Tyre price hike buzz by 10-12% drives Apollo

There is a buzz in the market that Apollo Tyres is likely to increase tyre prices by 10-12% soon. While the world’s leading tyre and rubber company Bridgestone has already hiked prices by 9% in Asia and Canada, the Indian company is likely to follow suit, according to analysts.

On Thursday, Apollo Tyres shares rose 1.4% to Rs 60.2 while a total of 3.7 lakh shares changed hands, compared with the two-week average of 2.8 lakh shares. Apollo Tyres shares were trading weak after the company’s first quarter earnings fell below market expectations. There have been concerns over its prospects due to sluggish demand.