Bridgestone said its car tire sales declined in the first half of the year, but the sales of construction and mine tires (ORR) and super-large construction machinery tires increased significantly compared with the same period of last year. Meanwhile, the sales in Japan and China decreased to different degrees due to the large amount of purchases in advance (pcr-1.5%, tbr-8.5%).
The company also explained the decline in operating profit. Although the price of natural rubber raw materials was at a low level in the first half compared with the previous year, the price of other raw materials increased significantly, resulting in increased total cost. Through effective cost control in the second quarter, the overall profitability was improved in the first half, but the overall profit decreased.
While Goodyear's results were positive in the second quarter, the combined impact of higher raw material costs, a weak Chinese market and a rising dollar helped drive operating profits down, said Mr. Cramer, the company's President.
From January to June, pirelli reported a decline in sales due to less demand for its common tires and negative foreign exchange effects, but the profit outlook was relatively optimistic due to positive factors such as product price adjustment and improved production efficiency.
Hantai tire said sales were up because of limited progress in its original tire business in Europe, China and the United States, but profits fell because of the high costs involved in the initial operation of its Tennessee plant in the United States and fierce competition in South Korea.