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Goodyear Makes Contract Offer Direct to Workers

Immediately following the news that Goodyear would publish details of the progression of its negotiations with the United Steelworkers on a special website (www.goodyearnegotiations.com), the manufacturer published a copy of the letter it posted to the homes of all striking Goodyear Steelworkers in the US beginning on 8 November, along with a summary of the offer Goodyear made to the USW on 27 October.

Goodyear stock soared more than 16 per cent on 9 November after beating expectations with news about its quarterly earnings and sales. At the close of trading on the 9 November share traded on the New York Stock Exchange were valued at $17.67 per share.

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Dunlop Launches BARC/Dunlop Sport Maxx Cup

During October Dunlop Tyres launched its latest motorsport series, the BARC/Dunlop Sport Maxx Cup. At the same time the company announced plans to upgrade its motorsport (particularly MotoGP) tyre production facilities in Birmingham. Tyres & Accessories met up with the Dunlop Motorsport team at Donington for the launch of the new series.

The new BARC/Dunlop Sport Maxx Cup, designed to be something of a stepping stone to the Dunlop MSA British Touring Car Championship, will take the form of a production saloon and sports coupe cup. The plan is for the new series to “star” at Dunlop’s 2007 Great & British motorsport festivals, alongside the existing Radial Enduro, BiDuro, Ginetta and Mini Championship events.

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ETRMA Seeks to Influence EU Decisions

Earlier in the year, the European tyre and rubber industry formed the ETRMA as a successor to BLIC. The idea was to update the way that this industry association was organised and position it to inform the European legislature on subjects relating to tyre and rubber manufacture. Following the completion of this changeover, Tyres & Accessories interviewed ETRMA secretary general, Fazilet Cinaralp and got a clearer picture of the role and function of the organisation.

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Titan 3Q Sales 52 per cent Higher, Profits Hit By Taxes

Titan achieved a 52 per cent increase in net sales in third quarter 2006. Net sales were $156.1 million, compared to $102.7 million the year before. Titan recorded gross profit of $17.1 million, a 56 per cent increase when compared to the $11 million of gross profit in third quarter 2005. However, a 40 per cent tax rate in 2006 meant Titan recorded third quarter net income of $0.5 million, compared to last year’s third quarter net income of $1.2 million. Using a 40 per cent tax rate on last year’s pre-tax income, Titan’s third quarter 2005 net income would have been $0.2 million.

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Goodyear Texas Factory To Close

The Goodyear Tire & Rubber Company has announced the forthcoming closure of its tyre manufacturing facility in Tyler, Texas, as part of the company’s previously announced strategy to exit certain segments of the private label tyre business. When it made the private label announcement in June, Goodyear said that the decision would require a corresponding reduction in North American Tire’s manufacturing capacity and that plant performance, capabilities, cost savings opportunity and the focus on serving NAT customers would dictate capacity reduction.

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Metro Tyres Plans 1 billion-rupees IPO

Metro Tyres plans to hit the capital market with an initial public offering that could raise up to a billion rupees. Sources reported in local newspapers said the company has planned to increase production at its four production facilities in Ludhiana and increase the production of its Metro Continental tyres from 25,000 to 50,000 units per month. This could even reach as much as 100,000 units per month following 10 million rupees of investment. Rummy Chhabra, managing director of Metro Tyres, said that the company has four manufacturing plants in Ludhiana, one in Gurgaon and one in Noida. The company is planning to use the IPO money to build a new facility to manufacture motorcycle, scooter and three-wheeler tyres. The final decision of location of the facility will be taken shortly, the company said in a release.

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NRI to Close Two Recycling Plants

NRI Industries, one of Ontario’s biggest tyre recyclers, is closing two plants, with the loss of 425 jobs. Alan Power, NRI’s chief executive officer, confirmed yesterday that the company will end automotive parts manufacturing in the next three months, but hopes to survive by producing rubber mats, flooring and sound dampeners.

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Continental Interested in Matador “Rubber“

According to German media reports, Continental is reportedly considering paying 150 million euros for Matador’s “Rubber” business unit, which mainly produces tyres. As this unit produces moulds and tyre construction machines in larger volumes than Conti does at its Hanover-Stoecken plant, workers have raised numerous objections against the move. Hanover-Stoecken was recently the subject of job cuts in its passenger car department.

Referring to the future relationship between Continental and Matador, company spokesman Hannes Boekhoff confirmed discussions are taking place: “The parties are negotiating about a possible extension of their strategic partnership to include the passenger car tyre range. The negotiations are not final yet.” Further details are not yet known and so far Matador has not released any information on the subject.

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Dunlop Invests £1 million in Birmingham MotoGP Tyre Production

Dunlop has announced a major investment in new technology at its Fort Dunlop plant in Birmingham aimed at delivering sustained, long term success in the highest level of motorcycle racing, the MotoGP world championship. Company representatives told Tyres & Accessories that Dunlop will invest over £1 million in new machinery designed to expand and enhance motorsport tyre production facilities at the company’s Fort Dunlop plant.

In 2006, Dunlop tyres, designed and built in Birmingham, helped Ducati win the manufacturers’ championship in the highly competitive British Superbike Championship, widely regarded as one of the world’s most competitive championships where the battle between tyre manufacturers is as intense as the battles between riders. Dunlop teams were also victorious in the national German, French and USA Superbike Championships and lead the Australian and Spanish series.

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Tyre Prices Set to Soar In South Africa

A weaker rand in recent months and price increases in raw material has put pressure on the South African (SA) tyre industry, according to the chief executive at Continental Tyres SA. Claudio Boezio told journalists the last 18 months had been expensive for the manufacturing industry.

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Rimstock’s Matt Neal Wins BTCC Again

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Matt Neal and the family-run Team Dynamics team have won the BTCC series for the second year on the trot. While the result is worthy of recognition in its own right, it is also good news for the wheel manufacturing business (Rimstock Plc) he helps run in Birmingham. And now, according to reports, the racing team are already making preparations to complete an historic hat-trick of touring car titles in 2007.

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Pirelli Promotes Three Vice Presidents

Three managers involved in the growth of Pirelli Tire North America over the past four years were honoured recently with promotion to vice president. Steve Carpino has been named head of R&D and product development; John Hagan is in charge of original equipment; and Andrew Kearton is responsible for manufacturing.

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Plimsoll names Tyre Manufacturers & Distributors Industry winners

The UK’s most successful tyre manufacturers & distributors companies have been named as part of a special study by industry analysts Plimsoll Publishing Ltd. These outstanding companies have been grouped into five different areas of financial success.

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Michelin Marks 35 Years In Nova Scotia

Michelin North America (Canada) Inc. has reached a significant milestone in Nova Scotia with the celebration of 35 years of manufacturing. It was back in 1971 when the Pictou County facility produced its first tyre and the Bridgewater plant its first steel cord product. Two years later, Bridgewater produced its first passenger tyre. Then, in 1982 Michelin Waterville began producing tyres for the heavy-weight market.

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A Century Of Retreading

According 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.

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