Federal Corporation of Taiwan has reported strong second quarter sales growth, up 19.4 per cent over the same period last year. 2Q sales were US$ 25.7 million (21.5 million in 2Q 2001) and markets outside Taiwan and China contributed US$ 18.9 million, or 77 per cent of the total. For the first six months of the year, sales are up by 18.3 per cent, at US$ 48.9 million.
Goodyear is being sued by four New York homeowners over allegedly leaky heating hose, which has caused damage to their houses. The hose, called Entran II, was usually installed under floors to heat homes – it was removed from the market in 1993. In Colorado earlier this year, Goodyear was ordered to pay $23 million to a property developer who used the hose in his buildings. Other lawsuits are pending. Goodyear is appealing the Colorado decision and says any problems lie with improperly designed heating systems, rather than the hose. Two years ago, a federal jury found no blame attached to Goodyear in a dispute with a customer, Heatway Systems, who used Entran II in its heating systems and is now facing hundreds of claims.
The RMA in the USA have petitioned the federal government to adopt a reserve air pressure standard for tyre pressure monitoring systems. According to the RMA, vehicle manufacturers set the safe pressure limit at, or just above, the minimum required for safe operation of a fully laden vehicle. The existing 30 per cent drop in pressure allowed by tyre pressure monitoring systems means that fully laden vehicles could be running on tyres inflated to dangerously low levels. The RMA is asking that the suggested tyre pressure setting should be set at 30 per cent above the safe limit, thus allowing 30 percent loss without creating a dangerous underinflation.
Federal Corporation, the tire manufacturer with its headquarter based in Taiwan, today announced the appointment of Richard Huang, formerly Global Business Manager, to Vice President. In the new appointment Richard Huang will oversee Federal’s Sales and Marketing for both overseas and domestic, including Federex Marketing Corporation, a Taiwan domestic sales and marketing company. Federal also announced the appointment of C. I. Chen, formerly Vice President, to Executive Vice President. In his new appointment, Mr. Chen will be responsible for overall management of all functions at Federal and will be the focal point of coordinating and synergizing Federal’s operations in China and Taiwan.
Jamie Ma (28) has been appointed President of Taiwanese tyre manufacturer Federal Corporation. Formerly Executive Vice President, Jamie Ma succeeds De-Ling Ma. Jamie Ma has been instrumental in directing Federal towards the ultra high performance sector and he plans to expand the R&D team, aiming to introduce a new tyre pattern design each year to meet high demand from overseas. As well as Federal Corporation President, Jamie Ma is also Chairman of Federal Tire (Jiangxi) Ltd., in China, where Federal produces the Maxon and Hero tyre brands.
A Federal Judge has refused an application by Ford and Firestone to dismiss 121 cases brought against the companies where the cases involved accidents in Venezuela and Columbia. Judge Barker ruled that the defendants had not proven that the cases would get a fair hearing in those countries. The decision is not binding on other courts, but may influence similar cases being brought elsewhere in the USA. Firestone was “extremely disappointed” by the ruling, and Ford said it was “unprecedented”. Both defendants are likely to appeal the case.
Federal Corporation, based in Taiwan, reported that, as a result of the success of its innovative quality ultra high performance tyre products coupled with the outstanding sales performance of its worldwide distribution network, the company grossed over $89,373,000 in 2001. This is an annual sales record for the company and a 13.26 percent increase on the year 2000.
Lear and partner Beru have confirmed the award of a contract to supply Ford with Tyre Pressure Monitoring Systems, as reported here earlier in January. The contract is to supply TMPS for a future model of the Ford Explorer. Sales of the Lear Beru TMPS are expected to generate several hundred million dollars as a result of federal regulations requiring TPMS devices to be fitted to every new car sold in the USA.
More Goodyear run-flat tyres are on the road than any other. A study by J.D. Power and Associates says that nearly seven out of eight consumers place run-flat tyres at the top of their list of desired features. The report shows that consumers want safety-related features more than sophisticated entertainment systems or other convenience features in their new vehicles.
China Tire Holdings Ltd and Orion Tire Corp’s Lawsuit against Goodyear has been sent back to the federal court by the 9th Circuit Court of Appeals. This revives a long-standing battle over China’s grant of a joint venture plant to Goodyear. The claimants say that Goodyear unlawfully persuaded a state-owned factory to abandon a contract with China Tire. China Tire alleges that Goodyear gave gifts, including jewellery, scholarships and travel to Chinese officials. The case though may face early dismissal if China Tire do not present adequate new pleadings.
Delphi Automotive Systems has bought Federal Mogul’s Advanced Disc System brake technology. ADS features a simplified design offering better performance through an assembly using fewer components which ultimately may speed brake by wire technology and remove the need for booster equipment in brake assemblies. ADS can reduce the mass of the brake assembly by up to 25%.
In the US, a federal judge turned down lawyers’ requests to order a recall of Ford Explorers and Firestone tyres. The judge ruled that only the National Highway Traffic Safety Administration has the authority to order such a recall. Bridgestone/Firestone has already indicated that it would fight any such order from the NHTSA in the courts. In a rare moment of unanimity, both Ford and BF Inc. welcomed the judge’s decision.
The US National Highway Traffic Safety Administration has proposed new federal standards for the installation of tyre pressure monitoring systems in passenger cars, light trucks and SUVs. The first option requires that the driver be warned when the pressure in one or more tyres, up to a total of four, has fallen to 20% or more below the recommended cold inflation pressure, or a minimum pressure specified in the new standards. The second option is that the warning is given when the pressure in one or more tyres, up to a total of three, falls below 25% of the recommended cold inflation pressure, or a minimum pressure specified in the new standards. These US recommendations are bound to give impetus to the marketing and development of tyre pressure monitoring systems throughout the market.
General Motors recently introduced a “Precept Technology Demonstration Vehicle” at the Detroit Motor Show as part of the project PNGV (Partnership for a New Generation of Vehicles) – a co-operation of American car makers, suppliers and the federal government. The concept car is fitted with the lightest 3.8 kg 16-inch fabricated aluminium wheels by Hayes Lemmerz.
The Anderson Consulting Supplier Index recently carried out a survey to establish the most stable and competitive US automotive suppliers and ranked Hayes-Lemmerz joint second alongside Federal Mogul. Top performer was Tower Automotive.
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