Cooper Recalls 288,000 Tyres
(Akron/Tire Review) The Associated Press has reported that Cooper Tire & Rubber Co. is recalling some 288,000 passenger and light truck/SUV tyres due to concerns over cracking and slow leaks.
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Goodyear Promotes Two in Technical Group
Product News(Akron/Tire Review) Goodyear Tire & Rubber Co. has promoted William Hopkins and Joseph Zekoski to new positions in its technical group. Hopkins, formerly vice president global product marketing and technology planning, was named to the newly created position of vice president of technology and strategic initiatives. He will be responsible for global strategic initiatives, tyre engineering, materials, performance prediction and global vehicle systems.
The Next Millennium
Product NewsViking International is set to launch a new “competitively priced” ultra high performance tyre range – the Millennium. According to the company, the new exclusive tyre comes as the result of massive investment and is designed to deliver “the ultimate in reliability and predictability at the extremes of performance handling.”
Viking reports that it has completely re-engineered its Millennium UHP range and that the line is now available in 36 sizes, fitting 15 to 18 inch diameter wheels. An 18 inch option is set to follow later in 2006. The new European-produced Millennium, uses a unique silica compound and is W – Y rated for speeds of up to 186 mph.
Millennium’s new UHP directional tread pattern represents the very cutting edge in design technology, according to the company. It is currently available in 35, 40 and 45 series to fit wheels from 17 – 18 inches. The directional pattern is available in both W and Y speed ratings.
Unusually for a UHP tyre the Millennium claims to be a class leader when it comes to wear rates. Viking representatives report that this is down to low rolling resistance and point out that an integrated rim protector helps safeguard alloy wheels.
Furthermore, the Millennium’s asymmetrical tread pattern is said to deliver superb all weather handling. Featuring new “tri zone” technology, the Millennium also claims “superior” ride comfort and reduced noise with excellent high-speed water dispersal; superb corning stability and steering response. Available from 40 series to 65 series to fit wheels from 15 – 17 inches, this variation is available in V and W speed ratings.
Mike Curry, managing director at Viking International, said: “The new Millennium range offers an exceptional quality alternative to the more expensive, premium-branded high performance products, with the added advantage of providing significantly better profit potential for the retailer. We will be supporting the launch with a high profile trade marketing campaign running throughout 2006 and we have developed a full range of support including point of sale; signage; merchandise; clothing and consumer / trade incentives.”
He added: “The Millennium range is only available through Viking International and with the rapid growth in the performance market, we are expecting a very high level of demand for this exciting new range.”
MNA Expansion Plan May Not Get Government Aid
Product News(Akron/Tire Review) As Michelin North America (MNA) prepares to pour $80 million into expanding truck tyre production at its Waterville, Nova Scotia, plant, the recent national elections in Canada threaten to derail the plan, according to reports by CBC.
As part of the expansion deal, the Liberal Party-led Nova Scotia government committed to giving MNA some $9.4 million in interest free loans. With the Conservative Party now in control, there are questions whether the loan offer will be met.
Cooper Expected to Report Disappointing 4Q
Product NewsDeutsche Bank analysts are expecting Cooper to announce losses of $0.14 per share when the company releases its fourth quarter results. The analysts are already describing the period as “another weak quarter.” Cooper is said to have under-performed the market in recent times. According to the Deutsche Bank analysts, Cooper’s third quarter North American (NA) volume declined 6 per cent compared with a drop of 1 per cent across the market.
A New Form of Drink-Driving
Product NewsDrivers are being warned to avoid caffeine excess after a man was jailed for dangerous driving after drinking 20 cans of Red Bull. Peter Edwards, 48, from King’s Lynn, was jailed for four months on Friday after Norwich Crown Court heard he was pursued across Cambridgeshire and Norfolk. His car was seen “swerving from side to side” across the A10, the court heard. Edwards car was then involved in a 50-mile police chase, according to a BBC report.
World’s Largest Carbon Black Plant Gets Online in Tianjin
Product NewsCabot Corporation’s enormous $60 million Tianjin, China carbon black factory is set to go online in March 2006, according to a report by Tianjin Daily.
China Becomes Second Largest Auto Market
Product NewsLast year 6 million vehicles were sold on the Chinese market, making China the world’s second largest auto market. According to a Reuters report, China produced more vehicles than third-place Japan, but is still behind the US which remains the world’s largest market.
Expansion at Amtel’s Kirov Plant Slower Than Expected
Product NewsAmtel-Povolzhye Tire Complex, Russia’s second largest tyre factory increased output by 35 per cent to 6,543,000 tyres in 2005 – less than the 44 per cent increase expected by analysts. According to Russian investment bank, Centre Invest, production at the factory was expected to increase to 7,000,000 tyres. “Although our expectations proved overly optimistic, we maintain our recommendation and fair price for the company, as its growth far outperformed expected growth rates for other Russian tyre manufacturers,” the analyst’s report commented.
GreenMan Technologies Delays Filing Year-End Results
Product NewsGreenMan Technologies has announced that it expects to report “aggregate net loss for the fiscal year ended 30 September 2005 [of] between $14 and $15 million.” The company also said it will delaying filing its 10-KSB for the year. According to the company, this will take no more than 30 days and is necessary for it to finalise the accounting treatment of the pending divestiture of its Georgia operation. Greenman is recycles over 20 million scrap tyres per year in the US.
Parents sue Cooper
Product NewsThe parents of two young women killed in a head-on collision on Florida’s Turnpike are suing Cooper Tire & Rubber Company, alleging the company’s tyre caused a Thanksgiving 2004 wreck that left six dead. According to an associated press report, the lawsuit, in Palm Beach County Circuit Court, seeks more than $15,000 in the deaths of Michelle Seville, 23, and Marsha Seville, 18.
Difficult Times For Amcast
Product NewsWheel deliveries between Amcast and General Motors have been temporarily restored following the component manufacturer’s second chapter 11 filing this year. The move is said to have averted a shut down at several GM assembly plants. Either way, court documents presented in Amcast’s bankruptcy filing report that it stopped all deliveries of previously ordered wheels to GM on 30 November, the day before Amcast filed for emergency bankruptcy protection. That move came after talks designed to modify business contracts between the two companies broke down.
Continental Bullish About 2006
Product NewsWhile Continental remains bullish about its prospects in 2006, some analysts are questioning how long the company’s strong run of results can last. Needless to say, the Deutsche Bank market watchers are not complaining about the German business’ financial strength. As one report says “Continental’s CFO was bullish 12 months ago. And he was right.” As far as they are concerned its more a question of “how long can the company continue to grow at this pace?” rather than “when will the bubble burst?”
Record US Tyre Shipments
Product NewsPassenger car replacement tyre shipments are expected to reach a record total of 205 million units this year, according to the latest RMA figures. The previous record was 198.9 million units, set in 2000. This will be the first time shipments have exceeded 200 million units in any given year. Similarly, tyre shipments for the combined original equipment (OE) and replacement consumer and commercial sectors are expected to increase by 2.2 per cent compared to 2004 as a result of continued steady economic growth.
NR Prices to Continue to Rise in 2006
Product NewsNatural rubber prices are predicted to keep rising in 2006 for the second straight year, as demand from tyre manufacturers continues to outstrip supply, Rubber World has reported. “Bullishness may persist in the rubber market as demand for the commodity remains quite strong,” Michael Coleman, managing director of Singapore-based Aisling Analytics told Dow Jones newswires.
