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Looking forward to recovery – be it L, U or V-shaped

Anna; Pexels

Last month this column considered the range of 2020 market projections that existed. In short, as the column concluded, the consensus is that tyre demand will decline somewhere between 15 and 26 per cent during the course of this year. However, such a conclusion may also be on the conservative side. Certainly, when you talk with tyre wholesalers and distributors on the ground, some of those that didn’t opt to close their doors for a few weeks experienced even more marked declines in the short-term. Reports of tyre shops running on demand 70 to 75 per cent less than pre-lockdown levels are not uncommon. And yet, as lockdown eases across various UK and European markets – as well as beyond – the focus is quite rightly shifting to recovery.

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  1. The tyre business is keeping countries rolling
  2. Tyre demand declining 15 to 26 per cent in 2020
  3. SD International: Zeta, Pace and Toledo brands still available
  4. UK new car sales fell 44.4% in March due to coronavirus
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Micheldever focused on supporting tyre dealers’ survival during lockdown

‘Kick-starting your business’ webinar screengrabTyre Industry Publications Ltd

During our recent “Kickstarting your tyre business webinar”, the panel shared lockdown stories of how they have survived and even experienced success during these difficult times. For his part, Graham Mitchell, wholesale director of Micheldever Tyre Services, shared details of how his company moved from its role as a leading wholesaler to a more support-orientated position. For those pivoting into this new role during lockdown, far from having less to do, this meant being even busier than normal despite wholesale volumes dropping to 25 per cent of normal levels during the depths of lockdown (levels are much more normal now, however).

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Buyers found for 2 more Fintyre businesses in Germany

A week ago, Bridgestone announced its acquisition of 42 Reiff Reifen und Autotechnik retail outlets in Germany from the now-bankrupt Fintyre Group business. The insolvency administrator handling the Fintyre case reports that buyers have also been found for two further Fintyre businesses, Duro Reifenservice GmbH and Reifen24 GmbH.

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Avon Tyres partners with Reifen Gundlach and Reifen Center Wolf in Germany

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Avon Tyres has expanded its operation in Germany by partnering with Reifen Gundlach and Reifen Center Wolf. Under the new agreements, Avon will supply its latest car and van tyres to both companies.

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End of the line for German tyre wholesaler RS Exclusiv

Some ten weeks ago, German tyre wholesaler RS Exclusiv Reifengroßhandel GmbH entered insolvency as part of the Fintyre Group’s operations in Germany. It now seems that the company’s days are numbered. The insolvency administrator’s office confirmed the sale of RS Exclusiv’s headquarters site north of Hamburg to our German partner magazine, Neue Reifenzeitung. The wholesaler has quarter of a year to pack its things and go. But the insolvency administrator also reports another, more cogent reason for winding up the business.

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Cosmo introduces three new tyre lines

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New Cosmo tyresCosmo, TGI

Cosmo Tires is excited to announce the three newest members of its product line, the M+S/All-Season El Jefe HT, the M+S/All Season and the All Weather rated El Tigre AT, and the M+S/All-Season TigerTail. All are available for immediate order.

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TGI opening new warehouse

Tire Group International

Independent US tyre wholesaler Tire Group International is opening a new distribution facility in Tampa, Florida. The 50,000 square foot (4,650 square metre) centre will be operational as of 4 May and will carry all brands that TGI offers.

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The tyre business is keeping countries rolling

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Tyres keep roads and countries rolling

By the time you read this a quarter of the world will be on some kind of lockdown along with virtually every car plant in Europe and many tyre factories. We are in uncharted territory. And, as ETRMA secretary general Fazilet Cinaralp said recently, we have to brace ourselves for “one of the biggest challenges our industry has ever faced”. And yet there have already been numerous examples of endeavour, enterprise and generosity in the face of such adversity.

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SD International: Zeta, Pace and Toledo brands still available

Zeta, Pace and Toledo

With the Tire Cologne Show in Germany already cancelled due to the Coronavirus pandemic, the UK and European tyre markets are facing an unprecedented trading period. However, according to SD International, digital communication is now proving to be a valuable lifeline to keep the industry moving until the market is able to resume normal trading procedures. With this in mind, SD-International is continuing to promote its three private brands Zeta, Pace and Toledo “in support of the tyre trade”.

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Tyremax appointed Australian distributor of Continental truck & bus tyre range

Continental AG

As of 1 April, Tyremax will take over distribution of Continental truck and bus tyres in the Australian market. In addition to these products being available through the wholesaler’s distribution and delivery network, Tyremax will also provide all other facets of the service in relation to product warehousing, ordering, sales, logistics and technical support.

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ATG chooses STARCO for Alliance, Galaxy distribution in Switzerland

STARCO has taken on distribution of the Alliance and Galaxy agricultural, forestry and construction tyre lines in Switzerland under a newly-negotiated agreement with Alliance Tire Group (ATG). As authorised partner for the representation and distribution of Alliance and Galaxy tyres throughout this market, STARCO will provide its warehouse and distribution facilities as well as its expertise and skills in order to make ATG’s products more accessible to Swiss customers.

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Goodyear acquiring German wholesaler Reifen Baierlacher

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Goodyear plans to acquire a tyre wholesaler in Germany. Should the deal gain approval from the relevant antitrust authorities, Goodyear Dunlop Tires Germany GmbH will purchase Weilheim, Bavaria-based wholesaler and retailer Reifen Baierlacher. The tyre maker has not disclosed how much it will pay for the family-owned business.

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Andy Fern becomes MD of Stapleton’s

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European Tyre Enterprise Limited (ETEL) has appointed Andy Fern as managing director of its Stapleton’s Tyre Services tyre wholesale business.

Fern, who is currently group fleet sales director, replaces Wataru Goroku (‘Go’), who is taking on a new role with ETEL’s parent company Itochu. Go will provide continuity by taking the role of chairman of Stapleton’s during a transition period to ensure a smooth handover.

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Protyre becomes latest Goodyear agri range distributor

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Micheldever group company Protyre is once again distributing Goodyear agricultural tyres within the UK market. It will supply the Goodyear Farm Tires range from its 20 agricultural centres across the country; it already reports high levels of customer interest from Protyre outlets in areas such as Cumbria, Pembrokeshire, Derbyshire, Bristol and Essex.

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Fintyre Group employee pay ‘coming’, restarting business operations a priority

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All 16 companies in the German Fintyre Group have now applied to open insolvency proceedings. But what lies ahead for the 1300-plus employees awaiting wages and salaries, the affected companies’ creditors, and the companies themselves? Sebastian Brunner, spokesman for Miguel Grosser, the provisional insolvency administrator at law firm Jaffé, told our sister website in Germany, Reifenpresse.de, that approximately 200 Reifen Krieg employees will receive their outstanding January wages and salaries in the coming days. Business at the group’s wholesalers and retailers is largely at a standstill, though the office of the provisional insolvency administrator has some more positive news on this too.

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