More Tyres Sold By Michelin In North America Than in Europe
For the first time the volumes of Michelin tyres sold in North America (incl. Mexico) exceeded those sold in Europe.
For the first time the volumes of Michelin tyres sold in North America (incl. Mexico) exceeded those sold in Europe.
Uniroyal S.A. Mexico, daughter company of Michelin North America, has confirmed the closure of their two factories in Tacuba and Queretaro. 760 employees are affected and will receive a severance package. Uniroyal Mexico says that it was not possible for the two factories to produce tyres cost-effectively and the company was losing money, while imported tyres were making a profit. Other possible reasons for the closure, for example political or environmental reasons, were strongly denied.
New contracts for chrome-cladded steel wheels from General Motors and DaimlerChrysler have prompted ArvinMeritor to expand its San Luis Potosi (Mexico) facility. Staff numbers will increase from 300 to 450.
Sales are up in the year 2000 and profits have gone like snow in the sun. That, in short, describes the present situation of Continental General Tire in North America. But red figures are not an option. Bernd Frangenberg (59) President and CEO of CGT, vigorously denied the possibility that he could be forced to inform the parent company about red figures at the end of the year. All the necessary actions have been taken to make sure that CGT remains profitable even in a difficult climate, Frangenberg declared Tyres & Accessories. Continental General Tire employs 9000 people and runs 5 factories in the US and 2 in Mexico. Last year’s turnover was about 1.5 bn Euro.
Since its acquisition of what was Euzkadi in 1998, Continental General Tire is the leading tyre manufacturer in Mexico. Recently, ContiTech began construction on a factory in San Luis Potosi to make technical products for the Nafta region and Continental Teves intends to build a factory at Silao in Mexico to manufacture wheel revolution sensors.
Hayes Lemmerz International, the world’s largest wheel manufacturer, plans to invest 23 million US dollars with the objective of quadrupling the annual capacity of the Mexican aluminium wheel factory in Chihuahua to 1.2 million units by the year 2001.
If you would like the latest news from the Chinese tyre industry in Chinese, visit our partner site TyrepressChina.com. Or click below to continue on Tyrepress.