Cooper acquisition is a game changer – Apollo MD talks to T&A
With the ink still drying on Apollo Tyre’s agreement to purchase Cooper Tire and Rubber, on 27 June Tyres & Accessories met with Apollo vice chairman and managing director Neeraj Kanwar at the company's new global marketing office in central London in order to get the inside line on the deal, the impending integration and the strategy behind the purchase. In 2010, Apollo's owners, chairman Onkar Kanwar and vice-chairman and managing director Neeraj Kanwar, told the world that the company was aiming to break into the global top 10...at least. At the time this announcement was made you could be forgiven for thinking such a proclamation was either an exercise in hyperbole or in corporate goal setting. And why not? There's nothing wrong with aiming high, as many of the world's fastest growing tyre companies are clearly doing. After all, as the saying goes, “he who aims at nothing hits it”. But with all the speculation that surrounded the company's decision to engage in takeover talks with Cooper at the end of 2012, the fact that the deal has now been agreed arguably isn't as much of a surprise as the speed with which the top 10 goal has been attained. Early indications suggest that the amalgamated Apollo/Cooper will be the seventh largest tyre company on earth. So whats next? The exclusive club that is dominated and fiercely defended by the big five? Or, as is more likely, a period of integration and consolidation while the dust settles?
Continue ReadingChina to impose import tariffs on EU cars?
A report in French financial magazine Les Echos suggests that the Chinese Government is considering imposing an additional tariff on cars imported from the EU. The report was picked up by analysts Morgan Stanley, who suggest that the new tariff could be in response to the recently-announced 11 per cent tariff by the EU on Chinese-made solar panels. ACEA, the EU car association, says that the car tariff could be in place as early as September.
Continue ReadingAutopromotec: 2013 show the largest ever
Autopromotec 2013’s organisers lauded the latest Bologna show, which took place in May and described it as “the largest and most international ever”. This is supported by a record-breaking number of exhibitors and the largest exhibition space ever – that is 1,512 exhibitors from 52 countries covering a total exhibition area of 156,000 square metres (20,000 of which outdoors). Visitor numbers were also huge - 102,536 attended in total, of which 83,594 from Italy and 18,942 from abroad.
Continue ReadingAmiens closure is inevitable, so what’s it mean for the rest?
With no buyers seeking to purchase it, the closure of Goodyear’s Amiens Nord tyre manufacturing facility now looks inevitable. And according to various French news reports, France's government has now faced up to the fact that this means the loss of up to 1,200 jobs. Indeed closure is now the only option on the table after the French Agency for International Investment (AFII) contacted 57 potentially suitable of which just eight said they would be interested. Of these five signed confidentiality agreements and two non-binding offers were presented, but France's Economic Redevelopment Ministry said "after careful examination of the plans put forward," no candidates were in a position to present a binding offer.
Continue ReadingAutopromotecEdu hosts IAAM13 conference
Leading European aftermarket trade associations Aica, Anfia, Airp, Clepa, Egea, Feda, Federpneus, Figiefa met at the IAAM13 conference that ran as part of the AutopromotecEdu section of the recent Autopromotec exhibition. IAMM13 focused on providing companies and professionals operating in the aftersales business some foresight of trends and developments of the aftermarket sector in Europe and a number of strategic countries, such as BRIC (Brazil, Russia, India and China), threreby offering them the opportunity to find new international channels for their sales and marketing activities.
Continue ReadingMaxxis: Sales have grown US$2 billion in five years
Maxxis International has reported another strong year of growth for the 12 months to January 2013. Results from the last financial year show Maxxis tyre sales figures surpassing US$4.5 billion for the first time, up over $2 billion in the last five years alone. The company reports that despite an adverse global economy and substantial investment in research and development, increased manufacturing capacity, its new academy and latest testing facilities, Maxxis has still succeeded in posting net earnings of well over $1 billion.
Continue ReadingTriangle buys 10% share of TYM International
Triangle and TYM International have jointly announced the Chinese tyre manufacturer’s purchase of a 10 per cent share of its UK distributor’s business. TYM International general manager, Steve Eke and Triangle Group board chairman, Ding Yuhua exchanged documents during the Triangle Group’s 2013 Global Business Summit at the Pudong Shangri-La Hotel, Shanghai on 18 May. The purchase is currently subject to ratification by the Commerce Department of the Chinese Government, though both parties are confident that the deal will proceed smoothly. This year marks the tenth anniversary of TYM’s distribution of Triangle passenger car, truck and bus, and off-the-road products and Eke told Tyrepress.com that he was very pleased to have converted “the customer-supplier relationship into a partner relationship.”
Continue ReadingGfK: Central Malaysia PCR sales 1.2 million units in 1Q 2013
Increased affluence and the rise of car ownership is creating demand for passenger car tyres in Malaysia’s booming central region. The latest GfK retail audit report shows that sales of passenger car tyres in the high traffic states of Kuala Lumpur and Selangor have been rising consecutively in the last two years, with the first quarter of this year reporting a surge of 14.6 per cent over the same period in 2012.
Continue ReadingBridgestone Russian plant spells end of supply/demand gap
Following the news that Bridgestone is investing in the construction of a passenger car tyre plant in Russia, market analysts have shared various views on the impact this move will have on the local market. For its part Deutsche Bank took the opportunity to situate the news in the context of wider domestic market development.
Continue ReadingAmiens lawsuit seeks to block Goodyear plant closure
When Maurice Taylor visited Goodyear’s plant in Amiens, France, he claims to have observed workers talking for several hours a day instead of getting busy with the tasks they were paid to do, and when he challenged them about this they replied it was “the French way.” Now the Amiens plant workers are engaging in a behaviour more in line with the American way – they have sued Goodyear Tire & Rubber.
Continue ReadingA presence in Europe part of Blackcircles’ growth plan
In addition to announcing a 30 per cent rise in sales last year, Blackcircles.com appears set to expand across the Channel in the near future. Company founder and managing director Mike Welch states the online retailer aims to grow market share both in the UK and internationally and claims that Blackcircles.com is now in talks with parties in Central Europe; if all goes to plan, an announcement regarding a partnership or acquisition will be made before the end of this year.
Continue ReadingSpruced up ‘tyre man’ ready for road trip
You can’t keep a good tyre man down. That’s what Manly Council in Australia is coming to terms with half a year after its order to remove a much loved local icon was carried out. The ‘tyre man’, a dummy who sat atop a tyre-ringed pole in the Sydney beachside suburb for more than 80 years, was taken down last August after his deteriorating condition was judged a hazard to passing pedestrians. But instead of disappearing forever, tyre man is back – and he’s off on holidays before resuming his vigil over Manly.
Continue ReadingDunlop brand re-enters Nigeria
Apollo Tyres South Africa intends to reintroduce the Dunlop tyre brand into Nigeria. The country’s Guardian newspaper reports Apollo Tyres South Africa CEO Riaz Haffejee as saying the brand will return due to its long history in Nigeria. Distribution will be handled by Somotex Nigeria Limited; Haffejee commented that Somotex has the requisite distribution channels for the job.
Continue ReadingCroatia could join EU in July
Croatia has been cleared to join the European Union (EU) as earlier as July, according to online news reports including BBC News. However, the process is not yet complete. It won’t be until all 27 member states have ratified the agreement that it can go ahead. That said 19 member states have reportedly signed off on the Balkan state's EU accession. But it was not without criticism. A commission monitoring report is quoted by theparliament.com as saying the country needs to take further steps to tackle organised crime and corruption. Nevertheless Deutsche Welle cited an EU report as saying: "The commission concludes that Croatia will be ready to join the EU on 1 July 2013.”
Continue ReadingBridgestone puts $300M price tag on relocated Shenyang plant
Further details of the new factory Bridgestone will build in China to replace its Shenyang plant have been announced, including the tripling of investment plans.
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