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With Chinese input Prices on the Up Could there be a Retread Renaissance?

International News, Retreading

Raw material price increases affect every part of the tyre production and distribution chain. At the moment all the new tyre manufacturers (from the largest to the smallest) are feeling the raw materials pinch, which has been reflected in a run of less profitable financial reports. Even the Chinese manufacturers that were able to offer the “economic option” for so long are being forced to restructure their prices. Prior to this the low price of new Chinese made truck and bus radials had been hindering sales of quality retreads, so now that the price differential appears to swinging back against the Far Eastern budget producers, will this provide the opportunity for a resurgence in retread sales?

Take Qingdao, Shandong province-based Aufine Group Co Ltd. In August Tyres & Accessories received notification that the company was bringing in a second “unfortunate” price increase in three months, brought on by the “not small” (23 per cent) increase in Aufine’s natural rubber costs. The fact that the Chinese government clamped down on production in regions adjacent to Qingdao during the last quarter has also affected the distribution of these products. Furthermore, in addition to pressures mentioned above, the supply of Chinese tyres is also described as “inconsistent” since the pound’s value has fallen against the Euro. As a result Chinese manufacturers are increasingly ‘cherry-picking’ sales in the most lucrative international markets.

15th August 2008/by Tyrepress Editors

Bandvulc Trials Win Trailercare Contract

Bandvulc has won a tyre contract with Midlands-based trailer servicing company, Trailercare, after extensive trials of tyre products. Trailercare managing director, Mark Hemus said he had no hesitation in choosing Bandvulc and is confident that this is the right choice for his work to his blue chip customers. Hemus commented: “Trailercare has a reputation of providing quality service levels at the right prices. The selection criteria for our tyre agreement had to meet these same exacting standards, which Bandvulc achieved and exceeded.”

This arrangement also sees the tyre division of Trailercare (Total Tyre Care) being added to BTC’s list of providers in the West Midlands; a ‘win-win’ for both organisations. Total Tyre Care’s Director/Manager, Carl Falconer comments: “With the experience Bandvulc has in the tyre support network – it was an obvious choice to go down the Bandvulc route, their TSU is one of the best in the industry and is growing all the time. It assists us to be part of that growth”.

17th July 2008/by Tyrepress Editors

BTC Wins 3 Year Hill Hire Agreement

BTC, the management arm of the Bandvulc Group, has secured a three-year commercial tyre management agreement with Hill Hire plc, the hire and leasing specialists owned by the Bank of Scotland. With a value in excess of £20 million over its term, the agreement places management of Hill Hire’s tyre provision in the hands of BTC. Bandvulc reports that several value added factors played a role in its securing of the deal, including the provision of 24/7/365 coverage through BTC and the management of all activity in-house rather than via a third party call centre. The new tyres delivered under the terms of the agreement, Bandvulc adds, will be Continental products.

27th June 2008/by Tyrepress Editors

Top 3 Retailers Go Tyre Shopping at Bandvulc

Having just been awarded another long term contract with a major national food retailer, Bandvulc Tyres now manage and/or supply the top three supermarket chains in the UK. According to the company, Bandvulc tyres are now used on almost 65 per cent of all the grocery deliveries within the UK.

Philip West, Sales Director of the Bandvulc Group commented: “Expertise, delivery and a sense of quality in everything we do is what differentiates us from the major tyre manufacturers and competition. I suppose our ethos is the same as our customers’, to deliver quality products and services on time. Through our network of partners we have been successful”.

6th June 2008/by Tyrepress Editors

Bandvulc Hosts Network Seminar

Bandvulc Tyre Contracts recently hosted a seminar on tyre contract management in Stratford upon Avon with its network of partners. The main aim was to identify areas of opportunity for growth.

“It’s been the case in recent years that tyre management and centralised administration have become more and more popular. It’s also the case that when acquisitions take place the regional and local fleet operators can become part of a national network themselves,” says Philip West, Sales Director of Bandvulc, adding: “With this background the independent tyre distributors can find it difficult to maintain the relationships they have had with the larger fleets”.

5th June 2008/by Tyrepress Editors

BIPAVER Meeting to Take Place During Reifen Show

The pan-European organisation representing retreading manufacturers, BIPAVER, is to hold its annual general assembly meeting concurrent to May’s Reifen show in Essen, Germany. The meeting will take place between 10.00am and 12.30pm on Wednesday, May 21 at the exhibition site’s Congress Centre South, Room L.

A key event of the general assembly will be the election of BIPAVER officers. It is expected that the candidate for the 2008/2009 president, Mr. Brenno Benalglia from Italy’s AIRP, will be elected to the position. Outgoing president, Mr. Peter Hülzer, from Germany’s BRV, will according to the BIPAVER charter assume the position of vice-president. Jan Driessen, from the Netherlands, is the candidate for the other vice-president position. Incumbent vice-president, Bandvulc’s Richard O’Connell, will resign from his position.

14th May 2008/by Tyrepress Editors

Two New Contract Wins For Bandvulc

BTC and Bandvulc Tyres have won the management contract of Alltruck PLC. TTL EQM Ltd has also chosen BTC, the management arm of the Bandvulc Group to become its tyre manager in a new two year arrangement. Previously a supplier of product to TTL, Bandvulc Tyres has become the single point of contact for all of TTL tyre transactions.

Mark Holloway, director of TTL Operations comments: “BTC offer a first rate end to end service that ensures TTL get the maximum benefit from the tyres we purchase. The advantages are considerable, with innovative solutions to certain operational areas of our business which are extremely valuable to us. We have every confidence of their ability to deliver given their track record within the industry. To complement the Management service we are also receiving an exceptional, well recognised brand of tyre which performs.”

12th May 2008/by Tyrepress Editors

Tructyre Names Bandvulc Fleet Supplier of the Year

Tructyre Fleet Management has named Bandvulc Tyres “Supplier of the Year. Having had a fruitful trading relationship with Tructyre, Bandvulc responded by saying that the company is proud to have received such an accolade particularly bearing in mind how many suppliers Tructyre deals with. Tony Doyle, Sales Channel Manager for Bandvulc Tyres commented: “It’s very nice for a supplier to recognise the hard work that all of the team at Bandvulc put into customer services.”

The criteria for the award are measures of supplier performance, which can be made up of tyre, vehicle or ancillary suppliers. This measurement is required by Tructyre’s ISO 9001:2000 registration which requires ongoing improvements with regards to quality and efficiency both internally and externally. Bandvulc Tyres also hold this same ISO accreditation.

7th May 2008/by Tyrepress Editors

Bandvulc Develops New Plus Range Using Footprint Analysis

Leading independent retreader, Bandvulc, has released details of how it used footprint analysis in the development of its Plus range. The footprint analysis machine has been built in-house and is specifically designed to improve tyre mileage and handling characteristics. “The purpose of the machine is to simulate a truck tyre, under load,” says Patrick O’Connell, director of The Bandvulc Group. “When pressure is applied to the tyre, equivalent to the right tonnage, a digitised tyre footprint is created on pressure sensitive paper. Results from the subsequent analysis are used to create an improved tyre profile that optimises performance,” he adds.

This new range of tyres, known as the Plus range, further enhances already established brand names with proven performance. The aim is to increase tyre mileage by 10 per cent and will be slowly rolled out across Bandvulc’s entire product range.

28th April 2008/by Tyrepress Editors

Bandvulc Keeps Boots On The Move

Boots, part of the Alliance Boots group worldwide pharmaceutical, health and beauty company, has selected Bandvulc and Bandvulc Tyre Contracts to administer its commercial tyre policy at its Headquarters and largest logistics base within the UK.

After competitive bids from all of the major suppliers and manufacturers, Bandvulc Tyre Contracts was awarded the business based on its ability to deliver solutions to the highest standards, as required by Boots. David Landy, the Fleet Manager for Boots, adds: “Our fleet at Nottingham is primarily trailers; with over 500 being based here at any one time, it was essential that the offer focused on competitive pricing and the ability to deliver results. Like any business, delivery of what you commit to is a vital part of any agreement and that is what we saw in Bandvulc Tyre Contracts. The solutions offered were practical and deliverable, hence their success.”

25th March 2008/by Tyrepress Editors

Bandvulc Sales Appointment

Trevor Munro has joined Bandvulc’s Sales Support team, after having spent four years within Bandvulc Tyre Contracts; the last two years as a night shift supervisor with the TSU (Tyre Support Unit) department.

He brings a wealth of experience to the role, having covered every aspect of tyre management in his previous position and is well known to many of BTC’s service provider network, having had regular contact with most of them.

25th March 2008/by Tyrepress Editors

Bandvulc Joins the TRA

Bandvulc Tyres based in Ivybridge, South Devon has joined the TRA membership and committed to active participation in the Tyre Industry Federation’s Responsible Recycler Scheme. Commenting, TRA Secretary General, Peter Taylor said members “would look to Bandvulc to bring their considerable expertise and insight into a very important area of tyre recovery”.

9th January 2008/by Tyrepress Editors

£400,000 Contract Win For Bandvulc

Ivybridge-based Bandvulc Tyre Contracts (BTC), the management arm of the Bandvulc Group of Companies, has won a major new contract from Axis Intermodal, one of the leading European hirers of Trailers, Trucks, Rigids and Intermodal Swap Bodies. The new deal is worth an estimated £400,000 per annum.

BTC will manage Intermodal’s 5,000-strong fleet across the UK and Europe delivering real time cost savings through a comprehensive package of benefits. One such benefit is the ability to provide specific recharge reports, enabling Axis to monitor and control damaged tyres.

7th January 2008/by Tyrepress Editors

Sales Appointments at Bandvulc Tyres

Plymouth-based retreader Bandvulc Tyres has added four key personnel to its Sales division; two of these operating as Regional and National Sales respectfully and two appointments to its fleet support department.

Sales Director, Philip West comments: “We have had a stable growth period of sales over recent years and need to allow for further growth with the addition of key people to our sales team”.

The appointments of Richard Crummack and Simon Arnold to the Sales team bring experience to the organisation, Richard having worked with Michelin previously and Simon with Pirelli.

15th November 2007/by Tyrepress Editors

Tim Hercock New Chairman of RMA

The Retread Manufacturers Association has announced the appointment of Tim Hercock of Vacu-Lug as the Association’s Chairman. Hercock succeeds Patrick O’Connell of Bandvulc who has stepped down after two years in office. The appointment took effect on 21 June.

Commenting on the appointment, David Wilson, Director of the Retread Manufacturers’ Association said: “We welcome the appointment of Tim Hercock as our new Chairman and I look forward to working with him over the course of the coming two years. Patrick O’Connell has made a valuable and active contribution to the role during his term of office and on behalf of the association I would like to thank him for his efforts.”

27th June 2007/by Tyrepress Editors