Cooper Tire Europe has suspended production at its Melksham, UK production plant. According to a company spokesman production and closed for a week in order to reduce stocks. However, a BBC news report added that the move would also “help safeguard its future.” There is apparently no threat to jobs at the plant which employs 1100 people. Production is expected to return to normal next week.
Bridgestone’s stock jumped 3.9 per cent to 1,332 yen (10.17 pounds sterling – 1 GBP: 131 JPY), when Credit Suisse reported that its new stock rating was “outperform”, from a previous ranking of “neutral.” The bank also raised its target price to 1,700 from 1,400, reasoning that the manufacturer has shown resistance to generally negative market trends.
The upgrading could be taken positively in the wider tyre business too. In his report, Credit Suisse analyst Toru Iwai wrote that, “We believe the tyre subsector is the only auto parts subsector capable of generating profits in FY09. We believe top-line growth, a major factor in assessing the company, will likely recover faster than auto production.”
Continental has announced that, as of 1 March 2009, Nikolai Setzer will take up the temporary management of the manufacturer’s Car Tyre Division. He will continue to head up the Replacement Business Car and Light Truck Tyre Division Europe and Africa positions he presently occupies, though there will be no change in structure between the sectors. He will report to Dr Hans-Joachim Nikolin, the board representative of the Commercial Vehicle Tyre Division and – provisionally – the Car Tyre Division.
During his ninth day in office, new US President Barack Obama placed his signature on the first bill to become law under his administration. And with this stroke of his pen a legal fight that traces its origins back to a Goodyear plant’s shop floor has finally been settled. Some 18 months after the US Supreme Court declared Lily Ledbetter’s fight against her employer unlawful due to the delay between the alleged grievance and complaint, Obama has overturned the ruling in a move many are viewing as a landmark decision for American women.
The Richmond, Virginia, Times-Dispatch reported that Goodyear will close its rubber mixing plant in Radford, Va. The plant mixes rubber stock for Goodyear factories, the report said. Goodyear laid off 31 workers at the plant in December; the remaining 18 employees will be cut when the plant is closed on 30 January. The mixing plant had been owned and operated by Brad Ragan Inc. before Goodyear bought it.
Separately, news reports said that Goodyear was instituting one-week partial shutdowns at its Topeka, Kansas, truck and OTR tire plant. The shutdowns, Goodyear said, will come in February and March. (Tire Review/Akron)
Continental Tire has named Jay Dhillon interim general market manager for Continental Tire Canada, replacing Guy Hardiman. Michael Raynes becomes interim controller, replacing Jayesing Heetoo. Continental said the changes are part of a continuing effort to improve the company’s processes and business practices.
Dhillon will be responsible for continuing the profitable growth, and improving the overall business operation of Continental Tire Canada. He will report directly to Andreas Gerstenberger, executive vice president of sales and marketing for Continental Tire US and Canada. Raynes will be responsible for evaluating and supporting the financial and credit processes and Canadian operations, while providing recommendations to management for both the PLT and CVT divisions. Raynes will report directly to Jay Dhillon.
“Continental Tire Canada has enjoyed phenomenal growth in recent years, and will continue to do the same in the future. These appointments will help align the necessary supporting business processes with continued growth of Continental Tire Canada,” said Gerstenberger. (Tire Review/Akron)
The Board of Tata Steel has appointed Kirby Adams to succeed Philippe Varin as CEO of Corus and of Tata Steel Europe, the holding company of Tata Steel’s European operations. Varin is stepping down on April 6, 2009, after six years in the role.
American-born Adams was formerly chief executive of BlueScope Steel, headquartered in Melbourne, Australia. He has also served as chairman of the International Iron and Steel Institute and has considerable international experience in the metal and mining industry. He will join the Boards of Tata Steel Europe and Tata Steel, subject to necessary approvals. Once Adams has obtained the necessary visa, he will re-locate to London and commence working from early March 2009. Adams will report to Tata Steel managing director B. Muthuraman.
British drivers no longer feel safe on the roads, according to a new survey by car hire comparison site Carrentals.co.uk, which found that over 40 per cent of drivers have been a victim of car crime. The research questioned over 1,000 people across the UK and found that more than one in five of us don’t feel safe on Britain’s roads, with nearly 50 per cent believing that drivers are getting more aggressive and one in three believing people drive too fast.
Respondents told of incidents ranging from car jacking and physical violence, to verbal abuse and even a report of rape, underlining the growing issue of car crime on the roads.
Bloomberg is reporting that the slump in the car market and subsequent deflation in demand for car parts has led to shares in tyre manufacturers on the Tokyo Stock Exchange entering a slump. The decrease in prices has led to Goldman Sachs analysts to downgrade its rating of shares in the world’s largest tyre maker by sales, Bridgestone, from “buy” to “sell.”
Close of play on 15 January saw Bridgestone decline 4.2 per cent to 1,279 yen, while other large manufacturers Yokohama and Sumitomo decreased 7.9 and 6.6 per cent, to finish at 375 and 652 yen respectively. Both companies are also rated as “sell” by Goldman Sachs. Yuki Kimura, writing in his analyst report, said that manufacturers “will likely face increasing pressure to cut costs from carmakers, which are looking at deteriorating results.”
Investment banks B. Metzler seel. Sohn & Co Holding AG and Merrill Lynch have bought shares equating to a combined voting stake of 35.75 per cent in Continental AG. According to a Reuters report, Metzler has built a 19.5 per cent voting stake, while Merrill Lynch International holds 16.25 per cent. The two companies are now the largest shareholders after Schaeffler Group (49.9 per cent). On 22 December 2008 Metzler and Sal. Oppenheim bought stakes of 4 per cent and 5.5 per cent each.
Goodyear Dunlop UK has announced the combination of its Farm and OTR department with its Truck department. As part of this change, Andy Morris, who was previously the director of Farm and OTR, will take on the new role of commercial sales manager. Morris is a 33-year Goodyear Dunlop veteran, and the company notes that he led the Farm department into a profitable position, crafting a skilled and specialised sales team.
An unsourced report published in Brazil’s O Estado de S. Paulo newspaper indicates that Michelin has plans to build a fourth factory in Rio de Janeiro State. The US$200 million plant, says the newspaper, will be built in Itataia, in the south of the state, where another Michelin facility is already in operation. The company also operates factories in Resende and Campo Grande.
The organisers of Automechanika Shanghai report that 30,845 visitors from 104 countries and regions visited China’s number one event for the automotive part, component and aftermarket industry. A total of 1,982 exhibitors from 23 countries and regions displayed their products during the December 2008 exhibition.
Automechanika Shanghai is organised by Messe Frankfurt, together with the China National Automotive Industry International Corporation (CNAICO). The next show will take place from 9 to 11 December 2009.
Amtel-Vredestein N.V. has announced the submission of its unaudited annual accounts and annual report for the 2007 financial year to the Netherlands Chamber of Commerce in accordance with article 2:394 of the Dutch Civil Code. The annual accounts have not been adopted by the company’s general meeting and have not been audited by Amtel-Vredestein’s auditor. The financial year 2007 unaudited annual accounts and annual report, says the company, have been merely made public to fulfil the obligations of article 2:394 of the Dutch Civil Code. Amtel-Vredestein adds in a statement that, in this respect, it should also be noted that the Dutch Ministry of Economics has denied the company’s request for an exemption from the obligation to draw up, present and adopt its audited financial statements for the financial year that ended on 31 December 2007.
An energy and heat loss survey carried out by Eriks UK at Pirelli’s manufacturing facility in Carlisle has led to the implementation of energy savings which, the company estimates, will amount to a total in excess of £60,000. The survey, carried out by Eriks’ condition monitoring division, made extensive use of modern thermographic techniques to identify areas of heat loss. Many of these would have been difficult or impossible to detect and quantify in any other way.
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.
