The Danang Rubber Joint Stock Company (DRC) has revealed its plan to collaborate with VinFast in supplying tires for electric vehicles. At the 2025 Annual General Meeting, the management stated they have met initial requirements from VinFast and will develop corresponding tire lines. DRC plans to launch its electric tire products in June 2025. The company also approved a business plan with an expected revenue of 4.88 trillion VND for 2025, a 4% increase from 2024, while forecasting a 1% decrease in pre-tax profit to 285 billion VND. To address challenges in tire sales due to U.S. tariff fluctuations, DRC is exploring new markets in Europe and Asia. In Q1 2025, DRC’s revenue reached 1.18 trillion VND, up 21%, but pre-tax profit dropped 81% due to fierce competition and high material costs. The company observes that revenue may be further impacted by rising production costs and shrinking natural rubber areas.
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