Sabanci Purchases Indonesian Tyre Yarn Company
As part of its plans to expand into east Asia, Turkish corporation Sabanci has agreed to purchase a controlling stake in the Indonesian tyre-yarn firm PT Branta Mulia Tbk.
Indonesia
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Cheap Illegal Imports Force Indonesian Manufactures to Close
NewsA “flood of illegal Chinese and Indian-made tyres” has caused two influential Indonesian tyre manufacturers to close. Aziz Pane, head of the Association of Indonesia Tire Companies told local newspapers that PT Intirub and PT Mega Safe Factory were the first casualties.
In 2004 PT Intirub (Indonesian Tire & Rubber Works Ltd) ran three factories and manufactured approximately 3.5 million radial and bias tyres. Around 66 per cent of production was described as “internationally competitive” and the management had previously described Great Britain as one of its markets. In 1995 the company established a technology cooperation with Cooper-Avon and, two years later began producing radial tyres. E-marking and ISO 9002 followed shortly afterwards.
A Century Of Retreading
Product NewsAccording to Kraiburg Austria, 2006 marks the centenary of retreading and, the company argues, giving new life to worn tyres is as important today as ever it was. The experts are not in total agreement, but many are of the opinion that the retreading of tyres started in 1906 in Germany, while 1908 is the year cited for England and China, and 1917 for the USA.
MPV Sales To Boost Indonesian Tyre Market – Report
Product NewsAn analysis from Frost & Sullivan of the Indonesian replacement tyre market says that the high number of sales of multi-purpose vehicles will mean an increase in sales of tyres. “MPVs are the major types of vehicles being sold in the Indonesian market and considering their role as transportation vehicles in difficult road conditions this segment expects to drive the overall growth of the tyre aftermarket,” notes Frost & Sullivan Research Associate Brijesh Sheregar. The Frost & Sullivan report reveals that revenues in this market totalled $1.09 billion in 2005 and can reach $2.86 billion in 2012.
Gajah Tunggal “Asia’s Best Managed Company in Indonesia”
Product NewsEuromoney recently named PT Gajah Tunggal Tbk as “Asia’s Best Managed Company in Indonesia”. The award was presented to Christopher Chan, president and director of Gajah Tunggal by Neil Osborn, managing director Euromoney PLC as part of the Euromoney Awards event in Singapore on 18 September.
This recognition will serve to motivate the management of Gajah Tunggal to enhance its performance going forward, Christopher Chan remarked. “We take this Award not as an end but as an encouragement to continue our quest to rebuild Gajah Tunggal to be the blue chip company that it can and should. We also have to thank the Global Capital Market in general which contributed to our drive to bring a higher level of management to this company.”
Wholesaler Establishes Chinese Retail Business
NewsThe fact that Singaporean wholesaler, Stamford Tyres, operates both a service centre chain (“Mega Mart“) as well as a tyre retail chain (“Tyre Mart“) in South East Asia and China shows that the people’s republic is more than just a production base for company. Instead the Chinese market is increasingly become a focus for Stamford’s retail operations.
Tyrexpo Africa 2006 – Met with Great Enthusiasm
Product NewsFor the first time since the early eighties, South Africa hosted its own dedicated tyre trade event. The three-day exhibition was held at the Sandton Convention Centre in Johannesburg where over 110 national and international exhibitors took part. According to the organisers, a total of 2738 tyre trade professionals, from 44 countries, attended the show. In addition to those from within South Africa, others came from Botswana, Burundi, Gabon, Ghana, Kenya, Libya, Malawi, Mauritius, Mozambique, Namibia, Nigeria, Samoa, Swaziland, Uganda, Zambia and Zimbabwe. More international visitors came from Australia, China, Europe, Hong Kong, India, Indonesia, Japan, Korea, Pakistan, Russia, Singapore, Thailand, U.A.E and the US.
India Imposes Duty on Nylon Imports
Product NewsThe Indian finance ministry has introduced anti-dumping duty on nylon filament yarn and nylon tyre cord imported from China, Taiwan, Malaysia, Indonesia, Thailand and Korea. According to the Directorate General of Anti Dumping and Allied Duties (DGAD), these items have been exported to India at artificially low prices. Importers of nylon filament yarn from China will have to pay a duty of Rs 63 (1.06 euros) per kg, but importers from Taiwan, Malaysia, Indonesia, Thailand and South Korea have been hit harder, paying Rs 77 (1.29 euros) per kg. The DGAD recommended that the finance ministry introduced duties on synthetic fabrics, saying that the Indian industry had suffered material losses because of dumping by exporters from these six countries, as the market for synthetic textiles in India continues to grow.
Natural Rubber Prices Ease
Product News(Akron/Tire Review) Rubber planters in Asia are tapping trees faster than ever, pushing down prices and helping a recovery in shares of tyre manufacturers Bridgestone Corp., Groupe Michelin and Goodyear Tire & Rubber Co. Rubber prices in Tokyo, the world’s biggest futures market for the material, have fallen 20 per cent since reaching a record on 12 June. Supply has risen after companies such as PT Astra Agro Lestari planted more rubber trees in Indonesia and Malaysia to keep up with Chinese consumption. Now, China is taking steps, such as last week’s interest rate increase, to slow its economy.
Chinese Auto Market Set to Boost Growth for Bridgestone
Product NewsAccording to a report in the Shanghai Daily, the Bridgestone Corporation is looking towards the booming Chinese auto market to help maintain a 30 per cent growth in sales in China this year. “Chinese sales were up more than 30 per cent in 2005, and we expect the same increase this year,” said Hiromichi Odagiri, chief executive for Bridgestone China. “We have run quite well in the first half.”
Brand Overhaulin’
Product NewsThe biggest news from Cooper’s Reifen Essen stand was the US-based company’s decision to launch run-flat technology into the European market. At the same time Cooper’s large open-plan stand showed that the company is continuing to invest in raising its profile by modernising its brand image. Tyres & Accessories met with Cooper president, chairman and CEO, Tom Dattilo and found out more about how the brand re-launch is going and what the strategy behind the company’s run-flat launch is.
Rubber Price Reaches 22-year High
Product NewsFollowing soaring demand and tight supply, the price of natural rubber has reached a 22-year high. Now, as a result The Times reports that speculators are pumping money into rubber futures, after fears that the supply situation could worsen because of adverse weather and “rumours of unrest in Muslim areas in Southern Thailand.” Thailand, Malaysia and Indonesia produce 60 per cent of the world’s natural rubber. The International Rubber Study Group (ISRG) reports that tightness in the supply of natural rubber is likely to continue, predicting a deficit of 820,000 tons by 2010, up from 250,000 tons this year.
Conti Sime to Raise Tyre Output
Product NewsContinental Sime Tyre Sdn Bhd is targeting to raise its output of passenger car tyres to 5.5 million by the middle of 2007, up from last year’s 3.5 million units. The company, a 70:30 merger between Continental AG and Sime Darby Bhd, said it is attempting to increase production at its Alor Star factory to 4.5 million tyres by the end of this year and move passenger tyre manufacturing to Alor Star as well.
MRF Drivers Win Asia Pacific Rally Stage
Product NewsKatsuhiko Taguchi and co-driver Mark Stacey of Team MRF Tyres recently won the New Caledonia round of the FIA Asia Pacific Rally Championship (APRC), which consisted of two super special stages and rough stages. Their Mitsubishi Lancer EVO VIII finished a remarkable six minutes and 26 seconds ahead of the second-placed Mitsubishi of Rifat Sungkar, from Indonesia.
Japanese Tyre Output Up in February
Product NewsTyre output in Japan rose 0.3 per cent year on year in February for the first time in three months, with domestic demand rising 0.5 per cent. Export volumes declined 5.2 per cent YoY in February (which fell for the first time in 20 months in January). Analysts attribute the decline to three main factors; firstly, unusual demand for studless tires, which they believe has led makers to divert output to domestic demand, and which they also believe has now run its course.
