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Hoosier Lays off Staff at Manufacturing Facility

A number of workers at Hoosier Tire & Rubber’s Plymouth race tyre manufacturing plant in Indiana, USA were laid off on May 26 in response to current market conditions. According to news released by the company, the layoffs constitute a “small workforce adjustment,” however the exact number of jobs lost was not specified.

“This reduction in force is necessitated by the current economic and market conditions,” read the statement. “We believe we have taken careful steps to remain a major player in the very competitive national motor sports market place.

27th May 2009/by Tyrepress Editors

Unrest Continues Despite Lifting of MRF Lockout

The lockout at MRF Ltd’s Arakkonam factory in southeast India has been lifted – but many employees are refusing to return to work. An announcement from management regarding an end to the ten-day-old lockout was made on May 27, yet the company’s dispute with the MRF United Workers Union (MUWU), which declared a strike at the Arakkonam plant on May 9, remains an unresolved issue.

India’s Business Standard newspaper discloses that a number of MRF workers plan to file a Supreme Court petition against the company’s management. MUWU honorary president V. Prakash told the paper “we don’t have a choice but to file a petition in [the] Supreme Court” following recent failed talks. “The main plea would be to recognise the union,” he explained.

27th May 2009/by Tyrepress Editors

“Headway” Made in Conti Clairoix Negotiations

Negotiations between Continental AG’s French and German management and representatives of the French government and the CGT trade union have, reports Conti, “made a bit of headway.” The respective parties met in Paris on Tuesday May 26 to discuss solutions for the company’s Clairoix facility, and further talks are scheduled for later in the week.

“We entered into a detailed discussion of the offer presented last week and argued for an adequate overall solution that takes into account seniority at the company and further training measures,” remarked Dr. Thomas Winkelmann, who represents Continental’s German management in his role as HR manager for replacement market passenger car tyres in Europe and Africa. “So far, union representatives have concentrated on uniform one-off severance pay for all employees affected. In the next round of negotiations we intend to talk over a detailed package solution.”

27th May 2009/by Tyrepress Editors

Michelin India Project a Step Nearer to Realisation

Objections to Michelin’s Rs 40 billion (£530 million) greenfield factory project in Tamil Nadu, India have been overruled by the Madras High Court. On May 26 the court ruled against an environmentally based petition instigated by a local villagers’ association, stating that the need for employment and investment must take precedence.

27th May 2009/by Tyrepress Editors

Tyre Factory Closures ‘Should Support Price Discipline’

In the wake of Goodyear announced closure of its Amiens, France plant. Financial analysts have highlighted the ‘positive’ effect this will have on the tyre manufacturer’s “price discipline.” Amien has an annual capacity of approximately 6 million units, and its closure forms part of a Goodyear’s 15-25 million unit capacity reduction plan announced. When you factor in that the Amiens plant has between 800 and 1200 employees, the closure could result in cost savings of around $50 million, according to Deutsche Bank, with $700 million of gross cost savings expected this year.

Goodyear’s announcement follows a number of other capacity closures across Europe including: Continental closing its 8 million unit capacity PCR plant in Clairoix France; Pirelli closing its 4 million unit Maresa Spain factory, Michelin reducing its capacity in France, Italy and Spain by 14 million units. In the US capacity cuts have been even more stark with Cooper reducing capacity by 10 million units in Albany, GA; Michelin cutting 4 million units in Opelika; and Bridgestone eliminating 9 million units in Nashville. This all equates to around 40 million units of capacity reduction in the NAFTA region. And as a result of the supply demand balance, this is likely to “support price discipline” say the analysts.

27th May 2009/by Tyrepress Editors

Police Apprehend ‘Atomic Slasher’

What may well be the final chapter in the history of Cold War aggression has taken place in Boulder, Colorado: According to the Metro newspaper (a periodical described by its website as a “publishing phenomenon”) a 31-year-old man has named the disused Rocky Flats nuclear weapons plant, located near the city of Denver, as a contributory factor in a spate of tyre slashings he undertook.

It is unclear why the man, whom police have identified as Alexander Kabelis, selected tyres as the target of his malice, and attempts by the protagonist himself to explain his actions have only added to the baffling nature of the crime.

27th May 2009/by Tyrepress Editors

Alliance Expands Sales Force

Alliance Tire has hired four regional sales managers to represent its lines of agricultural, forestry and OTR tyres. Added to Alliance’s sales efforts were Pat Gaston of Omaha (Midwest/Great Plains); Blaine Cox of Kimberly, Alabama (Southeast); Tom Hirsch of Great Neck, New York (Northeast) ; and Andy McAllister of Waycross, Georgia, who is forestry tyre sales manager.

Alliance President Manny Cicero said that building the sales team is part of the company’s commitment to building its North American presence, as well as its worldwide share. In addition to the new staff, he said, that strategy includes a new warehouse in Tennessee and a new factory coming online in the next couple of months. (Tire Review/Akron)

27th May 2009/by Tyrepress Editors

Pineville Tire Now Carolina Tire

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)

27th May 2009/by Tyrepress Editors

Love Still Growing After a Year, Reports Michelin

In May 2008 Love’s Travel Stops, a company ranked by Forbes Magazine as one of the top 25 largest privately held companies in the US, began a cooperative agreement with Michelin Americas Truck Tires. A year down the line Michelin has announced that Love’s outlet in Memphis Tennessee has become the 25th truck tyre care service location it has opened since the agreement was signed.

27th May 2009/by Tyrepress Editors

Pirelli Launches R:01 “Eco-Friendly” Regional Truck Tyre

Pirelli has announced the launch of its new regional truck tyre, the R:01. Developed by the company’s research centres, the tyre represents Pirelli’s attempt to meet the requirements of professional operators in terms of mileage yield, reduced consumption, retreading potential and environmental friendliness. Pirelli also presented the H88 Amaranto and G88 series to the international press, developed for long distance transport and for construction vehicles respectively. The latest TS:01 series for lorries was also announced. All four products, according to Pirelli, are themed on the efforts to cut costs.

The Italian group also presented a new package of services to support operators: the Pirelli Retreading System – the renovated Pirelli system to retread tyres; CQ24 International for road assistance; and Credit Tyre – the financing system for fleets and retailers. The growing specialization of the Italian group in the transport sector has also spread to training through the magazine Truck, a new free Pirelli house organ which will be added to courses organised by the Group to update and inform.

27th May 2009/by Tyrepress Editors

Schaeffler Signs Employment Security Agreement With Union

The Schaeffler Group and Germany’s IG Metall trade union have reached an agreement regarding employment security. The agreement, signed by IG Metall first chairman Berthold Huber and Schaeffler chief executive Jürgen Geißinger, represents the first practical result of the future agreement between the two parties outlined on February 23, 2009.

According to the terms of the agreement, the threat of redundancies occurring before June 30, 2010 has been eliminated on the proviso that a jointly agreed upon package of staff cost reduction measures are reached. Due to the impact of the economic crisis and its resultant diminished orders and sales, the Schaeffler Group says it must lower staff costs by approximately 250 million euros.

26th May 2009/by Tyrepress Editors

Qatar: Q-Tire, Raha Offer 15% Discount

In Qatar Q-Tire and roadside recovery service Raha Auto Assistance have partnered to offer a 15 per cent discount on new tyres purchased at Q-Tire’s five Doha service centres. Q-Tire is the authorised representative and distributor in Qatar for Goodyear, Falken, Solideal, MRF, TVS Roadux, Double Coin & Primewell.

Ikram Hamdad, general manager of Raha, commented: “Q-Tire and Raha have a clear focus to improve the motoring experience for the motorists of Qatar. We agree there is a real need to educate drivers about tyre maintenance in order to increase vehicle safety and tyre performance, as well as to extend the life of the tyres.”

26th May 2009/by Tyrepress Editors

Yokohama’s Team Geolandar Fielding Electric Vehicle at Pikes Peak

The Pikes Peak International Hill Climb is arguably the world’s best-known hill climb event, and in 2009 Yokohama Rubber is fielding an electric vehicle in the event. The company’s Team Geolandar off-road racing team will race to the 4,301-metre summit on July 19 in a self-created vehicle equipped with Geolandar H/T-S tyres.

The Japanese manufacturer refers to the Colorado, USA based event as the “Yokohama Team Geolandar EV Off-Road Challenge,” and states its aim in participating is to contribute towards meeting its environmental responsibilities. In this instance Yokohama wishes to promote awareness of the current and future potential of electric vehicles and gain real world experience to help it develop electric vehicle tyres suitable for use in severe off-road conditions.

26th May 2009/by Tyrepress Editors

Reports: Goodyear India to Expand Annual Capacity to 4 million Tyres

Goodyear India is aiming to boost annual capacity by 15 per cent to 4 million tyres a year, according to various online news sources. The news follows the launch of the Goodyear DuraPlus in the country, a tyre aimed at small family hatchbacks that account for the largest segment in the Indian car market. Goodyear India reportedly wants to target the replacement market with the new tyre and is said to be negotiating car makers on the subject of OE for the new tyre.

In an interesting twist, the reports also states that Indian branch of the manufacturer will soon be offering run-flats imported from Goodyear’s manufacturing facilities in the US or Europe. According to the reports, these tyres retail at more than 10,000 rupees (£132) each in India.

26th May 2009/by Tyrepress Editors

Malaysia a Growth Market for Michelin

Michelin’s Malaysian operation states its local business is growing despite economic turmoil in Malaysia and abroad. The Kuala Lumpur based Business Times newspaper quotes Michelin Malaysia Sdn Bhd managing director Yves Pouliquen as saying the company’s business growth will be driven by continuous marketing activities involving its dealers and customers as well as new product launches.

“We expect 2009 to be difficult for the industry but it will be better than the 2007 level,” he told reporters at a recent media briefing in Kuala Lumpur. “Overall, 2007 was a good year while last year was fantastic for the industry.” Pouliquen also expressed his confidence that the Malaysian tyre market will continue to grow in line with positive signs of an economic recovery.

26th May 2009/by Tyrepress Editors