European Car Registrations
The European car market rose 1.5 per cent in April according to POLK. Among the different OEMs BMW registrations were up 22 per cent and Porsche 26 per cent. Figures were down 1.1 per cent for VW and 0.1 per cent for Renault. Mercedes brand sales were up 2.5 per cent. On the weak side: Peugeot was down 4.7 per cent and Fiat again very weak, was down 15 per cent. Overall, April was a good month for the premium brands, volume brands remained sluggish.
Continue ReadingKumho Scientists Seeing Red…and Blue
(Akron/Tire Review) Kumho Tire USA has introduced a specially designed tyre that produces red smoke, developed for drift competitions. The Kumho Ecsta MX-C made its debut with Enjuku Racing at the Formula Drift event at Road Atlanta last weekend. “When we saw the red smoke boiling off the rear tyres, we just stood there and stared in awe,” said Enjuku lead driver and team captain Matt Vassallo. “I think people will be blown away when they see this.”
Continue ReadingHankook Profits Up
Hankook Tire has released its first-quarter figures showing a 3.5 per cent increase in net profit. Its profits now stand at 56.6 billion won (£30.5 million). Operating profit, however, edged down 2.4 per cent to 68.3 billion won, (£36.8 million). Sales rose 6.3 per cent to 475.6 billion won (£256 million).
Continue ReadingCompanies Object to Hankook Treatment
(Akron/Tire Review) Various companies are lining up, according to reports in the Slovak Spectator, to protest the special incentive package the Slovakian government has extended to Hankook Tire as an inducement to get the South Korean tyre maker to build a new plant there. Slovakian tyre company Matador Púchov and members of Klub 500, an association of companies, say the investment incentives offered by the government are unfair and may exceed established limits. Matador, in particular, said the incentives place it at an unfair advantage.
Continue ReadingInside Look at China’s Automotive Market
(Akron/Tire Review) Special Report by Amy Antenora of AMN Over the past few years, global competition in the automotive industry has significantly heated up. Wayne Xing, editor and publisher of China Business Update, addressed the country of particular Interest, during a presentation at the 2005 Global Automotive Aftermarket Symposium (GAAS). GAAS was held this week in Chicago. In recent years, China’s automotive industry has exploded as the country’s infrastructure and economy have begun to allow for and create increased interest in passenger cars. It took China 40 years to produce 1 million automobiles, from 1953 to 1992. Today, however, the Chinese vehicle market is expanding at an ever-increasing clip. It is estimated that this year, China will surpass 6 million vehicles produced.
Continue ReadingBridgestone Sponsors World Golf Championship
Bridgestone Sports has become an official sponsor of the World Golf Championships for 2005. The agreement will allow Bridgestone to advertise and benefit from on-site relationship building around each of the three remaining 2005 World Golf Championships events. Additionally, Bridgestone gains the right to promote its official sponsor status in all of its advertising. “We are pleased to announce Bridgestones new role as an official sponsor of the World Golf Championships,” said PGA TOUR Commissioner Tim Finchem on behalf of the International Federation of PGA Tours. “We look forward to a long-term relationship with Bridgestone and hope that it will grow over time.” Hisashi Kawano, the president of Bridgestone Sports Co., Ltd, commented: “We are honored to enter into this relationship with the World Golf Championships. The World Golf Championships is a highly regarded international series of events that fits perfectly with the international nature of the Bridgestone family of brands.”
Continue ReadingBandag Introduces ProWheel
(Southern Africa/SA Treads) Bandag has launched ProWheel, a tyre tracking software aimed at small and medium sized fleets that require constant, up-to-date monitoring, as opposed to complex reporting. Introduced as part of Bandag’s aim to offer fleet solutions it believes the new product will assist in the overall reduction of operating costs. Bandag describes the system as having a “practical and easy-to-use interface which will enable its users to comfortably navigate through the system.” The system was developed with the intention of automating the tyre recording and controlling function by migrating users from a manual system to an electronic format. It records tyre location, mileage, purchase and retread costs and CPK for scrapped tyres. Once this information has been recorded, the system makes a provision for an official report in the form of a Tyre Card containing the entire tyre history.
Continue ReadingChanges at the Top of Conti
Continental AG executive board member, Martien de Louw, will leave the company due to differing views of the business stategy. The decisions is reported to have been made by mutual agreement. Mr de Louw had been responsible for the corporation’s Passenger and Light Truck Tyre division since 1 February 2003. Manfred Wennemer will take over as head of the Passenger and Light Truck Tires division with immediate effect, in addition to his function as chairman.
Continue ReadingCopeland Named to Head Goodyear Australian JV
(Akron/Tire Review) Joseph Copeland, senior vice president of business development, strategy and restructuring, for Goodyear Tire & Rubber Co has been named CEO of Goodyear’s South Pacific Tyres subsidiary. Goodyear owns a 50 per cent share in the Australian joint venture. Mr Copeland will report to the South Pacific Tyres board of directors, as well as to Pierre Cohade, president of Goodyears Asia/Pacific tire business. Darren Wells, Goodyear’s vice president and treasurer, was promoted to senior vice president of business development and treasurer, reporting to Richard Kramer, executive vice president and CFO. Mr Wells will assume Joseph Copelands business development responsibilities as well as additional oversight responsibilities for the investor relations and tax functions.
Continue ReadingShareholders Move to Ditch Directors
(Akron/Tire Review) According to a report by Queensland Newspapers, Bridgestone Australia shareholders failed in a bid to oust members of the company’s board of directors at the firm’s annual meeting 9 May. Meanwhile, Bridgestone Australia chairman and CEO Makio Ohashi told shareholders that the financial situation wasn’t going to get better, warning of continued lower profits because of escalating raw materials costs and competition from imports.
Continue ReadingPirelli Earns Ford Honour
(Akron/Tire Review) Pirelli Pneumatici SpA received Ford Motor Cos Gold World Excellence Award, recognising the manufacturer’s performance in quality, cost and delivery. In all, Ford honoured 52 suppliers from 21 countries, but only 17 received the Gold World Excellence Award, according to Pirelli.
Continue ReadingFederal and Nexen Announce Price Increases
Federal and Nexen have announced price increases of up to five and 7 per cent respectively. Federal explained that some the announced price increases already took effect on the 1 April 2005. Raw material price increases, rising energy and fuel costs, higher transportation costs as well currency appreciation have been cited as reasons for the price hike. According to Federal, “the present price increase does not fully absorb and reflect its increase in costs.” The company has yet to decided whether or not there will be further price increases in the third quarter.
Continue ReadingEuro Car Parts Launches New Commercial Range
Euro Car Parts has launched a new light commercial vehicle parts catalogue. The catalogue contains original equipment parts and accessories for light commercial vehicles covering Citroen, Mercedes, Peugeot, Renault and Volkswagen.
Continue ReadingLarge UK Tyre Manufacturers and Distributors are Bigger Not Better
Size and scale are no advantage when it comes to overall financial success, according to a new study by Tyre Manufacturers & Distributors industry analysts Plimsoll Publishing. It seems the industrys smaller players are putting their larger counterparts to shame when it comes to overall financial performance. The top 60 major players currently control almost 94 per cent of the market. Yet look beyond their size at their individual financial performance and their image appears somewhat staid, according to Plimsoll analysts.
Continue ReadingVisteon Reviews Financial Results
Car parts maker Visteon Corp, is to delay publishing its first-quarter earnings report while it sifts through financial records that it suspects might be bogus. The Michigan based company identified errors in costs relating to freight and material surcharges, raising questions about possible improper conduct by a former senior finance employee charged with overseeing North American purchasing. The company reports that up to $31 million in first quarter charges published in first quarter results may need to be restated. Visteon said that its ongoing discussions with former parent company, Ford, wont be affected by the news.
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