Chinese Auto Market Stalled
The Chinese automotive market, expected to be the largest growth market for the coming decade has so far not lived up to expectations. Vehicle manufacturers are prepared to meet the expected demand but Chinese finance regulations have not been adapted to allow lending to facilitate purchase of cars. Currently only 10 per cent of private purchases are financed in Chine compared to 75 per cent in the USA. According to General Motors sales dont start rising until financing packages are available from the manufacturers. Currently finance is only available from the rapidly expanding Chinese banks where automotive finance business has grown by over 50 per cent per year for the past three years.
Continue ReadingCeat To Import Pirelli To India
Indian manufacturer Ceat Ltd has caused a stir by agreeing to outsource some 10,000 tyres per month from Pirelli. Recently Indian companies have sought to find cheaper alternative products by buying from other, lower cost markets but this move goes against the trend with Ceat importing higher cost, higher quality products from a world leading brand. The reasons are said to be to fill the gap left by the collapse of the Ceat - Goodyear JV to produce radials and to try and give the company a foothold in the growing radial tyre market without setting up another manufacturing operation in India. It may also offer a low risk opportunity to test the Indian markets capacity for high quality, high cost premium brand products. The outcome of the exercise may alter the nature of the Indian tyre market according to some commentators.
Continue ReadingLast Roller Rolls Off Crewe Production Line
The last Rolls-Royce to be made at the factory in Crewe has rolled off the production line, marking the end of 56 years of manufacture of the luxury car at the plant. In future, Rolls-Royces will be made at BMWs factory in West Sussex and the Crewe plant will be renamed Bentley Motors Ltd. next month. The final vehicle was a unique two-door Silver Storm convertible Corniche, worth an estimated 250,000 Pounds.
Continue ReadingSuppliers Halt Daewoo Production
Three Daewoo factories have been idle for two days after Korea Delphi Automotive Systems shut off component supplies in a row over payment. KDAS is Daewoos largest parts supplier and is said to be owed US$ 109 million by the car manufacturer. 200 other suppliers are also said to be considering cutting off supplies.
Continue ReadingNow Rugby Gets Go-Ahead To Burn Tyres
The Rugby Primary Care Trust has given the go-ahead for tyre burning trials at the towns cement works, provided emissions are rigorously and independently monitored. A Health Impact Assessment report said that the only pollutant to increase was likely to be zinc and levels of arsenic, cadmium, cobalt, nickel and lead would be less, compared with burning only coal. The decision was greeted angrily by protestors, some of who turned up at the meeting carrying a coffin.
Continue ReadingToyota Plans Assault On China
Toyota is launching a joint venture with First Automotive Works, Chinas biggest car manufacturer, to make luxury sedans, SUVs and cheaper, smaller cars in China for the local market. The target is to sell up to 400,000 vehicles a year by 2010 and an unconfirmed report suggests that the investment will total 1.29 billion Euros.
Continue ReadingHigh Performance Tyres From Nokian
Nokian Tyres has developed two new high performance summer tyres, tailored for Central Europe, the USA and Nordic countries, and which will go on sale next spring. The NRVi is a V-rated tyre available in 19 sizes and features an info field near the bead area - the tyre fitter marks the field with the correct inflation pressure for the drivers convenience. The second tyre, the NRY, is Z-rated (maximum speed 300 km/hr) and comes in six sizes, which correspond to OE sizes of many luxury cars.
Continue ReadingObituary – Chris Groenewald
It was with great sadness that we learned of the death on Monday of Chris Groenewald (59), UK Sales Director of Varta Automotive Batteries, following a year-long battle against illness. He joined Varta in 1982 and was a popular and respected figure, who will be missed by his many friends in the battery industry.
Continue ReadingCanadian Police Contract For Goodyear
Goodyears Canadian operation has won a three-year contract to supply tyres to all police pursuit vehicles in the province of Quebec. The contract, the value of which was not revealed, means that these vehicles will be fitted with Goodyears RSA Plus tyres; a product designed specifically for police use and which is fitted as OE on Chevrolet Impala, Ford Crown Victoria and Chrysler Intrepid police pursuit vehicles.
Continue Reading2Q Sales Growth For Federal
Federal Corporation of Taiwan has reported strong second quarter sales growth, up 19.4 per cent over the same period last year. 2Q sales were US$ 25.7 million (21.5 million in 2Q 2001) and markets outside Taiwan and China contributed US$ 18.9 million, or 77 per cent of the total. For the first six months of the year, sales are up by 18.3 per cent, at US$ 48.9 million.
Continue ReadingTwo Records For Dunlop South Africa
In South Africa, a V8 speedster called Spirit of Dunlop, shod with locally-produced SP Sport 7000D tyres, achieved an average speed of 388.538 km/hr over a measures kilometre, monitored by Motorsport SA. This is an unofficial, but recognised, World Land Speed Record for standard production tyres, says Dunlop Tyres South Africa. It also beats the South African Land Speed Record of 372.401 km/hr, which has stood since 1990. The Spirit of Dunlop was driven by three times SA Production Car Champion Grant van Schalkwyk.
Continue ReadingCooper B-To-B Website Coming To Europe Next Year
The Cooper Tire & Rubber Companys new business to business website, which was recently launched by the Findlay, USA-based tyre manufacturer, currently only allows U.S. customers to place orders via the internet. However, It is planned to make the service available in Europe early next year.
Continue ReadingReturn To Algeria For Michelin
By forming a company - Michelin Algerie - Michelin has made the first move to re-open its factory in Algeria, which was closed in 1993. A Government-led privatisation programme has been aimed at attracting foreign investment and Michelin is said to be waiting for some answers from Government before deciding whether to re-start production. Should this happen, the factory will employ 500 people and manufacture truck tyres, 60 per cent of which will be exported.
Continue ReadingPossible Merger In India
There are reports that Indian companies JK Industries and Vikrant Tyres Ltd. are exploring the possibilities of a merger to form one tyre company. JK Industries has outlined the plan to its lender, the Industrial Development Bank of India and is awaiting a response, while Vikrant has proposed a number of restructuring scenarios to its directors, one of which involves a merger with JKI.
Continue ReadingTyre Recall Due To Inflation Error?
Automotive safety experts in the USA have said that erroneous inflation recommendations from Ford may have played a part in the recent recall of nearly 600,000 Continental tyres, fitted as OE on Ford Expeditions and Lincoln Navigators. Rear tyres should have been inflated to 33 p.s.i., but Ford recommended 30 p.s.i. It has not been determined whether or not low pressure contributed to the current recall, but some observers pointed to the difference in recommended pressures by Ford and Bridgestone/Firestone as a factor in the spate of accidents involving Explorer SUVs and Firestone tyres.
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