Goodyear Tire & Rubber CEO Rich Kramer told CNBC on Tuesday that he did not expect a growing tire shortage to harm the tire maker.
Concerns about the low supply of rubber made from rubber trees grown mainly in Southeast Asia are the latest problem facing carmakers, which are already struggling with a lack of semiconductors.
Asked if the company had enough materials to produce car tires, Kramer said, “The short answer is: We do it.”
“Essentially, what you see happening is … either speculation, or even a lot of China [putting] rubber in warehouses, “Kramer said in an interview with Jim Cramer in”
“It’s something that’s always there, there’s a lot of speculation,” he added. “I can never say anything about something that could happen to rubber trees in Southeast Asia, but it’s really not a problem for us and the team is doing brilliantly.”
Shares of Goodyear rose 3% on Tuesday before closing at $ 18.28.