Profits fall at large Chinese tyremakers
The total profits of seven Chinese tyre makers fell in the first half of 2011 compared to a year ago, despite higher revenues. The seven tyre makers included Double Coin Holdings, Aeolus, Qingdao Double Star and ST Yellow Sea. Yellow Sea was reportedly the only one of the seven to report a overall loss, according to news reports.
Continue ReadingIs the sun setting in the East?
Much has happened in the European tyre market in recent times. Last year’s introduction of the REACH regulations has been of particular interest, as is the run-up to November 2012’s tyre labeling. The second of these has been interpreted by many Chinese tyre makers and distributors as being, in practical terms, a trade barrier intended to make entry into Europe more complicated and expensive. Yet the Chinese appear to be responding pragmatically to the ‘problem’ of Europe. During the CITExpo show in Shanghai the opinion was often voiced that no real problem as such exists, rather a challenge to overcome. And as hardly anyone in China doubts success in this area, in future established western manufacturers in our part of the world can expect the presence of even more competitive, driven Chinese companies.
Continue ReadingCRIA: Chinese tyre market will be ‘tested’ in 2H 2011
Analysts believe that China’s tyre industry will face a severe test in the second half of this year. According to the China Rubber Industry Association (CRIA) statistics, in the first six months of 2011 member companies’ tyre production totalled 128 million units, of which 107 million were radial tyres. This represents year-on-year growth of 1.6 […]
Continue ReadingRemoulding the UAE: Recessionary factors put pressure on suppliers and retreaders
Those living in the seven emirates that make up the UAE - Abu Dhabi, Ajman, Dubai, Fujairah, Ras al-Khaimah, Sharjah and Umm al-Quwain – are certainly no strangers to high temperatures. While the mercury rose to 47 degrees Celcius and above this summer, pressures caused by the global economic crisis, which triggered a local property collapse in its wake, have also put the heat on the domestic new tyre and retreading markets. Tyres & Accessories recently visited to the country’s largest Emirate by population (Dubai) to learn more about the local and regional retreading and new tyre markets.
Continue ReadingTyre hijackers arrested
The Malay Mail reports that four armed intruders forced their way into a used-tyre factory in the township of Bandar Bukit Puchong, Malaysia, overpowering a security guard, who was bound and gagged, before driving off with a trailer loaded with 319 tyres.
Continue ReadingCooper Tire shares mark 52-week low
Shares in Cooper Tire & Rubber Company hit a new 52-week low on Monday 12 September trading at $10.36, below the previous 52-week low of $10.50. According to a report at thestreet.com, Cooper Tire & Rubber has a market capitalisation of $696 million and shares were down 53.6 per cent year-to-date at the close of trading on Friday 9 September.
Continue ReadingPakistani tyre maker still under pressure from ‘smuggling’
Years of under-invoicing and rampant cross-border smuggling are still putting pressure on domestic tyre suppliers in Pakistan. So what’s the solution? Raid tyre markets in big cities instead of trying to stop smuggling along the long Pakistan-Afghanistan border, says General Tyre Pakistan chief executive Mohammad Shahid Hussain.
Continue ReadingWTO upholds US import tariffs on Chinese produced tyres
The World Trade Organization (WTO) has upheld the US government’s decision to impose 35 per cent import tariffs on Chinese produced passenger car tyres in September 2009. Two years later these have been lowered to 25 per cent, as initially planned. However, the Chinese authorities maintain that the original ruling has seriously harmed Chinese producers and the decision to uphold it will “intensify their difficulties.”
Continue ReadingHankook Multistrada bid falls through
The scramble to purchase a controlling stake in Indonesia’s second largest tyre manufacturer Multistrada Arah Sarana PT continues, as Reuters reports that the company’s shareholders have rejected a bid from Hankook for a controlling stake. Yokohama and private equity investment firm TPG Capital are reported to be the other bidders, though a Hankook spokesperson told Reuters that “none of the bids satisfied” Multistrada’s shareholders.
Continue ReadingChemChina to focus on “scientific development”
State-owned China National Chemical Corp (ChemChina) said in its first Sustanability Report that scientific development will be the main focus of its next five-year plan (2012-2017). During 2006-2011, ChemChina put more than 12 billion yuan ($1900 million) into technology research, an annual increase of 14.5 percent. The company owns seven subsidiaries, including Aeolus Tyres, Guilin Rubber, Yiyang Rubber and the Xinghuo Organic Silicon Co, that are national technology centres.
Continue ReadingSyron extends Everest winter range
Germany’s Syron Tires has announced an expansion of its winter product line, introducing an SUV and truck iteration. The Everest SUV and Everest C, alongside an extension in the sizes available of the Everest 1 series, bring the total range of fitments to 52 sizes. The company says the Everest range will extend further in time for the 2011/12 winter season, making sizes from 13 to 19 inches available.
Continue ReadingPirelli Slatina factory extension to make car tyre plant its biggest
The Prime Minister of Romania, Emil Boc has inaugurated the extension of Pirelli’s tyre factory in Slatina, accompanied by the Italian manufacturer’s chairman Marco Tronchetti Provera, and the Italian ambassador in Bucharest Mario Cospito. The full 160 million euro extension, begun in 2008 and to be concluded in 2013, will increase production capacity from 7 million passenger car units at the end of 2011 to 10 million by the end of the extension project and the extension of its area. Pirelli says the plant is already one of its most modern, and will become its biggest passenger car tyre plant when the extension is complete.
Continue ReadingMichelin launches Bibsteel range for skid steer loaders
Michelin has announced the introduction of its new range of compact line radial tyres. The initial BibSteel range comprises an all-terrain and a hard-surface tyre for off-road and asphalt and other hard surfaces use respectively. Michelin says the tyres are designed to increase the productivity of skid steer loaders used on building and construction sites, as well as on highways maintenance operations.
Continue ReadingConti to produce radials in India from 2013
Following Continental’s recent acquisition of India’s Modi Tyres Company Limited, the German company has announced plans to expand its Indian market operations. Initial plans involve increasing Continental India Limited’s cross-ply truck and bus tyre production at its Modipuram factory to over 500,000 units per annum this year and further boosting output to more than a million units in 2013. On top of this, more than 50 million euros will be invested to equip the company for passenger car and commercial vehicle radial manufacture; Continental anticipates starting production of these tyres in the second half of 2013.
Continue ReadingConti’s “hard conditions” too much for General Tyre East Africa
Tanzanian newspaper The Guardian reports its country’s government plans to hand over General Tyre East Africa to Tanzania’s National Development Corporation (NDC) in response to what it calls the “hard conditions” imposed by shareholder Continental AG. The country’s Industry and Trade Minister, Dr. Cyril Chami, is reported as saying talks with Continental, who holds a 24 per cent share in General Tyre East Africa, failed to reach a suitable conclusion. He attributes this lack of success to conditions Continental wishes to impose, such as restricting General Tyre’s activities to its domestic market and just two export destinations – Uganda and Burundi – and that the Tanzanian tyre maker should pay back its outstanding US$3.321 debt to Conti. Continental’s alleged lack of investment plans for General Tyre is another given factor.
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