TIRE INDUSTRY RECOVERS FAST FROM CRISIS.(Brief Article)

The country's tire industry though managing to survive is not entirely safe from the crisis. The industry had expanded fast before the crisis. In 1998, the country's car tire production dropped 13.3% from 19.37 million units to 16.79 million. The production of motorcycle tires shrank 24% from 9.77 million to 7.34 million.

The decline in the production followed the market slump as a result of the rupiah fall in 1998. The industry has a local content of only 70%. The industry, therefore, still depends considerably on imported components. In addition, according to the asso