Nexen to show full line-up
Nexen Tire will display its complete line-up at the company’s two-storey, 520 square metre Reifen 2014 stand. Tyres making an appearance include Nexen’s current summer, SUV and winter tyres plus concept and project tyres.
Nexen Tire will display its complete line-up at the company’s two-storey, 520 square metre Reifen 2014 stand. Tyres making an appearance include Nexen’s current summer, SUV and winter tyres plus concept and project tyres.
In the recent J.D Power 2014 Original Equipment Tire Customer Satisfaction Study, Nexen Tire attained what the Korean tyre manufacturer described as “promising results” for the second consecutive year.
Hyundai Motor has sold six million cars to European customers since the company began sales in the region in 1977. It took the company 19 years to sell its first million cars in the region. Since then it has taken less time to reach each subsequent milestone, with the latest one million cars sold in just over two years.
After weeks of speculation South Korean tyre manufacturer Nexen Tire has confirmed that it is investing US$800 million in the construction of a new tyre factory in the city of Nošovice, in the east of the Czech Republic.
Earlier this month, Nexen Tire responded to speculation that it had selected the Czech Republic as the site for its new European tyre factory by stating that these were merely false rumours. Now it seems Poland’s Deputy Prime Minister and Economy Minister Janusz Piechociński has indicated his country is top contender. On 14 March, the Warsaw Business Journal published a comment Piechociński reportedly recently made: “Soon there will one of Europe’s largest tyre factories in Lower Silesia.”
Nexen Tire will soon make a decision on where to build its new plant in Eastern Europe, and several international news reports point to the Korean tyre maker choosing the Czech Republic. Yet Nexen denies having selected the country, or indeed any particular location, as its preferred site. Responding to news published by Czech News Agency and media questioning, an unnamed company official made clear what Nexen has already decided upon – and what it hasn’t.
Two of South Korea’s three tyre makers have developed tyres specifically for fitment on the Soul EV, the first electric car produced by Kia. The Korean manufacturer says Kumho Tire and Nexen Tire have developed low rolling resistance 205/60R16 tyres for the vehicle, which debuts at the Geneva Motor Show this week. These reduce rolling resistance by ten per cent without impacting on ride comfort, handling, NVH or braking distance, says Kia.
In the previous financial year, Nexen Tire only managed to slightly increase its global turnover. The third-largest Korean tyre maker reported a 2013 turnover of KRW 1.73 trillion (£973.38 million), just 1.3 per cent higher than in 2012. Income also came under pressure. While operating profit amounted to KRW 177 billion (£99.38 million) and lay 1.9 per cent below the previous year’s result, net profit decreased 7.8 per cent to KRW 124 billion (£69.63 million).
Nexen Tire America has appointed Kyle Roberts its new director of marketing. The company says Roberts will lead the tyre maker’s marketing effort to building a brand that resonates industry-wide.
In addition to supplying tyres for the Octavia, Nexen Tire now also ships products for original equipment fitment on Škoda’s latest Rapid. Nexen’s N’blue tyres are fitted to Rapid and Octavia models manufactured at Škoda’s Mladá Boleslav plant in the Czech Republic.
Nexen Tire has taken on a new European sporting commitment with the signing of a sponsorship contract with German football club VFL Wolfsburg. The contract gives Nexen exposure through the 240 metre-long LED advertisement board and other advertising positions at the team’s home stadium, Volkswagen Arena, and on the VFL Wolfsburg homepage for the 2013-14 half season. Nexen also gains the right to use photos of the team’s players in its advertising and promotional activities.
Three tyres have been given a Good Design Award by the Japan Institute of Design Promotion (JDP) this year. These are the Bridgestone Blizzak VRX, the Toyo M929 TBR tyre and the Nexen N9000 semi street racing tyre.
Nexen’s third quarter figures have underperformed market expectations. According to Deutsche Bank research published 1 November, Nexen’s operating profit results were 13 per cent below consensus expectations.
During the third quarter of 2013, net sales at Nexen Tire Corporation declined 2.9 per cent to KRW 438.5 billion (£253.9 million), the company reports. Gross profit rose 3.6 per cent compared with a year earlier to KRW 124.7 billion (£72.2 million) while operating profit was 12.1 per cent down at KRW 46.3 billion (£26.8 million). EBITDA was 3.1 per cent lower at KRW 71.9 billion (£41.6 million), with the margin stable at 16.4 per cent.
A news release from Bulgaria’s Ministry of Economy and Energy suggests that Nexen Tire intends to become the second Korean tyre maker with a manufacturing presence in the European Union. The Ministry reported that a meeting with a leading tyre maker took place during a visit to South Korea by Bulgaria’s Deputy Minister of Economy and Energy Krasin Dimitrov.
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