Tomorrow, the European Parliament will vote on a proposed amendment to the EU Deforestation Regulation (EUDR) that would postpone its date of entry into application from 30 December 2024 to 30 December 2025, and until 30 June 2026 for small and micro-enterprises, and delay the benchmarking deadline to 30 June 2025. The European Tyre and Rubber Manufacturers’ Association (ETRMA) warns against this postponement.
Last week, the Coalition of Independent Service Providers (ISP) wrote to European Commission President Ursula von der Leyen, urging her to prioritise the already-prepared proposal for a legislation on access to in-vehicle data as part of her first 100-day plan. As part of ISP, the European Tyre and Rubber Manufacturers’ Association (ETRMA) states that it “strongly agrees” on the importance of ensuring fair competition in the automotive and mobility services markets, emphasising the need for sector-specific regulation to complement the Data Act.
The European Commission has approved Romanian state aid worth 99.5 million euros (RON 495.2 million) to support the construction of Nokian Tyres’ new zero-CO2 tyre factory in Oradea, Romania – the first such factory in the world. Nokian Tyres says its total investment in the project is worth 650 million euros. Construction started in May 2023. Once completed the factory will produce approximately 6 million tyres per year with the potential for future expansion. The first tyre was produced on 1 July 2024. Commercial production is due to start in early 2025.
Hankook Tire & Technology Co., Ltd is now majority shareholder in South Korean automotive parts manufacturer Hanon Systems Co., Ltd., following approval from regulatory bodies such as the European Commission. Hankook Tire holds a 50.53% stake in Hanon Systems.
The European Commission has confirmed it is carrying out “unannounced inspections” in connection with raids at the offices of a number of tyremakers earlier in the year. This round of raids, however, has only taken place at the premises of “a consultancy firm” in two member states, which suggests the case is beginning to focus its attention.
The European Union is planning to impose additional import tariffs of up to 38.1 per cent on Chinese-produced electric vehicles (EV) effective July 2024. Leading Chinese EV-makers BYD Co., Geely Automotive Holdings Ltd. and SAIC Motor Corp Ltd cooperated with the investigation and so received bespoke rates. Specifically, BYD imports will be charged 17.4 per cent, Geely 20 per cent and SAIC 38.1 per cent. All others will be charged 38.1 per cent.
On 20 February 2024, 73 industry leaders from nearly 20 industrial sectors signed the ‘The Antwerp Declaration for a European Industrial Deal’. Many more have signed since then, including the European Tyre and Rubber Manufacturers’ Association (ETRMA). The ETRMA thus joins over 900 organisations across 25 sectors asking for industry and industrial policy to be at the core of the new European Strategic Agenda for 2024-2029.
On 8 January, the UNECE’s World Forum for Harmonization of Vehicle Regulations endorsed a proposal outlining two methodologies for assessing tyre abrasion within the framework of UN Regulation No. 117. The proposal adopted by the Working Party on Noise and Tyres entails measuring the reduction in tyre weight caused by abrasion, with results quantified in milligrams per kilometre per tonne of load on the tyre.
The share prices of Bridgestone, Continental, Goodyear, Michelin, Nokian and Pirelli were down by an average of 2.35 per cent following the news that the European Commission has started an antitrust investigation within the European Union.
Unannounced inspections, investigations, visits, raids. Whatever you call them, having the European Commission come knocking uninvited is not how any tyre manufacturer wants to start 2024. Nevertheless, that is exactly what happened at the tail-end of January across “several member states” within the European Union.
Following the news that the European Commission has opened a price-fixing investigation across “several member states”, Michelin has officially confirmed that it too has been investigated as part of EC antitrust case. Nokian, Goodyear, Continental, Pirelli and Bridgestone have also been investigated as part of the EC case.
Yesterday the European Commission announced it was “carrying out unannounced inspections at the premises of companies active in the tyres industry in several Member States.” So far, we’ve learned that Bridgestone, Continental, Goodyear, Michelin, Nokian Tyres, and Pirelli received visits from EC officials.
Bridgestone joined four other manufacturers in confirming to Tyrepress that it has been part of the European Commission’s series of unannounced inspections at tyre makers active within several European Union member states. A representative told Tyrepress: “Bridgestone can confirm that the European Commission is conducting an inspection at its European Headquarters. As a responsible company that is committed to fair practices and transparency, Bridgestone is fully cooperating.”
Pirelli has confirmed that it is among the tyre manufacturers in European Union member states receiving an unannounced visit from European Commission investigators today, according to Tyrepress sister site PneusNews. The EC is concerned that companies producing replacement market tyres for cars, vans, trucks and busses may have “violated EU antitrust rules that prohibit cartels and restrictive business practices.” A Pirelli spokesperson said the company “has always acted in total compliance with all rules and regulations,” adding that “it is guaranteeing full support” to investigators.
The European Commission’s unannounced inspections at European tyre company premises today included Continental. The Hanover, Germany based manufacturer said, “We can confirm that as of today investigations by European antitrust authorities are taking place at Continental in Germany.” A representative added that the company could not comment further on an ongoing investigation. The EC is investigating concerns of price coordination on new replacement tyres for passenger cars, vans, trucks and busses sold in the European Economic Area.
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.
Pirelli
Continental