Cooper to Appeal Against Injunction
Cooper has stated that is will immediately appeal to the US Seventh District Circuit Court of Appeals. The announcement follows a US District Court of Indiana ruling granting a preliminary injunction against the sale of four of the company’s 47 Cooper-Standard Automotive facilities. The facilities were due to be sold to an entity formed by The Cypress group.
Continue ReadingThe Russians want Vredestein
Russia’s largest tyre manufacturer, Amtel, wants to take over Vredestein’s tyre unit. The Dutch manufacturer’s CEO, Rob Oudshoorn, confirmed with Tyres & Accessories that “detailed discussions” are well underway and an acquisition could take place in early 2005.
Continue ReadingCITEXPO Dates Announced
The dates for the next China International Tire Expo in Shanghai, the so called CITEXPO, have been fixed. The show’s organisers, Reliable, again expect a large number of exhibitors and visitors to attend one of the most interesting cities in the world. The third CITEXPO will be held on December 14-16, 2005 and will take place in the Shanghai Everbright Convention & Exhibition Center.
Continue ReadingContinental Continues Strong Performance
Continental has released third quarter profits that show what the company calls “another record-breaking performance.” The international automotive supplier increased its consolidated sales in the first nine months of 2004 by 8.6 per cent. In the first nine months the figure, including foreign exchange effects and consolidation changes, totals at 9.214 billion euros compared with 8.485 billion euros the same time last year. The was little mention of the costs incurred by the company’s failed Russian joint venture.
Continue ReadingDunlop Gives Away free ‘Treadheads’
Just a few days after unveiling its new Direzza DZ101 tyre, Dunlop found a number of volunteers willing to sit in the “chair.” The barbers chair, that is.
Continue ReadingShanghai Tyre to invest in Michelin Venture
The AFX news agency has reported that Shanghai Tyre and Rubber Company has approved two separate investments totalling 263.55 million yuan (£17.2 million), to be put into a subsidiary and its current joint venture with Michelin.
Continue ReadingPoint S International Keeps on Growing
The leading network of independent tyre dealers in Europe is set to grow. The Hungarian point S organisation has recently added seven new Service Centers so that the overall coverage in Hungary is nation-wide now with 37 of these centres, according to a statement released by point S International. The company says that a further growth of the number of service stations is very likely. 1,500 service centres in nine European countries are part of the point S International organisation. Countries represented include Germany, Austria, Denmark, Belgium, France, Italy, Spain, Poland and Hungary.
Continue ReadingVredestein Launch UHP Winter Tyre
According to Vredestein, winter didn’t begin until it had launched its new winter tyres. Described as “extreme design and function combined in an ultra high performance winter tyre,” the Swiss launch of the Dutch company’s latest offering was always going to be an interesting event. So far the company has remained tight-lipped about its latest product. Tyres & Accessories will report from Switzerland where invited guests will be given the opportunity to test the new tyre under what the company calls “extreme conditions,” including mountain top snow.
Continue ReadingSafer Riding
Advanced braking systems are commonplace in today’s passenger cars, with the majority of new cars featuring ABS as standard. A lesser-known fact is that it has also been available to motorcyclists for more than a decade. Even so, usage of ABS technology amongst motorcyclists lags far behind their four-wheeled counterparts. Continental Teves recently launched its first advanced braking system designed specifically for two wheels. Tyres & Accessories took a look at the technology when it was launched at Intermot 2004 in Munich. Intelligent braking The technology behind Continental Teves’ system is designed to continuously evaluate the signals from the wheel speed sensors, allowing it to identify a dangerous situation before the wheel locks. In a hazardous situation the unit reduces the brake pressure on the affected wheel and quickly boosts it again in order to ensure maximum braking power when the risk of locking has passed. The whole process is completed in a fraction of a second. The company claims that its analog-controlled digital valves make this pressure modulation process both smooth and effective. The system also allows for variables such as the actual load (solo or with a passenger) and the grip offered by the road surface, so when the ABS system is triggered, each wheel is kept within an “ideal” range. According to the manufacturer, the outcome is the optimum deceleration values with the minimum amount of effort on the part of the rider. Continental Teves’ integral brake system allows riders to depress the lever or pedal and build up pressure respectively in either the front or the rear brake. At the same time a pump automatically builds up pressure in the brake circuit not operated directly by the rider, taking account of the specific parameters for the motorcycle concerned and the necessary brake force distribution between the front and rear wheels. The products designers also claim that it will be prepared for the high levels of brake-force demanded by emergency situations. Continental Teves claims that its system can manage the dynamic disparity that occurs between the front and rear brakes in emergency situation. This means that is would be possible for the rider to perform an emergency braking manoeuvre with just one pedal or lever. One of the additional benefits that the company highlight is its rear wheel lift-off protection function, called RLP. RLP is designed to briefly reduce the pressure in the front brake circuit whenever the sensor signals indicate that rear wheel lift-off is imminent. This maintains the minimum load on the rear wheel necessary for lateral guidance, and prevents against the dangerous affects of a rollover.
Continue ReadingAre Truck Tyre Dealers Being Relegated to Service Providers?
The subject of how to sell truck tyres is certainly a contentious issue. All parties involved feel strongly about their respective positions. If you ask a tyre dealer what they think about this question, the chances are they wont be happy with the status quo. But, as far as the large manufacturers are concerned, selling direct to fleets and supplying the associated services is the only way to give customers what they demand. However not everybody agrees. Other brands support the supply chain, ‘the way it has always been’. Tyres & Accessories invited readers and industry members to comment on our website’s ‘question of the month’: Are Truck Tyre Dealers Being Relegated to Service Providers? One reader’s comment sums up the argument from the independent dealer’s point of view: “Manufacturers have enough influence through OEM if they sell direct to fleets they will force out independent retailers who are the lifeblood of the Industry and we are liable to get a “committee” of “big brother” manufacturers deciding who, what, where and when, which is not in the interests of the fleets or independent Retailers. Some companies take an arguably more ‘pro-dealer’ stance. “Cutting out the middle man is not an advantage,“ says Westlake Tyres UK and Europe business manager, Rob Henderson “As far as Eskay Tyres is concerned, we would rather support wholesalers. There is a system, a chain and that’s the way it should be done.” Philippe Verneuil, chief operating officer, Michelin truck tyres Europe agrees. Speaking to an IAA press conference in Hanover he affirmed, “we have to ensure that we continue to serve loyally and effectively.” A reader from the UK added his opinion: “This is a question of meeting customer needs - the industry would much prefer the status quo, but today the customer asks for something else, which can only be delivered by a multi-national organisation, but this does not necessarily threaten the tyre retailer - it gives him another opportunity.” The fact is, no simple answer exists. According to another T&A reader, the problem is: “The modern fleet user depends upon time sensitive data being made available to him at the click of a mouse. Many dealers are well on the way to being able to handle the most complex of end-user business but, like any ‘chain’ it is only as strong as the weakest link so, until all dealers are equally well equipped, we must expect the manufacturers to take the lead in this market place. They, in the main, can handle the processing of data.” The last word goes to a reader who thinks there is a much simpler solution. “There should be cooperation between retailers and the industry.” While some parties would argue that is already happening, like the subject in general, it is unlikely that everyone will agree.
Continue ReadingSauber to Use Michelin Tyres
Sauber Petronas has announced that it will swap tyre supplier from Bridgestone to Michelin. The new contract with French tyre manufacturer will come into effect immediately, Sauber said in a press release. According to the statement, the team will conduct its first test with Michelin tyres at the end of November in Barcelona.
Continue ReadingOutsourcing Tyre management – Can You Afford Not To?
With haulage up 45 per cent in the last 20 years, average vehicle journeys up and the pay load being carried by commercial vehicles at a record high, the need for fleet inspections and tyre maintenance is growing in importance, as ‘down-time’ is expensive. An external source can provide a manager with a better view on its fleets tyre needs and cost structure and will aim to offer new cost reduction possibilities and more effective means of utilising resources, but more importantly can provide close follow-up on a fleets tyre programmes that otherwise might not be maintained. Most fleet management programmes now offer audit and analysis programs that provide a tailor made recommendation according to a fleet’s specific situation, needs and tyre policy. It is important for tyre management providers to maintain good relationships with fleet managers so that they can make sure they deliver both what the customer wants and needs and that the service isn’t driven by the single desire to sell new tyres. Most tyre management schemes offer a combination of services, regrooving, retreading and tyre replacement as well as follow-up and management systems, management reporting, preventative maintenance and 24 hour roadside assistance. Tony Stapleton, fleet sales manager CES, believes that fleets need to understand their operating costs more effectively, so that they can exert proper control over them. “Many managers accept fixed cost contracts and the problem is it becomes an unmanned cost, they don’t know if the service provider is making more money by charging a set price per kilometre than they should be.” Many tyre management providers would like to see the end to a fixed cost approach. “Price per kilometre has often been misused as a way of gaining tyre business by simply quoting a lower rate but this does not lead to sound long-term relationships,” says Continental. The company likes to view its system as an open book, rather than the closed book method of many of its competitors and whilst they offer ppk the company advocates a structure that is appropriate to the fleet’s real costs. Mr Stapleton admits that there are a varying degree of fleet operators that want to get to know and understand the ins and outs of their tyre costs. The challenge, he explains, is getting to the finer details of the operator’s costs. However, he does believe that most fleet managers would agree that tyre choices are important. Whether they fully understand the ramifications of their choices is another matter. Fleet operators do not always focus on identifying all of the cost elements concerning their tyres. There is a tendency to concentrate on the price of the tyre alone and to pay insufficient attention to the costs of service and administration. Likewise they don’t analyse the cost of tyre damage, and so find it difficult to rectify any problems. There is a high expectation that tyre management automatically reduces costs, but this is not guaranteed. Unless an operator is already analysing tyre costs in some detail then the most likely outcome of a tyre management programme is that it will identify the true cost of tyres in the fleet, a sum that is often higher than was previously thought. Tyre management can aid valuable changes within the business through means such as simple casing management and auditing and regular review of a fleet’s performance. But even with the help of an external source it is still often a case of trial and error combined with expertise to get a fleets’ exact requirements right.
Continue ReadingPossible Price Increases for Continental
Increasing steel prices have led the board of Continental AG to take price increases into consideration, the company says. “Should there be more raw material price increases, higher prices on the replacement market cannot be ruled out,“ said board member, Dr Alan Hippe. At the moment the company is in talks with the car industry over the steel price situation. Meanwhile natural rubber prices are said to have reached their peak.
Continue ReadingContinental to Call Another Shareholder Meeting
According to German media sources, Continental is going to call for an extraordinary shareholder meeting before the end of this year in order to gain approval for the company’s integration with Phoenix AG. The Hamburg based company is due to be merged with ContiTech, a Continental ‘daughter’ company. “We will try everything in order to do this during the current year,“ said Dr Alan Hippe, member of the board.
Continue ReadingMatador and ATC In Slovak-Ethiopian Joint Venture
July 2004 saw the completion of a joint venture between Slovakian tyre manufacturer Matador and the Addis Tyre Company (ATC) of Ethiopia. The initial discussions began in the year 2000 when Matador management visited Ethiopia to talk about mutual co-operation and technology transfer. A basic agreement was signed in July 2002 between Matador, ATC and Addis Ababa and Public Enterprise Supervising Authority (PESA) to establish a joint venture with capital inputs for the production and sale of bias ply truck tyres, bias ply light truck and passenger car tyres, plus radial passenger car tyres. Matador sees the joint venture as an opportunity to develop the Addis factory and at the same time to take advantage of reduced operating costs. The Puchov plant is scheduled to cease production of bias-ply tyres by the end of March next year, which will enable capacity to be increased in passenger and light truck radial and obviate the need for redundancies. April this year saw the signing of the Agreement on the Establishment of Matador-ATC Joint Venture for the Production of Tyres at a ceremony at the Sheraton Hotel in Addis Ababa. Capital holdings in the JV are 61 per cent Matador and 39 per cent ATC. The agreement was signed by Mr Ing Stefan Rosina, president of Matador and Mr Ato Girma Biru, minister of industry and trade for the Ethiopian Federative Democratic Republic (EFDR). The latest meeting was held in early July to launch production of the tyres and this time Matador was represented by Mr Ing Stefanom Rosinom, chairman of the board of directors of Matador and Doc. Stefan Prekop, general director. The Slovak delegation was received by the President of the EFDR, Mr Girma Wolde-Giorgisa. President Mr Girma Wolde-Giorgisa said: Ethiopia is the heart of the African continent and its development and prosperity depends on the increase of the technological level of industry, education, know-how and capital imports from foreign investors. I believe that the successful establishment and functioning of the Matador - ATC joint venture will become an example and a challenge for other foreign companies. I am glad that Matador has established its activities in our country he concluded. For Matador, Mr Ing Stefan Rosina said that the company had found good partners in Ethiopia. He added: Conditions of business oriented towards the development of the domestic industry and market are good, but also conditions of export possibilities and the purchase of raw materials. I am convinced that the joint venture will achieve a good standing and importance like our joint venture in Omsk, Russia.
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