sa treads march 2015

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SA Treads is a leading print magazine for the tyre trade in South Africa. We also publish an international online magazine for daily tyre news and updates www.satreads.com

TRANSCRIPT

  • Vol 2

    1 M

    arch

    201

    5

    a set of the newly launched Z tyre to the value of R5 000 courtesy of Tyrecor

    Taking the sting out of tyre prices

    Stamford Tyres SA heralds in new era

    Bandag SA celebrates 10 years of trading

    Apollo plant ceases production

    GT Radial tyres now available in SA

    Fo

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    ad S

    .A

    EMERGENCY TYRE ASSISTANCE DOWN TO AN ART

    Tel: +27 11 439 6000, Fax: +27 86 682 7027, e-mail: info@bandag.co.za or visit www.bandag.co.za

    Breakdowns can leave you dead in the water, but you neednt be left to the sharks. With Bandags Emergency Tyre Assistance (ETA) programme you can be covered throughout South Africa 24/7, 365 days of the year. ETA has one easy to remember toll free number, efficient service, consistent on-road pricing and comprehensive reports. Thats what we do.

    10715 - ETA ad - Tread S.A.indd 1 2011/11/08 1:45 PM

  • Editor Liana Shaw

    Technical consultant Wray Shaw

    Reproduction Diane van Noort

    Printing TYPO Colour Printing Specialists

    Distribution Prestige Bulk Mailers

    Advertising Liana Shaw

    Contents A note fromthe editor

    This year, SA TREADS magazine comes

    of age, celebrating 21 years of service to

    the industry. We, would like to thank our

    loyal customers and the industry at large

    for the overwhelming support that the

    publication continues to receive. In turn,

    we pledge to keep on providing you with

    the latest and freshest stories making the

    rounds, locally and abroad.

    Bearing in mind that 76.1% of our demographic is comprised of the end user,

    and given spiralling costs which are bound to impact tyre purchase in the months

    to come, we are kicking the year off with a close look at factors determining tyre

    production costs, most notably, tyre design and technology which is developing

    at an accelerated pace.

    So whats in a tyre? Suffice to say, far more than one might think. Tyre technology

    has progressed at a staggering rate over the years. What is more, it continues

    to evolve, not only in a bid to keep up with new OE requirements and vehicle

    designs, but more importantly perhaps, in the quest to provide the motorist with

    the ultimate driving experience whilst also optimising safety levels.

    The latest product releases to hit the market boast some of the finest technologies

    available, the result of extensive R&D on the part of the part of tyre makers

    globally. On page 9 we highlight some of the worlds most notable technologies

    and how they impact on driving ability, road handling, and road safety, in the

    hopes that shedding some light on the superior qualities of tyres on the market

    today, might soften the blow of tyre replacement.

    Following on the recent sale of Apollo (Dunlop) in Ladysmith, to Sumitomo

    Rubber Industries, and our exclusive interview with Riaz Haffejee who will be

    spearheading the South African based operation into the future, in this issue,

    we take a closer look at another market player closely affiliated to the SRI brand,

    Stamford Tyres. Conson Sia, Managing Director of Stamford Tyres SA spells out

    the companys vision, particularly where it involves the Falken brand which is

    poised for further growth.

    The newly launched Z tyre brought to you by the Zenesis Group and Tyrecor

    is also about to make its entrance on the domestic market. On the back of an

    impressive performance at a recent tyre test in Europe, one lucky reader stands

    the chance to experience the new Z tyre for themselves by entering our quarterly

    competition on page 36.

    All this plus much more in this edition.enjoy!

    I n t r o d u c t i o n 1

    Publishers Sky Publications cc PO Box 702

    Douglasdale, 2165

    Tel: (011) 658 0011

    Fax: (011) 658 0010

    Cell: 082 851 6777

    E-mail: satreads@mweb.co.za

    Website: www.satreads.co.za

    one-on-one Stamford tyres Conson Sia on Falken, marketing goals and working within the china wall ........................................................2

    Focus on Technology Taking the sting out of tyre prices CELEBRATING 125 YEARS OF TYRE INNOVATION ...........................9

    Retreading LOCAL IS LEKKER! Celebrating 10 years of success in SA .............. 20

    Manufacturing Z Tyre launched in luxury Durban based Apollo plant ceases production ................................. 21

    Distribution Treads Unlimited adds leading tyre brand to product line-up ........... 24 Queenstown welcomes a new automotive fitment centre Tyres & More ............................... 25 Obituary Mike Nel, founder of Tandem Tyres ................................ 26

    Talking Tyres Tyre Forum The future is still black! ............................................... 27

    Goodyear news Goodyear concepts could change the way tyres, cars interact ........ 30

    World news China Top Brand Tire Exhibition to open on May 15th in Guangrao Shandong ............................................... 33 Bridgestone wins design lawsuit against two Chinese companies .... 33 Europe develops important new development in rubber research .. 33 Continental opens tech centre in India ............................................. 34 Japanese tyre market to cross US$ 26 billion in 2015 ...................... 34 A night of Techno Accolades ........................................................... 35 Tire Technology Expo 2015 opens with even more exhibitors ......... 35

    competition, subscription, Website ................................... 36

    Cover Picture: courtesy of Continental

  • 2 O n e - o n - O n e

    sTAMFoRD TYREs HERALDInG In A nEW ERA

    conson sIA on FALKEn, MARKETInG GoALs AnD WoRKInG WITHIn THE cHInA WALL

    With the local market still buzzing from the recent sale of the

    Dunlop brand, (formerly owned by Apollo Tyres), to Japanese

    manufacturing giant Sumitomo Rubber Industries (SRI), we

    now examine the effects of this transaction to other market

    segments, in particular, affiliate brands and their subsequent

    marketing and distribution. Currently ranked the sixth largest

    tyre manufacturer globally, SRI has set ambitious goals in

    place in what it terms its Vision 2020, strategies that are

    likely to have far reaching effects in the marketplace for both

    its customers and business partners alike.

    One such business partner is the Falken high

    performance passenger tyre brand, marketed in

    more than 20 countries by the Singapore-based

    Stamford Tyres Corporation Limited which is listed

    on the Singapore Stock Exchange. In turn, wholly-

    owned subsidiary, Stamford Tyres (Africa) (Pty) Ltd

    established in 1993 was awarded the agency for

    the Falken brand in February 2009. The brand was

    officially relaunched into South Africa later that same

    year, in October 2009.

    And in September 2010, Sumitomo Rubber Industries

    acquired a 1.8% stake in Stamford Tyres Corporation,

    a move that will ultimately see the brand catapulting its

    sales in South Africa on the back of this relationship.

    Stamford has further pledged $1.4 million in net

    proceeds which are expected to rev up Stamfords

    expansion plans in the lucrative South African market.

  • POWER UP! Buy 4 of the below Falken passenger or

    4x4 tyres (15 or larger) and receive a

    Falken Powerbank Multi-charger,

    absolutely free!

    Terms and conditions apply. The campaign commences on the 1st March 2015 and ends on the 30th April 2015.The gifts will be available while stocks last. The gifts are not redeemable for cash.This promotion only applies to purchases of Falken ZE912, FK453, FK453CC, Wildpeak A/T or Wildpeak H/T tyres.

    Buy 4 of the below Falken passenger or

    4-in-1 power cable2600 mAh capacity

    Charges most smart and cellphonesThe device can be charged from your PC or vehicle

    SUMITOMO RUBBER INDUSTRIES, JAPAN

    www.stamfordtyres.co.za

  • 4 O n e - o n - O n e

    With this in mind, we caught up with Stamford Tyres

    Managing Director, Conson Sia, who provided

    further insight into this important market dynamic

    and its consequences.

    Exciting times indeed for the Falken brand Conson.

    How far across Africa does your marketing and

    distribution agreement with Sumitomo extend?

    We have marketing and distribution rights for the Falken brand in South Africa

    and neighbouring countries, as well as in six sub-Sahara countries including

    Mauritius.

    So I take it the balance of the African continent is supplied and serviced by

    Sumitomo directly?

    Yes, that is correct. Bear in mind that our two respective companies are

    members of what we refer to as the China Wall, which essentially means

    that we share a manufacturing base but operate independently insofar as the

    marketing and distribution of our respective brands is concerned. This is to

    ensure that the methodologies and philosophies of each company remain

    distinct.

    Stamford Tyres is solely a marketing and distribution entity and therefore

    operates independently in terms of channels of distribution, product

    positioning and pricing.

    Certain tyre sizes sell more competitively than others and this is where the

    China Wall can be of great benefit in that it promotes entrepreneurship and