Chinese tyre brands are gaining ground in Brazil, adding pressure to established manufacturers such as Dunlop. The company says it is responding by adapting its sales approach while keeping product quality central to its strategy.
Fábio Torres, head of national sales and marketing at Sumitomo Rubber do Brasil, which operates Dunlop in the country, told Canaltech that staying competitive requires the company to keep reinventing itself. He described the market as a moving escalator: companies that do not keep moving risk falling behind.
For TBR tyres, designed for trucks and buses, Dunlop has been opting for container stores. For passenger-car tyres, the company offers a lifetime warranty, according to Torres.
He also said Dunlop expects the coming year to be challenging, particularly the first half, and is preparing for that period. The company’s approach, he added, rests on maintaining the same quality standard whether a tyre is imported or made locally.
The competitive pressure comes as imported tyres from China have been reported to cost nearly 60% less than tyres produced in Brazil. The National Association of the Tyre Industry (ANIP) has said it expected the government to raise tariffs on imported tyres, arguing that the measure could help balance competition and protect jobs. Importers represented by ABIDIP, however, warned that higher tariffs could significantly increase prices for consumers.
Sources: Canaltech.