Indonesian Tyre Production up 4.2 million units

Indonesia’s tyre production grew from 35.72 to 39.98 million units in 2005, according to the Indonesian Association of Tire Producers (APBI). The Asia Pulse news agency quoted APBI chairman Aziz Pane as saying that the increase in production was boosted by growing demand in the international market. Pane said 70 per cent of the production in 2005 was exported.

He said the export value is estimated to reach US$545.8 million in 2005, up from US$454.08 million in 2004. This strong demand for exports offset a decline in domestic sales, which was the result of a 125 per cent hike in oil fuel prices in October 2005.