Tyre stocks settled on a mixed note on Thursday, while finishing the session between 2 percent higher and 1.56 percent lower. While JK Tyre, TVS Srichakra, Ceat and Goodyear India closed in the green, MRF, Balkrishna Industries and Apollo Tyres finished in the red.
On BSE, JK Tyre shares rose as much as 5.12 percent to an intraday high of Rs 144.45 apiece. On the National Stock Exchange (NSE), the company's shares advanced to Rs 144.65 piece intraday, up 5.49 percent. It finished the session 1.82 percent higher at Rs 139.95 apiece on the BSE.
Shares of TVS Srichakra, Ceat and GoodYear ended 1.22 percent, 2.01 percent, 0.95 percent and 0.96 percent higher respectively.
Meanwhile, MRF fell as much as 1.56 percent to an intraday low of Rs 75,265.65 apiece. It settled the session 0.83 percent lower at Rs 75,830 apiece on the BSE.
Shares of Balkrishna and Apollo Tyres closed 0.38 percent and 0.29 percent lower.
In an exclusive conversation with CNBC-TV18, Rajiv Budhraja, Automotive Tyre Manufacturers Association (ATMA) said that tyre production has lagged in September and October. The production is around 75,000 tonnes to 80,000 tonnes per month vs 1.5 lakh tonnes in last one year.
“Production has lagged way behind consumption in the last few months. The production of rubber this year is not even half of what we saw last year. Unexpected rains have also impacted production in October and November. Kerala had a longer spell of COVID-19 which hit production as well. Two successive cyclones also impacted weather patterns in Kerala," he said.
He further added that demand has been very strong and exports have done well. He is expecting a deficit of 5-6 lakh tonnes of rubber.
"We will have to import rubber to keep domestic manufacturing going," he said.
(Edited by : Ajay Vaishnav)
First Published: IST