Tyres sales after three quarters of 2020

COVID-19 causes a decrease in turnover in the tyre industry by an average of 20%

According to the data of the Polish Tyre Industry Association (PTIA), after three quarters of 2020, tyre manufacturers and importers in Poland recorded sales to the market drops reaching -20% in almost all tyre segments. Only motorcycle tyre sales increased by + 7%, and in the third quarter alone by + 57%. Sales of truck tyres (+ 15%) and agricultural tyres (+11) also increased in the third quarter, limiting declines from January in these segments to -3% and -17%, respectively. The situation on the tyre market is similar across Europe – as confirmed by the data of the European Tyre and Rubber Manufacturers Association (ETRMA).


– The tyre market in Poland was severely affected by the pandemic, which was particularly visible in the first half of this year. Many plants had to stop production due to falling orders from both the OEM and replacement markets. The sales dynamics in the third quarter made it possible to reduce the declines from the first half of the year in practically all segments – but observing the dynamic development of the epidemic in recent weeks and also taking into account the economic situation, we can assume that 2020 will be very difficult – says Andrzej Włodarczyk, President of the Polish Tyre Industry Association (PTIA).

– The second half of the year for the tyre industry is only slightly better than the first. We are concerned that the economic closure will again hit the automotive and tyre industries hard. The positive signs of truck, agricultural and motorcycle tyre sales in the third quarter are a seasonal breakthrough rather than a permanent trend. Even purchasing tyres before the winter season will not compensate for such deep drops. Building up is the smallest loss – only by -7% - of tyre purchases in the premium segment and an increase of 3% in sales of agricultural radial tyres. It is important that users invest in good quality tyres – ads Piotr Sarnecki, General Director of the Polish Tyre Industry Association (PTIA).


European tyre market

The second quarter of 2020 had already showed an evident slowdown of sales brought by Covid, but the full effect has become even more evident in this third quarter where all the product lines remain affected by the current crisis, specially affected in Consumer and two wheels segments. Demand for passenger vehicle tyres is expected to fall as Covid-19 pandemic is limiting transit demand and authorities in several states are asking their citizens to limit contacts and moves. After the lowest point was touched in May, we are now assisting to a timid positive sign with a Q3 better than last year in the truck, Moto/scooter and Agriculture vehicle segments.

– As the numbers show, the crisis is hitting our industry quite heavily and the situation is not improving. The consumer sector is the more affected with a -14,4% compared to Q3 2019 in the tyres replacement market and a significant -30,4% in the original equipment tyres request. While we hope that the pandemic situation will improve, we also underline the urgent need to find the most suitable measures to support the tyre industry in order to preserve jobs in the sector. Outlook for the end of the year remains gloomy and with a double-digit drop in sales expected across all segments said Mrs Fazilet Cinaralp, Secretary General of ETRMA. 


Source: Polish Tyre Industry Association