A look at the rubber industry in the 2000s

2000

• Reports of Firestone tires failing on Ford Explorers makes national news. Ford blames the tires for the accidents that result in 150 deaths. Critics argue that the auto maker recommended the low inflation of the tires on the vehicles, which they also say are prone to roll over.

• Firestone recalls 6.5 million Firestone ATX, ATX II and Wilderness AT tires, a move that costs the company millions.

• Trelleborg A.B. buys BTR's AVS unit.

• Titan Tire opens a plant in Brownsville, Texas.

• A nine-month strike ends at Rubatex Corp.'s Bedford, Va., factory.

2001

• The economy and U.S. rubber industry were in a downturn, but the Sept. 11 terrorist attacks make things worse. After that event, plants close, companies lay off workers and some companies file for Chapter 11 bankruptcy as they deal with rising costs and falling revenue.

• The Bridgestone/Firestone recall boosts production throughout the tire industry, but shipments slide in nearly every category.

• Tire industry layoffs include: Goodyear (7,200), Michelin (2,000) and Pirelli North America (650).

• Pirelli closes its only U.S. plant, but starts construction on a plant in Rome, Ga.

• Bridgestone/Firestone closes truck tire plant in Decatur, Ill., the site of production for the recalled tires. In all, 1,800 lose jobs.

• Other companies closing plants are: Federal-Mogul, LaCrosse Footwear Inc., Bayer Corp., RBX Corp., Ansell Healthcare, Eagle Elastomers Inc., Gates Rubber and Chardon Rubber Co.

• Federal-Mogul and RBX enter Chapter 11 bankruptcy court protection.

• The longest strike in rubber industry history—3 ½ years—ends Sept. 26 at Titan's Des Moines, Iowa, farm tire plant.

• Mark IV divests its Dayco Industrial Division.

2002

• The Transportation Recall Efficiency, Accountability and Documentation (TREAD) Act comes to fruition and requires auto makers to adopt tire pressure monitoring devices. It also mandates an "early warning" system for tire problems.

• Raw material cost volatility becomes a problem throughout the industry. SBR prices rise six times and carbon black prices also rise.

• An explosion and fire at Rouse Polymers International Inc. in Vicksburg, Miss., kills five and injures seven. The event leads to fines and lawsuits.

• Goodyear's stock prices fall. Samir Gibara steps down as CEO and Robert J. Keegan takes over.

• Rubber chemical and carbon black producers in the U.S. and Europe are investigated for price fixing.

2003

• At least 14 rubber chemical suppliers, four EPDM producers and three carbon black companies face lawsuits following a price-fixing investigation.

• Bayer A.G. spins off rubber and chemical businesses that later becomes Lanxess A.G.

• International Specialty Products Inc. buys flailing SBR producer Ameripol Synpol.

• PolyOne looks to sell its elastomers and performance additives business.

• Goodyear Chemical goes up for sale, and the company admits to overstating earnings, leading to lawsuits from shareholders.

• The Goodyear blimp "Spirit of America" crashes in California.

• An explosion rocks West Co.'s facility in Kinston, N.C., killing six and injuring 38. Authorities ruled the event an accident.

2004

• Investigations into price fixing continue with big-name companies such as Crompton Corp., Bayer, Degussa, DuPont Dow Elastomers L.L.C. and Polimeri Europe facing allegations.

• Oil prices soar to $55 a barrel, leading to price increases between 25 and 45 percent from suppliers of oil-based materials.

• Cooper Tire sources 1 million tires a year from China, while Cooper-Standard built an NVH plant there.

• GenCorp sells GDX Automotive business.

2005

• Industrywide, prices rise. Materials suppliers and tire makers routinely announce price increases.

• Gulf Coast hurricanes impact oil and natural gas industries, causing higher prices. Hurricane Rita takes toll on synthetic rubber industry and Katrina devastates New Orleans.

• An Indian Ocean tsunami hits natural rubber shipments.

• Bridgestone hits $10 billion in North American sales as it puts distance between itself and the Wilderness/ATX recall.

• Lion Chemical Capital buys DSM Copolymer and Excel Polymerics.

2006

• North American tire production shifts to higher-end products as Michelin, Continental Tire North America, Bridgestone/Firestone and Goodyear announce plant closings or production cutbacks on lower-margin car tires.

• Unionized workers at Goodyear strike.

• Continental looks to cut $32 million in labor costs, but the union refuses to budge, prompting the company to close a facility and cut wages at a non-union operation in Mount Vernon, Ill.

• Cooper Tire struggles to get its operations in China up and running. It ends up cutting 500 jobs at an Arkansas facility and cuts unprofitable lines. Top executive Thomas Dattilo leaves.

• Titan takes over Conti's Bryan, Ohio, OTR tire plant.

• Managers at Avon Automotive Inc. buy the company.

• Lion Chemical buys Chemtura's EPDM business.

• Natural rubber prices hit 20-year high.

• DuPont Performance Elastomers closes Louisville, Ky., plant.

2007

• U.S. rubber companies face competition from China, which bought up most of the world's raw materials, causing shortages and price hikes.

• A private equity firm buys Goodyear Engineered Products, which later is renamed Veyance Technologies.

• Goodyear's union workers return to facilities after 86-day strike.

• Employees at marine hose businesses are arrested for a price-fixing scandal spanning three continents.

2008

• The Great Recession takes hold.

• Economic downturn coupled with rising oil and gas prices have Americans curbing driving and sales of new cars plummet.

• Tire shipments fall by 6 percent. Cooper Tire and Bridgestone ponder the permanent closure of some plants.

• Late in the year, oil prices fall dramatically, leaving the rubber chemical suppliers awash in feedstock but lacking demand from rubber processors.

• Hurricanes Gustav and Ike hit the synthetic rubber industry in Louisiana and Texas, leading to a force majeure.

• REACH regulations begin in the European Union. Chemicals that don't meet the regulations are banned from export to the EU.

• OTR tire imports from China are hit with heavy duties following a complaint filed by Titan International and the USW.

2009

• Eaton (5,200) and Goodyear (5,000) are among the largest companies to institute layoffs.

• Plant closures include Carlisle Tire & Wheel Inc.'s Carlisle, Pa., facility and Michelin's BFGoodrich tire operations in Opelika, Ala.

• Cabot Corp. closes four plants.

• Chardon Rubber Co. files for bankruptcy. Its custom mixing operation emerges as a new entity.

• Molded Dimensions Inc., Specialty Silicone Fabricators Inc., Lauren International Inc., Air Boss of America Corp. and Sil-Pro Inc. launch expansion projects.

• The Lilly Ledbetter Fair Pair Act is signed into law.