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COVID-19: ETRMA Seeks EU Support To Mitigate Loss

Published On 27-Mar-2020 23:35:29By TyreDekho Team

European Tyre & Rubber Manufacturers Association represents nearly 4,400 companies in the E.U., directly employing about 370,000 people. Member companies operate 93 tire factories and 17 R&D centers.

COVID-19: ETRMA Seeks EU Support To Mitigate The Loss

The European Tyre & Rubber Manufacturers Association (ETRMA) has called on the European Union (EU) for support measures to mitigate the "increasingly severe impact" of the COVID-19 pandemic on Europe's tire industry.

Health concerns, supply shortages, low demand, and government restrictions have led many ETRMA member companies to announce temporary closures of their European plants.

R&D facilities, other operational areas, and retail networks have also been affected, the association said in a release.

Fazilet Cinaralp, secretary-general of Brussels-based ETRMA, called the COVID-19-induced business disruption "one of the biggest challenges" the industry has ever faced.

"The suspension of the main operational activities will undoubtedly have severe, long-lasting reverberations for our industry," Ms. Cinaralp said. "Yet it is unclear when the European tire industry will be able to resume its production activities and the international supply-chain will be up and running again," she further added.

Also Read: COVID-19: Apollo Tyres, CEAT Suspends Production

The ETRMA, therefore, called for firm and rapid action at both the EU and national level to enact policies that will remediate the impact of this crisis on European tyre manufacturers.

ETRMA said that it supports constructive dialogue between industry, EU institutions and governments to develop schemes that ensure the well-being of the tyre industry’s workforce, while COVID-19 prevails, and that support a smooth and successful restart of activities in this vital sector for the European economy at large, once the immediate health crisis is over.

The goal, Ms. Cinaralp said, should be "to stimulate the recovery of our sector to avoid a permanent loss of capacity, research capability, and innovation, with the engagement of all European stakeholders."

In its statement, the ETRMA also expressed its support for measures already taken by E.U. and national governments and gratitude for those working at the frontline of the global health crisis.

Till date, Apollo Tyres Ltd., Bridgestone Corp., Cooper Tire & Rubber Co., Goodyear, and Pirelli Tyre have announced plant shutdowns and/or production scale-backs related to the COVID-19 pandemic.

The ETRMA represents nearly 4,400 companies in the E.U., directly employing about 370,000 people. Member companies operate 93 tire factories and 17 R&D centers.

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