Union Asks Continental to Reconsider Mayfield Closure
Union representatives from Continental’s Mayfield tyre plant have asked company officials to reconsider a decision to close its Mayfield plant.
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Argentinean Labour Dispute Ends
Product NewsThe intervention of government officials has brought a yearlong labour dispute between Bridgestone/Firestone (BFS) Argentina and its workers to an end.
Myanmar Government Lifts Rubber Export Ban
Product NewsMyanmar has resumed the export of rubber following an announcement by the government that took effect on 1 September. In a statement released by the country’s trade directorate on 27 August, the government said that domestic production had risen since the ban was put in place at the beginning of the year. According to the statement demand is being met.
US Authority Proposes TPMS System
Product NewsThe US government’s National Highway Traffic Safety Administration (NHTSA) has officially proposed that all new vehicles carry a TPMS. The announcement comes after the NHTSA sent the draft rule to the Office of Management and Budget on 1 July.
Bus and Coach Registrations Down
Product NewsAugust bus and coach registration figures reflect a general fall in demand. At 12,597 the rolling year total fell at the end of August by 2.95 per cent. The shorter term, year to date figures show a 9.7 per cent drop over eight months. The figures, released through the Society of Motor Manufacturers and Traders (SMMT), reflect the view that operators are still not spending enough on new buses to hit the government’s fleet replacement target.
In contrast with the heavier vehicles figures, the number of light bus registration increased 23.3 per cent to 1,080. Coach registrations were also up 11.1 per cent to 832 for the eight months at the end of August. The rolling total of double deck buses was 1,378, 12 per cent less than last year’s figure. In spite of the decrease August figure is actually above the 200-2002 average of 1,206. The SMMT suggests that this is due to the fleet purchases of London buses.
SMMT’s Vehement Response to Industry Committee
Product NewsThe Trade and Industry Select Committee report on The UK Automotive Industry in 2004, has stated that the UK is “a good venue for automotive production.” It also went on to suggest that the industry calls for consistent implementation of EU regulations and strict monitoring of EU-wide schemes for emissions trading.
There was good news for the SMMT Industry Forum and Automotive Academy, which was praised for its work in improving competitiveness and addressing the skills shortage. However, it criticised falling new car prices and the action taken to open up the market for independent service and repair outlets.
The SMMT was disappointed with the criticism and has issued a contentious response following the release of the report. Chief executive Christopher Macgowan commented: “The fundamentals of this report are good news for the industry. While the sector is not without its problems, the Committee has recognised the steps taken to address issues of competitiveness and skills through organisations like SMMT Industry Forum and the new Automotive Academy.
“By continuing to work closely with the government we can ensure that threats identified in the report, such as the cost of regulation and low levels of investment in research and development, do not erode the UK’s significant automobile production and supply base.”
China Leads the Global Bus Business
Product NewsAlthough western European bus manufacturing is still the driving force in the global bus business, China is now ahead on volume according to the latest news published by Truck & Bus Builder Reports Limited. Analysts believe that the Chinese manufacturing pace has quickened because they are now using European standards for bus building and operation.
The report also claims that in India, the two leading domestic bus makers, Tata and Ashok Leyland, are involved in a Government-led transport programme, which “could transform the whole of the Indian sub-continent in terms of public transport.” The report details production and registration data for the main bus building countries and carries market forecast figures for the next five years.
Russia Government Considers Lowering Importation Taxes
Product NewsThe Russian government could lower import taxes from 10 per cent to three per cent for the importation of automobile components intended for assembly in Russia, said Mikhaïl Sorokine of the Russian ministry for economic development according to the Itar-Tass agency.
Annual Meeting of “Auto-Kompleks”
Product NewsWithin a couple of weeks of the fall of the Berlin Wall, the Polish government abandoned its centrally planned economy and replaced it with a liberalised system based on free market thinking.
Today, 14 years after those first steps towards a western economic system, Poland and most of its business sectors are dominated by change. This progression is true of the tyre business too. In early June, the members of the new Polish tyre retail association, Auto-Kompleks, met in Bogumilow in order to discuss its plans for the future and to correct the mistakes of the past.
Since its foundation in 1999, the 40 or so members of Auto-Kompleks have met once a year in south-west Poland. After five years in existence, the association is still searching for a fundamental direction. Although Auto-Kompleks calls itself an “association” it is not entirely clear whether the title means the same as it would in the UK.
For example, one legacy from the organisation’s foundation period is that two members from the same town are prohibited from joining. This kind of territory protection, which is usually bestowed upon retailers or wholesalers by the industry, suggests that Auto-Kompleks was initially formed in order to act as a retail co-operative that could strengthen the individual members’ buying power. Indeed the initiator and founder of Auto-Kompleks, Kazimierz Mazurkiewicz, who was elected as the group’s president in June, told Tyres & Accessories that the foundation was formed as a reaction against the attempts of Polish wholesalers to sell directly to the end-consumer.
Auto-Kompleks was perceived to be the smaller and less powerful retailers’ best defence against the price dictating power of the tyre industry. Although the organisation was originally conceived to represent the interests of independent tyre dealers in Poland Mr Mazurkiewicz has to admit that Auto-Kompleks’ efforts have only been halfway successful. We are learning through experience, the new vice president Ryszard Maguder added. Although still “in discussion”, explains the tyre dealer from Kruszyn; a change of Auto-Kompleks’ admission policy is just a matter of time.
‘Without Us Britain Stops Moving’
Product NewsAs part of the NTDA’s series of 75th anniversary celebrations, association chairman, Martin Rowlands, and director, Richard Edy invited NTDA members to ‘walk the halls of power.’
On a sweltering midsummer’s evening the Houses of Parliament provided the backdrop for NTDA members to rub shoulders with parliamentarians. The evening reception was held at the invitation of David Lidington, Member of Parliament for the NTDA’s home constituency, Alylesbury.
In their welcoming speeches Mr Lidington and Mr Rowlands encouraged dialogue between the industry and government. “We value our relationship with both government MPs and the civil service and will continue to represent our members interests on government working groups covering scrap tyre disposal and road safety. As one of the guest MPs said: ‘it is important that a trade association has a voice and that we parliamentarians have an organisation with whom we can talk’,” said Martin Rowlands.
Throughout the evening guests had the opportunity to network with influential members of the tyre business and, in chairman Martin Rowlands’ words, “bend the ear of politicians, with a particular interest in our industry.”
UK Automotive Industry Ask for Level Playing on Emissions Trading
Product NewsThe UK automotive industry wants a level standard across Europe for emissions trading, the House of Lords European Union Select Committee heard last week.
SMMT representatives presented evidence to the Committee, explaining that many UK plants have already fitted advanced emission control kits and work to a higher standard than some of their continental counterparts. A further concern of the motor manufacturers society was that in some countries, automotive plants seem to be able to avoid the need to trade emissions altogether.
Goodyear Re-elects Directors
Product NewsGoodyear Tire & Rubber Company’s shareholders have re-elected Robert J Keegan, Rodney O’Neal and Shirley D Peterson to serve as company directors for a further three years. John G Breen was elected to serve for the final year of a three-year term on the board.
11th Director For Goodyear
Product NewsShirley D. Peterson (62) has been elected to the Board of Directors of the Goodyear Tire & Rubber Co. She is the 11th member of the board, 10 of whom are independent. Peterson spent 20 years as an attorney then, in 1989, was appointed Assistant Attorney General, Tax Division at the U.S. Department of Justice. In 1992 she was appointed Commissioner of the Internal Revenue Service by President George Bush. In 1995, Peterson was named president of Hood College in Frederick, Maryland. Goodyear’s chairman and CEO Robert Keegan praised Peterson’s record in business, government and academia, saying: “She will make important contributions to our board.”
Michelin to import truck tyres to India
Product NewsThe Indian Government is to permit Michelin to import bus and truck radial tyres for wholesale trading on cash and carry basis until its joint venture with Apollo Tyres becomes operational. Michelin Apollo, 51 per cent owned by the French firm and 49 per cent by Apollo Tyres, will take about 20 months to begin production.
Michelin investment in Apollo Tyres cleared
Product NewsIndia has approved a proposal by Europe’s biggest tyre maker, Michelin, to pick up a 14.9 per cent stake in tyre-maker Apollo Tyres Ltd for 71.44 million Dollars. A government statement said the investment by Michelin would be used to manufacture, market and distribute truck and bus radial tyres in India. Truck and bus tyres account for more than 70 per cent of India’s 2.2-billion dollar tyre industry but less than two per cent of tyres are radials. But radials make up more than 75 percent of car tyre sales. Indian transporters have shied away from radial tyres, seeing them as not rugged enough for the appalling roads and rampant overloading in India. However, radial sales are expected to increase because of improved highway conditions.
