Stock Exchange Unfriendly Towards Tyre Manufacturers
While Pirelli and Toyo shares - although only from time to time - displayed an upward trend in February, most of the other important tyre manufacturers (for example Bridgestone, Continental, Cooper, Goodyear and Michelin) were among the losers. Their shares have fallen to a new 52-week low, but shares in Yokohama rose 20 per cent at the end of February.
Continue ReadingWolfrace Wheels Acquired By Smith’s Wheels U.K.
Smiths Wheels U.K. have announced the acquisition of the assets, brand name and tooling of Wolfrace Wheels.
Continue ReadingWheel Report, Part 2
NEUE REIFENZEITUNG, having focused in its wheel industry report on original equipment and vehicle manufacturers in its March issue, will in April concentrate on the pricing of wheels (manufacturer to customer), on technical features, the takeover merry-go-round and on the replacement market. It came as no surprise that motor manufacturers were not too keen on our trade magazine investigating the pricing procedure – which only serves to make this exercise that much more interesting. We are still a very long way away from completing the consolidation of the industry, as can be gathered from the takeover rumours that spring up afresh every week and from the commitment of large market players to use their strong growth potential. As our last issue went to press, we reported the sale of the Norwegian manufacturer Fundo, for instance. Who will be next? In the April issue we also take a closer look at some companies operating in the replacement market, which have influenced the most important European market, i.e. Germany, in 1999, e.g. Alcar, Artec/RH Alurad, Brock/Rad Center Derkum and many others.
Continue ReadingSandra Farmand Wins World Cup
Sandra Farmand has won the Snowboard World Cup. Farmand is the promotional star for the Pirelli Winter Snowsport winter tyre.
Continue ReadingCornelius Blanke Moves From Bridgestone To Wella
The PR Manager of Bridgestone/Firestone Germany, Cornelius Blanke, is leaving the company to join Wella AG (Darmstadt/Germany).
Continue ReadingGerman Tyre Replacement-Market At A Record Level
According to the German tyre dealers association BRV (Bundesverband Reifenhandel und Vulkaniseur-Handwerk), in 1999 more than 50 million tyres were sold in the German replacement market, 43 million of them in the passenger car sector. Especially, a new record in winter tyres sales was achieved. Sales in the commercial vehicle sector increased five p.c. to 5.7 million tyres. Whereas retreaded truck tyre sales were stable at 1.7 million units, the fall in sales of retreaded passenger car tyres continued.
Continue ReadingUS Unions Target Bridgestone
As a matter of practice, US unions choose one tyre maker as the basis for labour negotiations, targeting standard contracts for the coming year to apply to the other tyre companies also. This year they have decided to negotiate with Bridgestone/Firestone.
Continue ReadingFor Sale Again: Alloy Wheels International
South African Diversified company Murray & Roberts has a new Chief Executive, Brian Bruce. In an interview Bruce announced that M & R is again in discussions with some players to sell subsidiary company Alloy Wheels International (AWI). The producer of oe aluminium wheels closed a factory in Cardiff (Wales) a few weeks ago.
Continue ReadingBest-Ever Result for Dunlop Germany
Deutsche Dunlop GmbH, part of the Goodyear Dunlop Tire Group (Western Europe), has announced a record turnover in 1999 of 835 million Euro and a net profit of 63.3 million Euro. The operating profit was 12.5% of turnover. Dunlop Germany invested 68.5 million Euro, which represents 8% of turnover. The company has capital of 300 million Euro. Whilst employment in the rubber and tyre industry in Germany has decreased over the last ten years by 30%, Dunlop has increased its number of employees by 21% over the same period to 5,176 at 31st December 1999. The income of the four directors was excellent, averaging 2.9 million marks each as recognition of delivering outstanding results. From a German standpoint it is worth noting that the management have boosted location Germany. They showed the business world that it is possible to achieve excellent results in a German environment. The management remains optimistic for the future. Finance director, Dr. Volker Wingefeld, said that Dunlop expect to achieve results for this year comparable to those of 1999. The work of marketing director Dieter Seibert should also be mentioned. The Dunlop brand is stronger than ever before in Germany. The willingness to buy Dunlop is increasing significantly. Until last year the management held a press conference every year in Frankfurt, close to Hanau. Now, as part of a much bigger group, they are calling it a press-breakfast to get their message across.
Continue ReadingGoodyear Wins BRV Awards Again
Once again, Goodyear has won the Golden Award from the BRV – the German tyre dealers association – for the passenger car and truck sectors. The prize reflects market- and customer-driven behaviour.
Continue ReadingAs 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.
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