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NEWS
Growth in Finnish Retread Market
Figures supplied by the Finnish Tyre Association Autonrengasliitto show that the Finnish retread market enjoyed good growth during 2010.
The number of pre-cured truck retreads manufactured in 2010 was 177,920, a growth rate of 13.5% on 2009 figures (156,634). Mould cure retreading continued to decline though with only 247 tyres manufactured in 2010 compared with 1820 the previous year.
Light truck retreads numbered 1044 in 2010, up from 893 the previous year, whilst passenger retreads also showed a small revival, up from 61,977 units to 66, 828.
Low rolling resistance is a must on new tyres, SmartWay retread approval seeks the same from retreads
National Tyre Services Posts U.S.$500 000 Profit
Zimbabwe's National Tyre Services Ltd has reported an operating profit of US$ 516,184 for the year ended March 31 2011. This was a 373 per cent increase from the US$ 189,455 recorded in the comparable period last year, attributed to
effective cost management initiatives that the firm implemented during the period under review.
NTS's revenue for the period grew to US$ 11.3 million from US$ 6.1 million last year, an 84 percent increase, which the
company attributed to improved stock availability backed by reasonable credit terms offered by their key suppliers.
NTS reported that volumes for its Bandag truck tyre retread operation increased by 53 per
cent over the previous year, whilst those for the vaculug off road tyres factory increased by 10 per cent over the previous year. Capacity at the Harare Bandag unit was running at 74 per cent.
4 Retreading Business
Mining Boom Pushes Tyre Prices Higher
According to an article in Bloomberg, China's demand for commodities has prompted a tripling in the price of OTR tyres, making them more expensive than a Porsche 911 Carrera S type. Prices for tyres of about 3.5
meters (11 feet) across, used on the huge dumper trucks that haul iron ore and coal, have touched $100,000 on the spot market, according to Leighton Holdings Ltd. (LEI), a contractor for mining companies including BHP Billiton
Ltd. and Anglo American Ltd. Prices rose as high as $150,000 in 2008.
That compares with contract prices of about $30,000, according to Rösler Tyre Innovators GmbH, which retreads off-the-road tyres. Demand from China, the world's biggest metals buyer, drove copper, iron ore, gold and coal to records this year, forcing companies to compete for the equipment and labour needed to mine them.
"We fear the situation will become as tight as in 2007," said Paul Rösler, managing partner of Dortmund-based Tyre Innovators, citing Michelin and Bridgestone as major suppliers. "We see tight tyre supply and
high prices become a challenge for mining companies again but we think that the large players have prepared for this and have better contracts with suppliers and have improved stock."
America's EPA Looks to Approve Method for SmartWay Retread Approval
Europe is not the only global region where finding an approved method of measuring the rolling resistance of retreads is a concern. In the USA moves have been underway to create such a method within the US Environmental Protection Agency’s (EPA) SmartWay Transport Partnership. According to speakers at the recent Clemson University Tire Industry Conference held at Hilton Head Island in South Carolina, including L Joseph Bachmann, the EPA scientist in charge of the SmartWay tyre verification programme, a solution could well be achieved during the course of this year, possibly during the summer.
The SmartWay Transport Partnership is a voluntary programme, by which truck fleets aim to improve their fuel consumption and carbon footprint
by verifying various truck parts including tyres, which have been tested for rolling resistance since 2007. According to Bachmann more than 100 tyre models from 18 tyre manufacturers have been tested and verified under the SmartWay programme.
According to Bachmann the testing process for retreads is likely to be based on using a standard casing and testing the retread process or the tread using the ISO 28580 test, which is also used by the NHTSA as a measure of fuel efficiency. How this takes into account the impact on rolling resistance of different casing types is unclear.
SmartWay verification for retreads looks like it will become increasingly important in the USA. It was revealed that California Air Resources Board (CARB) will in the future require SmartWay verification
for all truck tyres and parts. Tractors from model year 2010 or earlier will be affected from the start of 2013, whilst trailers will need to be compliant from Jan 1, 2017.
CARB says it will accept retreads
using a casing from a SmartWay approved tyre or manufactured using a retread process approved by SmartWay.