As Expected: Firestone Recalls 4×4 Tyres
The Ford Explorer has come under pressure because of a supposed series of accidents, blamed on allegedly faulty Firestone tyres. Both Ford and Bridgestone Firestone are strenuously denying the allegations. Firestone is the biggest tyre supplier for Fords Explorer and Expedition SUVs and the Aiken factory (opened last year) depends heavily on this business. The plant has an annual capacity of ten million tyres, of which nearly half are destined for Ford. After US retailer Sears Roebuck has taken some types of Firestone tyres off its shelves for this reason, in Tokyo, shares in Bridgestone fell by 8.8% at the news. In the US, Bridgestone/Firestone suggested at first that customers visit their B/F dealer for a tyre check but then decided to recall voluntarily ATX, ATX II and Wilderness AT tyres. The only size involved is the 235/75 R 15. This can count for up to 6.5 million tyres. This information was given in a press conference on 9th August in Washington D.C. The replacement will start in the south states of the USA because the problem often occurred in hot weather. The customer will be given a new tyre free of charge regardless of the condition of the old one. Firestone are also immediately recalling tyres from its 4x4 Wilderness range in Europe. Only one size is affected and relatively small numbers are involved. It is expected that the cost to Firestone could reach US$ 500 million. There are also rumours that Ford – itself coming under growing pressure – intends to change tyre suppliers for its Explorer and Expedition models. Industry observers have expressed surprise at how badly Firestone is managing the public relations aspect of the current crisis.
Continue ReadingExpansion of ArvinMeritor Wheel Plant
New contracts for chrome-cladded steel wheels from General Motors and DaimlerChrysler have prompted ArvinMeritor to expand its San Luis Potosi (Mexico) facility. Staff numbers will increase from 300 to 450.
Continue ReadingFord “Has No Plans To Drop Firestone”
Jason Vines, Ford Vice President, has said that the company has no plans to drop Firestone as a tyre supplier, although the relationship will be reviewed on a day-to-day basis. Fords new Explorer 2002 SUV (on the market next year) will be fitted with Firestone tyres, but tyres from another manufacturer, thought to be Michelin, will also be offered.
Continue ReadingM-Class Is Safe
At the beginning of August, an article in the German automotive magazine Auto Bild said that the M-Class Off-Roaders could be in danger of overturning. The company reacted immediately and carried out a second test together with the magazine, in which the safety of the M-Class was vindicated. The cause of the wrong first interpretation is that instructions for the special test were not followed accurately by the magazine.
Continue ReadingLatest M+S Test Results
Popular German car magazine auto motor und sport tested ten M+S tyre brands size 195/65 R 15 on a BMW 323i. The test winners were Goodyears Ultra Grip 6 (best tyre) and Uniroyals MS Plus 55. These were followed by Dunlops SP Winter Sport M3, Continentals WinterContact TS 790, Pirellis Winter 210 Snow Sport, Michelins Pilot Alpin, and Nokians Hakkapeliitta NRW. Those tyres which achieved only limited recommendation were Toyos Snowprox S 940 and Firestones FW 930, while last place in the test went to Yokohamas Winter F 310 Plus.
Continue ReadingInternet And Tyre Dealers
Tomorrow already, today will be yesterday – there is hardly anything else coming so close to this fact than the internet. Whereas two years ago in Germany, the percentage of people being connected to the internet was around 9 per cent, this figure went up to 16 per cent in the last quarter of 1999 and achieved more than 20 per cent, i.e. 13.4 million online users by the end of March 2000. And, relying on market researchers, the peak is still far away. It is supposed that in Germany another 10 million people will use the internet by the end of the year. Thus, probably the number of people with particular homepages will continue to rise very quickly. Meanwhile, this fact has also got about in the tyre business, which can be underlined by the variety of companies who presented their websites on the REIFEN 2000 in Essen. Would it now be possible – after books, software and music – to download tyres, too? Of course, tyre dealers still have an advantage: there must always be someone for mounting the tyres. For certain reasons tyre dealers do not really want to get to like being in this position, as they often feel to be degraded to service operators. In this case, however, they should realize the opportunities of the internet for being able to distinguish themselves as service operators, although there is hardly anyone today, who can foresee the development of the tyre dealers’ business over the next five or ten years. Find out more in the November issue of NEUE REIFENZEITUNG.
Continue Reading540 Jobs At Goodyear Great Britain In Jeopardy
On Tuesday 17th October, Goodyear Great Britain submitted an HR1 notice to the Dept. of Trade & Industry. This document contained a number of options for improving productivity and lowering costs, one of which was for 540 jobs to be lost at the companys Wolverhampton plant. The notice effectively gives 90 days notice for management and unions to find agreement. If no agreement is forthcoming at the end of 90 days, a solution can be imposed by management. The total labour force at Goodyear Wolverhampton numbers more than 2,000. This news comes the day after Michelin announced the loss of 950 jobs at its factory in Stoke-on-Trent.
Continue ReadingJoint Venture Between Michelin And Blue Circle
In the UK, Michelin and cement manufacturer Blue Circle Industries have set up a joint venture company to prepare scrap tyres for burning in BCIs cement kilns. Called Sapphire Energy Recovery, the company will prepare up to 200,000 tonnes of car and truck tyres a year for burning. BCI aims to make eventual energy savings of £6 million by replacing part of its coal and coke requirements with shredded tyres.
Continue ReadingThird Tyre Factory For Bridgestone In Thailand
Bridgestone has announced that it will build its third tyre factory in the Chonburi province, in the southeast of Thailand. They will produce radial truck tyres, about 90 per cent of which will be exported to European countries and to the USA. The plant will create about 1,000 jobs.
Continue ReadingReifen-Junginger For Sale?
Reifen-Junginger is a leading tyre sales company in the south western part of Germany with nine outlets and is a long-standing member of the Germany-wide operating cooperation Team. Rumours are rife that Reifen-Junginger is for sale, with interest coming from companies within the tyre industry, as well as other dealers.
Continue ReadingPirelli in Motorcycle Sports
Pirelli is to be the exclusive tyre supplier to the European Superstock Championship 2000.
Continue ReadingGoodyear Sued By Customer
In the USA, Goodyear is defending a product liability lawsuit brought against the company by former customer Heatway Systems. Heatway alleges that Goodyear supplied it with millions of dollars worth of defective hoses, used in heating systems for buildings, which caused up to $2 bn of damage. Heatway has already paid $6.5 m to settle 119 claims.
Continue ReadingMichelin Open For Alliances
Edouard Michelin, CEO of the French tyre giant, can see opportunities for technical alliances with competitors, a French magazine reports. As an example, he cites the new tyre and wheel system Pax, which will be presented jointly by Michelin and Pirelli in Geneva.
Continue ReadingBridgestone 45% Truck Tyres
In 1994 Michelin presented the prototype 445/45 R 19.5 XTA truck tyre. Bridgestone has just announced in Tokyo the introduction of such an ultra low ratio tyre under the name GREATEC. The tyre is available in sizes 495/45 R 22.5 for trucks and 435/45 R 22.5 for buses.
Continue ReadingBridgestone Purchases Outstanding Stake in BATASIA
Bridgestone Corp. has purchased the remaining 50 per cent stake of Bridgestone Aircraft Tire Comp. Asia (BATASIA) from Hong Kong Aircraft Engineering Comp. Ltd. Bridgestone produces new aircraft tyres in Japan and owns retreading plants in USA, Belgium, Hong Kong and Japan.
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