Continental is also making changes outside of its tyre business – the company has announced plans to end vehicle hose and pipe production in its Industrias del Caucho site facility in Spain to two existing Hungarian facilities, Vác and Makó. Machinery from the Spanish factory has already been installed in Hungary, and further equipment will be added later in the year.
There’s no such thing as a free lunch, and for automotive industry charity BEN a dearth of funds in this period of recession has led to the cancellation of its 2009 lunch event. The BEN Annual Lunch, a thank you to supporters that have helped the charity over the previous year, is normally sponsored so as to not divert money from the main business of care and welfare. BEN reports, however, that the recession has affected its fundraising income, and that in these “difficult times” even its traditional supporters have needed to cut their costs.
Respect is a much sought after commodity, as any fan of ‘The Godfather’ film trilogy can testify. Any company capable of earning and keeping the buying public’s respect holds a value tool no PR firm can replicate with slick campaigns. According to the Reputation Institute (RI) and Forbes magazine, Goodyear Tire and Rubber is one such firm – for the second year in a row it has been recognised as America’s most respected automotive company.
For the past five years SRF S.A. in the eastern French town of Soultzmatt has belonged to wheel manufacturer the Borbet Group. With a capacity of only around 500,000 alloy wheels per year the factory was indisputably the smallest Borbet operated, and the facility has now applied for insolvency.
Company chief Peter Wilhelm Borbet has expressed his regret regarding the 154 employees affected by this action, however he noted the facility’s operation has been subsidised by Borbet ever since it came under the German firm’s ownership. Borbet added that, in view of the crisis affecting the automotive industry – which suppliers such as Borbet also cannot escape – the company was faced with no other alternative. Whether production will continue at the site is now an issue for the liquidator to decide, yet it seems likely that existing orders can be processed.
A number of new Supervisory Board members were named at the April 23 Continental AG Annual General Meeting. These are Dr. Gunter Dunkel, chairman of the board of management of Norddeutsche Landesbank Girozentrale; Dr. Michael Frenzel, chairman of the executive board of TUI AG; Dr. Jürgen M. Geißinger, president and CEO of INA-Holding Schaeffler KG; Prof. Dr.-Ing. E. h. Hans-Olaf Henkel, honorary professor at the University of Mannheim; Rolf Koerfer, lawyer; Dr. Klaus Mangold, chairman of the supervisory board of Rothschild GmbH; Klaus Rosenfeld, CFO of the Schaeffler Group, Georg F. W. Schaeffler, partner in the Schaeffler Group; Maria-Elisabeth Schaeffler, partner in the Schaeffler Group; Dr. Bernd W. Voss, member of various supervisory boards. Substitute members are: Dr. h. c. Manfred Bodin, member of various supervisory boards, and Prof. Dr. Hans Heinrich Peters, chairman of the supervisory board of BÖAG Finanzdienst Aktiengesellschaft.
With a UK scrappage incentive scheme to help boost the automotive industry to be introduced next month, information and marketing analysts Experian have evaluated its potential impact. Owners of vehicles over ten years old can claim a £2000 cash incentive to trade in their car for a new one. In order to be eligible for the scheme, the driver must have owned the vehicle for at least 12 months. Experian’s analysis of over 34.7 million vehicles currently on the UK roads has found that 7.1 million privately owned used vehicles will be eligible for the scheme. However, the company’s analysis shows that not all the owners of these vehicles would be in a position to take advantage of the scheme as there are number of other factors to consider.
When Alcoa spoke of plans to extend its passenger car OEM supply in late 2008, it didn’t just have run of the mill vehicles in mind – on April 23 it announced the selection of Alcoa Auto Wheels to supply lightweight wheels for the Lamborghini Murciélago LP 670-4 SuperVeloce (SV). The forged aluminium wheels to be supplied, says Alcoa, reduce un-sprung weight and contribute to the SV shedding 100 kilograms as compared with the standard Murciélago.
Bob Phoenix has been named vice president of sales for Kenda USA’s Automotive Tire Division. Phoenix, most recently a regional vice president for Kumho Tire USA, will be responsible for the sales and marketing of Kenda radial passenger and light truck/SUV tyres in the US and Canadian markets. As of 1 May, Kenda will be actively signing distributors/dealers for its lines of passenger and light truck/SUV radials, president Jimmy Yang said. (Tire Review/Akron)
The new “green” concept vehicle from Bright Automotive will come equipped with Bridgestone brand tyres. The Bright Idea, a plug-in hybrid electric vehicle that the producer claims will reach 100 mpg, will feature Bridgestone Turanza tyres. Once in production in 2013, Bright Automotive plans to produce 50,000 of the cars, which will roll on Bridgestone Ecopia radials. (Tire Review/Akron)
Manbat, the UK’s largest battery distributor is reporting that the aftermarket response to its control of the Lucas battery brand has been “fantastic.” Manbat was awarded the distribution contract following a tender invitation in the New Year and it became the only source of supply for the Lucas brand on 1 March. The agreement includes all Lucas automotive and commercial vehicle batteries for the UK and Eire.
Manbat, the UK’s leading battery distributor, and Johnson Controls Batteries Ltd (JCI) have announced a revised distribution agreement which takes effect immediately. Both companies have grown their businesses impressively in the last two decades and this formalised distribution agreement follows three years of particularly close cooperation. The contract, which was signed on 15 January 2009, is for an initial three-year term, but with the intention of maintaining the agreement on a rolling basis, reviewed annually.
From the early 2000s, JCI began the process of reducing the number of own label supply contracts it had inherited through its battery manufacturer acquisitions, to concentrate on its own brands and the supply of Original Equipment (OE) batteries for the automotive and commercial vehicle sectors. Manbat was the obvious partner through which to grow the aftermarket supply business for those two sectors for the Varta brand.
A cross party group of 25 MPs has written to Business Secretary, Peter Mandelson, asking for immediate action to support the vehicle component industry, including a car scrappage scheme like the systems that have been successfully running in Germany and France. According to the department for Business, Enterprise and Regulatory Reform (BERR), the component industry employs some 100,000 people who now face a bleak future because of the economic downturn. However, the group of MPs suggest that targeted measures could help turn the situation around.
The highest profile suggestion is for an “appropriately structured scrappage scheme” subsidising the replacement of old cars in favour of newer more environmentally friendly models. However, the MPs all back support for car finance to stimulate the demand side; improving access to credit and liquidity; and sharing the burden of continuing to employ staff between employees, employers and the government.
Pneumatic Components Ltd has introduced a new half-inch composite impact wrench, and the company says it’s the handiest air tool of its kind. The composite housing on the APP203, says PCL, provides superior comfort with a strong yet lightweight finish, and its compact design provides a soft, ergonomic grip for prolonged usage. As with other products in the PCL Prestige range, the new addition features low vibration, low noise and higher performance, making it suitable for industrial and heavy duty, repetitive work.
HiQ is set to offer two new innovative automotive accessories for customers. The HiQ network will soon offer high performance eco-friendly lamp bulbs and tyre pressure monitoring systems to motorists across Britain. HiQ retail support manager Paul Michell decided to bring the items into stock after identifying the demand for such items following meetings with centre managers and their customers.
The Phillips energy saving bulbs are guaranteed to last for 12 months, offer up to 20 per cent energy savings and will be available to purchase online shortly. The tyre pressure monitoring systems, produced by tyresure, not only advise motorists if their tyres are losing pressure, but also monitor tyre pressure without the need of a gauge.
Alcoa has reported a 27 per cent sequential drop in revenue, resulting in a loss of US$480 million for the first quarter of 2009. This figure, says the company, reflects the impact of the economic downturn on its core industrial and commercial markets as well as an historic decline in aluminium prices. Revenues for the first quarter 2009 were $4.1 billion, down from $5.7 billion in the fourth quarter 2008 and down 36 per cent from revenues of $6.5 billion in the first quarter of 2008 (after excluding divested businesses). The sharp drop in revenue resulted from the impact of the economic downturn on Alcoa’s end markets, including the automotive industry.
If you would like the latest news from the Chinese tyre industry in Chinese, visit our partner site TyrepressChina.com. Or click below to continue on Tyrepress.
