India's leading tyre company MRF announced another price cut. The drop in prices is to an extent of Rs 400 per tyre in the truck tyre segment which constitutes to a major chunk of its production. 

 

The current price cut is due to a reduction in price of natural rubber. Earlier they had been a price cut due to lowering of excise duties. It has claimed to be the fist one to react with more cut in prices.

 

These cost reduction measures have made MRF tide over depressing margins and production cuts from major OE vehicle manufacturers. According to reports from MRF, it is being said that volatility in the price of natural rubber and crude prices have sustained the tyre industry and made it a hit.



It was also mentioned that inflow of imported tyres especially from China is a matter of worry and needs to be looked into.