Leading tyre-maker MRF has announced a price reduction for its main-line truck tyres. The reduction is about ₹350 per tyre and the price revision has been decided to meet the market requirements, the company said.

The selling price of its 1000-20 S3C8+ tyre is ₹25,250 and after the price reduction, is expected to sell at ₹24,900.

The company claimed that the above one is the most popular tyre in MRF’s portfolio of truck tyres and therefore the price reduction has great significance.

“This price reduction is expected to be welcomed by transporters who are using this tyre for rear fitment in heavy vehicles across the country,” it said.

The reduction in prices comes into effect from Monday.

Aggressive competition

“MRF’s leadership across major segments of T&B (truck and bus), 2Ws, and PCR (passenger car radial) had led to the creation of a strong brand and pricing power. However, aggressive competition in the recent past has dethroned MRF from the top spot in PCR and T&B, and has resulted in an overall market share loss,” according to a recent report from brokerage house Motilal Oswal Financial Services.

“MRF’s competitive positioning in the sector has weakened over the past few years, evident in the dilution of pricing power in the PCR and TBR (truck and bus radial) segments,” it added.

The company’s scrip closed at ₹146,150.10 per share, up 0.41 per cent, on the BSE on Monday.

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