Goodyear Says Asia-Pacific Sales Will Ease Slightly - Tire Review Magazine

Goodyear Says Asia-Pacific Sales Will Ease Slightly

(Akron/Tire Review) Goodyear Tire and Rubber Co. expects sales in the Asia-Pacific region to ease slightly this year as a result of slowing auto sales in China, according to a Reuters report.

Sales in the region rose 8.5% in 2005. However, Goodyear’s Asia-Pacific President Pierre Cohade was quoted as saying that sales in the region will only increase 6% this year. Goodyear currently has about 20% of the tire market in Asia. Replacement tires account for 40% of Goodyear’s China sales. Cohade said replacement sales could exceed 50% in five years.

Last year, Goodyear announced an investment of $120 million at its Dalian plant in China to increase production to 5.3 million tires annually by 2007. The tiremaker increased prices in China by 3% due to rising raw material costs.

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