lanxess launches energy-efficient PU elastomer
      New Products: MonTech automates bale cutter for safety, productivity
    • Wacky World of Rubber: How Trelleborg, teens sealed a spot in the world record book
      Wacky World of Rubber: Of chicken and feet, but not chicken feet
      Wacky World of Rubber: Time to go mattress shopping
      Wacky World of Rubber: Because nothing says football like 'frunk' shrimp
  • Newsletters
    • Rubber in Automotive
    • Silicone News
    • Latex News
    • Sign Up for Newsletters
    • Smithers webinars focus on performance materials in green tires
      Ford to close 3 plants, end production in Brazil, costing $4.1 billion
      Study: Vehicle buyers cling to familiarity amid pandemic
      Kumho launches commercial LT, performance tire lines
    • Safic-Alcan extends distribution agreement with Momentive
      Momentive aims to grow silicone presence in Asia-Pacific region
      IRP Medical solidifies portfolio with KDL deal
      Rubber lab services firm Ace reports record year
    • Jack Murphy joins Akron Dispersions
      Synthomer optimistic, raises earnings forecast
      Top Glove reopens COVID-hit factories with enhanced precautions
      Malaysia electronics group to enter rubber gloves sector
  • Multimedia
    • Videos
    • Photo Galleries
  • Directory
  • Resources
    • Classifieds & Mold Mart
    • Sponsored Content
    • White Papers
    • Sponsored By HB Chemical
      The Company Behind the Inventory
      Sponsored By French Oil Mill Machinery
      Process Improvement, Cost Reduction with Custom Press Systems
    • Sponsored By Uncountable Inc.
      Cooper Standard deploys lab informatics platform to synchronize R&D
      Sponsored By Elkem
      LSR Select™: A solution to improve your financial impact in molding applications
      Sponsored By HEXPOL Compounding
      Peroxide Cureable Silicone Injection Molding
      Sponsored By HEXPOL Compounding
      Understanding and Selecting Performance Additives for Rubber Compounding
  • Data
  • Events
    • RPN Events
    • RPN Livestreams/Webinars
    • Industry Events
    • Past Events
    • ITEC Library
    • International Silicone Conference Library
    • 2021 Healthcare Elastomers Virtual Edition
      2021 Rubber in Automotive Virtual Edition
      2020 International Silicone Conference Virtual Edition
      2020 ITEC Virtual Edition
  • Advertise
  • DIGITAL EDITION
MENU
Breadcrumb
  1. Home
  2. News
July 21, 2016 02:00 AM

Latin America tire market looks bright

Miles Moore
  • Tweet
  • Share
  • Share
  • Email
  • More
    Print
    Gustavo Lima

    MIAMI—The overall outlook for tires in Latin America is good, despite the substantially different situations in national and regional markets, according to a major longtime participant in Latin American tire and auto sales.

    “Obviously, Latin America is not one market,” said Gustavo Lima, CEO of both Oriente Triangle Latin America Inc. and the Latin Expo Group, which sponsors both the Latin Auto Parts Expo and the Latin American & Caribbean Tyre Expo.

    “But overall the tire business has been pretty positive in the different regional markets,” Lima said.

    To be sure, the picture is not all bright, he said. Brazil, normally the major economic player in Latin America, is a big disappointment.

    “The market in Brazil has been affected by corruption issues and the impeachment of their president,” he said. “Their economy is slowing down, and it's really affected car sales. Brazil is such a powerhouse that its problems have dragged down the economies of neighboring countries, such as Paraguay and Uruguay.”

    On the other hand, Mexico is doing very well, with tire sales up 10 percent this year over last, Lima said. The countries near it—Guatemala, Honduras, El Salvador, etc.—are seeing improvements in their economies and tire sales thanks to Mexico, he said.

    Venezuela, with the fall in oil prices and the implosion of its government, is in total collapse, according to Lima.

    “There are some government tire sales, perhaps some consumer sales, but very little,” he said.

    On the other hand, countries that are close to Venezuela, such as Colombia, Ecuador and Peru, are seeing strong sales, according to Lima. Peru in particular he described as “a shining star.”

    “The situation in Venezuela is unique to Venezuela, and it won't affect other countries,” he said.

    In the far south of Latin America, Chile is “always good,” Lima said. But the really encouraging news, he said, is in Argentina, where the economy is bouncing back after the inauguration of a new president.

    “There is a good restart of business in Argentina, and the market is opening up,” he said.

    Western tire companies that have factories in Latin America are making a lot of money, according to Lima. Meanwhile, there is a push in Latin America to follow the U.S. in levying duties against tires imported from China and other Asian countries, he said.

    “Colombia and Brazil already have antidumping duties, and other countries are looking at antidumping duties,” he said. “I don't think it's a good thing, because duties distort markets.”

    Price pressures are dictating many of the current trends in Latin American tire markets, Lima said. Goodyear and other tire makers are looking to bring in price-point tires and build low-cost plants in various regions of Latin America.

    High-performance tires play a small part in Latin American markets, except for luxury sport-utility vehicles, he said.

    China and other Asian countries are the main importers of tires into Latin America, and will remain so, according to Lima.

    One strong current trend is for truck fleets to purchase low-cost tires from China and elsewhere for use on trailers, Lima said.

    Latin American retreaders are very concerned about this trend, although retreaders in countries that forbid the importation of retreadable casings are not as badly affected, he said.

    Overall, the signs for Latin American tire markets are very encouraging, according to Lima. The Latin American & Caribbean Tyre Expo, scheduled for Panama City July 13-15, has more than 200 tire makers and more than 1,500 tire dealers registered so far, and that makes him happy for many reasons.

    Among other things, Latin American tire buyers have become very sophisticated, and millions of people are seeing improvement in their lives, Lima said. “This is a wonderful thing,” he said. “In the U.S., the economy has definitely improved, but Latin America came out of its recession much better than I anticipated.”

    Related Articles
    Bridgestone divests Venezuela operations
    Aeolus, Pirelli cooperation moving forward
    Pirelli's Ferrari to head Bridgestone business unit
    Sales down but top 3 remain intact in N.A.
    SRI to add truck tires at Brazil plant
    Antidumping duties adjusted for Chinese OTR tires
    Triangle USA hires customer service manager
    Vipal forms JV with rubber compounder Grupo Soledad
    U.S. auto sales mixed as second half begins
    Execs say retreading rebounding in Latin America
    Oliver introduces trailer retread
    Letter
    to the
    Editor

    Rubber & Plastics News wants to hear from its readers. If you want to express your opinion on a story or issue, email your letter to Editor Bruce Meyer at [email protected].

    SIGN UP FOR NEWSLETTERS
    EMAIL ADDRESS

    Please enter a valid email address.

    Please enter your email address.

    Please verify captcha.

    Please select at least one newsletter to subscribe.

    Get our newsletters

    Staying current is easy with Rubber & Plastics News delivered straight to your inbox, free of charge.

    Subscribe Today

    Subscribe to Rubber & Plastics News to get the best coverage and leading insights in the industry.

    SUBSCRIBE
    Connect with Us
    • LinkedIn
    • Facebook
    • Twitter

    MISSION

    To serve companies in the global rubber product industry by delivering news, industry insights, opinions and technical information.

    web
    Contact Us

    2291 Riverfront Pkwy, Suite 1000
    Cuyahoga Falls,
    OH 44221

    Customer Service:
    877-320-1726

    Resources
    • About Us
    • Digital Edition
    • Contact the Staff
    • Advertise
    • Order Reprints
    • Privacy Policy
    • Privacy Request
    • Terms of Service
    • Careers
    • Ad Choices Ad Choices
    • Sitemap
    Partner Sites
    • Tire Business
    • European Rubber Journal
    • Plastics News
    • Plastics News China
    • Urethanes Technology
    • Automotive News
    • Crain Brands
    Copyright © 1996-2021. Crain Communications, Inc. All Rights Reserved.
    • News
      • ITEC
      • Automotive
      • Tire
      • Non-Tire
      • Suppliers
      • Silicone
      • Latex
      • Coronavirus
      • Executive Action
      • Government/Legal
      • Opinion
      • Technical Notebooks
      • International Elastomer Show
      • Women in Tire & Rubber
      • HEXPOL Sponsored Content
    • Blogs
      • Products
      • Wacky World of Rubber
    • Newsletters
      • Rubber in Automotive
      • Silicone News
      • Latex News
      • Sign Up for Newsletters
    • Multimedia
      • Videos
      • Photo Galleries
    • Directory
    • Resources
      • Classifieds & Mold Mart
      • Sponsored Content
      • White Papers
    • Data
    • Events
      • RPN Events
      • RPN Livestreams/Webinars
      • Industry Events
      • Past Events
      • ITEC Library
      • International Silicone Conference Library
    • Advertise
    • DIGITAL EDITION