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Automobile tires, as one of the main and vital components of a vehicle, play a direct role in safety, performance, and fuel consumption. Given the extensive demand in the Iranian market for various passenger car, truck, and industrial tires, the import of this product has always held an important position in the supply chain of the country’s automotive parts. Among these, Dubai, as one of the most important commercial hubs in the region and a connection point for prominent global brands, has become a strategic destination for tire importers.
Geographical proximity, advanced transportation infrastructure, and the variety of brands available in Dubai’s market make this city an ideal option for the fast and reliable supply of tires. In this regard, companies such as Mersat Zahabi Trading Company, leveraging a network of reputable suppliers and extensive experience in international trade, have been able to carry out the process of importing tires from Dubai to Iran with greater speed, accuracy, and reliability.
This article, by examining the market, regulations, advantages, challenges, and steps of importing tires from Dubai, aims to provide a clear picture of this field and facilitate decision-making for industry stakeholders.
Brands and Types of Tires Imported from Dubai
Dubai’s market, as one of the largest commercial centers in the region, is an important source for importing various high-quality and diverse tires from reputable global brands. Tires imported from Dubai are highly popular in neighboring countries’ markets, including Iran, due to reasonable prices, wide variety, and good quality. Among them, several specific brands are more recognized and favored for their quality, durability, and after-sales services.
Michelin
The French brand Michelin is one of the most reputable and oldest tire manufacturers in the world. Michelin tires are known for their high durability, excellent performance in different road conditions, and unparalleled safety. This brand offers a diverse range of products for passenger cars, heavy vehicles, and industrial applications and is highly welcomed in Dubai’s market.
Bridgestone
The Japanese brand Bridgestone is a leader in the tire industry, known for the high quality and technology of its products. Bridgestone tires, competing with Michelin, are especially popular due to their high performance in various weather conditions and long lifespan.
Goodyear
Goodyear, the American brand with over a century of tire manufacturing experience, has earned its reputation through continuous innovation and high-quality tires. Goodyear tires are used for passenger cars, trucks, and even airplanes, and are widely imported and distributed in Dubai.
Pirelli
Pirelli is an Italian brand known for high-performance tires and advanced designs for sports and luxury vehicles. This brand is a popular choice in Dubai’s market for those seeking a combination of quality, safety, and aesthetics.
Hankook
Hankook from South Korea has quickly established its position in international markets. Hankook tires are attractive in Dubai and Middle Eastern markets due to competitive pricing, suitable quality, and good durability.
Import Tariffs for Tires to Iran
According to the announcement by the Customs Administration of the Islamic Republic of Iran, the commercial profit for importing various passenger car tires is set at 16%, and the customs duty at 4%. Therefore, the total import tariff for passenger car tires reaches 20%.
Import Costs and Gross Profit
Import costs include the price of the goods, transportation, insurance, customs fees, and commercial profit. For example, if the price of a single imported tire is $100, additional costs such as transportation, insurance, and tariffs may add $30. In this case, the total import cost reaches $130. If this tire is sold in the Iranian market for 2 million Tomans (approximately $400), the gross profit would be about $270.
Advantages and Disadvantages of Importing Tires from Dubai
Below, we review the advantages and disadvantages of importing tires from Dubai.
Advantages of Importing Tires from Dubai
Wide variety of brands and models
Dubai, as a major commercial center, offers tires from reputable global and regional brands in various models and sizes. This variety allows importers to easily find products suitable for their market needs.
Competitive prices
Due to fierce competition among sellers and the presence of a large wholesale market in Dubai, tire prices are generally more reasonable than other import markets.
Possibility of bulk orders and discounts
Dubai’s market provides the possibility to buy in bulk with more economical prices and flexible payment terms.
Access to new and updated products
Since Dubai is a major regional hub, new tires and updated models can be procured faster than in other markets.
Possibility of in-person inspection and visit
For importers who can travel to Dubai, there is the option to inspect the goods in person and negotiate directly with suppliers, which increases assurance.
Disadvantages of Importing Tires from Dubai
Transportation and clearance costs
Despite competitive prices, transportation, insurance, customs, and clearance fees may ultimately increase the total import cost.
Exchange rate fluctuation risks
Currency rate changes can affect expected profits and may cause financial loss.
Potential quality and authenticity issues
Without careful selection of reputable suppliers, there is a risk of receiving counterfeit or low-quality goods.
Time-consuming clearance and licensing process
The administrative and customs clearance process can be lengthy and cause delays in delivery.
Severe competition in the domestic market
Easy access to imports from Dubai can increase competition and reduce profit margins in the domestic market.
Conclusion
Importing tires from Dubai, given the wide variety, competitive prices, and quick access to up-to-date products, provides a good opportunity for tire market players. However, alongside these advantages, special attention should be given to transportation costs, currency risks, and quality assurance. With careful planning, selecting reputable suppliers, and smart cost management, this opportunity can be leveraged for successful trade in this field. Ultimately, full awareness of market conditions and import regulations is the key to success on this path.