COVID-19- ETRMA Q1 Data Shows Drastic Decline In Tyre Replacement And Sales
Published On 17-Apr-2020 01:55:27
There is a -26% decline in consumer tyres, and a -15% drop in both truck and agricultural tyres
Tyre demand fell by double digit throughout the Europe in all product categories in the first three months of 2020, reflecting the impact of COVID-19 pandemic on business, the European Tyre and Rubber Manufacturers’ Association (ETRMA) reported.
Tyre sales across all categories have dropped drastically as the outbreak of Covid-19 has spread to Europe and forced society to come to a stop. The sector began 2020 amidst similar conditions to the closing months of 2019. But early impact of the coronavirus on the tyre industry can already be seen in February’s figures, namely sharp declines in OE truck tyres (-16% to February 2019).
March figures saw -13% drop in consumer tyres and agricultural tyres as well as a -6% decline in truck tyres. Comparing March 2020 to March 2019 there is a -26% decline in consumer tyres, and a -15% drop in both truck and agricultural tyres.
ETRMA says, the drastic decline in tyre sales and replacements is partly due to the extensive measures taken by tyre manufacturers to protect the health and well-being of their employees and comply with government guidelines as it has led to the temporary closure of the European manufacturing facilities of almost all member companies.
As of 7 April, ETRMA estimates that in Europe: 89% of manufacturing capacity is closed, 84% of the workforce is affected and 10% of R&D staff is unable to continue their activities. It is unclear when the European tyre industry will be able to resume its production activities and the international supply chain will be up and running again.
“We look forward to continuing our dialogue with decision-makers on how we can restart our activities in the near future,” said Fazilet Cinaralp. In the meantime, the tyre industry will continue to contribute to the fight against the Covid-19 pandemic. “The European tyre industry remains ready to provide any assistance it can. A number of ETRMA members are producing surgical masks and ventilators in different Member States and continues to mobilise on all fronts to play an active role in the global battle,” concludes Fazilet Cinaralp.