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Ukrainian Auto Industry Drastically Scaling Back in December

According to the Ukrainian news agency ‘RBK-Ukraine’, in the coming weeks almost every vehicle manufacturing plant in the Ukraine will close down. The vice-president of “UkrAutoprom” (Association of the Ukrainian motor vehicle manufacturers) Jukhim Khazan has stated that in mid-December 2008 production will halt at most automotive factories in the region. “Nearly all the facilities will stop production,” he said. “Neither AutoKraZ Holding’s nor ZAZ (Zaporizhia Automobile Building Plant) facilities will remain manufacturing. Boryspil Autoplant has already suspended production. These plants will be followed by assembly enterprises.”

1st December 2008/by Tyrepress Editors

Continental Cuts Back Production at German Tyre Making Factories

Production is being cut back at Continental’s three German tyre production plants. From December 4 until early January no truck tyres will be manufactured at the company’s Hannover-Stöcken facility, and other production adjustments will take place at this and the Conti factories in Korbach and Aachen.

1st December 2008/by Tyrepress Editors

Comings and Goings

On May 24, 2008 tyre industry steel cord producer Bekaert and China’s Anshan Iron and Steel Group Corporation (Ansteel), one of the world’s leading steel producers, signed a memorandum of understanding outlining the terms of a close future partnership between the two companies. As part of the arrangement both firms agreed to explore strategic cooperation projects in order to better address the growing demand for advanced wire products on the Chinese market.

27th November 2008/by Tyrepress Editors

Car Dealers Freeze Pay

Franchised car dealers across the UK have responded to the downturn in the economy by freezing pay scales, according to the rts Auto Retail Industry Salary Survey 2009. The survey reports that 25 per cent of franchised dealer respondents did not increase basic pay for their staff between 2007 and 2008. More than that, it seems that dealers have been taking advantage of the industry’s high staff turnover rates to actually reduce pay rates for new recruits.

25th November 2008/by Tyrepress Editors

Schaeffler/Conti Saga – ‘Over By Christmas’?

Company News, Editorial/Comment

The announcement had a phenomenal response at the stock market where, following publication of Schaeffler’s statement on EU approval, tendered shares in Continental grew by as much as 50 per cent before levelling off at around 36 per cent up, in response. Why? Because up to this point investors had become decidedly nervous about Schaeffler’s ability to complete the deal and the EU announcement was seen as a sign that the deal as a whole is on track. Due to the well-documented contraction in credit markets bankers had been scratching their heads about where the necessary financing would come from and whether the supporting banks would be able to come up with cash.

25th November 2008/by Tyrepress Editors

Allan McNish Opens New Unipart Distribution Centre

Unipart Automotive has invested £1 million in a new branch and Area Distribution Centre (ADC) in Solihull, creating 20 new jobs. Allan McNish, 2008 Le Mans 24hr race winner, officially opened the new 14,000 sq ft Birmingham South branch on Wednesday 19 November 2008.

This major investment by the motor parts distributor will enable it to better service the needs of motor trade customers, with access to over 25,000 product lines giving excellent off-the-shelf availability. A delivery service from the largest fleet in Birmingham, comprising 27 Unipart vans, will provide fast local delivery.

21st November 2008/by Tyrepress Editors

Pirelli Planning Job Cuts and Plant Idling, says Union

Job cuts are said to be a possibility at Pirelli & C. SpA. According to Italian labour union Filcem, whose comments have been published by Bloomberg, the company will eliminate approximately 200 administrative jobs in Milan and will probably continue to idle plants to counter a global drop in demand.

19th November 2008/by Tyrepress Editors

PYReco Facility at Planning Stage

British company PYReco reports its first UK facility to extract raw materials from end of life tyres through pyrolysis is now at the planning stage. The plant, to be located in Teesside, is expected to recover more than a quarter of a million barrels of oil equivalent per annum and 20,000 tonnes of carbon black, along with other materials.

The construction of the new facility comes following a decade of research and development conducted by Metso Minerals, with whom PYReco has been affiliated for the last two years. These tests have been carried out at Metso’s Process Research & Test Center in Pennsylvania, USA, a fully equipped pyrolysis test facility with a scrap tyre feeding capacity of over 100 kg/hr.

17th November 2008/by Tyrepress Editors

Nanjing a ‘Strong Partner’ for Kumho

As reported on November 7, Kumho Tires has officially opened its new $US100 million factory in Nanjing, China. This facility, with an annual capacity of more than 300,000 truck and bus tyres, will feed China’s market, which in this segment is expected to grow between 25 and 30 per cent each year.

“Kumho Tires is already the number one passenger car tyre maker in China and this state-of-the-art plant gives us an important foothold in its fast-growing truck and bus tyre market,” said Sae-chul Oh, president and CEO of Kumho Tires. “China has enormous growth potential and is a key part of our strategy to become one of the top five global tyre makers.”

17th November 2008/by Tyrepress Editors

Tyres and Tamales Prove a Spicy Combination

A man with a passion for tyres and food from his homeland has created a business with a difference in the US. Victor Galindo, originally from the small Mexican village of Tene, is the proprietor of Victor’s Tires and Custom wheels in Salt Lake City, Utah. What sets Victor’s apart is that customers can not only leave the premises with a brand spanking new set of tyres – they can also roll out the door with a full stomach and singing taste buds.

13th November 2008/by Tyrepress Editors

Columbian to Close US Carbon Black Plant

Due to softer demand for carbon black in North America, Columbian Chemicals announced on November 12 that it will close its production facilities in Marshall, West Virginia, on or around January 31, 2009. Approximately 55 jobs will be lost as a result of the closure.

13th November 2008/by Tyrepress Editors

2009 Set to be Turbulent Year for Tyre Market

2009 is set to be a tumultuous, but “exciting” year for the UK tyre market. According to data supplied analysts at Plimsoll Publishing, UK tyre manufacturers and distributors need to be ready and prepared for a series of unique opportunities that will present themselves in the year ahead.

The overall tyre financial conditional of tyre manufacturers and distributors “is not in bad shape,” say Plimsoll. Sales growth is running at a little over 2.6 per cent, which is actually up on the previous year. However, it is not clear whether the latest data takes into account the full extent of the credit crunch. As the report says, “even the most bullish of companies will need to rethink for 2009.”

11th November 2008/by Tyrepress Editors

American Tire Land Deal Reportedly Signed

According to the news website wenatcheeworld.com, a site that calls itself the ‘fiercely independent voice of North Central Washington’, American Tire Corporation has signed a $960,000 purchase agreement with the Port of Ephrata that could bring 300 new jobs to the region. This deal, says the site, will provide ATC with 96 acres at the port’s industrial site to build an OTR tyre manufacturing facility. According to port manager Mike Wren, the port is currently attempting to secure $5.5 million for infrastructure improvements to this and other property to help convince the tyre company and others to build at the port’s industrial site. The funds are already trickling in; on November 6 the Ephrata City Council, despite facing a tough budget year, pledged $100,000 to the project, said Wes Crago, Ephrata city manager.

11th November 2008/by Tyrepress Editors

TyreCheck to Invest in Sales and R&D Following Windfall

Ireland based tyre management solutions company TyreCheck has received 2.4 million euros from Enterprise Ireland and the Allied Irish Bank Seed Capital Fund, which will be invested into the company’s R&D and international sales capabilities. TyreCheck says the funds will create 11 new jobs.

10th November 2008/by Tyrepress Editors

Grass Roots Environmentalism

With raw materials continually rising in cost and supplies becoming stretched further all the time, one more solution to the problem of expensive natural rubber supply may be on the cards. Cooper is partnering The Program of Excellence in Natural Rubber Alternatives (PENRA) to research the possibilities of a new domestic source. At the head of the field of possibilities is the Russian Dandelion, scientifically known as Taraxacum kok-saghyz (TKS). Its roots can be processed into natural rubber, which would serve as the polymer for multiple compound components of a tyre, including the sidewall, base and tread. Russian Dandelions have a similar appearance to more common dandelions but also possess a more complex root system.

“Cooper is extremely excited to participate in this innovative ‘green’ project,” said Chuck Yurkovich, Cooper Tire’s vice president of Global Technology. “This new process involves forward-thinking technology with potential to bring a competitive substitute supply of natural rubber that will be produced in the United States, reducing our dependency on off shore imports. In addition to providing a supply of natural rubber that is critical to a number of industries, it’s also an opportunity for Cooper to remain competitive in the market place with an environmentally friendly product that creates jobs here in the United States.”

6th November 2008/by Tyrepress Editors