Momo previews 2020 UHP tyre launch at SEMA
Italian tyre brand Momo is celebrating a successful week at the 2019 SEMA Show in Las Vegas, USA in which the firm hinted that it will launch a new product next year.
Italian tyre brand Momo is celebrating a successful week at the 2019 SEMA Show in Las Vegas, USA in which the firm hinted that it will launch a new product next year.
It’s almost two years since we first heard of Guizhou Tyre Co. Ltd’s intention to establish a plant in Vietnam, and plans have been taking shape since then. On 4 March, the Chinese tyre maker’s Board of Directors approved the establishment of a new wholly-owned subsidiary.
Cooper Tire & Rubber Company is to form a joint venture with Sailun Vietnam Co, Ltd to build a 2 million capacity truck and bus radial manufacturing plant. Subject to closing and government approvals, the facility will be located near Ho Chi Minh City, Vietnam, at the site of Sailun Vietnam’s existing operations, which early in 2018 signed an offtake agreement to produce Roadmaster, Dean and Starfire brand tyres for Cooper. The new announcement represents the latest move in a series of cooperative moves between the two firms – Sailun Jinyu invested in joining Cooper in its GRT JV in September.
Visiting CITExpo in 2018 had the potential to be a gloomy affair. A trade show that has specifically targeted medium-sized tyre Chinese manufacturers as a gateway for raising global interest, the trading environment in major export markets in Europe and North America have not been the most hospitable, with tariffs or anti-dumping duties affecting various product segments. In the UK, we heard from a major Chinese truck tyre importer that business had effectively been put on hold with the announcement that the EU was imposing tariffs in May. Pressure had also been mounting domestically, as the Chinese government moved to bring a halt to production at factories it considered to be too polluting, which led to upstream supply chain problems, as raw materials suppliers to the tyre industry were among those affected.
Singapore-based Firenza’s truck and bus tyres are manufactured manufacturing facilities in both Vietnam and Thailand which incorporate “the very latest technological advancements in tyre building technology and design”, according to the company.
All Firenza commercial tyre patterns include a solid shoulder construction complete with a zero angled steel band that is designed to significantly reduce irregular wear whilst a unique tread groove arrangement effectively safeguards against casing damage and stone retention.
At the end of May, anti-Chinese truck tyre tariffs were implemented. They included nominal (as opposed to percentage) tariffs at levels that surprised many. As a result, supply shortages and challenges at distributors were predicted. Shuttering of some of the lowest cost Chinese tyremakers is also expected. However, speaking to affected firms during the recent Tire Cologne reveals that many are already prepared to source tyres elsewhere. Indeed, the largest manufacturers have been off-shoring for some time. As a result, virtually all the leading Chinese tyre manufacturers already have non-Chinese tyre production in place. Let’s take a look at who’s got what.
Vietnamese tyre exports were worth US$920 million in 2017, up 44.2 per cent from 2016. Meanwhile, local tyre production enjoyed a trade surplus of $564 million in 2017, doubling the amount gained in the previous year.
Contract tyre supplier Firenza showcased five of the firm’s most popular ranges from car through to truck tyres.
Under a new multi-year manufacturing offtake agreement, the Sailun tyre plant in Vietnam will produce truck and bus radial (TBR) tyres for Cooper Tire & Rubber. Tyres produced for Cooper in the Sailun Vietnam Co., Ltd. plant will be manufactured under the Roadmaster, Dean and Starfire brand names and be sold in global markets. Cooper says the offtake agreement gives it a “third global source of TBR tyre production to meet growing customer needs.”
Vietnam Rubber Group (VRG), a state-owned business and country’s largest rubber producer/exporter, is scheduled to launch an initial public offering (IPO) on 2 February 2018 with shares being listed on the Ho Chi Minh Stock Exchange in June or July.
At the end of April Tyres & Accessories reported that Guizhou Tyre Co. Ltd. announced plans to build a truck tyre factory in Vietnam. Back then, reports suggest the company would invest RMB 1.67 billion (£189.3 million) in the project for a plant capable of manufacturing 1.2 million all-steel radials per annum. The intention was to set up the factory in the Long Jiang Industrial Park, some 30 miles from Ho Chi Minh City where a 20-hectare site had been selected. During the recent Tire+ exhibition in Shanghai, Tyres & Accessories sat down with Guizhou’s general manager of the export division, Jie You, and found out more about the company and its plans.
Guizhou Tyre Co. Ltd. intends to build a truck tyre factory in Vietnam. Chinese industry publication Tireworld writes that the company will invest RMB 1.67 billion (£189.3 million) in the project, which will result in a plant capable of manufacturing 1.2 million all-steel radials per annum. The intention is to set up the factory in the Long Jiang Industrial Park, some 30 miles from Ho Chi Minh City; Tireworld says a 20-hectare site has been selected, with construction commencing in the coming 12 months.
At the beginning of November Sailun Jinyu International (SJI) appointed Gareth Passmore as its president for Europe. He replaced Martin West, who has been appointed global president of the SJI Speciality Tire Group. Passmore, who started on 1 December 2016, is now responsible for all operations throughout Europe across all of the Sailun Jinyu Group brand portfolio – Sailun, Jinyu, Black Lion and Rovelo. Passmore brings with him over 25 years of tyre industry experience, including time with Continental, Apollo (in South Africa) and latterly with Sumitomo Rubber Industries where he headed up the Falken brand’s European export operations. During a recent brand and winter tyre product demonstration event in Sweden, Tyres & Accessories caught up with Passmore and at the same time we were introduced to Sailun’s ambitious goal of becoming a top 10 tyre manufacturer in the years to come.
Sailun Jinyu Group reports that the first all-steel TBR tyre was manufactured in its new factory in Vietnam on 24 November. In announcing the news, the China-based tyre maker notes that it decided to erect a second plant at its Sailun (Vietnam) Co., Ltd. site in order to combat the tariffs in place in the USA. It began work on the factory on 14 March 2016 and produced the first tyre just over eight months later.
South Korea’s Kolon Industries has signed a memorandum of understanding with the government of Vietnam’s Binh Duong province regarding the set-up of a tyre cord factory in the region. At the ceremony on 23 November, Kolon Industries also announced its entry into a land lease contract with Vietnamese investment and development corporation Becamex IDC, under which the Korean firm will lease a 42-hectare site in Becamex IDC’s Bau Bang Industrial Park.
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