Sumitomo Rubber considering Brazil, India tyre factories
Sumitomo Rubber Industries Ltd. is reportedly considering building tyre factories in the emerging BRIC markets of Brazil and India. Reporting on a business strategy meeting held in Tokyo on 28 April, online news sources wrote that Sumitomo’s president Ikuji Ikeda said demand for tyres is growing rapidly in both countries, so expansion into these markets has become topic of discussion at Sumitomo Rubber. Various sources have reported that Ikeda said the company intends to establish its own plants there, but “may consider forming joint ventures with local firms.”
Continue ReadingSouth Korea’s growing replacement tyre market valued at US$800 million
With South Korean replacement car tyre sales of over 8.6 million units worth US$800.9 billion last year, the replacement tyre business joins the rest of the automotive industry in being a major part of the entire local economy. According to GfK’s automotive retail audit sales in second half of the year climbed 15 per cent over first half and nearly 30 per cent compared to the same period in 2009.
Continue ReadingContinental recommends global OEMs adopt direct TPMS technology
Continental recommends car manufacturers worldwide adopt the consistent use of direct measuring technology in their new car models to ensure “vehicle tyres are always inflated to an optimum level.” Writing in a press statement promoting the international tyre, TPMS and automotive supplier’s position on the issue, Continental said its recommendation is based on “steadily rising requirements to take on TPMS” and also reflects the “significant potential of direct measuring technology, making it possible to exploit the greater contribution to CO2 reduction.”
Continue ReadingKumho scores with advertising at Parma – Inter match
Kumho Tyres recently acquired a front-row seat – for its advertising hoardings – at a high profile football match between Serie A teams Parma and Inter. The 220-metre electronic boards circumnavigated the pitch periodically displaying panels showing images advertising Kumho Tyres.
Continue ReadingContinental signs Modi Tyre purchase agreement
Continental AG has taken a step towards the Indian market after the tyre manufacturer and automotive supplier signed an agreement with Modi Rubber Ltd to acquire a 100 per cent shareholding of its Modi Tyres Company Limited subsidiary. According to both companies, the completion of the transaction still depends on the fulfilment of certain conditions including regulatory requirements. At the completion of the transaction, Modi Tyres Company Limited will become a wholly owned subsidiary of the Continental Group.
Continue ReadingContinental confirms talks with Modi Tyres are underway
A Continental spokesperson has confirmed that the tyre manufacturer is engaged strategic talks aimed at increasing its involvement in the India market: “We intend to expand our activities in our tyre business in India.” The comments made by Dr Christiane Pfeiffer Continental’s global head of public relations, Commercial Vehicle Tires, suggested that the parties involved in the talks are on a good path and therefore that they are making progress. Still stopped short of confirming the identity of the other party or giving any details of what is being discussed.
Continue ReadingReports: Continental discussing Modi Tyres share purchase
Various news sources have reported that Continental AG is in advanced talks with Modi Rubber Ltd to buy a majority stake in the Indian company. Citing two people close to the discussions, the Wall Street Journal (WSJ)wrote: "The talks are on between the two groups for an equity stake sale," quoting and unnamed lender to Modi Rubber.
Continue ReadingBridgestone establishes sales company in Morocco
Exports of minerals and agricultural products are significantly growing in Morocco due to free trade agreements the North African country operates with the European Union and United States. On top of this, Morocco is actively establishing additional infrastructure along the Mediterranean Sea coast in the hope of becoming a major hub for the distribution of goods in and out of North Africa. For this reason, Bridgestone Middle East & Africa FZE (BSMEA) sees Morocco as a key region in which rapid economic expansion can be anticipated and has established a new tyre sales company based in Casablanca. The name of the new company is Bridgestone Tire Sales Morocco SARLAU (BTSM). Through the company, which began operation on April 1, BSMEA intends to further strengthen its business in Morocco's “highly promising” market by “increasing its ability to offer high quality products and services to the region.”
Continue ReadingSurvey: Thailand home to 3,200 tyre shops
New research suggests that Thailand is home to some 3,200 tyre shops. And what’s more roughly 50 per cent of fast fits are based in the Thai capital of Bangkok. According to research, which was conducted by well known market data analysts GfK, the automotive industry is on a roll, particularly in Thailand, which recorded a 47-month high of domestic automobile sales last November. In response GfK recently launched its automotive business in Thailand, tracking sales of replacement passenger car tyres and batteries. According to GfK’s latest findings, while tyre specialists are “uniformly spread out across the country,” fast fit outlets make up a third of all shops and are more commonly found in Bangkok area where demand tends to be higher compared to the other regions.
Continue ReadingHangzhou Zhongce confirms Thai factory reports
Leading Chinese tyre manufacturer Hangzhou Zhongce Rubber has confirmed that it is planning to build a tyre factory in the vicinity of Bangkok, Thailand. Speaking to Tyres & Accessories, the executive responsible for the companys Westlake brand Mr Ge, confirmed that the company had signed a contract with the Thai government to purchase land in the Bangkok development zone.
Continue ReadingKumho cooperating with Chinese government on Tianjin production, recall announced
Kumho Tires has announced a voluntary recall of certain tyres in China after the company’s head of research and quality control visited the Tianjin passenger car tyre factory to investigate production processes. The tyre maker reports the visiting team carried out a thorough investigation and “partly confirmed that internal production standards were not strictly observed at the site.” In addition to the abovementioned product recall, Kumho has taken disciplinary action against the head of the Tianjin factory and those employees found to be involved in negligent quality control. All product-related claims will be dealt with “solely from the customers’ point of view,” the company adds.
Continue ReadingKumho denies Chinese broadcaster’s recycled rubber claims
Chinese website gasgoo.com and other sources report Kumho Tires’ denial that tyres manufactured in one of its factories in China are unsafe. The tyre maker’s comments on the quality of its tyres follows an article aired by Chinese state television broadcaster CCTV on March 15. The CCTV report alleged that Kumho Tires used excess recycled rubber in the tyres manufactured at its Tianjin factory, a practice described as one that could lead to tyre safety and performance issues.
Continue ReadingWTO rules against parallel US duties on Chinese OTR tyres
The United Steelworkers has described a decision made by the Appeals body of the World Trade Organization as “a slap in the face to US workers and industries that are harmed by China's predatory trade practices.” The decision reverses the findings of a WTO panel report from last year on anti-dumping and countervailing duty proceedings for off-road tyres and a number of other products from China; specifically, the WTO states the US Department of Commerce acted erroneously by simultaneous levying both anti-dumping and countervailing duties on these products.
Continue ReadingToyo issues post-earthquake statement
Expressing it’s the company’s deepest condolences to the victims of the 11 March 2011 earthquake and tsunami, Toyo Tires group has released further details about the how the tragedy has affected its business and what it is doing to ensure the safety of workers. Despite the fact that Toyo runs a plant in Sendai near the epicentre of the magnitude 8.9 earthquake, the company reports that neither this nor its other manufacturing plants in Japan have been affected by the tsunami, and there has not been any significant earthquake damage to plant building or facilities.
Continue ReadingCKT sale to have “no impact” on Kenda product supply
Kenda USA officials say that despite Kenda Rubber’s decision to sell its ownership stake in Cooper Kenda Tire, the move is a positive for the company. At the start of March, Cooper Tire & Rubber bought out Kenda Rubber’s 50 per cent share in their joint venture passenger tyre production facility in China. According to Kenda, the plant only produced Cooper branded and Cooper associate brand passenger, 4x4 and light commercial tyres, and thus the sale “has no impact to the current supply of Kenda products.”
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