Now one of the largest tyre-producing countries in the world, China has an indisputable influence on the direction of global tyre trade. The home of both fast-growing up-and-coming brands as well as a burgeoning domestic market, this tag chronicles China’s involvement with the tyre business.
Infinity, the private brand label, has complemented its range of passenger car, van and 4×4 radial with 15 sizes of winter tyres. The tyres, produced for UK based Goldspark Trading Ltd by the Shandong Linglong Company in China, have been well-received throughout Europe in their first year of distribution.
Where would you go for the ultimate in winter tyre testing? Somewhere that is hard to beat must be Kiruna, the northernmost city in Swedish Lapland, where temperatures of -35ºC are the norm. Kiruna is used for testing by car manufacturers such as Mercedes, SAAB and Volvo and it was the venue chosen by Interstate Tires for a week-long evaluation by selected dealers of its new winter tyre, the Arctic Claw. This was a trip with a difference; after a two-hour journey from Stockholm by dog sledge, the distributors arrived at their destination, the world-famous Icehotel in Jukkasjárvi, where the inside temperature was a comparatively balmy -6ºC!
Bridgestone (China) Investment Co., Ltd. has successfully filed a trademark infringement complaint to the Guilin Industrial & Commercial Administration Bureau. The complaint, which was wholly upheld, was against Guilin Car Wings Car Accessory Co., Ltd for closely resembling the appearance of “car wing” outlets run by Bridgestone Corporation’s Chinese subsidiary.
Continental AG has narrowed the search for its first Chinese production facility to two possible locations, Tyres & Accessories has learnt. Both plots are greenfield sites and the selection is expected to come down to which area offers the best economic incentives. Continental AG board member Dr Hans-Joachim Nikolin told T&A the plant will follow the same model as the company’s recently opened, Camacari, Brazil, factory and will produce 4 to 6 million passenger car tyres and between 400,000 and 600,000 truck tyres using “standard” Continental technology.
Yokohama Rubber Co., Ltd., broke ground for the construction of its new Suzhou Yokohama Tire Co., Ltd., factory on 11 August. The new “affiliate” facility will produce and sell steel radial tyres for truck and buses in China.
(Akron/Tire Review) Rubber planters in Asia are tapping trees faster than ever, pushing down prices and helping a recovery in shares of tyre manufacturers Bridgestone Corp., Groupe Michelin and Goodyear Tire & Rubber Co. Rubber prices in Tokyo, the world’s biggest futures market for the material, have fallen 20 per cent since reaching a record on 12 June. Supply has risen after companies such as PT Astra Agro Lestari planted more rubber trees in Indonesia and Malaysia to keep up with Chinese consumption. Now, China is taking steps, such as last week’s interest rate increase, to slow its economy.
Weld Wheel Industries, a Kansas City maker of high-performance automotive wheels, has filed for Chapter 11 bankruptcy protection. A Kansas City Star report said the 21-year-old family-owned business lost $1.1 million in the first six months of this year on net sales of $21.8 million. The bankruptcy petition said the company has total assets of $31.6 million. Weld Wheels has signed an asset-sale agreement with American Racing Equipment Inc. in southern California. American Racing will pay $17 million and assume various debt and lease obligations, according to local news sources.
For Sri Lankan tyre manufacturer Solideal, 2006 is proving to be an important year for its growth in the UK. After two record sales years the company has invested in a new warehouse facility in the heart of the UK. Located in Stafford, the 57,000 square foot facility is perfectly positioned to meet the distribution demands of its customers.
The Port of Felixstowe recently welcomed the arrival of nine rubber-tyred gantry cranes from Zhenhua Port Machinery Company (ZPMC) of Shanghai. The arrival of the new machinery means that the Port has invested in forty-one gantry cranes from ZPMC since 2002, bringing the total number on Trinity Terminal to over 100.
Amerityre Corporation has entered into a manufacturing license agreement with Qingdao Qizhou Rubber Co., Ltd., Qingdao, China. The agreement grants the Chinese company a license to initially manufacture polyurethane elastomer retreads for three large-size tyres for mining applications, using Amerityre’s innovative retreading process, in exchange for a $400,000 license fee payable over the next two years.
Despite wet weather, up to 25,000 people lined the streets of Manchester on Sunday 13 August as six Cooper-equipped A1GP race cars roared around the city centre, reaching speeds of up to 70mph. A1 Teams Great Britain, Australia, China, Ireland, Lebanon and Malaysia drove along a purpose built 1.5km course as part of the Sky Festival, promoting the broadcast of the entire 2006/07 A1GP race season live on Sky Sports in the UK. The calendar of 13 A1GP races will be broadcast to over 100 countries around the world across a network of more than 40 television partners.
Following GPX International’s recent acquisition of the Hebei Starbright tyre factory in China, Tyres & Accessories has learnt that GPX plans to refurbish and modernize the site and expand the range of products produced in the factory. The company is to introduce a full range of bias and radial agricultural tyres, including both 85 series and 70 series radial rear tractor fitments. In addition GPX representatives say the company will install a solid tyre workshop using the technology obtained in its acquisition of US-company, Maine Industrial Tire Limited (MITL).
Following last year’s 15,000-mile tour of China, Pirelli and Ferrari are to embark on a new venture; the “Panamerican 20,000”. Two Ferrari 599 GTB Fioranos will leave Belo Horizonte, Brazil, on August 24 and, hopefully, will arrive in New York City in mid-November.
Matador Group companies reported sales of 227 million euros in the first half of 2006, including a 50 per cent share of Matador Omskshina. Sales are up 14 per cent compared with the same period last year. Pre-tax profits for the period totalled 15.4 million, up 26 per cent on the previous, despite increased raw material costs. “This result was positively influenced by the fact that practically all components within the group recorded an increase in sales and did not generate a loss for the Matador Group,” a company statement explained.
Bryan Ganz, president and co-CEO of GPX adds: “Starbright significantly expands GPX’s presence in the Asian market and allows us to directly service our growing international markets”. In addition to the acquisition of Starbright, GPX is pleased to announce the hiring of Phil FitzGerald as the managing director of the Hebei Starbright factory. FitzGerald will assume the responsibility of plant modernization and refurbishment with the goal of transforming the Starbright factory into a world-class production facility focused on the manufacture of work-tyres.
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