CTNA’s Charlotte Tyre Plant Faces Uncertain Future
(Akron/Tire Review) Continental Tire North America Inc. (CTNA) may cut additional jobs at its Charlotte, NC, tyre plant or shut down the facility, according to Alan Hippe, chief financial officer for Continental AG. Hippe told The Charlotte Observer that the Charlotte plant is CTNA’s most expensive manufacturing facility. Health care and pensions are primarily responsible for the high costs, he told the newspaper.
Continue ReadingMichelin Reports Increase in Overall 3Q Net Sales
(Akron/Tire Review) Groupe Michelin reported an increase of 4.5 per cent in net sales for the current third quarter, compared to the third quarter of 2004. In North America, the passenger and light truck tyre replacement markets experienced a 2.6 per cent growth year to date September 2005, compared to 2004, Michelin reported.
Continue ReadingDelphi Appoints Aftermarket Marketing Director
(Akron/Tire Review) Delphi Corp. appointed Brian Altenberger as global director of marketing for its Delphi Product & Service Solutions unit. Altenberger replaces Lucia Moretti who was recently named managing director for Delphis Aftermarket operations in Europe, Middle East and Africa. In his new role, Altenberger will be responsible for global marketing for Delphi’s aftermarket product lines, distribution strategy and business planning.
Continue ReadingInvestor Unhappy With Titan “Merger” Plans
(Akron/Tire Review) Activist hedge fund Jana Partners has taken a strong stance against the proposed “merger” between Titan International and One Equity Partners. Calling it a move to take Titan private, Jana Partners said the $18 per share offer made by One Equity Partners was “well below the true value of the company.”
Continue ReadingBridgestone Officially Opens Steel Cord Plant in China
Bridgestone Corporation officially opened Bridgestone (Shenyang) Steel Cord Co, Ltd, in Liaoning Province, China. Bridgestone invested US$94.3 million in the construction of the plant, which began producing steel cord for truck and bus radial tyres in August this year. Production capacity is projected to reach 70 tons per day by the end of 2007. About 100 people attended the opening ceremony, including Chinese government and municipal officials such as Song Qi, deputy mayor of Shenyang. Heading the Bridgestone contingent were Masaharu Oku, the board of directors, vice president and senior officer responsible for tyre production and distribution, Hiromichi Odagiri, vice president and senior officer, chief representative of Bridgestone tyre operations in China, Kaoru Fujioka, vice president and officer in charge of steel cord, and various other plant officials.
Continue ReadingDunlop Promotes Below 7 Degrees Campaign
North American tyre marketers have taken the comical approach to promoting winter tyre use. A recent press release published from Goodyear’s Akron, Ohio HQ asks: “Waiting for Groundhog Day before deciding on winter tyres for the family vehicle?” Instead Dunlop representatives urge drives not to wait until the ”furry prognosticators make their predictions.”
Continue ReadingNorth West Tyres Takes on New Brand
Hanksugi Japan has a new distributor for the UK. Following Hanksugi Japan’s decision to release Stamford Tyres from any duties in Europe, North West Tyres (NWT) from Morecambe, Lancashire, has been appointed as a partner for distribution. As NWT’s managing director Andrew Wess explains, his company has just received the first 20 containers full of Hanksugi truck tyres from the company’s factory in China. These tyres, which are first to be supplied to Europe’s central warehouses, are what Mr Wess calls an “initial buffer stock” for the sales operations that are about to commence. When NWT took over the Hanksugi business in the UK itself, the company began looking “for the right people” in other European markets. North West Tyres says it can guarantee on-time supply, even at short notice for customers in the UK or Ireland and for relatively small amounts because it runs its own delivery fleet of 20 vehicles.
Continue ReadingBosch Subsidiary Partners with Brembo in India
Kalyani Brakes Ltd, Bosch’s Indian subsidiary has set up a joint venture with Italian brake company Brembo. The two businesses are set to establish a 50:50 joint-venture company for the application engineering, production and sales of motorcycle brakes following an agreement signed on 17 October 2005.
Continue ReadingGoodyear to Invest $18 Million on Expansion in India
(Akron/Tire Review) Goodyear Tire & Rubber Co said it will invest $18 million in the company’s Indian operations next year. The investment, according to Goodyear, will be used to upgrade technology and increase production capacity for passenger tyres.
Continue ReadingDunlop Tyres Zimbabwe Set to Re-Open
Dunlop Tyres, Zimbabwe’s only tyre manufacturing firm could soon reopen following the intervention of Industry and International Trade Minister, Obert Mpofu. Dunlop shut down three weeks ago, sending 820 workers home after the Reserve Bank of Zimbabwe (RBZ) failed to pay the firm its foreign currency allocations under an exclusive agreement. The government is now expected to pump up to US$350,000 into Dunlop towards imports for raw materials. “It is envisaged that Dunlop will have a three-day working week until foreign currency inflows normalise,” newzimbabwe.com reported.
Continue ReadingToyo Begins Making Test Tyres at New Plant
(Akron/Tire Review) Toyo Tires International has begun “prototype tyre production” at its Toyo Tire North America (TTNA) plant in White, Georgia. The first test tyres rolled off the line on 10 October, just a year after ground was broken for the highly automated plant. Toyo officials said that upon completion of product quality checks and performance tests, TTNA will launch commercial production in early 2006. The plant will have an initial capacity of 2 million passenger and light truck/SUV tyres per year.
Continue ReadingUpward Re-Revision of Forecasts
The Yokohama Rubber Co, Ltd has announced a 2.3 per cent increase over its initial forecast for the first half of 2006 (1 April 2005 to 30 September 2005). This means the company expects to record 200 billion yen in net sales, 3.5 billion yen increase in ordinary profit (a 133.3 per cent increase) and 13 billion yen in net income (up 8.3 per cent). According to Yokohama, these upward revisions reflect an increase in the volume of sales in the company’s overseas tyre business, profit improvements in North America, and the weaker-than-expected foreign exchange rate of yen.
Continue ReadingNizhnekamskshina Expands Into Using Silica Technology
After several years of working in close association with engineers from one of the world’s largest tyre manufacturing factories, Chronos Richardson has secured a major order from the CIS. Valued at more than 2.5 million euros, the contract is for silica-based tyre compounding systems for the Nizhnekamskshina factory in Tartarstan.
Continue ReadingHankook Tire Selects Hungary as ‘Preferred Site’
Hankook Tire’s board of directors has approved the selection of Hungary as a preferred site for its proposed 500 million euro plant, the AFX news agency has reported. According to the report, Hankook has formed a local unit -- tentatively named Hankook Tire Hungary Ltd -- to conduct talks with the Hungarian government. The unit is said to have a capital base of 14.9 million won. “If the talks are going well, then we can expect to announce the result in early November,” a Hankook Tire spokesman said. The news follows Slovakia’s refusal of incentives worth 110 million euros.
Continue ReadingNew F1 Rules
A meeting of the Formula 1 commission has voted to re-introduce tyre changes into the racing series. The Daily Telegraph described F1’s decision to reintroduce tyre changes as “far from unanimous”. In addition the series will adopt a new qualifying system for next season as well as a radical alterations to vehicle aerodynamics and appearance.
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