RMA predicts record year for tires.

Record time shipments for 1997 were predicted by the Rubber Manufacturers Association in its tri-annual review of the industry. The RMN's Tire Market Analysis Committee expects shipments of replacement passenger tires and light truck tires to set records for a second straight year. Replacement passenger tires shipments should reach 178.5 million this year, surpassing the record of 175.3 million in 1996. Replacement light truck tires should remain strong with shipments this year expected to exceed 29 million units compared to last year's record level of 27.6 million. The TMAC said growth in both of these markets should continue into 1998.

Markets for original equipment tires are also expected to gain this year. OE passenger tire shipments are expected to reach 57.4 million in 1997. This represents a slight increase over 1996's figures, but short of the record 58.5 million shipments of 1994. The TMAC projects shipments will reach 58.1 million next year. The growth is attributed to the continued application of P-metric tires on new light trucks. OE shipments of light truck tires have and will remain relatively flat, at or below the expected 1997 shipment level of six million units.

Imports and exports are expected to show increases for 1997. The TMAC expects the 1997 figures to show that passenger tire imports increased by 3.4 million over 1996 to 46 million tires. Exports will increase by 3.8 million to 27.5 million tires.

The light truck tire balance of trade was expected to move in the same direction. Imports will show an increase of 300,000 tires to 5.1 million and exports should show an increase of 450,000 tires to 3.9 million.

Medium and wide-base truck tires are also expected to post gains in 1997, with combined OE shipments increasing from 4.3 million in 1996 to nearly five million in 1997. TMAC expects moderate growth for these markets in 1998, just topping five million.

Combined replacement shipments are expected to increase from 11.7 million units in 1996 to 12.5 million this year, with growth of another 100,000 tires slated for 1998.