Across the Atlantic they are called tires, while over here we use a “Y” and say tyres. This tag provides the latest tyre business news emanating from the United States of America (USA), whichever way you spell it.
The indefinite layoff of 31 workers at Yokohama Tire’s Salem passenger car and light truck tyre factory in the US has been announced. In a statement, Yokohama Tire Manufacturing Virginia, LLC, president Tetsuro ‘Tex’ Murakami, explains that the cuts are being made to “more effectively streamline” the facility’s current production schedule and inventory capacity.
The eighth annual “Asian Essen”, Reifen China took place at the Shanghai New International Expo Centre in the first week of December, with some of the Chinese tyre industry’s major players rubbing shoulders for the last time in 2014. The European side of the Sino-German partnership behind the annual show, Messe Essen stated that it expected the presence of around 120 exhibitors in hall W1 and 15,000 trade visitors. This latter figure, unconfirmed at the time of writing, takes into account the other three-quarters of the twin exhibition; RubberTech China 2014 and the International Exhibition on Rubber & Elastomer, led by the China United Rubber Corporation, comprised around 500 exhibitors across another three halls (W2-4). Messe Essen CEO, Oliver P Kuhrt stressed the importance of the ‘Reifen’ brand’s presence in China, stating in his introduction to the show that it “stands for the success of a fair made in Essen extending across borders”. With about two thirds of the exhibitors at May’s Reifen 2014 visiting Essen from outside Germany, Messe Essen also noted the importance of Reifen China in recruiting Asian participants, whose attention the exhibition organiser has drawn in Shanghai.
An official groundbreaking has been held for the new 30-storey Bridgestone Americas headquarters in Nashville, Tennessee. The new 47,750 square metre building is being erected with an investment exceeding US$200 million and will house more than 1,700 company employees when completed in the middle or latter part of 2017. This figure includes 600 jobs from business units currently located in other parts of the US.
Giti Tire (USA) has raised its US prices by 9.5 per cent in response to the countervailing duties introduced by the country’s government. The increases affect all passenger and light truck tyres (excluding ST tyres) produced by Giti in China, and are effective from 1 January 2015. US industry journal Tire Review revealed the anticipated price hike had been implemented as a result of the 11.74 per cent adjusted countervailing duties imposed by the US Department of Commerce on Giti Tire Fujian Co Ltd. Giti said it was still “committed” to the US market.
According to news reports in the US, Bridgestone intends to lay off almost 70 people from its agricultural tyre factory in Des Moines, Iowa. Whotv.com writes that the 69 layoffs will be voluntary and are planned to counter declining industry-wide demand for agricultural tyres. Bridgestone will re-evaluate the layoffs at the end of the first quarter of 2015.
Hee-Se Ahn, who until recently served as vice-president of Marketing & Sales at Hankook Tire Europe, has been appointed president of Hankook Tire America Corp. and chief operating officer for the tyre maker’s business operations throughout the Americas. Mr Ahn’s new role began on 1 January, and he is now based at Hankook Tire’s America headquarters in New Jersey. His successor as vice-president of Marketing & Sales in Europe is Gang Seung (Tony) Lee, who was previously managing director of Hankook Tyre UK Ltd. Hankook will release details about Lee’s successor in the near future.
The legal dispute between Apollo Tyres and Cooper Tire & Rubber has now ended following the final dismissal of litigation filled by Cooper Tire against Apollo.
Nexen Tire’s Roadian HTX RH5 has won a US Good Design Award. The company’s N’FERA RU5 also won the Korean Good Design Awards and the firm’s N’blue Premium won the Korean Pin up Design Awards.
The US Good Design Awards is an annual design awards programme organized by The Chicago Athenaeum Museum of Architecture and Design (Illinois) in cooperation with the European Center for Architecture, Art, Design and Urban Studies.
The US Department of Commerce has reduced preliminary countervailing duties on tyres manufactured in China, according to local news sources. The countervailing duties are in addition a 4-per cent import tariff.
The Herald, which is distributed in Chester county area of South Carolina where Giti will soon break ground on its new tyre factory, reported that the commerce department has lowered Giti’s rate to 11.74 per cent from 17.69 per cent. At the same time the rate for most other Chinese-manufactured tyres dropped to 12.03 per cent from 15.69 per cent.
In a letter sent 16 December, the Governor of South Carolina requested the US Department of Commerce re-evaluate the 17.69 per cent tariff that applies to all consumer tyres Giti Tire imports into the US from China. Governor Nikki Haley highlighted Giti Tire’s plans to build a plant in Chester Country, South Carolina, and stated that the tariff “inequitably affects Giti’s business.”
In the US China Manufacturers Alliance, LLC (CMA) has announced that it is recalling certain Bluestar LQ225 size 8-14.5 low platform trailer tyres manufactured. According to a recall notice published by the US government authority responsible for such matters, NHTSA, the affected tyres were produced between 24 February 2013, and 9 August 2014.
To accommodate its growing presence in the North and Central American markets, BKT Tires Inc. recently opened a new premises dedicated to the OTR sector and has extended its team with two key appointments. The Balkrishna Industries company has also opened two new warehouses.
According to a report emanating from Goodyear’s hometown, the tyre maker intends to bring its regional headquarters for Latin America back to company headquarters in Akron (Ohio, US) next year. The Akron Beacon Journal wrote on 16 December that efforts to relocate the headquarters in São Paulo, Brazil will begin early in 2015 with the transfer of senior management to Akron. Goodyear will spend several months evaluating which other positions it will move from São Paulo to the US, the Akron Beacon Journal added. The headquarters has been based in São Paulo since 2005, after it was moved from Akron.
A new multi-year deal signed by Continental in the US will give it a brand presence at a total of 381 college basketball games per season. Continental Tire the Americas has entered into a partnership with International Management Group (IMG) property schools and Learfield property schools, and becomes the ‘Official Partner of Basketball’ for schools in six high-profile conferences. The tyre maker will be visible both courtside and during televised games.
Tire Industry Association has promised to fight a proposal by the US Rubber Manufacturers Association to reinstate a mandatory tyre registration programme, US journal Tire Review reports. During a panel on tyre registration and recalls at the Passenger Vehicle Tire Safety Symposium held by the National Transportation Safety Board, the RMA cited low registration rates of tyres sold by independent retailers as the reason behind the proposal. RMA reported that overall fewer than 20 per cent of all tyres are registered.
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