North America
As of July 6, production at Goodyear’s consumer tyre facility in Union City, Tennessee will move from a continuous operating schedule to a five-day, three-shift operation. The manufacturer describes this cutback as “another important step” in its efforts to align production in North America with current weaker industry demand.
European truck OE tyre demand fell at the fastest rate in the world in May (-72.9 per cent), according to recently released Michelin market data. Putting the company’s (and the industry as a whole’s) difficulties into perspective, Deutsche Bank analysts summed up the worst of the current volumes like this: “eight times worse than the worst year over the last 30 years (1991).” North America, Brazil and Japan suffered 53.5, 24.1 and 65.2 per cent falls in Truck tyre OE demand respectively in May, with China the only market to avoid the pain – growing 2.6 per cent. Truck tyre replacement sales faired better in most markets, albeit still falling between 12.8 and 23.3 per cent in four of the five covered zones. China remained flat.
Despite the depressing figures, Deutsche Bank analysts were optimistic that the worst is over: “Since sell-out demand is not as bad, dealers destocking can’t last forever. And therefore sell-in and sell-out market trends will converge soon. Lastly, May is a relatively small month for the industry when June is much more important. For example, June represents a high 25 per cent of Michelin’s first half volumes.”
Michelin North America has been selected as one of the top workplaces for information technology professionals by Computerworld magazine. The distinction comes as part of the weekly IT publication’s 16th annual Best Places to Work in IT survey, which was published in the June 15 issue of Computerworld and online at computerworld.com. Michelin was ranked 18th among the 100 companies selected.
“Respect for people is one of Michelin’s core values, and this honour speaks to the company’s dedication to providing a stimulating and rewarding work environment for all employees, including our information technology team,” says Richard Alexander, vice president of information systems for Michelin North America. “This award also demonstrates Michelin’s ongoing commitment to providing our workforce and our customers with the best technology and IT support resources available.”
The partnership operating between Watts Industrial Tyres and Continental AG since late 2004 has been replaced by a new strategic alliance with Sri Lankan manufacturer Eu-Retec (Pvt) Limited, who formerly produced tyres for Conti as part of the Watts arrangement. Watts held a 50 per cent share in Eu-Retec until earlier this year.
Continental has officially announced the formation of a joint venture with Eu-Retec, an arrangement in which Conti will take the majority shareholding.
Motorists in the US now have another safe driving resource at their fingertips, thanks to Michelin North America and the Clemson University Automotive Safety Research Institute (CU-ASRI). The two organisations celebrated their long-standing partnership on June 11 with the dedication of a new safety initiative, and took the occasion to remind drivers that proper tyre inflation pressure is a key automotive safety component and a boost to fuel efficiency.
The two parties selected the US National Tire Safety Week to dedicate their new tyre inflation station. The facility, situated near the Clemson University International Center for Automotive Research, shouldn’t be difficult to locate – Michelin notes that the Michelin Tire Inflation Station features a six-foot tall replica of Bibendum, the instantly recognisable Michelin Man.
Victory in the 41st Baja 500 has gone to Toyo supported US driver Robby Gordon. Gordon, driving a Chevrolet truck fitted with Toyo 37 x 13.50 R17 Open Country M/T-R race tyres, covered the 700 kilometre Mexican race at an average of around 80 km/h, enough to give him wins in two of the season’s three races.
“I am really excited with the way that the Toyo tyres performed in the Baja 500,” commented Gordon. “We had zero flat tyres and very good management. With a tyre that performs like this, it is going to make it tough for the competition to beat us.”
The mid-June US market launch of Michelin’s Energy Saver A/S passenger car tyre range will not only be supported by traditional media campaigns – in order to take a more aggressive digital and social media communications approach, the manufacturer is launching its first Facebook application: Michelin Life Balance.
“Michelin Life Balance allows us to digitally interact with consumers by providing them an opportunity to express who they are,” said Jennifer Smith, digital communications manager at Michelin North America.
Almost three years have passed since the agreement between Goodyear and the United Steelworkers of America on a new master contract ended several months of strike action, and on July 18 the contract is set to expire. Negotiations between the two parties on a new contract began on June 8 – but whether or not mutually agreeable terms can be reached without revisiting the events of 2006 remains to be seen.
The existing three-year contract covers some 10,300 workers as seven Goodyear factories in the US, and while the USW states its goal in negotiations will be to improve pay and benefits, it acknowledges that job security will overshadow other issues.
Michelin North America has added several components to its mining tyre “best practices” seminar. The seminars are held near the company’s headquarters in Greenville, South Carolina, and was developed to “equip attendees with a better understanding of how to implement practices to lower operating costs, improve productivity and extend tyre life,” MNA said.
“In addition to helping mine operators get the maximum life out of their tyres, we’re helping them become even better business people by sharing practices we have gathered from other mining companies,” said Terry Beach, director of earthmover training. “Our facility visits also give attendees a first-hand look at how our tyres are made and how they perform in different situations.”
Along with tyre and wheel maintenance best practices, the three-day session includes management topics like market intelligence and supply chain; operational factors such as speed, haul road design, road maintenance and load management; and vehicle issues like strut maintenance, alignment and bed modifications. Attendees also visit Michelin’s OTR tyre manufacturing facility in Lexington, South Carolina, and its tyre testing facility in Laurens, South Carolina. (Tire Review/Akron)
Construction work has been completed on Continental Tire North America’s new headquarters, and the firm is thus transferring its base of operations Charlotte, North Carolina to South Carolina’s Lancaster County. The US$11 million facility covers a 75,000 square foot area and houses some 375 employees.
“Continental Tire has built a solid reputation by providing outstanding products throughout our 138-year history, and this move to South Carolina is just the next step in our ongoing effort to contribute to the North and South American markets,” says Matthias Schoenberg, CEO of Continental Tire North America.
June 3 marks the date on which Kumho Tire is opening its first retail tyre centre in North America. The first of Kumho’s “Tires 4U” shops to officially open is located in Beuna Park, California, and will stock a comprehensive range of passenger car, 4×4 and light commercial vehicle tyres plus offer mounting, balancing and alignment services. The new centre is reportedly similar to existing Kumho retail outlets operating in Asia.
North Carolina’s Pineville Tire & Service Center has changed its named to Carolina Tire & Service Center. In addition, the dealer has added Continental Tire North America as its “preferred tyre vendor.”
Carolina Tire is owned by XL Tire Inc., owned and managed by president and CEOP Jim Seidel, a business that also includes online tyre sales. XL Tire acquired Pineville Tire in late 2008. The Pineville location covers 7,000 square feet and has 13 bays.
“With the growth of population in South Charlotte, the South Carolina border as well as having the new LYNX train nearby, we no longer just service the Pineville area”, said Seidel. “Sales have increased steadily since our acquisition and are in step with our business plans. With our plan on track, we are now searching for another location in the Carolinas.” (Tire Review/Akron)
Continental Industrial Tire, a division of Continental Tire North America, named Equipment Depot, located in Irving, Texas, as the 2008 Dealer of the Year. Ed Fritz, Equipment Depot executive vice president, received the award at the Material Handling Equipment Dealer Association Convention, held at the JW Marriott Desert Spring Resort in Palm Desert, California, on 2-6 May.
In its first year as a Continental Industrial distributor, Equipment Depot became Continental’s largest aftermarket distributor in North America, according to the tyre-maker. Joe Pauli, Continental’s US BUIT market manager, presented the award. “Equipment Depot has embraced the concept that industrial tires are the fastest wearing part on today’s forklifts,” said Phil Lannon, Continental’s U.S. Business Unit Industrial Tire sales manager. “We are pleased to award them the 2008 Dealer of the Year and consider them one of our most valuable aftermarket distributors.” (Tire Review/Akron)
Continental Tire North America has released a new online training programme it says responds to the training and technical information needs of commercial vehicle tyre dealers. Called “Engage360 Untamed Innovation”, the programme is available in the commercial vehicle section of the company’s interactive training website for tyre dealers. According to Engage360 training manager Amy Spears, Engage360 Untamed Innovation allows dealership personnel to learn the basics about the construction of Continental premium commercial tyres, review product technical information and become certified as a Continental Commercial Tire Specialist.
Al-Saeedi Middle East, the distributor of Solideal tyres in the region is participating in the Materials Handling Exhibition held at the Dubai World Trade 31 May to 2 of June 2009. Over 250 exhibitors from 35 countries will be exhibiting to key buyers and decision makers from throughout the Middle East and the surrounding areas.
Solideal specialises in manufacturing and distributing tyres, wheels and tracks for industrial and specialized applications such as: forklifts, skid steer loaders, port trailers, aircraft support equipments, aerial access equipment, backhoe loaders, graders, telescopic handlers, compactors. According to Al-Saeedi, all Solideal products are guaranteed to be free from defects due to materials and workmanship.
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