Goodyear Tire & Rubber CEO Prosperous Kramer advised CNBC Tuesday that he will not anticipate a looming scarcity in rubber to hurt the tire maker.
Concerns above a minimal supply of rubber, made from rubber trees mostly developed in Southeast Asia, is the newest trouble facing automakers previously having difficulties with a lack of semiconductors.
When asked if the enterprise has plenty of of the product to develop tires for automobiles, Kramer said, “small response is: We do.”
“Primarily what you see taking place is … possibly speculation or it can be a large amount of even China [putting] rubber in warehouses,” Kramer reported in an job interview with Jim Cramer on “Mad Income.”
“It can be something which is often out there, a good deal of speculation going on,” he extra. “I can in no way say in no way about some thing that could come about to southeast Asian rubber trees, but that’s really not been a problem for us, and the team’s been managing it brilliantly.”
Shares of Goodyear rose 3% on Tuesday just before closing at $18.28.