SmarTire appoints Chinese distributor
SmarTire has appointed Beijing Boom Technology Co. Ltd. as the master distributor for its tyre pressure monitoring systems in China. Under the agreement, the Chinese company will purchase $1.5 million worth of aftermarket TPMS over the next twelve months and $3.9 million worth in the twelve months commencing 1st September 2004.
Continue ReadingThai rubber price hits record high
The price of rubber in Thailand has risen to a record high of 50 Baht per kilo (1.07 Euro), which is good news for growers and not so god for producers of products such as tyres. Last year Thailand exported 2.35 million tonnes of rubber to 60 countries, with China and Japan each taking just under half a million tonnes. This year China is expected to be the largest customer, taking around 550,000 tonnes, valued at 30 billion Baht (642.6 million Euro).
Continue ReadingSmarTire signs contract with Korean electronics company
SmarTire has signed a contract manufacturing services agreement with Hyundai Autonet Company (HACO), a Korean automotive electronics company, whereby HACO will manufacture SmarTires tyre pressure monitoring systems for global sale and distribution by SmarTire. HACO is a subsidiary of the Hyundai Group.
Continue ReadingLex buys millionth tyre from Kwik-Fit Fleet
Six years after signing a solus tyre and battery agreement with Kwik-Fit Fleet in 1997, Lex Vehicle Leasing purchased its millionth tyre. Lex operates a fleet of 100,000 vehicles and the company has signed an extension to the contract until December 2005. For the record, the one millionth tyre was a Michelin 7.50 R16, fitted to an RAF-operated Land Rover Defender.
Continue ReadingPSA sales down in 3Q
Peugeot Citroen (PSA group) reported third quarter sales down 3.5 per cent to 12.36 billion Euro. The main reasons for the decline were unfavourable currency effects and a 1.8 per cent decline in numbers of vehicles sold.
Continue ReadingMichelin winter tyres top test
Michelin winter tyres performed well in a test of 40 tyres in three sizes, conducted by ADAC, Europes largest automobile club, in Germany. The Michelin tyres tested achieved the best overall scores and, in the V-rated category, the new 225/45 R117 Pilot Alpin was awarded the maximum score.
Continue ReadingPreliminary settlement in heat hose lawsuits
A judge in the USA has conditionally approved a settlement to a class action between Goodyear and homeowners, who allege that heating hosing installed in their houses was faulty. The settlement is worth $236 million and Goodyear has agreed to contribute $76 million over five years, with a possible further $40 million in contingency payments.
Continue ReadingJV between Stamford Tyres and Sumitomo in China
Singapore-based Stamford Tyres is entering into a joint venture with Sumitomo Rubber Industries to produce passenger car radials in a new factory in China, being built by SRI. SRI will hold 60 per cent of the JV. The factory should begin production in the first quarter of next year and will eventually have an annual capacity of three million units, destined for both domestic and export markets.
Continue ReadingMichelin wins J.D. Power awards for fourth year
For the fourth year running, Michelin was ranked highest for customer satisfaction by motorists in the US, buying replacement tyres for cars and light trucks. These two accolades mean that Michelin has achieved no fewer than 37 such awards - more than all other tyre manufacturers put together. The company has also won a J.D. Power award every year since they were first introduced in 1989.
Continue ReadingCar tyre sales in Poland reach record
The total number of car tyres sold in Poland in the first nine months was a record 5.4 million, or eight per cent higher than the same period last year. Sales of tyres H-rated and above grew by 21 per cent, and off-road vehicle tyre sales were up 54 per cent. The biggest sector - budget tyres - saw sales rise two per cent and winter tyre sales were up 13 per cent. Analysts expect the figures to have positive effects on the share prices of the two tyre companies on the Warsaw Stock Exchange; Stomil Olsztyn and Debica, which has a market share of over 50 per cent. Also, as exports account for the majority of their turnover, the two companies will benefit further from the strong Euro.
Continue ReadingPirelli hopeful of Petit Le Mans success
This weekend sees the finale of the American Le Mans Series (ALMS), the Petit Le Mans. The 1,000-mile or 10-hour race is being held at Road Atlanta, not far from Pirellis MIRS factory at Rome, Georgia, and Pirellis hopes are riding on the Ferrari 550 Maranellos of Team Olive Garden. Pirelli won the inaugural Petit Le Mans event in 1998.
Continue ReadingGoodyear shuts down belt manufacture
Goodyear is to discontinue operations at its conveyor belt factory in Bowmanville, Ontario next April. The move, says Jim Pecorelli, director of global manufacturing for Goodyears Engineered Products division, is to consolidate production to reduce our cost base and maintain an industry leading role. The phasing out begins immediately and will eventually affect 160 associates. The Bowmanville plant has been part of Goodyears operations since 1910.
Continue ReadingCooper 3Q figures – sales up, profits down
Cooper Tire & Rubber has published its third quarter figures. Sales totalled $913 million ($839 m in 3Q 2002), with tyre sales a record $526 million - 13 per cent up on the 3Q 2002 figure of $464 million. Operating profit on tyre sales was $34 million ($27 m). Despite these good sales figures, profits were hit as, overall, Coopers net income was $18 million, compared with $23 million in 3Q last year. Looking ahead, chairman, president and CEO Thomas A. Dattilo said that the company was optimistic about improving conditions in the tyre industry. We expect the improving economy and consumer confidence to spur increasing replacement tyre demand.
Continue ReadingBandag 3Q figures – sales down, profits up
Bandag turned over $211.4 million in the third quarter, 14 per cent down on the 3Q 2002 figure of $245.9 million. This was largely due to lower sales at distribution subsidiary company Tire Distribution Systems. Consolidated net income, however, was up slightly at $20 million ( $19.6 m 3Q 202). Bandags Chairman and CEO Martin Carver said he was cautiously optimistic that the US economy was improving and that this would be reflected in sales.
Continue ReadingSmarTire year-end results
SmarTire has released figures for the fiscal year ending 31st July 2003. Turnover was $1.8 million; an 80 per cent increase on the 2002 figure of $1 million. The company reported a net loss for the year of $9.9 million (-$6.8 m in 2002). Bright spots are the introduction of the TREAD act, mandating tyre pressure monitoring systems on US vehicles, and entry into new markets, such as China.
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