Cooper Tire Europe has suspended production at its Melksham, UK production plant. According to a company spokesman production and closed for a week in order to reduce stocks. However, a BBC news report added that the move would also “help safeguard its future.” There is apparently no threat to jobs at the plant which employs 1100 people. Production is expected to return to normal next week.
As of February 1, research and development for Continental Automotive in Romania is being headed up by Dr. Christian von Albrichsfeld. The 12-year Conti veteran is coordinating the research and development activities of Continental in Romania at a national level in its Timisoara, Sibiu and Iasi sites. Dr. von Albrichsfeld has taken over this position from Christian Ruediger, who was in charge of the team in Romania for two years and finished his term in the position on January 31.
Approximately 500 of the 1500 job losses Pirelli Tyre chief executive Dr Francesco Gori announced last week have already taken place in various parts of Europe. According to a Pirelli Tyre spokesperson, this means the remaining 1000 will be spread across the company’s Western European operations. Pirelli has not released any further details of which particular sites or positions are to be affected.
Presenting the company’s financial results to an investor’s day last week, Dr Gori was clear that Pirelli (like the market as a whole) is facing a challenging environment this year. “How do we see the 2009 market? Difficult,” he said at one point. As a result Pirelli Tyre is reshaping its industrial footprint to the tune of “the equivalent” of one production plant. This means each of the remaining factories will focus on high value items – namely SUV tyres in the UK and UHP, Winter, run-flats in Germany.
American Pacific Industries (API) is preparing to introduce its Pegasus passenger car tyre brand into the European market in the second quarter of 2009. The range, which will be available in a range of 14 to 24-inch sizes will be distributed exclusive in the EC countries by InterSprint. API told Tyres & Accessories that Pegasus is the European version of it Spector tyre programme, which has been re-engineered for the European market.
According to company literature, API has built its name on developing “first class American engineered, Chinese manufactured products with a reputation for consistent quality and good value.” API says it is actively seeking partners “in most regions of the world.”
Continental has announced that, as of 1 March 2009, Nikolai Setzer will take up the temporary management of the manufacturer’s Car Tyre Division. He will continue to head up the Replacement Business Car and Light Truck Tyre Division Europe and Africa positions he presently occupies, though there will be no change in structure between the sectors. He will report to Dr Hans-Joachim Nikolin, the board representative of the Commercial Vehicle Tyre Division and – provisionally – the Car Tyre Division.
Figures released by Michelin have confirmed what we already knew – these are not happy times for the tyre industry. Between January and December 2008 the passenger car tyre segment in Europe (including the CIS) shrank for both the OE and replacement markets. The OE market dropped 7.2 per cent during the year, while replacement market sales declined 4.0 per cent. During the month of December 2008, OE sales plummeted 39.1 per cent year-on-year, while aftermarket sales grew by 7.6 per cent.
The European OE truck tyre market declined by 0.9 per cent between January and December 2008, and the replacement tyre market by 9.7 per cent. During December 2008 OE sales dropped 40.7 per cent year-on-year, and replacement market sales 31.0 per cent.
Automotive technology and services supplier the Bosch Group has announced that former vice president of Sales for the Bosch Independent Aftermarket West Europe & Mediterranean, Ken Ford, has been appointed to a new role as regional president for Asia/Pacific. Ford begins in his new position on April 1, 2009 and will be based in Singapore.
The new Asia/Pacific regional president began his career with Bosch in 2004 as the divisional director for Automotive Aftermarket Bosch UK and Ireland. His other previous roles have included general manager for the Aftermarket Western Europe and, most recently, vice president of Sales Western Europe & Mediterranean.
Pirelli Tyre has reported that its sales revenues fell marginally down 1.5 per cent from 4.162 billion euros in 2007 to 4.1 billion in 2008. However, pre-tax profits fell considerable due to the difficult economic environment and raw material costs. EBITDA stood at 443 million euros, down 19 per cent compared with 548.6 million euros in 2007. And EBIT came in at 250 million euros, 30 per cent down on 2007’s 358 million. As a result, the company reports that it “undertook restructuring actions, accelerated in the fourth quarter against further deterioration of the market, in order to strengthen the competitiveness of the industrial organization in Europe and reduce costs of central structures.”
The company registered revenues of 870 million euros, down 5 per cent on a like-for-like basis, in the fourth quarter of 2008. EBIT of 18 million euros before restructuring charges (which in the fourth quarter alone amounted to 68 million euros) compared with 71.9 million euros the year before.
Stamford Tyres has been busy this past year. The Singapore based company brought a number of new products to market in 2008, including the Sumo Firenza ST07 range. Initial production began in mid-2008, with new sizes being gradually introduced throughout the rest of the year. The complete range, which covers 13 to 16-inch rim fitments in 60 and 70 series, includes 26 sizes in total. The ST07 features a directional tread pattern that features twin centre grooves for water drainage, and slash sipings intended to reduce noise levels and effect faster water drainage.
A handful of lucky motorists across the UK were given something to smile about when they arrived at the petrol pumps this week. Representatives from Bridgestone’s First Stop network took to the roads to give motorists a helping hand by paying for their fuel at selected forecourts across the UK. This largesse had a purpose – to launch First Stop’s promotion to win a whole year’s worth of fuel. During February, March and April customers purchasing two or more Bridgestone or Firestone tyres are entered into a free prize draw.
Falken representatives are reporting that the Japanese brand saw UK sales shoot up 30 per cent in 2008, “making Falken in the UK the largest growth area for Falken in Europe if not the world.” The aim is to make Falken a leading brand in the mid-range segment, a part of the market that industry observers expect to swell further as the economic climate appears to be prompting premium customers to look for more competitively priced alternatives.
Jon Limmer, Falken brand manager, commented: “Our dealer network have embraced the simple structure we have implemented which reflects the Micheldever policy of ‘right product, right price, right time.’ Consistency is crucial to the development of any program and we have enjoyed this for some time with Falken. We work together as a partnership and the results are there for all to see.
Chinese tyre manufacturer Good Friend Tyre has allegedly signed a trade contract with an unnamed US based company. The deal, reported by ChinaRealNews, is said to be worth around US$100 million.
Good Friend Tyre mainly manufacturers radial truck tyres, and in 2008 exported $30 million worth of products. These tyres are manufactured at the company’s Henan Province facility, which is said to have an annual capacity of 1.2 million pieces. Work on the facility commenced in 2005 and some RMB 560 million has been invested in the project. According to Good Friend Tyre, all products manufactured there are DOT, ECE and ISO9001 2001 certified, and current export markets include Europe, the US and Southeast Asia.
Tyre recycling firm PYReco plans to build a pioneering £80 million tyre recycling plant in North East England, the first of its kind in Europe. The scheme is underway thanks, in part, to the support of Renew, an organisation tasked with driving a low carbon and sustainability agenda with industry in the region.
The plant will be built at the South Tees Eco Park (STEP) in Tees Valley by 2010. It will use the relatively novel process of pyrolysis, a method of degrading material through heat, to recycle 60,000 tonnes of used tyres a year, the equivalent of 7.5 million tyres, without waste or harmful emissions. It is estimated that plant will create 90 jobs for the region.
Traditionally the uncompromising properties of the material have meant that tyres have been difficult to re-cycle, most often burnt in cement kilns. PYReco’s plant will provide a closed loop recycling route, breaking down used tyres into their component parts capable of being used in the production of brand new units.
Michelin will soon be the proud owner of Europe’s largest photovoltaic roof panel installation – the company plans to fit more than 147,000 square metres of solar panels on the roof of its facility in Cuneo, Italy. With annual production of nearly 10 million kWh, the panels will provide electricity for 2,000 inhabitants while reducing the amount of CO2 released into the atmosphere by 1,200 tonnes a year. The photovoltaic power plant is scheduled to be operational in early 2010. It will be developed and operated by Frey Nouvelles Energies, a company that produces electrical power from renewable energy sources.
Following record results in 2008, with more than 40,000 entries from 20 European countries received, Bridgestone plans in 2009 to expand its “dreams at heArt” competition to the Baltic States and Romania. In addition to prizes, says the tyre major, this year winners will again receive school visits from Bridgestone staff, who will arrive armed with a playful educational programme on road safety and ecology that includes an authentic GP2 racing car.
The “dreams at heArt” children’s drawing contest aims to encourage children to start thinking about road safety, and invites them to express their creativity in drawings or paintings. The competition is open to all primary school children in Europe up to the age of 11 years (split into 3 age groups, 0-7 years, 8-9 years and 10-11 years) and features a different theme for each annual edition.
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.
