Michelin deal part of NTAW Australian fleet business restructure

Australia’s National Tyre & Wheel (NTAW) has entered into a strategic alliance with the local Michelin subsidiary as part of a restructuring of its commercial truck and bus fleet tyre business. The Michelin agreement is one of two new initiatives that the tyre distributor has announced.

Restructure of truck & bus fleet tyre business

NTAW has historically provided customers in Australia with truck and bus fleet tyre services via its Tyres4U wholesale business, but under a restructuring of this business will make its Tyreright retail network the primary supplier of these services throughout the country. Tyreright will work in partnership with Black Rubber Pty Ltd., a firm that NTAW purchased in November 2021.

Thanks to acquisitions of Black Rubber and, in January 2022, Carters Tyre Services Limited (Carter’s), NTAW now considers itself better positioned to provide tyre management solutions to commercial fleet owners directly through its retail network.

Black Rubber and Carter’s already provide tyre management services through their retail networks, primarily in Western Australia and New Zealand, respectively. NTAW says both firms have developed valuable expertise, systems and experience to “deliver high-value solutions to small and large fleet owners.” The restructure enables NTAW to utilise this existing experience in tyre performance, tyre costs and environmental impact management to expand its commercial tyre business in other Australian states and territories directly through its Tyreright retail footprint.

NTAW’s Tyres4U wholesale business will continue to supply products to the expanded retail network.

Agreement with Michelin

Black Rubber has a long-standing relationship with Michelin Group subsidiary Michelin Australia Pty Ltd. Under this arrangement, Black Rubber is a licensed Michelin Service Centre, re-selling Michelin truck tyres and using Michelin raw materials to retread truck and bus tyres in its three Michelin accredited factories.

Under the new agreement, Michelin will support the establishment of additional Michelin Service Centres throughout Australia. These will be selectively co-branded with Tyreright stores based on the Black Rubber business model. The Tyreright network will receive favourable trading terms from Michelin and be the preferred supplier of fulfilment services to Michelin fleet customers.

Improving transportation performance

“NTAW is confident the new business structure will deliver growth to its commercial wholesale and retail businesses and greater access to high-value tyre supply and management solutions for its customers,” says Peter Ludemann, chief executive officer of National Tyre & Wheel Limited.

Nathan Flynn, commercial director of Michelin Australia, adds: “Michelin is confident that our agreement with NTAW will expand our offer of services to improve transportation performance and provide solutions that enable customers to enjoy outstanding experiences while on the road.”