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News Archive
This section includes a representative
selection of news items from the retreading industry from
around the world taken from our latest issue 2010/2. To
make sure you get all the stories from the retread
market order your regular subscription
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£3.9 million
Grant Boost For Michelin
Kenya's Kingsway begins Retreading
Duobeili Delivers 200th Retread Line
Marathon to Expand Ringtread System in South
Africa
Indag Targets Export Growth
Georgia Bill Calls for Ban on Retreads
Marangoni Announces A Further Increase In Prices
Bridgestone Opens Retread Tyre Unit
Pelmar Engineering Acquires the Alliance Tire
Retreading Plant
Vulcaflex Launches Banflex
at Recaufair
Shamrock Marketing Inc., Export Achievement
in the Global Marketplace
Bridgestone Bandag Builds Brazilian Brand
Reiff Celebrates 100 Years
£3.9 million Grant Boost
For Michelin
The Department for Business,
Innovation and Skills (BIS) has agreed a grant of £3.9 million
for Michelin Tyre plc in order to safeguard manufacturing
jobs and significantly increase productivity at the company's
plant in Stokeon- Trent, North Staffordshire, announced
Regional Minister Ian Austin.
Announced at a conference
held at BIS by Lord Mandelson, the Grant for Business Investment
(GBI), supported by regional development agency Advantage
West Midlands, will support a project to extend Michelin's
current premises, install new equipment and modernise the
production process. This will enable the company to retread
a new generation of Michelin Durable Technology (MDT) truck
tyres and improve its existing processes.
Ian Austin, Regional Minister
for the West Midlands, said: "This announcement is fantastic
news for Stoke on Trent and a vote of confidence in the
plant and the local workforce. "It will help develop and
sustain manufacturing skills in Stoke, and shows the Government
is committed to manufacturing, ensuring that businesses
and workers have the support and tools they need to compete
and prosper."
Mick Laverty, chief executive
at Advantage West Midlands, said: "Michelin is an international
company at the forefront of excellence and innovation, with
a strong commitment to training employees and involvement
with the local community. "We have a key role to play to
support regional businesses with the finance they need for
competitiveness and today's announcement is great news for
Michelin, for Stoke-on-Trent and for the manufacturing industry
in the West Midlands region."
Peter Marsh, Plant Manager
at Michelin plc, said: "I am delighted to announce this
planned significant investment which would secure the long
term future of our Stoke plant. "We will be able to upgrade
the factory to re-manufacture the latest generation of Michelin
Durable Technologies truck and bus tyres, and so offer the
customer products with even greater performance and economy
in use."
Kenya's Kingsway begins
Retreading
Kenya's bus and truck owners
will soon have the opportunity to reduce the amount of money
they spend on tyres by nearly 60 per cent once Kingsway
Tyres' proposed retreading factory is fully operational.
The tyre distributing and
retailing firm's Managing Director Manoj Shah disclosed
that the company was in the process of setting up a 20,000
square foot facility in Nairobi's Industrial Area where
fleet operators can send in their wornout tyres and have
them retreaded. "An average retread lasts 60 per cent of
the life of a new tyre; with the process that we are introducing,
we are guaranteeing 90 per cent of the mileage of a new
tyre which is almost like a new tyre," he asserted. The
factory which will have a capacity to retread 12,000 tyres
a year is expected to be ready by May 31.
A tyre for a bus or truck
on average cost between Sh40,000 and Sh50,000 which forces
many operators to go for cheap and substandard tyres thereby
polluting the environment and leading to road carnage in
the country. "We have seen many road accidents in the recent
past where a lot of people have been killed because many
of the buses are using tyres which are not designed to be
used on them," he said. Although he acknowledged that exact
figures of poor quality tyres in Kenya are not available,
he estimated that they probably account for between 30 to
40 per cent of those sold in the market. "We are educating
our customers that sometimes by paying more initially, they
can save a lot of money in terms of downtime and safety
and of course we are promoting the concept of cost per kilometre,"
he said.
At a press briefing celebrating
the company's 50th anniversary, Mr Shah said they were in
the process of penetrating regional markets where they hoped
to introduce the company's tyre centre and retreading concepts.
"We are going to be in Tanzania
and Uganda before the end of the year and we are also conducting
feasibility studies in Rwanda and Burundi so by the time
the Common Market (Protocol) comes into play, we will be
ready with our plan to go into the regional market," the
MD added.
He anticipated that the implementation
of this and other measures would enable them to grow their
market share from the current 25 per cent to 35 per cent
in the next five years. Currently, the company, which pioneered
tubeless tyres for trucks and public service vehicles, has
16 branches in Kenya.
Duobeili Delivers 200th
Retread Line
March 2010 saw the 200th precured
tyre retreading line from Duobeili being delivered to a
client in Shandong, China. The particular significance is
that this product line has become the base model approved
by the Chinese government.
Over the past 10 years Duobeili
has occupied a high-end market position amongst strong competition
in the pre-cured retreading equipment sector due to its
advanced concepts in technology, quality and service. Currently,
there are more than 30 companies dealing with pre-cured
tyre retreading equipment in China. "95 per cent of them
don't have professional technology research and development
or a professional after-sales service team. The only thing
they have is low value-added and low-end equipment'', commented
Zhu Shi Xing, the general manager of Beijing Duobeili Tire
Retreading Equipment Co.Ltd, "Our annual research and development
costs account for 10 per cent of sales. We also launch 2-3
sets of new equipment annually and adjust the product structure
to meet the demands of a dynamic market.''
Since 2006, the tyre retreading
market in China has seen large scale rationalization with
almost a third of the country's old retreading companies
going out of business. Duobeili says its clients can achieve
pretty good market efficiency in every area due to the company's
" turnkey" service. "On the base of providing hardware devices
and in aspects of technology and market research, Duobeili
provides a comprehensive solution for each client", says
Zhu. "Specific market research for our customers allows
us to adjust the production process constantly, keeping
the products in tune with the needs of the local markets".
Research from the Duobeili
marketing department indicates that the company has contributed
significantly towards improving the make-up of the Chinese
market. The next step is to explore overseas markets.
Marathon to Expand Ringtread
System in South Africa
Marathon (Leader Rubber's
subsidiary company) are set to dramatically increase the
presence of Marangoni's Ringtread System in the South African
market with the addition of three new dealers and a plan
to strategically develop the brand to eventually achieve
coverage throughout the country. This was revealed by Marathon's
Managing Director Brett Sproson during an interview at the
company's headquarters in Johannesburg.
Marathon is currently in the
process of commissioning Marangoni equipment for the new
plants (Ringtreaders, Shearographies and Buffers), which
will give the distribution company a total of four customer
factories - three in the Johannesburg area and the fourth
in Pietermaritzburg. All four plants are existing Leader
Tread (Marathon sister company) dealers who have upgraded
their facilities to add the Ringtread range at the premium
end of the market. According to Sproson, the company is
now looking to add new dealers, initially targeting the
Cape Town area. To aid this process Marathon organised a
dealer seminar to present the Ringtread concept, arranged
to coincide with the visit of retreaders to Johannesburg
for Tyrexpo Africa. Roberto Santorum and Danilo Pasotti,
respectively Regional & Oversees Sales and Business Development,
Directors of Marangoni were both present to explain the
benefits of the Ringtread System. This was combined with
a gokarting event for Leader Tread's dealers.
South Africa's existing Ringtread
dealer is Dynamic Tyre Solutions, whose owner Troy Marais
acquired Leader's existing Ring Tread plant at the end of
2009. Marais then integrated the Ringtread machinery into
his existing factory and now runs three production lines,
Ring Tread, Leader Tread and a salvaging operation. The
company currently produces 4300 retreads a month, of which
6- 700 are Ringtread product.
However, Troy Marais is convinced
that the Ringtread proportion will grow. Says Marais; "The
market in South Africa is split into two segments - price
and cpk. Ringtread is clearly targeted at the cpk oriented
part of the market, which is growing at the moment. Those
who have tested the Ringtread product have been very impressed
as in certain applications it performs better than new tyres.
Indeed, in some tests Ringtread significantly outperformed
leading brands in mileage.
One of three new facilities,
meanwhile, will be located at Auto and Truck Tyres, South
Africa's largest independent retreader. A&TT owner Rob Beaumont
has invested in new machinery to increase the capacity of
his plant. The target market for Ringtread product will
be cpk oriented fleets, particularly fuel companies and
bus companies who need an aggressive tyre that can both
perform and provide integrity. Marangoni's shearography
equipment is intended to help dealers to provide the necessary
integrity, reducing the risk of tyre failures and consequential
damage to fuel tanks, vehicles etc.
Says Brett Sproson; "Tyre testing
and the training of dealers and sub dealers will be vital
in getting the message across about the benefits of the
Ringtread product. We will be investing in both these aspects.
Our ultimate aim is to develop a RingNet like in Europe
with Ringtread dealers in most major centres."
Indag Targets
Export Growth
Indag Rubber are aiming to
achieve 300 tonnes of exports within three years, thanks
in part to increased activity at overseas events and aided
by a significant capacity expansion at the company's production
facilities, scheduled for completion in April, which will
see capacity rise from 850 to 1400 tonnes pcm.
According to VP Marketing,
Ashok Aggarwal, Indag, who terminated their co-operation
agreement with Bandag in 2006, an agreement, which had made
them unable to market their products outside of India, have
already developed a strong base in Nepal as well as in Kenya,
where a franchise network is being developed. The company's
aim, says Aggarwal, is now to develop further in Africa,
as well as to establish footholds in the UAE and Turkish
markets. Indag is also looking actively at the Australian
market in which to develop contacts.
To develop its export business
Indag has developed a specific premium quality export brand,
ZOMA, which the company says is manufactured from superior
raw materials and pressed at a very high temperature, resulting
in a product that gives high performance in terms of mileage
and tread life. According to Ashok Aggarwal, the ZOMA range
is available in 120 different patterns and sizes. However,
in cases, where the consumer needs a bespoke pattern, this
can be achieved with a three month lead time. Indag does
not currently manufacture its own machinery but collaborates
with 2-3 local Indian suppliers including Rajmahaal in order
to supply complete packages.
Georgia Bill Calls for
Ban on Retreads
A bill in the Georgia House
of Representatives that seeks to ban the use of retreads
on state vehicles that respond to public safety emergencies
has elicited a strong response from the Tire Retread & Repair
Information Bureau (TRIB). Georgia House Bill 981 would
expressly ban the use of retreaded tyres on state emergency
vehicles. There is no word how this bill would impact the
use of retreads by county or municipal emergency vehicles.
In a recent letter to state
representatives, TRIB Managing Director Harvey Brodsky said,
"On behalf of the entire retread industry and especially
our many retreader members in Georgia, we believe there
is no basis" for the ban, "since the safety of retreaded
tyres on all types of vehicles, including fire engines and
other emergency vehicles, has been proven over billions
of miles for many years."
Specifically, House Bill 981
states, "Retreaded tyres shall not be used on official state
vehicles which may be used to respond to public safety emergencies."
Brodsky went on to write that retreaded tyres "are safely
used by school buses (including in Georgia), fire engines,
commercial and military airlines, companies such as FedEx,
UPS and the U.S. Postal Service, race cars, taxis and many
other types of vehicles worldwide.
"There is even a Federal Executive
Order (13149) mandating the use of retreaded tyres on certain
federal fleet vehicles." A ban on retreads "will cost Georgia
taxpayers unnecessary extra money, while at the same time
will not help the environment."
If approved, H.B. 981 will
go into effect July 1, 2010.
Marangoni Announces A
Further Increase In Prices
Following the continuous rise
in the costs of raw materials, Marangoni SpA expects a further
increase in selling prices in the second quarter. The increase
will involve all tyre retreading materials, marketed through
the Retreading Systems division and all the retreads marketed
by the Commercial & Industrial Tyres division. Further increases
in the list prices of tyres for fork lift trucks are also
possible. "As much as Marangoni is continually committed
to reducing the impact of the growing costs of raw materials,
the continuation of this phenomenon - which over the last
year has led to a doubling in the cost of natural rubber
and a considerable increase in the cost of all petroleum
derivatives - we are unfortunately forced to shift at least
some of these costs to the price of our products", declared
Massimo De Alessandri, Marangoni Group CEO.
"We don't yet know the exact
amount of the increases that will be applied", De Alessandri
added, "however they will substantially be in line with
those made and implemented in the first quarter of 2010
and that, in Europe, involved an around 7% rise in the selling
price of our products. Certainly we will do what we can
to limit such rises to the minimum possible. We want to
maintain our traditional competitiveness in a market that
is showing the first signs of recovery after the bad recession
of the last two years".
Bridgestone Opens
Retread Tyre Unit
Bridgestone has opened a retread
tyre centre in Thailand using specialised technology to
help promote the adoption of retreaded tyres in Asia.
The 130-million-baht Bridgestone
Bandag Retread Center (BBRC) was recently opened at Thai
Bridgestone Co's tyre plant in Saraburi's Nong Khae district.
The centre started producing retread tyres early in 2010
at the plant, which has a production capacity of 44 units
per day. BBRC is targeting truck and bus tyre customers.
It will provide products and services using processes developed
by Bandag, the US retread specialist that Bridgestone acquired
in 2006. BBRC said its retread and solutions business aimed
to promote effective environmental business management and
reduce tyre-related costs for transport fleets and other
customers by providing a complete package of new tyres,
retread tyres and tyre maintenance services. The centre
will conduct training for retread shop technicians in both
BBRC's own branches and franchises.
Emphasising the efficiency
and economy of the Bandag process, BBRC has plans to expand
its network of retread franchises and promote its retread
and solutions business.
Thai Bridgestone managing director
Masahiro Higashi said retread tyres could have major environmental
benefits when compared to new tyres. The retread process
significantly reduces CO2 emissions generated in production.
It also reduces the number of tyres scrapped by maximising
the life-cycle of a tyre. Bridgestone anticipates that the
retread and solutions business will significantly grow in
Asia. To prepare for the growth, Bridgestone is constructing
a retread materials plant in Thailand.
According to the firm, Bridgestone
Bandag Manufacturing Thailand, a Thai subsidiary, is investing
about 5.2 billion yen (1.91 billion baht) in a new plant
in Chon Buri for the production of pre-vulcanised tread
rubber for retread tyres. Construction of the new plant
started last July and production is expected to commence
this November.
The plant has a planned maximum
production capacity of 30 tonnes per day by the second half
of 2013.
The new production base will
help the company increase sales of its retread products
as well as develop its solutions business throughout Asia.
Pelmar Engineering Acquires
the Alliance Tire Retreading Plant
The Alliance Tire retreading
plant in Hadera, Israel has been purchased by Pelmar Engineering
Limited. Pelmar intends to sell it complete as a package
including technology, to those customers who wish to enter
into tyre retreading or expand their existing facility.
The plant is a Marangoni "Ring
Tread" facility, using the advanced ring tread system. It
is complete with all machinery from inspection to final
testing and was used primarily for radial steel cord truck
tyre retreading and repair. The plant is capable of using
both precured rings and flat treads.
The plant capacity is for a
minimum of 40 TBR tyres per day, using one autoclave. By
adding an additional autoclave, the capacity will reach
80 tyres per day at one shift (3 curing shifts).
Mr. Eldad Eilam, Pelmar's Technical
Manager, advised that the equipment is in very good condition
since Alliance used it only for a short time before the
company decided to stop manufacturing of new bias and radial
tyre production in late 2009.
Alliance has not ceased production
of industrial, OTR and agricultural bias and radial tyres.
They only ceased the production of PCR and TBR tyres at
the end of 2009. Pelmar has only purchased the PCR and TBR
equipment.
Vulcaflex Launches Banflex
at Recaufair
Vulcaflex, the Brazilian manufacturer
and supplier of repair materials has launched its own range
of pre-cure retread materials under the Banflex banner at
Recaufair in Sao Paulo. Banflex is designed to give maximum
protection to the casing whilst maximising the mileage returns.
The decision to launch Banflex came after a great deal of
market research and development work by Vulcaflex's R&D
department.
The selection of tread patterns
was made in response to the needs of the retreaders and
the fleet operators and the first patterns launched are
the FX G8 and FX CB for crossply tyres on trailer and drive
axle positions in sizes that cover most pick up and van
sizes. The line is already being extended with radial patterns
: FX 250, FX, FX ZE1 and FX DE2, covering a diverse range
of operations.
Vulcaflex claim that the treads
offer excellent mileage properties. With almost 20 years
of market, the Vulcaflex is certified to ISO 9001 and manufactures
its products in Brazil for export to some 25 countries.
With more 180 employees (an increase of 50% in two years),
the company is looking for routes to develop its production
capacity by the 2010 end, with a target of producing some
500 tonnes of tread in 2010.
Shamrock Marketing
Inc., Export Achievement in the Global Marketplace
Shamrock Marketing, Inc. was
recently presented with a United States Department of Commercial
Services Export Achievement Certificate, in recognition
of accomplishments in the Global Marketplace. Congressman
John Yarmuth, of the 3rd District of Kentucky, presented
the certificate to Shamrock's Economic Development and General
Manager Doug Conley, Jr. at a U.S. Commercial Services breakfast
and export seminar.
"With the changing landscape
of the domestic market combined with excellent opportunities
in foreign markets and the U.S. Commercial Services tools
that enabled us to be more competitive, we decided to actively
allocate resources to export growth." says Conley. "This
award is the initial recognition of our efforts and success
so far. Although the majority of our business remains in
North America, we will continue to put resources against
expansion into new markets, identifying potential business
partners in new markets, and continuing to grow our customer
base in these new markets." Shamrock has been providing
curing envelopes, curing tubes, sealing rings and other
consumables to the tyre retread industry since 1992. Shamrock's
product innovation and continuous efforts to improve and
introduce new products has helped it grow both domestically
and internationally. Recent product introductions include
a new Rubber Sealing Ring System, Large Base One-Piece Envelope
Valves, an expansion of their OTR Envelope and Curing Tube
offering, and an improved Surelock type Sealing Ring available
in 12" through 35" diameter size range. "Utilizing technological
advancements in production and fine tuning existing products
allows us to become more efficient and continuously improve
our products. All of this benefits our customers by providing
them with the best product at the best price."
The recent focus for Shamrock
has been the expansion of its product lines to now include
new and used retreading equipment, tread products and other
miscellaneous tools. They continually look for new production
partners as well as new product supply partners domestically
and internationally. Expanding their customer and distributor
base in the Latin American and Asian markets is their focus
in the coming years. Shamrock is headquartered and operates
out of its 40,000 square foot facility in Louisville, Kentucky,
USA.
Bridgestone Bandag Builds
Brazilian Brand
Bridgestone Bandag has recently
improved its position in the south of Brazil with a number
of new retreading and sales outlets. Bridgestone Bandag
Tire Solutions (BBTS), brings one of the biggest world-wide
manufacturer of tyres in as the world's leading retreader
with BBTS.
In partnership with the Brazilian
Mallon Group the company has gained three new outlets -
one in the city of Mafra/SC, one in Canoinhas/SC and another
one in União da Vitória/PR.
So now BBTS operates with 19
outlets in Santa Catarina and 11 in Paraná, all specialized
in the supply tyre management services for trucks and buses.
"This development is more
than just a gain in market share. In reality, what is happening
is a consolidation of our brand. That is creating a consistent
coverage and spread of our services to the Brazilian transport
sector, creating even greater opportunities for our partners",
affirms Ricardo Drygalla, marketing manager for BBTS in
Brazil.
From BBTS viewpoint these two
states are full of potential. According to DENATRAN (National
Department of Transit), the State of Santa Catarina is fifth
of the country in terms of truck numbers, with 117,000 vehicles,
and eighth in bus numbers, with about 15,000 units. The
State of the Paraná is third in trucks, with 205 thousand
vehicles, and with some 30,000 buses in operation.
On a city basis an analysis
of DENATRAN data and taking into account only vehicles registered
in the 300 main towns of Santa Carina, Mafra is 21st in
trucks, with 1,160, and 20th in bus, with 130 units. Already
Canoinhas is 23rd in trucks, with 1,150, and 21st in bus,
with 108. Evaluating the 400 main cities of the Paraná,
União da Vitória is 26th in trucks, with little more than
1,200 vehicles, and 65th in bus, with 62 units.
Beyond being strategic markets,
the States of Santa Catarina and Paraná are seen by the
BBTS as excellent options for testing products. The last
four launches by BBTS had been tested exhaustingly by fleets
headquartered in the region. "We find that the two States
offer a load sector and a highly professional transport
sector, with companies organized and wanting to be involved
in the development of new products.
"Moreover, the mix and the
fleets of the region have the characteristics essential
to carry out these tests. They give us an opportunity to
test tyres on roads whose characteristics are not representative
in the segment or a fleet without additional costs of maintenance.
Certainly we will not otherwise be able to acquire the understanding
of our products that we have. Therefore, it is key for us
that we partner with fleets with vehicles in good condition
and who operate in a professional way" says Drygalla. In
a BBTS outlet the fleet operator will find tyres, brake
services, suspension services, lubrication, services for
electrical systems, accessories, fleet management solutions
and retreading services for trucks and buses. This is the
harvest of the fusion between Bridgestone and Bandag in
2007. At the time the US$ 1 billion deal was considered
an unknown union in the world-wide tyre industry. "The merging
with Bandag opened a new segment for Bridgestone and gave
rise to BBTS. Today, Brazil is the biggest market of retreaded
tyres in Latin America, with an average annual movement
of 7,5 million retreaded tyres.
The automotive sector presents
a great potential of growth and is a basic element of the
strategy of the company. The national goal of BBTS is to
reach 150 outlets by the end of 2011 end", explained the
vicepresident of BBTS Brazil, Alfonso Zendejas.
Reiff Celebrates
100 Years
One of Germany's largest retreaders,
the Reutlingen based Reiff Group, is celebrating its 100-
year jubilee in 2010 and to celebrate the company's management
board, Eberhard Reiff, Hubert Reiff and Dr. Immanuel Kohn
invited guests to an evening gala held on 19 February at
the "Alte Reithalle" in the Hotel Maritim in Stuttgart.
Guest of honour at the event was the state of Baden-Wuerttemberg's
new Minister-President Stefan Mappus.
In his presentation Minster-
President Mappus congratulated the company on a "magnificent
performance over the space of three generations" and recognised
the strong reputation that the company had built for itself
over the years.
Reutlingen's mayor Barbara
Bosch also commented that one of the strengths of entrepreneurs
from Reutlingen and therefore also a strength of the town
itself, was the ability to continually overcome the challenge
of necessary structural changes.
The Reiff Group, said Frau
Bosch, was an example of this. The Reiff Group employs over
1500 people in 14 companies throughout Europe, of which
the company's retreading activities are only a part. In
further recognition of the Reiff Group's achievements, Company
Chairman Eberhard Reiff was presented with the Bundesverdienstkreuz
in January 2010.
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