The Aftermarket Show 2005
The Aftermarket Show will open its doors to tyre industry visitors at the NEC from 13 to 16 January next year. Organiser, Haymarket Exhibitions, believes that the show will be both relevant and appealing to all sectors of the industry. “The tyre section of the show is sponsored by the TIC, and the NTDA is again taking a stand; this is an exhibition that the tyre and fast fit market is keen and willing to support,” says Haymarket’s group sales manager Giles Brown. Exhibitors such as Vredestein, Nordisk, Rage, Eurosport, Autopart and equipment suppliers like Supertracker, Tecalamit and Mace Industries will all be returning for a second successive year. The last show was the first to combine all elements of an aftermarket industry, elements that had previously been exhibited as separate entities within Autosport International. The move is also an attempt to emphasise the combination of business and pleasure, and the automotive exhibition takes place over a full weekend for the first time. More than 90,000 people, including almost 25,000 from the automotive trades, attended the NEC for the two shows in 2004. Although the focus is on the consumer, brands such as Dunlop, Pirelli, Uniroyal, Yokohama, Kumho and Silverstone will all be displaying their latest motorsport and high performance ranges to visitors. Fulda will also be present and is sponsoring the Live Action Arena at Autosport International as part of its campaign to launch its ultra-high performance car tyres in the UK.
Continue ReadingMichael Schumacher Donates 10 Million
German Formula 1 star Michael Schumacher has made a cash donation of $10 million US dollars to the tsunami victims of southern Asia. The allocation of the money in the region will be undertaken by German authorities.
Continue ReadingChanging Landscape of the Indian Market
India’s strong tyre manufacturing base dates back over five decades. With a current production level of about 55 million tyres the country’s industry is expected to grow seven to eight per cent per annum in the near future, according to market insiders. Increases in domestic demand and exports will bring about a change in the landscape of Indian manufacturers which can already be characterised as an oligopoly, with few dominating players among dozens of competitiors. In order to comprehend the changing realities of the Indian market it is important to have a close look at the companies involved and major trends. The years to come will witness many changes – however the eventual outcome is still open for change.
Continue ReadingGoodyear Cleans Up
Goodyear has won a $159 million settlement from an insurance lawsuit over environmental clean up costs. The lawsuit, originally filed in 1993, challenged insurance companies that would not honour the company’s policies and pay out for government ordered clean ups of its facilities. The manufacturer said that the settlement will be paid over the next 15 months, however it is withholding the identity of the insurance companies involved.
Continue ReadingThe Latest from the Agri-World
The Royal Smithfield Show has always been the place to be seen for those involved in agricultural tyres. Renowned as one of Europe’s largest and most comprehensive agri-business events, this year’s exhibition will span 60,000 square metres of indoor space and is expecting up to 50,000 visitors from around the world. Around 20 companies, including ATS Euromaster, Bridgestone, R H Claydon, Goodyear Dunlop, Michelin, Mitas UK, Solideal, Tyremart and Wheel Solutions, will represent the agricultural tyre and wheel sector with a range of new and existing products. Tyres & Accessories will report the latest information from the agri-world and in the light of ongoing UK trade show debates will ask whether this is one tradition the UK industry can really afford.
Continue ReadingYokohama Launches ADVAN
Having exhibited some of its latest products at the year’s major automotive shows, including the Paris Motor Show and SEMA, Yokohama is officially launching its new ADVAN branded high performance products. The Japanese manufacturer has selected Dubai’s warmer climate as the venue for this event and promises the opportunity to experience the benefits of its products first hand. Tyres & Accessories will report from the United Arab Emirate of Dubai covering all the news on Yokohama’s latest products.
Continue ReadingThe End of the Spare Tyre? – Update
Following the publication of a new “question of the month” on the T&A website, half of those who responded said: “run flats bring as many complications as benefits.” Perhaps you disagree and believe that the only way to introduce the products on a wider scale is to sell them as original equipment. Perhaps you have stronger opinions and believe that introducing run flat tyres in this way will only price consumers out of the market. Either way Tyres & Accessories would like to hear from you. To select your answer and leave a comment, please click here.
Continue ReadingHow Well Will the Russians Fare?
Manufacturers prepare for strong competition The Russian tyre market has become more and more competitive. A market that “consumes” more than 1 million cars just 10 years after the collapse of its communist regime (2003: 1,046,000 cars) was never going to be neglected for long. Russian manufacturers were formerly state-owned companies and because of this have a considerable amount of work to do to prepare for the Western competitors that will come to Russia with premium tyre imports, off take agreements and newly-built factories. A bilingual supplement looks at the Russian market
Continue ReadingBorgWarner Executes Majority Takeover of BERU
BorgWarner Germany GmbH, Heidelberg, has announced that the closed share purchase agreement to purchase the majority of BERU AG’s shares, has been enforced. The announcement follows confirmation that BorgWarner Germany had agreed a share purchase agreement with The Carlyle Group and a group of family shareholders. This agreement accounted for 62.21per cent of BERU AG’s shares. As a result, two representatives of the Carlyle Group (Mr Gregor Böhm and Mr Heinrich Rutt) and two other businessman resigned from the supervisory board.
Continue ReadingFun and Games in an Eventful F1 Season
The end of one era…and the beginning of another Yes Michael Schumacher won his seventh championship and yes he set a new record for the number of wins in a season, but the fact remains that however great his achievements have been, many Formula 1 enthusiasts want to see different faces on the podium. However, those observers without any Ferrari allegiances need not complain. Whatever they say about the predictability of Formula 1 races, it has certainly been an eventful year off the track. In fact, some would say there has been more manoeuvring in the pit-lane and the boardroom than on the tarmac, with suggestions of team poaching, tyre stealing and driver pinching coming from every direction. In the midst of it all tyres have played a central role in both on and off track excitement.
Continue ReadingBridgestone’s Shares Fall
Bloomberg has reported that Bridgestone Corporation shares fell by up to two per cent after the Nihon Keizai newspaper reported that the company is expecting its first decline in pretax profit in four years. Bridgestone stock fell by as much as 40 yen to 1990 yen after gaining 42 per cent during the course of the last year. The Nihon Keizai reported that the tyre manufacturer’s pre-tax profits are likely to fall by 17 per cent to 150 billion yen (£763 million) because of an increase in the price of oil and other raw materials. The newspaper did not specify where it obtained its information. “It is based on the newspapers own reporting,” Bridgestones spokeswoman Setsuko Ozaki said, declining to comment on the report. According to Bloomberg, Bridgestones 2005 sales may rise 4 per cent to 2.5 trillion yen. Bridgestone may also report a record group net income of about 140 billion yen, up 30 per cent, after changing its employee pension fund system, the Nikkei newspaper said. Last month Bridgestone said it would raise the price of its tyres in 2005 in order to protect earning from rising raw material costs. Bridgestone and Firestone branded tyres used in passenger cars, trucks and buses will rise by between 5 per cent and 10 per cent, the Tokyo-based company said on 8 December.
Continue ReadingKumho Competes in American Le Mans Series
Kumho Tire is to join the American Le Mans Series (ALMS) this year, as a race tyre supplier, according to American news source Tire Business. The company will begin both tyre testing and the selection of a racing team this month. The tyre manufacturer is reportedly already in talks with GT and prototype teams.
Continue ReadingBridgestone Reviews Europe
Bridgestone Corporation has told the Financial Times that it is reviewing its European operations with a view to increasing production in this area. “We are undertaking a study of what might be built and where,” said Bridgestone Europes chairman and chief executive, Minekazu Fujimura. According to the business newspaper, Europe accounts for 12.5 per cent of Bridgestones global sales, which are expected to be to total more than $17 billion last year for 2004. Bridgestone is suggesting that any new manufacturing capacity will be located in Central or eastern Europe. Any future move will be made in response to the regions low labour costs and fast-growing car markets, factors that also prompted the company to double production in Poland. In addition Bridgestone is establishing a new proving ground, training and research centre near Rome, which is due to be completed in Spring 2006. Bridgestone currently runs five plants in Europe – three in Spain, one in France and one in Poland. Mr Fujimara explained that moving to Eastern Europe also involves something of a pay-off. “Affordability is an issue for western tyre makers seeking to grow sales there - they are behind on technology but lower on prices, said the Bridgestone executive. Bridgestone says it believes it is breakthrough time for run-flat tyres. At least three major new volume-built car models will be launched this year with run-flat tyres specified as standard, said Des Collin, Bridgestones commercial vice-president. While the contracts for the first volume car application - the new Mini - have gone to Pirelli and Goodyear, Bridgestone has won contracts with BMW for its One Series small car. Bridgestone expects sales of its run-flats to rise by 50 per cent this year to 1.5 million Mr Collin added.
Continue ReadingStomil Olsztyn Becomes Michelin Polska
Michelin has announced that it has consolidated its activities in Poland and will now conduct is business under the unified name of Michelin Polska. The newly created entity also took over the activities of Stomil Olsztyn manufacturing, and Michelin Polska trade Polish media sources are reporting. According to Poland AM news digest, the aim of the move is to unify Michelin’s structure and strengthen its image on domestic market. Michelin Polska is also responsible for operations in other countries, including Lithuania, Latvia and Estonia. The French manufacturer became Stomil’s majority shareholder in 1995 when it purchased 51.2 per cent of the tyre producers shares for $105 million. Last year, the firm posted a 153 million zloty (£26.53 million) net profit on revenues of 1.55 billion zloty (£268 million).
Continue ReadingInvestment Firm Acquires Performance Fibres Business Unit
Sun Capital Partners has announced that one of its affiliates has purchased Honeywell International’s Performance Fibres business unit. The terms of the transaction were not disclosed. The new business, Performance Fibers, is a global leader in high-performance industrial fibres and related materials, with operations in the US, France, Korea and China. “We are excited about the future of this business and the many growth opportunities we see in the global market for industrial fibres and related technologies,” said Greg Rogowski, Performance Fibers’ president and chief executive officer. “We plan to continue our leadership in this industry and to grow by providing our customers with the technology innovation they require and the quality and reliability they expect.” M Steven Liff, Principal at Sun Capital Partners, Inc, a leading private investment firm specialising in leveraged buyouts added, “Performance Fibers is a global leader, and by combining our business expertise at Sun Capital with the strengths of Greg Rogowski and his management team, we expect to enhance Performance Fibers’ position in its market niche. Through our investment, the company will be able to take advantage of numerous opportunities that will strengthen its core competencies.”
Continue Reading