Inoue Rubber eyes 5% revenue uptick
Ms Pimjai says the country needs to deal with the US reciprocal tariff on Thai exports to avoid damaging Thailand's competitiveness.
SET-listed rubber auto parts manufacturer Inoue Rubber Thailand expects revenue to increase by 5% this year, driven by demand for premium motorcycle tyres during a 90-day pause in Washington's reciprocal tariffs.
The company, which makes rubber products and motorcycle tyres under the IRC brand, is benefiting from the delay in enforcement of the levy, originally scheduled to become effective on April 9.
US President Donald Trump decided to temporarily suspend the imposition of his reciprocal tariffs, enabling countries such as Thailand to negotiate in relation to their trade imbalances with the US.
Inoue Rubber Thailand is accelerating its production to export more products ahead of early July, when the US's steep tariffs are set to take effect.
"Our revenue increase results from new purchase orders from countries wanting to stockpile products as they are concerned about price changes and other unexpected issues once the 90-day period expires," said Pimjai Leeissaranukul, chairman of Inoue Rubber Thailand.
Thailand is the largest exporter of tyre products to the US, amounting to 42.8 million units a year, or 25% of America's total tyre imports.
Other countries that sell tyres to customers in the US include Vietnam, Cambodia, Mexico, Canada and China.
In addition to the US, Inoue Rubber Thailand exports rubber products to more than 40 countries.
The company plans to export its products to new markets as its sales in Thailand are being affected by the sluggish automotive sector, said managing director Kanin Laochinda.
Thailand's auto market has registered stagnant sales, as banks and car financing companies tightened their lending criteria for auto loans based on the elevated level of household debt.
Inoue Rubber Thailand operates two factories: one in Pathum Thani's Rangsit area and another in Ayutthaya's Wang Noi district.
The Rangsit plant manufactures 3.6 million tonnes of motorcycle tyres a year, while the factory in Wang Noi produces rubber products for auto and industrial industries.
The company urged the government to protect local tyre manufacturers by dealing with the influx of low-cost tyre imports.
Some imported products are reportedly rebranded here for re-export.
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