A consortium made up of US tyre maker Titan International, Russian government fund the Russian Direct Investment Fund (RDIF), and private equity fund One Equity Partners (OEP) have reached an agreement in principle with Russian tyre holding Cordiant to invest in Russian agricultural and industrial tyre manufacturer Voltyre-Prom. The consortium will own a controlling stake in Voltyre-Prom, with Titan International becoming its managing partner.
It appears Apollo Tyres is not planning to shift any Cooper Tire production to its factories in India. The Times of India reported on 22 June that the existence of Cooper production sites in low production cost countries makes such a move unnecessary. On the other hand, the Indian tyre maker makes no secret that it will use the acquisition deal to bring its Apollo brand into new markets. And the possibility of Apollo production in Cooper factories also remains.
After seven years as chairman of the Automotive Aftermarket Divisional Board at Robert Bosch GmbH, Robert Hanser is stepping down on 30 June. The company says he is doing so due to his age. From 1 July, Hanser will join the Bosch Management Support GmbH board of management, a body of senior experts who act in an advisory capacity for Bosch across the world.
Pirelli’s factory in Silao, Mexico, which was inaugurated in May 2012, has produced its millionth tyre and is gearing up to become the Italian tyre maker’s dominant NAFTA region supplier. Covering an area of 135,000 square metres, the Silao plant’s capacity will reach 3.5 million tyres in 2015. When fully operational in 2017, production is expected to reach 5.5 million pieces, according to Pirelli. The tyre maker’s total investment through 2017 will amount to approximately US$400 million.
Taiwanese tyre maker Cheng Shin Rubber is reported to be considering building its seventh plant in China. On 19 June the Taipei Times printed comments made to this effect by company vice-president Wu Hsuan-miao (吳軒妙) following Cheng Shin’s annual general meeting the previous day.
Cabot Corporation has announced a new agreement with Grupo Kuo SAB de CV to purchase its remaining 60 per cent equity in the companies’ Mexican carbon black manufacturing joint venture, Nhumo, SA de CV. Cabot will pay $105 million for Kuo’s current shareholding, of which $80 million will be paid upon closing, excluding cash acquired. Cabot says Nhumo’s position as a leading carbon black producer in Mexico will help to strengthen its global carbon black business, and help to meet what it says is a growing demand for carbon black throughout North America. Following the announcement Cabot shares increased 2.9 per cent, and the company said it expected an earnings boost of around $0.15 per share as a result of the acquisition in the 2014 financial year. Extending into the next three years, Cabot estimates that operational synergies could increase earnings per share by $0.05 to $0.10.
A deal signed between Compagnie Financière Groupe Michelin and PT Petrokimia Butadiene Indonesia (PBI), a wholly-owned subsidiary of PT Chandra Asri Petrochemical Tbk (CAP), will see the production of styrene and butadiene-derived synthetic rubber taking place in Indonesia through a joint venture firm. The agreement gives Michelin 55 per cent ownership in the new company, with PBI holding the remainder. The total investment is estimated to be US$435 million, with plant construction expected to commence in early 2015. Completion and start-up is targeted for the beginning of 2017.
Late last month a new organisation was formed to represent tyre makers in a region some refer to as the “tyre capital of North America”. The establishment of the Tire Manufacturers’ Council was announced by the South Carolina Chamber of Commerce on 29 May; it says the council’s aim is to “evaluate and propose policies relating to the manufacture of tyres in South Carolina.” Foundation members include Michelin North America, Bridgestone Americas and Continental Tire the Americas.
German scientists claim to have produced lithium-ion batteries with a much longer working life than those currently on the market. The team at the Ulm-based Zentrum für Sonnenenergie- und WasserstoffForschung (Centre for Solar Energy and Hydrogen Research) Baden-Württemberg report developing a battery that retains than 85 per cent of its initial capacity after 10,000 full cycles while possessing qualities comparable to batteries produced by leading Asian manufacturers, including power density.
According to Deutsche Bank Markets Research, Michelin is expected to announce the closure of its Tours, France truck tyre factory tomorrow. Research analyst Gaetan Toulemonde reports that closure of the 1.2 million tyre per annum capacity plant would be a product of weak volumes in Europe; while the European passenger car tyre market is now six per cent higher than 2007 pre-crisis levels, at 404 million tyres, over the same period the European truck tyre market has dropped eight per cent to 20 million tyres. Continental and Pirelli have already reduced a total of 2 million truck tyres from their European capacity in the last five years, and Michelin’s European truck tyre operations currently only operate at 60 per cent capacity.
At its meeting on 27 May, JK Tyre & Industries Ltd’s Board of Directors confirmed the promotion of Raghupati Singhania from vice-chairman to chairman. Singhania is now chairman and managing director of the company.
Yokohama has been selected as original equipment tyre provider by Audi and Mercedes-Benz for a number of the German brands’ latest high performance cars. The newest addition to Yokohama’s high performance range, the recently-unveiled Advan Sport V105, has been adopted by both on some of their most rewarding drivers’ cars. Additionally Yokohama tyres were used recently to break a Nürburgring Nordschleife record for the fastest road-legal Subaru Impreza around the Green Hell. Built by Yokohama partner Revolution Motorstore in the UK, the Impreza was driven to and from the Nordschleife having lapped the circuit in 7:53.08.
Hankook Tire and the Hungarian Government have jointly announced details of further investment in the tyre manufacturer’s European production facility, located 60 kilometeres south of Budapest. Hankook plans to invest some 313 million euros in adding a further manufacturing unit to the site, which will create over 950 new jobs and further boost Hankook’s production volume in Europe, bringing capacity up to 17 million tyres per year.
Hankook unveiled several new commercial tyres at the CV Show, including the bead to bead retread truck tyre the Alphatread. Additionally Hankook’s latest truck tyres, which aim to fill a gap it identifies between medium and long haul transportation, were displayed, while the brand raised interest in its stand through its sporting sponsorships. Tom May and Phil Dowson, players from Northampton Saints RFC visited the stand, while Hankook also ran a competition to win VIP tickets to football’s Europa League semi-final, a partnership that was announced at last year’s show.
The latest milestone in Dutch wholesaler S&H Tyres’ recent development sese the company target the UK market and appointment a sales representatives especially for British customers. Ronald Lems recently joined the company with a view to taking responsibility for the UK market.
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