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Changed vote makes difference in ITC decision
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WASHINGTON—The shift of one vote caused the International Trade Commission to make a final determination that the U.S. truck and bus tire manufacturing industry is not being materially...
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WASHINGTON—The shift of one vote caused the International Trade Commission to make a final determination that the U.S. truck and bus tire manufacturing industry is not being materially injured because of imports from China. WASHINGTON—The shift of one vote caused the International Trade Commission to make a final determination that the U.S. truck and bus tire manufacturing industry is not being materially injured because of imports from China. $WASHINGTON—The shift of one vote caused the International Trade Commission to make a final determination that the U.S. truck and bus tire manufacturing industry is not being materially injured because of imports from China.
Goodyear, Cooper Tire employees honored with STEP Ahead awards
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AKRON—The Manufacturing Institute will honor five women who work for Goodyear and Cooper Tire & Rubber Co. at its upcoming Women in Manufacturing STEP (Science, Technology, Engineering...
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AKRON—The Manufacturing Institute will honor five women who work for Goodyear and Cooper at its upcoming Women in Manufacturing STEP (Science, Technology, Engineering and Production) Ahead Awards. AKRON—The Manufacturing Institute will honor five women who work for Goodyear and Cooper at its upcoming Women in Manufacturing STEP (Science, Technology, Engineering and Production) Ahead Awards. $AKRON—The Manufacturing Institute will honor five women who work for Goodyear and Cooper at its upcoming Women in Manufacturing STEP (Science, Technology, Engineering and Production) Ahead Awards.
James Walker to unveil new elastomer family
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CHESHIRE, England—A sealing products manufacturer from the United Kingdom is ready to release a new family of elastomers it will use in its goods to meet the ever-increasing demands of the...
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CHESHIRE, England—A sealing products manufacturer from the United Kingdom is ready to release a new family of elastomers it will use in its goods to meet the ever-increasing demands of the oil and gas industry. CHESHIRE, England—A sealing products manufacturer from the United Kingdom is ready to release a new family of elastomers it will use in its goods to meet the ever-increasing demands of the oil and gas industry. $CHESHIRE, England—A sealing products manufacturer from the United Kingdom is ready to release a new family of elastomers it will use in its goods to meet the ever-increasing demands of the oil and gas industry.
Oil and gas market looking up, but profits hard to come by
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WASHINGTON—This year will be better than 2016 for the oil and gas industry and the rubber and polymer product manufacturers that supply them, according to industry officials and experts....
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WASHINGTON—This year will be better than 2016 for the oil and gas industry and the rubber and polymer product manufacturers that supply them, according to industry officials and experts. WASHINGTON—This year will be better than 2016 for the oil and gas industry and the rubber and polymer product manufacturers that supply them, according to industry officials and experts. $WASHINGTON—This year will be better than 2016 for the oil and gas industry and the rubber and polymer product manufacturers that supply them, according to industry officials and experts.
China slides to No. 2 tire trading partner
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AKRON—Canada replaced China last year as the No. 1 trading partner of the U.S. in tires. The value of China's imports to the U.S.—impacted primarily by the cut in consumer tire...
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AKRON—Canada replaced China last year as the No. 1 trading partner of the U.S. in tires. AKRON—Canada replaced China last year as the No. 1 trading partner of the U.S. in tires. $AKRON—Canada replaced China last year as the No. 1 trading partner of the U.S. in tires.
ITC antidumping decision brings mixed reactions
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As with any decision regarding imported tires and tariffs and duties, there are winners and losers.That certainly is the case following the surprising Feb. 22 decision by the U.S. International...
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As with any decision regarding imported tires and tariffs and duties, there are winners and losers. As with any decision regarding imported tires and tariffs and duties, there are winners and losers. $As with any decision regarding imported tires and tariffs and duties, there are winners and losers.
Henkel, Benteler making composite leaf springs for Volvo
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DUESSELDORF, Germany—Laundry and personal care products-to-reactive polyurethane systems company, Henkel A.G. and automotive composites firm Benteler S.G.L. are supplying polyurethane...
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DUESSELDORF, Germany—Henkel and Benteler are supplying polyurethane composite leaf springs to the Volvo S90 and V90 following their introduction on the XC90 crossover SUV. DUESSELDORF, Germany—Henkel and Benteler are supplying polyurethane composite leaf springs to the Volvo S90 and V90 following their introduction on the XC90 crossover SUV. $DUESSELDORF, Germany—Henkel and Benteler are supplying polyurethane composite leaf springs to the Volvo S90 and V90 following their introduction on the XC90 crossover SUV.
Lubrizol invests to grow medical unit
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ANAHEIM, Calif.—Lubrizol Corp.'s LifeSciences unit has added thermoplastic polyurethane compounding abilities through a partnership with a medical compounder. Compounding Solutions, which...
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ANAHEIM, Calif.—Lubrizol's LifeSciences unit has added thermoplastic polyurethane compounding abilities through a partnership with a medical compounder. ANAHEIM, Calif.—Lubrizol's LifeSciences unit has added thermoplastic polyurethane compounding abilities through a partnership with a medical compounder. $ANAHEIM, Calif.—Lubrizol's LifeSciences unit has added thermoplastic polyurethane compounding abilities through a partnership with a medical compounder.
Doublestar inks Kumho deal, but Park counter-offer looms
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SEOUL, South Korea—China's Qingdao Doublestar Co. said it has signed an agreement with Kumho Tire creditors to buy a 42 percent stake in the South Korean tire maker in a deal that could...
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SEOUL, South Korea—Doublestar said it has signed an agreement with Kumho Tire creditors to buy a 42 percent stake in the South Korean tire maker in a deal that could enable Doublestar to further expand in China. SEOUL, South Korea—Doublestar said it has signed an agreement with Kumho Tire creditors to buy a 42 percent stake in the South Korean tire maker in a deal that could enable Doublestar to further expand in China. $SEOUL, South Korea—Doublestar said it has signed an agreement with Kumho Tire creditors to buy a 42 percent stake in the South Korean tire maker in a deal that could enable Doublestar to further expand in China.
Raumedic ready to chase new U.S. business
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ANAHEIM, Calif.—Raumedic A.G. is poised to make further inroads into the North American market now that it has a manufacturing presence in the region. Its first plant in the U.S., located...
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ANAHEIM, Calif.—Raumedic is poised to make further inroads into the North American market now that it has a manufacturing presence in the region. ANAHEIM, Calif.—Raumedic is poised to make further inroads into the North American market now that it has a manufacturing presence in the region. $ ANAHEIM, Calif.—Raumedic is poised to make further inroads into the North American market now that it has a manufacturing presence in the region.
Digital Edition
Digital Edition
Published on September 3, 2007

Hot 1st half gives tire makers optimism for '07

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Date Published September 3, 2007
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Following a strong first half, the world's largest tire manufacturers expect to post improved financial results for all of fiscal 2007.

The caveats, however, are possible higher raw materials costs and the lackluster state of the North American markets.

Bridgestone Corp., Michelin and Continental A.G. are among the most bullish, each predicting substantial earnings improvements for the year.

After reporting double-digit sales and earnings growth in the first half, Bridgestone raised its full-year net and operating profit forecasts-for a second time this year-to $1.54 billion and $1.74 billion, 28.1- and 12.7-percent increases over 2006, respectively.

Bridgestone attributed its positive forecast to a weaker yen and improved sales in the first half.

For the year, Michelin is banking on strong demand for truck tires in Europe, Asia and South America to boost earnings and help offset $80 million in additional costs related to higher raw materials prices this year, the company said in its first-half earnings results.

Conti management likewise is optimistic, based on the firm's double-digit growth in first-half sales and profits.

Goodyear continues to work on improving its balance sheet in the later stages of its multiyear turnaround plans. The tire maker was $118 million in the red for the half versus profits of $76 million last year, but the company's net income in the second quarter jumped to $56 million from $2 million.

Management is optimistic despite a less-than-satisfactory performance in the first half. Sales fell 6.2 percent as tire unit volume slipped 14.5 percent in North America, its largest operating unit.

Goodyear still faces some aftereffects from last year's strike by the United Steelworkers as well as its decision to exit certain segments of the private label tire business.

Cooper Tire & Rubber Co., which returned to profitability in the first quarter after eight quarters in the red, surged to a net profit of $38.4 million in the half.

Executives attributed the improvement to cost reduction and profit boosting plans announced in September 2006 as well as improved price and mix in North America and increased tire unit sales elsewhere.

Hankook officials said the South Korean tire maker remains on track to meet its goals this year as sales rose 13 percent in the half to $1.85 billion.

In addition, both Yokohama Rubber Co. Ltd. and Toyo Tire & Rubber Co. Ltd.-which have March 31 fiscal year-ends-revised upward their earnings projections for the year after reporting improved first-quarter results.

For the first six months ended June 30, Bridgestone, Continental, Cooper, Hankook, Michelin and Pirelli & C. S.p.A. achieved improvements in operating earnings, and Bridgestone, Conti, Cooper, Michelin and Sumitomo Rubber Industries Ltd. posted net earnings gains as well.

Only Goodyear posted declines in both, although its results don't include its Engineered Products division, which was sold for $1.48 billion Aug. 1.

Rod Lache, an analyst with Deutsche Bank, expects margin improvement in 2008 at Goodyear. Based on numbers provided by management, Lache wrote in a note to investors that the tire maker's margins could improve by 8 percent or better compared with his 5.7-percent estimate for 2007.

Four tire makers-Bridgestone, Conti, Cooper and Hankook-reported double-digit sales increases for the half, with Cooper posting the largest gain of 17.9 percent to $1.44 billion.

Bridgestone reported a 21.3-percent jump in operating profit to $827.3 million as sales grew 13.4 percent to $13.1 billion. Net earnings surged 61.3 percent to $429 million.

Cooper swung to a net profit of $38.3 million in the half from a loss of $25.9 million a year ago.

Conti's tire segments also saw improvements as sales were up 4.5 percent to $4.17 billion and operating earnings grew 62 percent to $559.1 million.

Michelin reported a 4.7-percent increase in sales to $11.3 billion and a 57.6-percent improvement in net earnings to $587.9 million.

For the full year, Michelin foresees industry shipments of passenger original equipment and truck OE and replacement tires in North America to

fall short of 2006 shipment levels, while shipments of replacement passenger and light truck tires should grow 2 percent.

Sumitomo suffered a 6.2-percent drop in operating income to $140.9 million as sales slipped 0.3 percent to $2.06 billion.

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