Apr 24, 2017
The internal Iranian production of tires and motor oils is about 40% of the demand in Iran, according to the diary Forsat-e Emrooz.
To meet the demand for such products, the country depends on imports from China, Thailand, Taiwan, India and South Korea.
There are eight tire manufacturers in Iran, most of which were created before the 1979 Islamic revolution. Over the past four decades, only two tire factories were opened in Iran, namely Yazd Tire and Barez Manufacturing Group.
Dena Tire and Rubber Manufacturing Company, Yazd Tire, Alborz Tire and Iran Tire Manufacturing Company account for the lion's share of the local market.
The main raw material for tires is natural and synthetic rubber. Synthetic rubber is supplied by the local petrochemical industry, while natural rubber is imported. In fact, 80% of what is available in the domestic market is made from imported raw materials, including yarn, wire and natural rubber. On average, about 350,000 tons of rubber are consumed in Iran every year.
Excess capacity of factories producing internal chambers for some types of tires is another major problem. The annual need for rubber chambers is about 10 million, but only four of the above plants have production capacities of up to 20 million per year. They are produced in large numbers and other factories.
There are 50 brands of motor oils available in the Iranian market. Industrial machines, which are currently used in the production of motor oil, were developed 50 years ago.
Purchases of new vehicles for this industry were not made, mainly because of international sanctions against Iran in connection with its nuclear power program. Therefore, such obsolete equipment can not compete with imported products, states Forsat-e Emrooz and calls for measures to address these problems.