According to data from The Observatory of Economic Complexity (OEC), China was the world's largest exporter of rubber tires in 2020.
In the early stages of the pandemic, China exported US$13.4 billion worth of rubber tires globally. Following China were Thailand, Germany, Japan, the United States, and several other countries, as detailed in the graph.
Indonesia ranked 15th globally, with rubber tire exports valued at approximately US$1.55 billion in 2020.
However, in early September 2022, the Indonesian Young Bus Entrepreneurs Association (IPOMI) stated that there was a shortage of tires domestically. This has driven up tire prices, making it difficult for the public transportation sector.
"For the past two years, tire prices, especially for radial tires, have been continuously rising, and stocks are often depleted. Transportation businesses cannot get any guarantee of whether goods will be available and when they will be available. This, of course, is detrimental to many transportation businesses, especially those with limited capital or cash flow," said IPOMI Chairman General Kurnia Lesani Adnan in a press release published by *Kumparan* on Monday (September 5, 2022).
The IPOMI Chairman General believes that this tire supply shortage is partly due to government policies that impose import quotas and restrictions on tire imports.
"Especially for truck and bus radial tires, which are not widely produced domestically," he explained.