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Lanxess Extends NdPBR Production to Meet UHP Tyre Demand

Lanxess reports that its facility in Orange, Texas began production of neodymium polybutadiene (NdPBR) in September. The decision to commence production of these chemicals was apparently made in response to increased demand for NdPBR and SSBR in high-performance tyre applications.

Timothy Rae, NAFTA region head of marketing for the Lanxess Polybutadiene Rubber (PBR) business unit, comments: “The additional production also enhances our capability to meet the US demand for domestic cobalt polybutadiene (CoPBR) with complementary NdPBR grades. This is an important step to fulfilling our strategy as a reliable supplier of high-performance PBR products from multiple locations worldwide.”

16th October 2007/by Tyrepress Editors

Reorganisation will Reduce Michelin’s Capex, says Deutsche Bank

Deutsche Bank has provided comment on the recently announced Michelin closures and restructuring. According to the bank’s Equity Research division, the closure of Michelin’s factory in Toul, France and the passenger tyre division of its Lasarte, Spain plant will allow the company’s Capex in Europe to be lowered by 30 per cent while tackling the pressing issue of labour costs, which are currently 50 per cent higher than Michelin’s global average.

A reported 830 workers will lose their jobs as a result of the Toul closure, and a further 500 layoffs will take place when PCR production ends in Lasarte. According to Deutsche Bank the Michelin reorganisation in Europe will ultimately lead to a better equilibrium between production and sales for the continent – at present Europe represents 70 per cent of the group’s production but only 50 per cent of sales. The closures and restructuring will also in part address the imbalance of scale faced by Michelin’s European facilities, which are two to three times smaller than what is considered optimal – 8 to 10 million units for a PCR factory and 2 million units for one producing truck tyres.

5th October 2007/by Tyrepress Editors

Michelin Tables Plant Re-Organisations & Closures for France, Spain

Michelin has outlined plans affecting the company’s operations in France and Spain. These plans, according to the tyremaker, constitute a new phase in Michelin’s industrial strategy in the two countries, and are aimed at strengthening the group’s competitiveness in Western Europe. Michelin adds that “significant investments” have been earmarked for plant modernisation projects.”

As part of the strategy, production at the company’s factory in the French town of Toul is scheduled to cease in 2009. The facility produces mid-range passenger car tyres, a market experiencing intense competition from low production cost countries that have massively invested in this specific segment during the past five years. Michelin claim that, in spite of significant investment into the operations at Toul in recent years and the streamlining of industrial processes, production costs at the plant are 50 per cent higher than those of the French manufacturer’s competitors, therefore Toul is no longer a competitive site. The company adds that the market currently has an overcapacity in the tyre sizes manufactured in Toul.

4th October 2007/by Tyrepress Editors

Pirelli’s 2008 WRC Tyre Hits the Asphalt

The beginning of the 2008 FIA World Rally Championship and Pirelli’s involvement as official tyre sponsor lies only a few short months away, and the Italian tyremaker reports that approval for its new asphalt tyre for the series has recently been granted by its own technicians and the FIA. Fine-tuned with experience gained over numerous test sessions, the new tyre is said to contain, according to Pirelli, “a number of innovative features.”

“The Italian firm’s technicians recently signed off the asphalt tyre, after an intensive and detailed series of tests with reigning Italian Rally Champion Paolo Andreucci and the Bozian Racing Peugeot 307 WRC used by Gigi Galli on a number of WRC events throughout 2006,” the company reported in a statement. These tests, conducted by Pirelli and Andreucci in France, Spain and Sardinia, enabled the FIA to place their seal of approval on a tyre that possesses a number of new features and pre-empts upcoming environmental legislation by two years.

4th October 2007/by Tyrepress Editors

Removing the Strain

Not all industry training takes the form of a structured learning module, delivered in a location removed from the regular working environment. The experiences of Goodyear highlight that training can be akin to a component in a machine, one part amongst many but essential for its proper functioning.

Towards the end of 2004 a number of senior executives at Goodyear examined data on workplace injuries at the company’s facilities. What surprised them was not the occurrence of injuries commonly associated with a factory environment, such as cuts, grazes and the occasional more serious mishap – it was the prevalence of strains, sprains and other preventable injuries. As a company that has long made efforts to minimise workplace hazards, Goodyear decided the figures indicated room for improvement.

3rd October 2007/by Tyrepress Editors

Continental Publishes Winter Truck Tyre Guide

Continental Tyres has put together a comprehensive guide to the differing tyre requirements British truck and coach operators expecting to run their vehicles in European countries this winter have to meet. Draconian penalties – including an absolute ban on entering certain countries – will apply to vehicles not properly equipped when there is ice or snow to contend with. Countries including Austria, Germany, Italy, France and Switzerland are covered and the Conti guide – available free of charge to operators – spells where special cold weather tyres are required and when snow chains have to be fitted.

24th September 2007/by Tyrepress Editors

Michelin Wins Frost & Sullivan Consumer Choice Award

Europe has overwhelmingly cast its vote in favour of the tyre brand it regards as the safest and most durable, Michelin, putting the company miles ahead of the competition. The French tyre supplier emerged as Europe’s preference during a recent survey of consumer perceptions of chassis technologies conducted by Frost & Sullivan. Its dominance in Europe’s tyre market saw Michelin roll away with the 2007 Frost & Sullivan Customer Choice Award for Brand Offering in the categories of “safe and durable tyres” and “best overall tyre brand” in Europe.

Michelin was selected as the recipient of Frost & Sullivan’s prestigious award based on a recent study entitled, “Customer Attitudes and Perceptions Towards Driving Dynamics” covering over 2,000 respondents across five regions (France, Germany, Spain, Italy and the United Kingdom) and all vehicle segments (A&B, C, D&E, SUV and MPV).

17th September 2007/by Tyrepress Editors

Deldo – the Winter Tyre ‘Specialist’

Deldo Autobanden markets itself as the European specialist for winter tyres, a claim based on the many years the company has participated in this seasonal market. Today in its Antwerp warehouse Deldo stocks more than 25 brands of cold weather tyres, including its exclusive Wanli and Sunny brands.

The two exclusive brands are manufactured in South China Tire & Rubber’s year old factory in China’s Guangzhou Province, and Wanli and Sunny offer an extensive range of tyres for passenger and commercial vehicles, with more than 80 studdable and non-studdable sizes available for the winter tyre segment alone. In mid July Deldo commented that it was “happy” with the level of pre sales for winter tyres ahead of the upcoming cold season, stating they had already reached a respectable 65 per cent.

24th August 2007/by Tyrepress Editors

First Batch from Hankook’s Hungary Plant Roll off Production Line

Hankook Tire has shipped its first batch of tyres produced at the company’s maiden European manufacturing operation. Current capacity is reportedly 1 million units, but mass production operations at the factory could be up and running in as little as six weeks. The first batch is reportedly en route to the UK and France, two of the manufacturer’s key regional markets.

The tyres produced are the Optimo K415 and K715, which were developed mainly for the European replacement business. Hankook Tire Executive Vice-President and COO for Europe, Seung-Do Jin, Hankook Tire CTO & CPO Hwi-Joong Kim together with the Hungarian plant Managing Director Eung-Young Lee wished a safe journey to the drivers of the first two trucks leaving the loading platform of the new Hankook-warehouse, located next to the production facilities.

10th August 2007/by Tyrepress Editors

ArvinMeritor Sells European LVA Operations

Vehicle systems and components manufacturer ArvinMeritor reported on August 7 that its Light Vehicle Aftermarket (LVA) European exhaust operations has been sold to the UK based automotive sector investor Klarius Group. Terms of the sale were not disclosed. This sale affects includes employees at the company’s UK LVA facilities in Blackpool, Lancaster and Stoke-on-Trent, as well as those at plants in Dreux and Nanterre in France, and Finale Emilia in Italy.

“This transaction completes the divestiture of the LVA business,” said Chip McClure, ArvinMeritor chairman, CEO and president. “Our strategy is to focus resources and capital on areas within our core businesses that produce the highest returns for our shareowners.”

McClure added, “Completing the sale of LVA is another recent achievement toward strengthening the company and positioning ourselves for profitable future growth.”

9th August 2007/by Tyrepress Editors

New Butyl Rubber Production Technology Enters Production

A new rubber processing technology pioneered by ExxonMobil Chemical has entered commercial production in France. At the end of July ExxonMobil Chemical reported that its Notre Dame de Gravenchon (NDG) facility had begun employing a technology that reportedly can significantly increase the butyl rubber production capacity at established production plants. In addition to increasing capacity, ExxonMobil Chemical state that the process now being used at the NDG plant is more energy efficient than current methods owing to changes in the temperature at which the butyl rubber polymerization process takes place.

The process technology unrolled at the NDG plant is the result of a long-term multi-million dollar program conducted by ExxonMobil Chemical. “This is possibly the biggest breakthrough in butyl process technology since the invention of halobutyl,” said Art Sullivan, Global Butyl Polymers vice president at ExxonMobil Chemical. “It is the culmination of our relentless focus and investment in research and development, and it demonstrates the continued technical leadership of ExxonMobil Chemical and our continued commitment to the global tyre industry.”

The commercial application of the technology comes after two years of tests and trials at the NDG facility. Stable, efficient plant operations, significantly higher production capability with existing reactors and refrigeration compressors and equivalent product properties and performance were amongst the key success criteria evaluated prior to commercialisation of the technology. The company plans to implement the new technology at its other butyl plants around the world, however details of the company’s plans, including the timing and target capacity increment, have yet to be finalised.

7th August 2007/by Tyrepress Editors

UK Europe’s Leading Tyre Recycler

The UK now diverts 93 per cent of tyre arisings from landfill and leads the way in terms of tyre recycling. However, while most people are pleased to hear that the UK’s free-market approach to tyre recovery and recycling continues to prosper, valid questions about the increased prevalence of secondary fly-tipping and rising numbers of part worn tyres on the market were also raised.

According to the ETRMA, 3.2 million tonnes of used tyres were generated in Europe during 2006, including 486,000 tonnes in the UK and 585,000 tonnes in Germany – the continents two leading tyre markets. The figures, reported by the European Tyre & Rubber Manufacturers’ Association (ETRMA) cover end of life tyre (ELT) destinations during 2006. Across Europe 87 per cent of used tyres (up three points) are now recovered. The key European disposal route is energy recovery, a method favoured by the many markets that operate producer responsibility programmes.

And while the UK’s 93 per cent recovery rate for tyres may not be as high as these other nations, the split is much more varied and the he UK surpasses all other European countries – including France and Germany – in terms of recycling. In 2006 254,000 tonnes of tyres ended up in material recovery, while a further 57,000 tones were retreaded. Therefore the UK recycling an impressive 311,000 tonnes of used tyres in 2006.This compares with just 198,000 tonnes in Germany and 239,000 in France. Austria, Belgium, Denmark, Finland, France, Germany, Hungary, the Netherlands, Portugal, Slovakia, Sweden and Norway, all claimed 100 per cent recovery rates.

2nd August 2007/by Tyrepress Editors

Tyres Slashed to “Educate” Owners

Tyres in the city of Berlin have found themselves on the wrong end of attention from a number of ecologically aware vandals. Within less than a week vandals have slashed or deflated the tyres on more than 80 4×4 and luxury cars throughout the German capital.

What singles this spate of attacks out from everyday vandalism is the handwritten notes left for the vehicles’ owners. These notes, claiming to be from “environmentalists”, outline the link between carbon dioxide emissions and global warming.

Investigators assume that the attacks are the work of a group rather than an individual and that it could be linked to international organisations that advocate social awareness through vandalism. Similar groups operating in France and Belgium have been known to smear cars with manure.

30th July 2007/by Tyrepress Editors

Sibur-Russian Tyres Opens German Subsidiary

Sibur–Russian Tyres Holding, one of the largest tyre-producers in Eastern and Central Europe, has opened a subsidiary in Berlin, Germany. According to a company statement, the move follows customer demand: “The growth of European consumers’ interest [in] Sibur–Russian Tyres’ production has lead to the decision of SRT’s top-management to establish a subsidiary in Germany. The opening of a new office in Berlin is a part of company’s policy aimed at entering Western European markets. “The main functions of Sibur – Russian Tyres’ subsidiary in Germany comprise product promotion and sales. The establishment of German subsidiary will help to optimize the company’s sales and distribution structure in Western Europe.”

Mr. Karavaev, Chief Strategic Officer of Sibur–Russian Tyres, noted: “Currently [the] company is actively developing. The company’s production is orientated not only to the internal but also to external markets: more than 25 per cent of company’s production goes for export. For the future the company plans to enter new markets while strengthening its positions on its traditional market areas. The goal is achievable as SRT will keep on the development of quality management systems and provides international standards in tyres production”.

23rd July 2007/by Tyrepress Editors

Bridgestone European Technical Centre to produce GP2 Tyres

Bridgestone Corporation, sole tyre supplier for both Formula 1 and the GP2 Series, has decided to base GP2 Series tyre production and quality control at its Technical Centre Europe (TCE), on the edge of Rome. The output will be warehoused in the UK, at the Bridgestone Motorsport facility in Langley.

Until now, all GP2 race tyre development and production has been centred in Tokyo. Although, for the time being, design and development will continue to be carried out in Japan, the rationale for the new arrangement is twofold. Firstly, the addition of a second manufacturing site provides a safeguard against the risk of supply bottlenecks in this highly demanding environment. Secondly, GP2 race tyres supplied from Europe for European races will incur lower transport mileage costs and will have a lower environmental impact.

13th July 2007/by Tyrepress Editors