Chemix: Pot holes cause misalignment
With UK roads are continuing to deteriorate, an estimated 200,000 potholes have resulted in 10 per cent of the 30 million road users’ cars being damaged, according to Chemix Autocentres.
Whether its raw materials, machinery, research and development or the latest manufacturing trends, this tag provides up-to-the-minute insights into the upstream part of the tyre industry.
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Rösler Tyre Innovators enters ‘a decision-rich year’ with confidence
Not many companies operating in the OTR tyre business either locally or further afield are very happy at the moment. While the manufacturers of new tyres in particular must contend with substantial losses and respond to the weak market with discounts, retreaders – as is often the case – occasionally benefit from the situation. The global mining sector has especially suffered as a result of sinking raw material prices, a phenomenon that in turn has directly influenced the production of and consequently the demand for tyres; in contrast, the construction sector has lately shown signs of stability in Europe. Nevertheless, it is important for companies within this market segment to adapt to conditions. With this in mind, in recent months Rösler Tyre Innovators has made several important decisions.
What is Maxion Wheels focusing on?
During the financial year before last, the Brazilian Iochpe-Maxion Group (the parent company of Maxion wheels) bought Hayes Lemmerz for approximately US$725 million. The acquisition came after the world’s largest wheel manufacturer put down two bankruptcies during the first part of the new millennium, and thus had large amounts of debt to contend with. Eventually the company’s investors finally ran out of patience leaving the obvious question – what has happened to the car aluminium wheel division since then?
Bandag and Bulldog two strings in Bridgestone’s retreading bow
Bridgestone has been looking to increase its truck and bus tyre market position via strategic retreading acquisitions in this part of the European market for around a decade now. One such acquisition was the targeted purchase of Lincolnshire-based Bulldog remoulds back in 2005. A little more than a year later this key part of the UK market which specialised in mould-cure retreads was joined by the entire global Bandag operation, which of course specialises in pre-cure franchising around the world. The two operations couldn’t be more different aspects of retreading, however while the acquisitions came in quick succession and the benefits of both are obvious, Bridgestone has now spent years working through the integration of both into its wider business model.
Nokian Tyres revises forecast – sales, operating profit to decline
Due to a weaker economic forecast for Russia and the CIS, Nokian Tyres has downgraded its guidance for 2014 and now says net sales and operating profit will decline this year compared with 2013. This latest forecast replaces that published on 7 February, in which Nokian Tyres said it was positioned to show growth in net sales and operating profit this year.
MRF looking at growth options
Indian tyre maker MRF Ltd. is eyeing several acquisition opportunities but remains cautious over committing itself to inorganic expansion, chairman and managing director K.M. Mammen told The Times of India. Referring to the aborted deal of major Indian rival Apollo Tyres, whose acquisition of Cooper Tire & Rubber Co. came undone, Mammen told the newspaper, “You can acquire like how my dear friends did and then get slapped.” He added: “There is a way of acquiring. You should acquire what you can swallow. A bad acquisition can kill you.”
Ceat radial production getting a boost in Sri Lanka
Production capacity at Ceat Kelani Holdings’ site in Kelaniya, Sri Lanka will rise by almost 70 per cent following the entry into operation of a new plant dedicated to passenger car and SUV radial production. When the new tyre building machines and curing presses start production in April, CEAT Kelani will increase its radial tyre building and curing capacity from 23,000 tyres per month to 39,000. The facility has been established through an investment of Rs 600 million (£2.8 million).
Lose weight with Alcoa – world’s lightest heavy-duty truck wheel unveiled
At this year’s Mid-America Trucking Show, Alcoa has rolled out what it claims is the world’s lightest heavy-duty truck wheel. The new 40-pound (18.1 kilogramme) wheel is 47 per cent lighter than steel wheels of the same size and five pounds (2.3 kilogrammes) lighter than Alcoa’s previous lightest heavy-duty truck wheel. This weight was able to be shed in the Ultra ONE through the use of a new, patent-pending alloy, MagnaForce. Alcoa says this is on average 17 per cent stronger than is 6061 alloy, the industry standard. The Ultra ONE is available in size 22.5×8.25 inches for heavy-duty, commercial transportation, and is being readied in all OEM customer data books.
VMI Group expands following strong sales growth
Leading tyre building machinery maker VMI Group is planning to “significantly expand” its operations. This means a new factory building will be constructed in Epe, The Netherlands and current buildings will be restructured to enhance lean production. A new R&D and engineering office will also be built. In China, VMI reports that it is working with authorities to expand its facilities there. According to the company, the expansions follow “strongly increased turnover” at VMI.
Hyundai breaks six million car sales mark in Europe
Hyundai Motor has sold six million cars to European customers since the company began sales in the region in 1977. It took the company 19 years to sell its first million cars in the region. Since then it has taken less time to reach each subsequent milestone, with the latest one million cars sold in just over two years.
Uniwheels 2013 revenues up 5.8 per cent to 338.3 million euros
Leading wheelmaker Uniwheels Group reports that it managed to both increase revenues 5.8 per cent and stabilise the company’s overall business in full-year 2013 results published today (24 March 2014). According to the company, the business’s growth came largely thanks to the “very positive” development of the firm’s Automotive Division, which focuses on supplying the OEM business and grew 12 per cent in 2013. In addition, the successful implementation of cost-cutting measures in the administration of the business is also said to have had a positive impact.
Russia a growing part of Pirelli’s business?
For Pirelli, Russia is “still a developing market”, and as we found out a week or so after Tyres & Accessories interviewed global marketing vice-president Matteo Battaini at the recent Geneva Motor Show, Rosneft’s purchase of 13 per cent of Pirelli’s shares means Russia is also still a developing part of Pirelli’s ongoing business strategy.
New Goodyear European president Darren Wells lands in Geneva
Top-ranking Goodyear executive Darren Wells was parachuted into the leadership of Goodyear Dunlop Europe Middle East and Africa EMEA in October 2013. Having come from the position of Goodyear global CFO, the move was pitched as something of a reshuffle of the company’s global leadership. Set against the backdrop of the recent Geneva motorshow, Tyres & Accessories talked profitability, strategy and efficiency with the newly installed president.
Indian market launch for Conti truck radials
Continental has begun producing and distributing radial truck tyres in the Indian market ahead of the product range’s official launch there on 1 April. The tyre maker says its initial truck radial capacity in India is 220,000 tyres a year; these will be distributed to a dealer network that contains more than 1,400 outlets in over 70 cities across the country. The first products to be launched include the HSR2 steer tyre and HDR2 drive tyre for freight carrying vehicles and the HSX2 and HDX2 coach tyres.
Bentley creates 100 jobs as its Crewe headquarters become W12 ‘centre of excellence’
Bentley has announced plans to expand the workforce at its Crewe headquarters by 100 people as the site becomes a “centre of excellence for all VW Group W12 engines”. The move will see the UK manufacturer produce up to 9,000 W12 engines per year, exporting units for the first time in its history. To manage increased production demand, Bentley will employ a further 100 people in 2014 as part of the £800 million investment programme it announced last year.
