Goodyear Tire & Rubber CEO Wealthy Kramer advised CNBC Tuesday that he would not anticipate a looming scarcity in rubber to harm the tire producer.
Considerations over a low provide of rubber, created from rubber timber principally grown in Southeast Asia, is the newest drawback going through automakers already combating a scarcity of semiconductors.
When requested if the corporate has sufficient of the fabric to supply tires for automobiles, Kramer mentioned, “brief reply is: We do.”
“Primarily what you see occurring is … both hypothesis or it is a variety of even China [putting] rubber in warehouses,” Kramer mentioned in an interview with Jim Cramer on “Mad Cash.”
“It is one thing that is at all times on the market, a variety of hypothesis happening,” he added. “I can by no means say by no means about one thing that might occur to southeast Asian rubber timber, however that is actually not been an issue for us, and the workforce’s been managing it brilliantly.”
Shares of Goodyear rose 3% on Tuesday earlier than closing at $18.28.