Giti Tire
Six banks have reportedly agreed to support a Deutsche Bank-arranged US$225 million 3.5-year term loan for China’s GITI Tire. According to Thompson Reuters’ ifre.com website, unnamed banking sources shared the information with the publication. No details of what the loan is intended for have yet been released, but it looks likely to be a refinancing tool. GITI has not officially commented on the reports.
GITI Tire has appointed Richard Lyons to the position of general manager Europe as part of a series of moves that sees the firm implement a new organisational structure for its European operations. The structure, which took effect 1 May 2011, has been established following the departure of Michael Andre in March. Andre previously held the role of marketing director for passenger car tyres Europe and was managing director of the company’s Giti Tire Germany GmbH Deutschland subsidiary. Hervé Richert, GITI’s executive director, international sales and marketing described the new-look team a “direct consequence of GITI Tire Europe’s growth of business over recent years.” Writing in a statement detailing the reshuffle, he explained that it also follows the company’s “clearly defined strategy of building on strong relationships with its partners and customers with a focus on key markets in Europe and emerging markets” such as CIS and Russia.
To support its consumer market activities, GT Radial has launched a newly-developed UK website. The site, which can be found at gtradial.co.uk, features a detailed overview of the GT Radial product range plus an integrated tyre selector search facility that automatically matches the correct tyres by vehicle make and model or by simply entering a vehicle’s registration number – one click and the vehicle type plus the appropriate GT Radial fitment will be displayed. Details and addresses for retailers in the GT Radial Performance Centre Network are also available.
GITI Tire has appointed Richard Lyons as general manager as part of a series of moves that sees the firm implement a new organisational structure for its European operations. The new structure, which took effect 1 May 2011, has been established following the departure of Michael Andre in March. Andre previously held the role of marketing director for passenger car tyres Europe and was managing director of the company’s Giti Tire Germany GmbH German subsidiary.
Hervé Richert, GITI’s executive director, international sales and marketing described the new-look team a “direct consequence of GITI Tire Europe’s growth of business over recent years.” Writing in a statement detailing the reshuffle, he explained that it also follows the company’s “clearly defined strategy of building on strong relationships with its partners and customers with a focus on key markets in Europe and emerging markets” such as CIS and Russia:
For its part, GITI Tire (UK) Ltd. gave three new tyres their British debut. The first, the GAU861 made not only its British but European debut by appearing at the show. A new all-position pattern specifically designed for the urban waste sector of the market, GAU861 is currently in development and is expected to become available in 295/80 R22.5 later this year. Next up , the GDL617 is a new non-directional long haul drive axle pattern, which is also currently in development. Like the GAU861, this too is expected to enter distribution later on in 2011, although this product is set to be offered in “a variety of sizes.” The final new product on show was the GAR821, which is a new pattern specifically designed for regional bus operations and featuring a reinforced sidewall, solid shoulder and deep tread for “minimised impact damage…mileage performance and reduced noise emissions.” As well as the new tyres, the company also gave a further six existing products publicity at the show.
Michelin has appointed Mike Wilson, 61, as commercial director of its earthmover and industrial operations in the UK and Republic of Ireland. Wilson benefits from 37 years of experience at Michelin, in a career which began in 1974 when he joined the company as a sales representative. After eight years based in the Manchester area he progressed to a sales manager role in Ireland, before returning to the UK and holding a number of posts including sales manager for government contracts followed by a similar position within Michelin’s mileage contracts division.
Cooper Tire & Rubber Company Europe has appointed Jason Clarke as its new UK sales director, effective of 1 April. Clarke, 41, has worked for Cooper Tire since 1998 and takes over the position following the retirement of Steve Cundy at the end of March. Clarke joined the Company in March 1998 as regional sales representative for Wales. He then became a regional sales manager for the Wales and Midlands region, before being promoted to the role of UK sales manager for retail accounts in 2006.
Graham Karran is celebrating his 25th year at Michelin Tyre plc with a promotion to retread sales manager, responsible for the sales and marketing of all Michelin’s retread tyres in the UK. He replaces Mike Wilson, previously retread sales manager for 16 years. Wilson is promoted to commercial director of Michelin’s earthmover and industrial operations in the UK and Republic of Ireland.
Karran, 44, will use his extensive experience within the truck tyre sector to work closely with Michelin’s Remix and Encore production sites in Stoke-on-Trent. Together, these two facilities maintain Michelin’s position as the country’s largest producer of retread tyres.
Michael Andre has resigned from Giti Tire Europe for personal reasons. Andre, who was marketing director for passenger car tyres Europe and managing director of the company’s Giti Tire Germany GmbH German subsidiary, is said to have made his decision during the middle of March.
While the European Tyre and Rubber Manufacturers’ Association’s study into the presence of ‘high PAH’ oils in tyres sold within Europe revealed all that all non-complying tyres were manufactured in China, the ETRMA made it clear that Chinese manufacture was in no way synonymous with Reach regulation non-compliance. Giti Tire Europe, whose GT Radial brand is produced in China, has also addressed potential uncertainty that may arise over the status of its products.
MIRA has announced its intention to become a £100million business within the next 10 years. The well-known independent test centre, which is home to test garages belonging to Dunlop, Continental, Giti and Kumho to name but a few, says the business’ growth will see MIRA become the most advanced independent transport technology facility in Europe. And the operation reports that it is willing to commit £300 million to investment in new infrastructure at its Midlands base.
ATS Euromaster is to supply the Giti Tire manufactured Primewell brand of truck. Primewell tyres are already sold in Asia, North America, South America and mainland Europe. Giti Tire is reportedly the fourth largest radial truck tyre manufacturer in the world.
Richard Lyons, Giti sales director – Europe, said: "We were looking for a large national company whose values reflected our own focus on quality, innovation and the environment, and ATS Euromaster ticked every box. Fleets of all sizes are using Primewell tyres around the world and have commented on the difference they are making to costs and performance levels. We have every faith that our partnership with ATS Euromaster will help us swiftly establish a similar reputation in the UK commercial vehicle sector."
Following the publication of Giti subsidiary Giti Tire Company’s full year 2010 figures, Tom McNamara, vice president of sales for Giti Tire USA, has brought clarification to what these mean in the context of wider business.
According to McNamara, Giti Tire Corporation stated in its 2010 annual report that it had made timely price adjustments following the industry price movement in an effort to mitigate the increase in raw material prices and the effect of fluctuating exchange rates. Some published reports incorrectly attributed the decrease in net profit to not raising selling prices in 2010.
Giti Tire Corporation (a Giti Group Shanghai listed company) recorded a 64 per cent year-on-year drop in 2010 net profit attributable to shareholders to 54 million yuan. This was despite a 36 per cent year-on-year increase in revenue to 3.61 billion yuan, according to a company filing.
While wholesalers importing Chinese tyre products into mature European markets such as the UK struggle to negotiate supply issues and brace themselves for another round of price increases, there are reports that tyre makers in one part of the People’s Republic are over-producing to the extent that they are actually stockpiling tyres.
Southeast China's Fujian province exported 32.85 million between January and November 2010, signalling a 27.6 per cent year-on-year increase in shipments, according to a report from the province's customs officials. The total value of the tyres sold is said to have amounted to US$460 million, a jump in value of 34.8 per cent over the corresponding period of 2009. The export price averaged $13.9 per unit, up 5.7 per cent from 2009.
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