Kumho Tire has been attempting to downsize for a possible sale, according to the Korea Times. At the same time, the Korea Development Bank (KDB) is threatening to withdraw support for Kumho Tire unless the tyremaker can agree restructuring terms with its trade unions. And this in turn could trigger receivership.
No I am not talking about the unqualifiable rumours that Doublestar made an offer of up to 250 million euros for Zenises. Rather, that in the first week of September we learnt that Doublestar’s proposed acquisition of Kumho was collapsing before the firm’s eyes after the Qingdao-Chinese tyre manufacturer asked for a double-digit discount. And it is also worth considering what all this means for the wider tyre manufacturing sector.
Autopromotec’s organisers have flown to South Korea, the world’s fifth ranked auto industry, ahead of the 27th edition of the automotive parts exhibition of which tyres play a key part.
The party, led by Emanuele Vicentini, Autopromotec Brand Manager, went to South Korea in March as part of the “Missioni di Sistema” program promoted by the Italian Ministry of Economic Development and the ICE – Italian Trade Promotion Agency. South Korea makes 4.5 million vehicles annually and Hankook, Kumho and Nexen are all based there.