Polymers and Tyre Asia Feb- Mar 2013

COLOGNE sEt fOr tIrE tECH EXPO

Tony RobinsonChief Executive Officer,UKIP Media & Events

tyrEsaNd PaHs

Dr Roger Westerholm, Director of Studies, Stockholm University

VMI: INNOVatION drIVEs GrOwtH

HJ Voortman, President & CEO, VMI, Holland

aLsO IN tHIs

IssuE

HOLIstIC aPPrOaCH

Dr Mukul Verma, Lawrence Technological University, Michigan

ASIA’S TECH CALLPO

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Vol no 4 issue no 1 FEBRUARY/MARCH 2013 US$20 150

BIG BOYS,BIG BIKESBIG BOYS,

ASIAN TYRE &RUBBERCONFERENCE

2013 June 21,22

TECHNOLOGY ADVANCEMENT AND INNOVATIONS

R O A D T O G R E E N P L A N E T

Antony Powath - +91 9833901586; e-mail: [email protected] Details: Website: www.atrc.in

Corporate sponsor:

Co-sponsors:Organised by

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Asian Tyre & Rubber Conference (ATRC), Asia's biggest tyre and rubber conference, returns with high-end valueadditions. Focusing on sustainability-based technology advancement and innovations, ATRC 2013 offers a premierplatform for knowledge-sharing and networking where a line-up of global experts from the tyre and rubber industrywill be addressing issues that define its future. An opportunity to gain and assimilate valuable technical information.Network,exchange ideas and establish new business ventures

· Harm J Voortman / Michael Norman Sir Tom Farmer Surinder KandhariMartin Schuermann Colin Clarke Jacob Peled Harvey Brodsky

Fazilet Cinaralp Michael Stops Samuel LiewDato' Dr. Kamarul Baharain David Stevens Narendra Kajale Robert G. Sherkin

Oguz Karcier Tyra Lester Dr. James Jacob Will MarsBotond Szalma AK Krishnakumar

Rajiv Budhraja

,VMI Group, Netherlands · , Kwik Fit, UK · , Al Dabowi Group, Dubai· , Klockner Desma, Germany · , Schill and Seilacher, Germany · , Pelmar, Israel · ,

RTA, USA · , ETRMA, Brussels · , A-Z Formen und Maschinenbau, Germany · , HIS Chemical,Singapore· , ANRPC, Malaysia · ,TRIB, USA · , Du Pont · , Dynamic Tire Corp,

Canada · , Oerliken Saurer, Germany · , Columbian Carbon, USA · , RRII, Kottayam, India · ,Endurica LLC, USA · ,Teijin Aramid B.V., Netherlands · , IL&FS, India

· , ATMA, Delhi, India

Proposed Speakers

A DHANAM GROUP VENTURE

2 POLYMERS & TYRE ASIA February/March 2013

I n S I d E9 Editorial Let ideas flourish

10 Mail Box

12 News scan-Asia

14 News scan-World

16-17 SpotlightAnant Goenka, Managing Director, CEAT Ltd, unanimously elected Chairman of Automotive Tyre Manufacturers’ Association (ATMA); Kumho Tire USA, has named Hai Eok “Harry” Choi as President; Falken Tire Corp. has promoted Peter Buck to the post of CFO, Valentino Rossi will remain Bridgestone Europe’s motorcycle tyre development adviser, Yokohama Tire Corporation has promoted Takayuki Hamaya as Chief Operating Officer, Tad Bauer appointed President of Bauer Built

20 Straight talkBigger future aheadNiraj Thakkar, President, AIRIA, believes that a concerted effort by all related agencies can further boost the prospects of rubber industry in India

22-27 PerspectiveRetreads: Green-wise, price-wise Retreads produced in top quality plants have higher green factor significance and affordability, says Harvey Brodsky, Managing Director, Retread Tyre AssociationGrowing Asian muscleChina and India are set for rapid growth in auto demand over the next decade that would naturally give a boost to the tyre industry, Rajiv Biswas, Asia-Pacific Chief Economist of IHS Global Insight, points out

30-35 FocusLife-saving warningGovernment regulators, like the US National Highway Traffic Safety Administration, have been prompted to pass legislation mandating tyre pressure monitoring systems (TPMS), Louis P Rumao focuses on the US sceneLeading the fight backA number of tyre companies in Europe are taking on the current slow-down situation as an opportunity to strengthen the fundamentals, highlights John Stone

38-43 GreenGreen to blueThe Blue Technology by Qingdao-based Tire Technology Alliance (TTA) is an effort to go beyond ‘green’ in order to maximise the positive impact on environment Tyres and PAHsGroundbreaking recent research by Dr Roger Westerholm, Director of Studies in the Department of Analytical Chemistry of Stockholm University, and his team, notes that there are still several knowledge gap about tyres and PAHs

46-51 RubberSIBUR’s SBR powerGlobal giants like SIBUR are now stepping in to support the tyre industry by providing quality Styrene-butadiene Rubbers and Butadiene Rubbers NR market in for imminent gloomNR price, which has skyrocketed to as much as to USD5 in the recent past, is in for a steep fall according to experts, mainly on account of the lingering economic slowdown with its negative impact on NR demand, particularly from the auto sector, analyses Saj Mathews

54-65 Cover storyATRC 2013With the fundamentally strong Asian economies, particularly that of India and China, taking on another economic slow-down, tyre and rubber sectors

Rajiv BiswasNiraj Thakkar

February/March 2013 Vol 4 Issue No 1

are once again facing testing times. Sharing of new ideas and experience and power networking become highly significant. This has increased the relevance of Asian Tyre and Rubber Conference 2013 (ATRC), Asia’s biggest tyre industry conference with global participation, which will be held on June 21-22, in Chennai, India

68-73 TechnologyHolistic approachTechnologies should be introduced along with or ahead of mandates on tyre rolling resistance that is intended to achieve lower fuel consumption and to cut emissions, says Dr Mukul Verma of Michigan’s Lawrence Technological University Challenge of sustainable mobilitySustainable mobility demands revolutionary changes in every area of technology, which should aim at further reducing the ecological damage due to auto emissions, stresses PK Mohamed, Apollo Tyres’ Chief R&D Advisor

76-77 Race trackBig boys on big bikesThe 1000cc beasts on their Bridgestone tyres are rearing to roar as countdown races towards February 5 in Sepang, Malaysia, where the first of the eight pre-race trials for the Moto GP 2013 season will be held. The actual races will begin in Qatar on April 7

80 Company watch

82 Product watch

84 Auto Watch

86 Calendar

89 Remembrance - Christie Robert Fernandez

90-97 Events

98-103 Limelight

106 Techview

107 Tyrecare

108 Rearview Transparency in commodity futures market

109 Treadmarks Energising Indian industry, the China way

110 Reflections Fake encounter

111 Random thoughts The heart-attack destination

112-113 My Vision: VMI Innovation drives growth

115 Ad Index

Dr Hongwei Li

Matthew Beecham P K Mohamed

Jorge Lorenzo

POLYMERS & TYRE ASIA February/March 2013 9

EditorKurian AbrahamExecutive DirectorJohn S. PowathAssociate EditorKS NayarExecutive EditorP Raghava VarmaAssistant EditorsProf T N KalamaniA Saj MathewsP VenugopalVice Presidents (Marketing)Antony PowathVijay Kurian AbrahamAsst. Marketing ManagerAnil Panicker

Editorial OfficeDhanam House 29/609, Cheruparampath Road, Kadavanthra, Cochin - 682 020, IndiaPhone : 91-484-2315840, 2316494, 3297806Fax : 91-484-2317872 E-mail:[email protected], [email protected]

Mumbai501/502, Imperial Plaza, Corner of 27th & 30th Road, Near Nilgiri Garden, Bandra (W), Mumbai - 400 050Phone : 91-22-2640 0829, 2640 0735Fax : 91-22-2641 1894E-mail: [email protected], [email protected]

New DelhiN. Kunju, 42-B, Pocket-I, Mayur ViharNew Delhi-110 091, Phone: 91-11-22755357E-mail: [email protected]

US CorrespondentDr Louis P Rumao621 Lockmoore Court, Rochester Hills, Michigan 48307-4229, Tel: +1 248 852 6634Email: [email protected]

European RepresentativeJohn Stone73 Chaney Road, Wivenhoe Essex, CO79RR, EnglandSapphire Media, Tel: +44 (0) 1206 822320, M: + 44 (0) 7769 675232, Email: [email protected]

AustraliaJacob Cherian, Ausker Pacific Pty. Ltd.Suite 1, 1401 Burke Road, East Kew Vic 3102Melbourne Australia, Phone: 61 3 9859 8922 E-mail: [email protected]

South East AsiaEsther Goh5A-00-08 D’Kiara Apartment, JalanWawasan 4/12, Pusat Bandar Puchong, 47100 Puchong, Selangor Darul Ehsan, Malaysia,Mobile : 6019-272 0997 E-mail: [email protected]

ThailandMs. Somruetai Patana-anek (Mott). Managing Director, Busgum Co. Ltd., 1093/115, 21st Floor, Central City Tower, Bangna-Trad Road (K.M.3), Bangna, Bangkok 10260, ThailandPhone: +66-2-3993946, 399-4374, 399-3896Mobile 66-1-8429105,Email: [email protected]

Sri LankaYugantha PiyadasaNo 11, Wanatha Road, PamunuwaMaharagama, Sri Lanka,Phone: +94112897265Mobile: +94 77 3175890E-mail: [email protected]

Subscription rates6 issues : Rs. 800, 12 issues : Rs. 1,600,24 issues : Rs. 3,000, S. copy : Rs. 150 / US $20Overseas: 12 issues : $200, 24 issues : $400Printed by Five Star Offset Printers, Kochi 682016for Raskin Arts, 3 Papa Industrial Estate, 1st Floor, 40, Suren Road, Near Cinemagic Cinema, Opp. Residency Hotel, Andheri (E), Mumbai 400 093,Edited by Kurian Abraham and Printed and Published by Antony Powath, 19 Vaikunth Apartment,Mount Mary Road, Bandra (West) Mumbai 400 050

EDITOR’S LETTERVol 4 Issue No 1

February/March 2013

Kurian Abraham

These are not good times for tyre industry. The global economy is passing through another phase of slowing down and, naturally the automobile and tyre sectors have been impacted badly. In Europe the blow has been more severe

than elsewhere. There was a double-digit dip in tyre business across Europe in 2012, according to a report by European Tyre & Rubber Manufacturers’ Association (ETRMA). The latest report from them says all tyre segments fell during last year, with the biggest fall affecting replacement truck tyres (-19%), followed by consumer replacement tyres (-13%).

However, the positive sign is that neither tyre manufacturers nor associations like ETRMA consider this as an end game for the industry. ETRMA Secretary General Fazilet Cinaralp put it rightly when she said this is the time for promoting “investments in innovation, skills and training, better regulation, and sanctioning unfair market players through more effective market surveillance.”

The Asian markets are once again showing resilience to the volatile market situation, at least in degrees. The slowdown is certainly pinching on the profit margins of tyre makers, but to a lesser degree than elsewhere. Asia continues to be the source of good news the industry wants to listen to.

This is where Asian Tyre & Rubber Conference (ATRC) achieves its credibility and relevance. The very concept of such an industry gathering at the highest level was born out of the reality that Asia is the right place from where ideas for innovation, both commercial and technological, can energise the industry across the world. If it is Asia, it has to be India, one of the biggest automobile and tyre markets, next only to mighty China.

ATRC was conceived as a global gathering of industry leaders, experts, and technologists, scientists on a platform where knowledge and experience could be shared and ideas generated to help boost the industry. We wanted this to be the best ever networking opportunity for the industry experts. We also wanted it to mean business in an atmosphere of relaxation when interactions become most effective.

The debut conference –ATRC 2011 – proved to be a tremendous success, both in organisation and execution. The selection of subjects and the line-up of speakers were of the highest order. The response from major industry players as sponsors and supporters were also excellent.

This encouraged us to go many steps higher and make the second edition of the conference – ATRC 2013, which is to be held on June 21-22 – more interesting and value-added. The theme of the conference clearly shows how we wanted it to be relevant to the times – Technology Advancement and Innovations, Road to Green Planet. Sustainability and environmental concerns are no more options. They will remain integral parts of the industry for ever.

With another top level line-up of speakers to address various issues related to sustainable technology, ATRC 2013 will certainly mark the next step in our efforts to support tyre and rubber industry. We are also happy that corporate support to our venture as sponsors has again been very encouraging.

We are proud of what we could achieve in our first attempt two years ago. This has inspired and enabled us, despite the challenging times, to go for bigger and better programmes and speakers for the benefit of all stakeholders in the industry.

Let knowledge be shared and ideas flourish.

LET IDEAS FLOURISH


Telling lines

The cartoon with the bribery article was spot

on (Random Thoughts, December/ January).

Congratulations to the artist. In one

sweeping line he has sketched what India is all about

at present. Corruption and a lame political system are mocking what everyone calls the largest democracy in the world. Those who are supposedly representing the people of India are looking elsewhere when the rot spreads all around. Like what the artist has so wonderfully shown, parliamentary democracy is now in the vicious grip of corruption and indifference to it.

One may be able to point out the cases of some other countries that are worse than India. But they don’t proclaim themselves to be the cradle of all virtues. The current state of democracy in the country has poisoned the very definition of it. The rot is all pervading. No one can stand up and say this is where we begin to stop the rot.

The saddest part is that everyone has taken everything for granted. Bribery is a must. But then, even that would have been acceptable to some extend

if something works after the palm is greased. There is no guarantee that the money paid will take care of the need.

ChandrapalBangalore

Money, not brand, matters

The new tyre labeling law in Europe that came

into effect on November 1 has put marketing planners in a tight spot (Adopt new Marketing tools, December/January). When all tyres are mandated to carry the label on specific aspects like rolling resistance, noise level, breaking distance etc, all tyres will look similar. It will be tougher to create a brand image that can work above this level playing field. In fact those tyres that are less expensive are going to gain because of its affordability. For major brands like Bridgestone, Michelin or Continental, there is the challenge of beating the price tag.

J EdwardCleveland

LETTERS

GREEn IS GOOD, bUT nOT FOR THE wALLET

Future demands compliance to

new environmental regulations in the tyre industry. This is not an option any more. Therefore, the research and development focus on green tyres is only a natural step

in the evolution of technology (Green Traction, December/January). All said and done, tyre is a major contributor to environment pollution. When one talks about green gas emissions and ozone layer depletion, it is always taken for granted that fuel is the villain. Not many people know that tyres play a big role in higher fuel consumption.

Considerable damage is being done by tyres which contribute to 20-30 per cent of fuel consumption and over 24 per cent of CO2 emissions. It also adds

to the weight of the vehicle. Pollution caused by tyre particles and compounds are in addition to this. No wonder tyre manufacturers are now focusing their attention to develop environment friendly tyres that have less rolling resistance, weight and less harmful compounds in it.However, while environment concerns could be met to some extend through these efforts, I wonder whether this will in any way benefit the user. New technological innovations will only make tyres more costly. Already tyres are expensive. It will only get worse. There are environment friendly hybrid cars. All “green,” no doubt, but unaffordably expensive for an ordinary person. Only the super rich and Hollywood stars use them and they have become a symbol of prestige. If it cannot be afforded, then what is the big deal about sustainability?

Sam FernandezColombo

CHINA’S RETREADING DRIVE

Li Shu Ren China Tyre Retreading, Repairing & Recycling Association (CTRA)

COMMUNICATIONIS KEY TO SUCCESS

Richard EdyDirector, National Tyre Distributors Association, UK

NEED NATIONAL TYRE POLICY

T Chakravarty Ex Sec. General, Indian Tyre Technical Advisory Committee

ALSO IN THIS

ISSUE

DISPOSINGWASTE TYRES

Jane WhitelawSr Advisor, Environment Agency (EA), UK

CHINA’SCOMMUNICATION NEEDDISPOSING

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Vol No 3 Issue No 6 DECEMBER 2012/JANUARY 2013 US$20 150

RACE TO FINISH

ASIAN TYRE & RUBBER CONFERENCE

2013

Hyatt Hotel Chennai,India

June 21,22


R O A D T O G R E E N P L A N E TAsia’s premier tyre and rubber conference returns with high-end value additions. If you are involved in tyre design, manufacturing, testing, evaluation, retreading, recycling, branding and marketing, you can't afford to miss Asian Tyre And Rubber Conference (ATRC) 2013

it presents a forum for knowledge-sharing. Come and get yourself rewarded with the power of knowledge and networking.

. Focusing on sustainability-based technology advancement and innovations in all segments of tyre industry,

Contact Details: Antony Powath - +91 9833901586; e-mail: [email protected] Website: www.atrc.in

TH

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June 21,22,2013

BLOCK DATE

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waste tyre burden

Disposal of waste tyres is a huge

problem (Disposing Waste Tyres, December/January). We all need tyres, but once they are past their use, suddenly they become a burden. It is good to know that the UK government follows a safe and healthy programme in disposing such wastes. Jane Whitelaw says there is a system to collect waste tyres and that action will be taken against those who illegally dump them. What I can’t understand is how the government can keep track of all the tyres in the country. I can always take my waste tyres, drive out into the country side and dump them in some ditch and leave the place. How can anyone track that to me? This is a big challenge to the government agency.

This needs people’s participation. They must know that careless disposal of waste tyres is not only unhygienic but also unhealthy. Tyre dumps can cause the spread of diseases that can affect the whole community. Study must be done to see whether waste tyres can be turned into useful products.

Sara ThomasSingapore

LETTERS

waste tyre burden

Disposal of waste tyres is a huge

problem (Disposing Waste Tyres, December/January). We all need tyres, but once they are past their use, suddenly they become a burden. It is good to know that the UK government follows a safe and healthy programme in disposing such wastes. Jane Whitelaw says there is a system to collect waste tyres and that action will be taken against those who illegally dump them. What I can’t understand is how the government can keep track of all the tyres in the country. I can always take my waste tyres, drive out into the country side and dump them in some ditch and leave the place. How can anyone track that to me? This is a big challenge to the government agency.

This needs people’s participation. They must know that careless disposal of waste tyres is not only unhygienic but also unhealthy. Tyre dumps can cause the spread of diseases that can affect the whole community. Study must be done to see whether waste tyres can be turned into useful products.

Sara ThomasSingapore


NEWSSCAN - ASIA

TYRE PRODUCTION, ANNUAL REVENUE RECORD NEW HIGH IN CHINA IN 2012

China’s tyre industry kept the reputation of being the largest in the world intact after it showed a 20.7% revenue increase

in 2012, an IBISWorld market study has reported. Recording revenue of $79.3 billion, Chinese companies produced 865.1 million tyres last year.

According to the Tire Manufacturing in China: Market Research Report, the average annual growth rate in revenue in China has been 24.1% during the past fi ve years, while the production increase was 9.1%.

China’s exports of tyres grew at an average of 12.8% at $16.9 billion in 2012. The study said radial tyre production is lower in China compared to the US, Europe and Japan, although the market has developed rapidly and hit 363.7 million units in 2010.

China accounts for about 25% of the world’s total output of tyres and the replacement tyre market accounts for almost two-thirds of its domestic tyre consumption. The country is also the world’s largest auto market. However, the percentage of automobile ownership in China on a per capita basis is very low. In 2011, the number of autos per 1000 of population in China was less than 80, lagging behind that of the 600 to 800 per capita in developed countries.

HANKOOK TO ESTABLISH GLOBAL RESEARCH FACILITY IN DAEJEON

To optimise technological innovation power, Hankook Tire Co. Ltd. is to open a dedicated research and development facility

in Daejeon. The proposed one million-sq.-ft. center is expected to open by the end of 2015, said Hyun Bum Cho, President and Chief Marketing/Corporate Management offi cer.

The R&D hub will be built at Daedeok Innopolis, a hub of Korean industry research. As per Hankook’s 2011 annual report, around $133 million was marked for relocating and rebuilding the main R&D center.

Hankook has R&D facilities at its plant in Daejeon, South Korea, and in Uniontown, Ohio; Hannover, Germany; Jiaxing, China; and Osaka, Japan. The fi rm spent $105.6 million, or 1.8% of sales, in 2011 on R&D activities.

Foster+Partners of London will design the structure of the new main hub. “The new R&D center will enable us to accelerate the introduction of new tires with even more advanced features, fulfi lling our customers demand for premium quality products,” Cho said.

INDONESIA`S MULTISTRADA TO SPONSOR GLAMOUR CLUB MANCHESTER UNITED

PT Multistrada Arah Sarana Tbk, Indonesia`s leading tyre manufacturer, has signed a sponsorship deal with England`s

top football club Manchester United. The club enjoys over 54 million Twitter followers from Indonesia. Multistrada aims to cash in on this huge popularity for its marketing.

Manchester United commercial director, Richard Arnold said: “We have always had huge support in the country and our commercial sponsorships are an important way for the club to connect with those fans.”

Pieter Tanuri, President, Multistrada, said the company is proud to be Manchester United`s offi cial sponsorship. “We are

confi dent that this partnership will better leverage our brand to the international world,” he said.

MICHELIN, RACE OF CHAMPIONS CELEBRATE 25TH YEAR OF TIE

The Race of Champions (ROC) in Bangkok and tyre major Michelin celebrated 25 years of partnership in January. Ever

since its inception in 1988, the ROC had all its cars running on Michelin. Pascal Couasnon, Michelin’s Racing Division Director said: “Michelin is proud to have been a technical partner of the Race of Champions since it fi rst began. It is about pitting the best drivers from a variety of backgrounds and disciplines against each other. The high standard of the competitors and the competition expected between them means it is only fi tting that they have the best possible equipment. Michelin will use its long and successful record in motorsport around the world to ensure this happens.”

Michelin is one of the pioneers of motor racing over a hundred years ago and is the fi rst brand in motorsport history to capitalise on the endorsement potential of tyres in motor racing.

In this year’s race three-time Formula One world champion Sebastian Vettel and seven-time Formula One world champion Michael Schumacher delivered a sixth consecutive win for Team Germany in the Nations Cup category in the ROC.

KUMHO REPLACES YOKOHAMA IN CHINA TOURING CAR CHAMPIONSHIP

The China Touring Car Championship (CTCC) has partnered with Kumho as new tyre suppliers for the 2013 season.

Kumho replaces the Japanese tyre maker Yokohama. The 2013 season will start on May 12 at the Zhuhai International Circuit before heading to the Shanghai International Circuit two weeks later, with races at the Tian Ma circuit near Shanghai and at Ordos in June. There is one round at Inje Autopia circuit in South Korea in August after which it will return to Guangdong in September, then back to Zhuhai in October before the eighth round of the Championship takes place at Shanghai International on November 4.

The CTCC season fi nale is expected to take place on November 17 at Macau, joining the Macau Grand Prix race schedule for the fi rst time on the 60th anniversary of the event.

The China Touring Car Championship (CTCC) is a touring car racing series, which, between 2004 and 2008, used to be known as the China Circuit Championship. The series consists of two classes, one for 2000cc cars and one for 1600cc cars.

TECHKING’S HEZE PLANT TARGETS 10 MILLIOIN TYRES CAPACITY

Techking Tires’ new plant in Heze in Shandong province has been completed, the company said in a statement. The plant

will produce passenger car and light commercial vehicle tyres. According to the company, the annual capacity of the plant will be 10 million tyres. Trial operations began at the plant in November 2012.

Techking will deliver application-specifi c PCR products to the domestic Chinese market. One such product will be a low rolling resistance tyre designed for electric vehicles. It will be followed by tyres for the minivan market in China. The company claims that the radial minivan pattern it will design will reduce punctures and enhance driving comfort and safety. Techking also has plans to produce passenger car and light commercial vehicle tyres from its new plant for its overseas market.


nEWSSCAN - WORLD

APOLLO TYRES OPEnS GLObAL R&D CEnTER In nETHERLAnDS

Apollo Tyres has opened its global research and development center in Enschede, Netherlands. The company had merged

its research and development resources in Africa, Europe and India last year. Passenger and commercial vehicle tyre development and testing will be located in the Netherlands and India respectively, while smaller teams will customise global products for local conditions.

“Apollo Tyres restructured its R&D team across its three key geographies to create synergy and greater alignment to the company’s growth aspirations and to generate speed and relevance, while entering new markets,” the company had said in a statement last year.

The R&D consolidation comes after it decided to increase focus on core research and a substantial rise in R&D spends over the next few years, Apollo said.

Apollo Tyres Vice-Chairman and MD Neeraj Kanwar had commented on the development that the company merged R&D resources of nearly 250 individuals from Africa, Europe and India “under the leadership of two of our finest experts” - Peter Snel, Group Head, Apollo Tyres Ltd, in Enschede and Chief Advisor PK Mohamed at the commercial vehicle (CV) tyre division in Chennai, India.

COnTInEnTAL TIRE’S PLAnT In SUMTER COUnTY On SCHEDULE

The Sumter County plant of Continental Tire is expected to roll out its first tyres early 2014. The $500 million plant is being

built on a 330-acre site near the city of Sumter in South Carolina. By 2017 the plant will produce about 4 million passenger car and light truck tyres each year, the company said. By 2021, the plant plans to produce 8 million tyres a year and employ 1,600 people.

Craig Baartman, Sumter plant manager, said: “Every aspect of our plant is on time. We’ve recruited the people and the resources we required.” According to him, hiring the workforce was the biggest challenge. “This is a long-term initiative, and there is a worldwide shortage of craftsmen,” he said.

“Our plan for 2013 is to look to do the same (as 2012),” Baartman added, “but there will be another level of intensity involved, just because of the scale of what needs to happen in order for us to produce tyres by January 2014.”

FIRESTOnE- InDYCAR PARTnERSHIP TO COnTInUE TILL 2018 SEASOn

bridgestone Americas’ Firestone brand will remain the sole tyre supplier to the IZOD IndyCar Series through the 2018

race season. The partnership began in 1996 and the deal to continue it confirms the Firestone brand’s participation in the 100th running of the Indianapolis 500 Mile Race in 2016.

As part of the partnership extension, the Firestone brand will increase its commitment to and investments in the series to help maximise the growth potential of the series.

Al Speyer, Executive Director, Firestone Racing, said: “Firestone performance and safety have been synonymous with IndyCar racing for more than 100 years. We are excited about the opportunity to continue the ongoing success of this series by extending the Firestone brand´s history in the sport through the 2018 season. We treasure the relationships we have fostered with the league, drivers, owners and various other partners involved with the sport through the years, and look forward to

continuing our legacy of high performance for which Firestone tires are known.”

COOPER TIRE PLAnT COVERS MAJOR SAFETY MILESTOnE

Cooper Tire’s Tupelo, Mississippi, became the first Cooper manufacturing facility in the United States to achieve the

distinction of covering two million man hours worked without a lost-time injury. In November 2012, the Tupelo plant had reached one-and-a-half million man hours worked without a lost-time injury.

“We are extremely proud of our team in Tupelo for the uncompromising commitment to a safe work environment that everyone here shares,” said Tupelo Plant Manager Pat Jodon. “This major milestone could not have been reached without the effort of every employee at our facility placing a priority on safety each and every day. Achieving this historic mark clearly demonstrates that our proactive approach is helping deliver the highest standards of safety performance.”

“Cooper Tire has established a zero-incident safety culture throughout the company, and our achievement in Tupelo is evidence that our commitment to safe processes and practices is something we live each day,” said Chris Ostrander, President, North America Tire Operations. “Cooper facilities are committed to a safe work environment and the highest standards of safety performance. We applaud the efforts of Tupelo and the efforts at all of our plants to continue to emphasize safety in everything we do.”

OHIO-bASED K&M TIRE GOES FOR THIRD ACQUISITIOn OF 2012

Delphos, Ohio-based wholesaler K&M Tire Inc. has acquired Michigan Tire & Wheel of Crystal. The deal concluded on

December 21, 2012. K&M Tire plans to services its new dealer customers from its existing warehouses in Detroit and Grand Rapids.

This marked the third acquisition of 2012 for K&M Tire, which purchased a warehouse in the Kansas City area and two Reliable Tire locations in Dallas and Houston. K&M Tire operates 15 warehouses with a 16th distribution facility under construction in Barnesville, Minnesota, which is expected to begin operations during the first quarter of 2013.

Following the purchase, Steve Hubler of Michigan Tire & Wheel, joined the K&M Tire team. Cheryl Gossard, Vice President of K&M Tire, emphasised the importance of retaining Steve Hubler, as this will help ensure a seamless transition, and his industry knowledge will help grow the sales in Michigan for K&M Tire.

nITTO nETS HUGE FAn bASE; TARGETS LATIn AMERICA

nitto Tire USA Inc. is eyeing Latin American market in a big way after realising that it enjoyed a good fan base in the region,

reports say. The tyre maker has gained hugely through its Facebook account that recorded 2.5 million fans worldwide. This established Nitto as the number one Japanese automotive brand on the popular social networking site, surpassing Honda, Lexus and Toyota. The feat also lands Nitto as the second largest Japanese company on Facebook, only second to Sony.

Under parent company Toyo Tire & rubber Co, Nitto has charted out a four-year plan to double the company’s sales. To speed up Nitto’s expansion into Latin America, which includes Central America, the company will start shipping products from March 1, focusing first on Brazil and Chile then Paraguay. As for marketing the brand in Latin America, the company will follow the same formula as in the US—focusing on grassroots events and offering point-of-sale materials.


SPOTLIGHT

Falken Tire Corp. has promoted Peter Buck to the post of Chief Financial Officer from his previous post as vice

president and controller. In another senior level shuffle, Vivien Winneke, Director of HR, has been named Vice President of HR. A company statement said Buck’s efficient handling of the accounting and internal control processes led to his promotion.

Winneke, who now joins Falken’s executive committee, has contributed considerably to revamp the HR process of the company.

Richard Smallwood, president and CEO of Falken Tire, said: “Falken continues to outperform the tire industry as a whole, and it is due to the aggressive and talented individuals we are able to bring to our team. Over the past two years, Falken

has continued to add staff, increase marketing investment and build a beautiful, new 60,000-sq.ft. corporate office for our team. Being aggressive in a weak business environment has allowed us to become stronger and faster than those we have to compete with in this, the most competitive market in the world.”

Commenting on the new promotions, Smallwood said Buck and Winneke “exemplify the types of employees we have at Falken who continuously strive to improve the capabilities of our team and contribute to the culture of success that Falken has fostered over the past several years.”

Peter Buck heads Falken’s finances

Anant Goenka, Managing Director, CEAT Ltd, and Rajeev Anand, Vice Chairman & Managing Director, Goodyear

India Ltd, were unanimously elected as Chairman and Vice Chairman of Automotive Tyre Manufacturers’ Association (ATMA) respectively.Anant Goenka, the youngest person to take charge at the tyre industry body, is an MBA from the Kellogg School of Management and a B.Sc. in Economics from The Wharton School. Before taking over as Managing Director, he has served as Deputy Managing Director and before that as Head of the Specialty Tyre Business at CEAT. He has also worked at Hindustan Lever, Accenture and Morgan Stanley, Hong Kong.In a career span of over 31 years with Goodyear, Rajeev Anand has played an instrumental role at various functions in the organization. He has had an extensive experience in India and abroad and has held key positions as Operations Director in India, Manufacturing Director ASEAN & India, before taking over as Managing Director of Goodyear India.

Set up in 1975, ATMA is amongst the most active national industry bodies in the country representing Rs5000 crore automotive tyre industry. Ten large tyre companies representing over 90% of production of tyres in the country are members of the Association. ATMA members include Apollo Tyres, Birla Tyres, Bridgestone India, Ceat, Continental India, Falcon Tyres, Goodyear India, JK Tyre & Industries, MRF and TVS Srichakra.

ATMA is a key link between the tyre manufacturers and the government and assists in relevant policy formulation on the tyre industry. It regularly publishes industry data and brings out Status notes on various industry issues. ATMA is governed by a Managing Committee which is assisted by expert groups in areas like Marketing, Exports, Purchase of Raw Materials, Taxation and Technical.

Anant Goenka named ATMA Chairman

Hai Eok “Harry” Choi has been named president of Kumho Tire USA Inc.

He replaces JB Kim, who is returning to Korea to take over the parent company’s original equipment and replacement sales divisions. Choi has been with Kumho for over two decades and also brings with him extensive global experience in sales

and marketing in South Korea, Europe and Latin America.

Kim has led Kumho Tire USA through the challenging market slowdown period of 2008-2010 and made significant contribution in strengthening the company’s North American base. Among his remarkable achievements are brand awareness increase of 8% per

year between 2008 and 2012, the launch of the Ecsta 4X all-season UHP tyre, one of the most successful Kumho tyres launched in the US and sales of more than 10 million units per year

“I will forever be greatly appreciative to our US customers and employees for what I now reflect on as a great time of growth, with unceasing potential for many great things to come,” says Kim.

“During my stay in North America, I have had the opportunity to meet many unique challenges,” he says. “Through it all, we have remained a unit of strength, perseverance and positivity. It is these qualities that have made Kumho Tire USA more tenacious than ever.”

Choi to lead Kumho USA as new President


bridgestone Europe will continue to get services from Valentino Rossi, nine times world champion, as the

company’s motorcycle tyre development adviser. The team-up will work to promote the passion of motorcycling to bikers and enthusiasts throughout Europe, directly supporting the Bridgestone “track to street” concept, Bridgestone said. The deal has no link to Rossi’s MotoGP team and sponsors.

Rossi said: “I’ve been working with Bridgestone in MotoGP for many years and have always been impressed by their professionalism and the quality of their products. Continuing this agreement gives me an exciting opportunity to contribute to new Bridgestone motorcycle road tyres.”

Franco Annunziato, CEO & President, Bridgestone Europe, said: “Valentino Rossi is a great ambassador for our company. With the extension of our agreement,

we have secured advice and recommendations from one of the greatest motorcycle competitors of all times, thereby ensuring that we bring the best new Battlax tyres to market.”

Rossi’s role in the deal will be to assess the performance of Bridgestone motorcycle tyres, particularly in the hyper-sport, racing and sport touring sectors. This will be used by Bridgestone in developing road tyres with better performance and improved safety margins.The ace Italian rider has world championship titles in 125cc, 250cc and 500cc and has been MotoGP world champion on six occasions. His 79 victories is an all-time record.

Yokohama Tire Corporation (YTC) has promoted Takayuki Hamaya as

Chief Operating Officer. He will retain his position as company Executive Vice President (EVP) and Chief Financial Officer (CFO). Hamaya will now assume executive responsibility for consumer, commercial, OTR and OE sales, accounting and finance, corporate planning, supply chain and operations, as well as internal audit.

Yasushi Tanaka, President and CEO, said: “Mr. Hamaya’s promotion corresponds with our continued efforts to improve the service we provide to our dealers while delivering the best products to the market.”

Hamaya was appointed president of Yokohama Europe in 2004, and in 2005 he became president of several Yokohama sales companies in Germany, Switzerland, Austria, Denmark, Belgium, Sweden and Russia. In 2007, Hamaya returned to Japan following an appointment as General Manager, Secretariat, to work directly with

then President of Yokohama Rubber Co., Ltd., Tadanobu Nagumo.

In 2009, Hamaya was promoted President of Yokohama Tire Philippines (Manufacturing) and President of Yokohama Tire Sales Philippines. In 2011, he moved to the US and was named EVP and CFO of Fullerton, California-based Yokohama Tire Corporation.

In another shuffling of responsibilities at senior management level, Yokohama named Kinya Kawakami as Director & Managing Corporate Officer, General Manager of the Corporate Social Responsibility Division, General Manager of the R&D Center and also General Manager of the Hiratsuka, Japan, factory. The changes were announced following Yokohama’s Board of Directors meeting in December.

Kawakami’s earlier responsibilities included director and managing corporate officer, general manager of the Corporate Social Responsibility Division and general manager of the R&D Center.

Hamaya becomes Yokohama Operations Chief

Rossi to remain bridgestone adviser

bauer Built, one of the largest commercial tyre dealers and retreaders in the United States, has promoted Tad

Bauer as President, while his father and former president Jerry Bauer will remain with the company as Chairman and CEO.

Tad Bauer started his career at Bauer Built more than 22 years ago on June 4, 1990, doing janitorial services and other miscellaneous jobs in the company’s Durand retread shop, Bauer Built said.

He is a stockholder and a member of the Bauer Built Board of Directors and currently serves as the company’s COO and executive vice president of the Tire Division.

After graduating in 1998 from the University of Wisconsin

– Stout in Menomonie, Wis., Bauer moved to Cedar Rapids, Iowa, where he took over the position of assistant store manager at the company’s Cedar Rapids location, Bauer Built said. He then held various positions with the company until he was promoted to his current position in 2009.

Bauer Built deals with a complete line of passenger tyres, light truck tyres, commercial truck tyres, custom and stock retreads, agricultural tyres, industrial tyres, off-the-road tyres, and tubes. The company has also expanded its products and services to include bulk fuel distribution.

Tad bauer named President of bauer built


Niraj Thakkar, newly elected President of All India Rubber Industries Association (AIRIA), has a wish list for the growth of rubber industry in India. On the wings of the highly successful 7th India Rubber Expo and Tyre Show, held on January 22-24 in Mumbai, he talked to Polymers & Tyre Asia about how a concerted effort would boost the industry’s growth potential. The show itself recorded huge success in terms of the number of exhibitors, visitors, speakers and delegates from the Indian and international rubber industry. It will certainly exert a positive impact on the region’s rubber industry, says Thakkar

bIGGER FUTURE AHEAD

As the new President of AIRIA, what will be your priority plans?Niraj Thakkar: I have a dream list

for the rubber industry in India.

1. The import duty on raw materials (RM) imported into India should be lower than that of rubber products imported into India. If possible, the import duty on RM such as Natural Rubber (NR), especially NR latex, should be reduced to 5% or Rs. 10/Kg.2. Cess on NR should be made cenvatable, if not completely abolished.

3. Assistance be available to bridge the gap in NR consumption and production by either importing duty free NR into India or by increasing production in new locations such as north eastern states of Tripura etc.

4. Suffering from technology gap, a Technology Upgradation Fund/Subsidy be announced for the rubber industry to implement latest technology in manufacturing as cost of interest outruns profit margins.5. 100 KT of NR be allowed free of duty to bridge the demand supply gap.

6. Waiver of duty on imported raw materials which are not indigenously manufactured such as most of the synthetic rubbers. This only increases our cost making the Indian Rubber Industry noncompetitive, globally.

7. Removal of anti-dumping duty on RM’s such as Carbon Black and Rubber Chemicals

8. Futures trading in NR be abolished as it leads more to speculation rather than actual hedging. After all, NR like cotton, is an agro-industrial commodity.

9. The entire rubber industry, AIRIA, Rubber Board, IRI, ATMA, ICRTMA, CAPEXIL, planters, IRMRA, IRGA, baloon

manufacturers, glove manufacturers, footwear manufacturers....every one join hands and work together towards the progress of the rubber industry in India.

Do you think India’s natural rubber supply will be able to meet the demand of the industry in the future?NT: From what has been predicted by various reliable sources and statistics, it doesn’t seem so. However, the rubber board has taken some very prompt action towards production of NR in north east. This will give some respite to the inadequacy of NR availability. Though time will play an important role in this as other rubber producing countries which are not as strong in manufacturing have started exploring opportunities to consume their own produce adding value rather than exporting the NR.

How much do you expect the IRE 2013 will impact rubber industry in India?NT: We had companies from the user industry such as Maruti, BEST, and Caterpillar as participants. From the tyre industry, we had Ceat, Emrald, Al Dobowi among others. While major rubber manufacturers like Lanxess, Reliance, ISRL, Omnova, and rubber machinery manufacturers like Desma, VMI, Santosh, Bharaj participated in the exhibition. Also rubber material suppliers including BIG, B. P. Chemical, Ramcharan, Elastochemie, Chowdhury Rubber, and testing equipment manufacturers like Alpha Technologies, Future Foundation, MVI, DAK and many others were part of the event, which clearly shows how much it matters for them to showcase their products.

Exhibitors from Belgium, China, Germany, Malaysia, Srilanka and Japan were part of the huge international representation. Representatives from over 30 countries took part in the buyer seller meet wanting to meet with rubber product manufacturers from India. I am sure

the impact of this will surely show in the coming months.

The international conference covered the entire rubber sector. With such huge international presence, the show exposed the Indian rubber industry to global trends in the rubber sector. This is very critical for us at this juncture. This will enhance the image not only of the country but also of the Indian rubber industry as it is poised to become the second largest globally by 2020. AIRIA’s aim has been to present the Indian rubber industry’s potential to the international rubber fraternity.

Do you think the expo reflects the current state of rubber industry in the region? How does the scene look?NT: I don’t believe the show was regional in any manner except the fact that the rubber industry is shifting base to the Asian countries for obvious reasons. We had technocrats from the global rubber industry wanting to assist the visitors and providing solutions for future growth and progress. Over all it has had a very positive impact on everyone who attended the show asserting India’s frontline position the global rubber industry.

Do you have any plans to expand the scope of IRE in the coming years? NT: The next show in New Delhi will see the involvement of the footwear industry and the sporting goods Industry. The rubber industry in the northern part of the country has strong presence in tyre, footwear and sports goods sectors.

IRE 2013 also saw the debut of the Tyre show. The next step will be to extend this segment adding the footwear and sports goods zones. This will further expand the IRE. As I have been mentioning, every IRE has been and will be very unique in its own manner and will keep growing in size and character as the Indian rubber industry grows.

STRAIGHT TALK

Niraj Thakkar, President, AIRIA

PTA News Bureau


Thanks to improvements in rubber chemistry and technology, tyres today are vastly better than they were in the past, and that includes retreads. In fact, because of dramatic improvements in non-destructive testing methods including Shearography and X-rays, retreads produced in top quality retread plants actually have higher green factor significance. On the affordability front, their adjustment rate are low, and very often, lower than comparable new tyres

RETREADS: GREEn-wISE, PRICE-wISEwhen I entered the retread

universe many years ago I never dreamed I would

see the advances that retreading has made during these past four decades. Back in the early seventies a retread was something a drive r- whether for a passenger vehicle or a large over the road

truck - purchased because he couldn’t afford a new tyre. Retreads had a higher adjustment rate than comparable size new tyres, but they were cheap!

Of course, back in those days even new tyres were primitive compared to today’s tyres. When I was a young man I

considered myself fortunate if the tyres on my car delivered 12,000 miles before they wore out. And I probably also suffered 3 or 4 flat tyres during their life.

Now let’s move on to 2013Thanks to improvements in rubber chemistry and technology, tyres today

are vastly better than they were in the past, and that includes retreads. In fact, because of dramatic improvements in non-destructive testing methods including Shearography and X-rays, retreads produced in top quality retread plants actually have an adjustment rate as low, and very often lower, than comparable new tyres.

Lower pricesAnd, they are able to offer this as a far lower price than new tyres. Example: A popular size new truck tyre, 11R22.5, manufactured by a tier one tyre manufacturer will cost a trucker approximately close to $500 in the US, a bit less if he is part of a large fleet with strong buying power. A lesser grade tyre of the same size, but still a good quality tyre, will cost perhaps as much as $100 less, but even so, this is a lot of money for a trucker to have to pay.

As an aside, there are three major costs of operating any trucking fleet, regardless of where in the world the fleet is located - the cost of paying the driver, the cost of fuel, and the cost of tyres. Next to nothing can be done about the first two costs, but by having his own tyres retreaded or by buying retreads, the trucker can reduce his tyre costs by 50% and sometimes even more.

The Retread Tire Association (RTA) has members in more than 30 countries worldwide and prices will vary depending where you are reading this, but one thing is certain: The savings by using retreads will nearly always be at least 50% when compared to new tyre prices for the same size tyres. And this holds true even when the government regulators put their heavy hands into the equation.

Lack of knowledgeSo why don’t truckers embrace retreads more than they do?

The answer is partly because of a lack of knowledge and partly because, sadly, there are still too many retreaders out there ready to cut corners and not produce a high quality retread. I make it a point to never evade the fact that our industry, just as any other industry, has its share of shoddy companies.

What can be done to overcome this problem?

This is where we come in. Our mission is to continually educate truckers, fleet managers, government agencies and other interested parties that one must NEVER buy price instead of quality. The

up-front cost is not as important as the overall cost of the tyre during its entire life.

Another example: A “bargain” truck tyre that sells for $100 but only delivers 100 miles before wearing out is far more

expensive than a top quality truck tyre that sells for $500 but delivers 5,000 miles before wearing out. The same holds true for retreads. This is why the buyer of a retread must insist on the best quality and why he must do his homework and learn more about the retreader he wants to do business with. He needs to ask for, and check, references of the customers of the retreader. He must insist on a warranty as good, or even better, than the best new tyre warranty.

If possible he should visit the retreader’s factory and see for himself how much care goes into the retreading of a tyre there. He must insist on seeing the retreader’s adjustment records (Don’t let the retreader tell you he doesn’t keep adjustment records. They all do!), and he should even ask to see the employees’ toilet and lunchroom. If an employer does not treat his employees well by offering his workers clean toilets and lunchrooms, how do you think he will treat the finished product produced in his factory?

PerformanceNow, let’s look at the performance of top quality retreads. Can they really deliver the same high quality, safety and performance as the best, much higher priced new tyres”?

The answer: Yes. This is why virtually every major airline in the world routinely flees on retreads, and this is why retreads are used worldwide on fire engines and other emergency vehicles, school buses and municipal buses, taxis, race cars, small package delivery services and postal services, as well as on millions of all size commercial vehicles and Off The Road (OTR) vehicles from the smallest to the largest.

Retreading is a healthy industry and retreads are here to stay and retreaders will continue to prosper as long as they continue to produce the very best quality retreads they possibly can. The buyers are out there and as long as they can depend on retreads that are at least as trouble free at the best tire one new tires, and they can save serious money, they will not go away.

The message to every retreader who reads this is you must put your heart and soul into what you do and you must not cut corners when you produce a retread. If you do, your competitors are ready to eat your lunch and your customers will drop you like a hot potato! The moral of this article is: There is never a right time to do the wrong thing and there is never a wrong time to do the right thing!

By Harvey Brodsky, Managing Director, Retread Tyre Association

AS GOOD AS NEW: Technological advancements and modern machinery have ensured top quality for retreaded tyres, which can compete with new tyres (Picture courtesy: http://tyremachinery.marangoni.com)

There are three major costs of

operating any trucking fleet, regardless of where in the world the fleet is located - the cost of paying the driver, the cost of fuel, and the cost of tyres. Next to nothing can be done about the first two costs, but by having his own tyres retreaded or by buying retreads, the trucker can reduce his tyre costs by 50% and sometimes even more

Retreading is a healthy industry

and retreads are here to stay and retreaders will continue to prosper as long as they continue to produce the very best quality retreads they possibly can. The buyers are out there and as long as they can depend on retreads that are at least as trouble free at the best tire one new tyres, and they can save serious money, they will not go away

PERSPECTIVE


Thanks to improvements in rubber chemistry and technology, tyres today are vastly better than they were in the past, and that includes retreads. In fact, because of dramatic improvements in non-destructive testing methods including Shearography and X-rays, retreads produced in top quality retread plants actually have higher green factor significance. On the affordability front, their adjustment rate are low, and very often, lower than comparable new tyres

RETREADS: GREEn-wISE, PRICE-wISEwhen I entered the retread

universe many years ago I never dreamed I would

see the advances that retreading has made during these past four decades. Back in the early seventies a retread was something a drive r- whether for a passenger vehicle or a large over the road

truck - purchased because he couldn’t afford a new tyre. Retreads had a higher adjustment rate than comparable size new tyres, but they were cheap!

Of course, back in those days even new tyres were primitive compared to today’s tyres. When I was a young man I

considered myself fortunate if the tyres on my car delivered 12,000 miles before they wore out. And I probably also suffered 3 or 4 flat tyres during their life.

Now let’s move on to 2013Thanks to improvements in rubber chemistry and technology, tyres today

are vastly better than they were in the past, and that includes retreads. In fact, because of dramatic improvements in non-destructive testing methods including Shearography and X-rays, retreads produced in top quality retread plants actually have an adjustment rate as low, and very often lower, than comparable new tyres.

Lower pricesAnd, they are able to offer this as a far lower price than new tyres. Example: A popular size new truck tyre, 11R22.5, manufactured by a tier one tyre manufacturer will cost a trucker approximately close to $500 in the US, a bit less if he is part of a large fleet with strong buying power. A lesser grade tyre of the same size, but still a good quality tyre, will cost perhaps as much as $100 less, but even so, this is a lot of money for a trucker to have to pay.

As an aside, there are three major costs of operating any trucking fleet, regardless of where in the world the fleet is located - the cost of paying the driver, the cost of fuel, and the cost of tyres. Next to nothing can be done about the first two costs, but by having his own tyres retreaded or by buying retreads, the trucker can reduce his tyre costs by 50% and sometimes even more.

The Retread Tire Association (RTA) has members in more than 30 countries worldwide and prices will vary depending where you are reading this, but one thing is certain: The savings by using retreads will nearly always be at least 50% when compared to new tyre prices for the same size tyres. And this holds true even when the government regulators put their heavy hands into the equation.

Lack of knowledgeSo why don’t truckers embrace retreads more than they do?

The answer is partly because of a lack of knowledge and partly because, sadly, there are still too many retreaders out there ready to cut corners and not produce a high quality retread. I make it a point to never evade the fact that our industry, just as any other industry, has its share of shoddy companies.

What can be done to overcome this problem?

This is where we come in. Our mission is to continually educate truckers, fleet managers, government agencies and other interested parties that one must NEVER buy price instead of quality. The

up-front cost is not as important as the overall cost of the tyre during its entire life.

Another example: A “bargain” truck tyre that sells for $100 but only delivers 100 miles before wearing out is far more

expensive than a top quality truck tyre that sells for $500 but delivers 5,000 miles before wearing out. The same holds true for retreads. This is why the buyer of a retread must insist on the best quality and why he must do his homework and learn more about the retreader he wants to do business with. He needs to ask for, and check, references of the customers of the retreader. He must insist on a warranty as good, or even better, than the best new tyre warranty.

If possible he should visit the retreader’s factory and see for himself how much care goes into the retreading of a tyre there. He must insist on seeing the retreader’s adjustment records (Don’t let the retreader tell you he doesn’t keep adjustment records. They all do!), and he should even ask to see the employees’ toilet and lunchroom. If an employer does not treat his employees well by offering his workers clean toilets and lunchrooms, how do you think he will treat the finished product produced in his factory?

PerformanceNow, let’s look at the performance of top quality retreads. Can they really deliver the same high quality, safety and performance as the best, much higher priced new tyres”?

The answer: Yes. This is why virtually every major airline in the world routinely flees on retreads, and this is why retreads are used worldwide on fire engines and other emergency vehicles, school buses and municipal buses, taxis, race cars, small package delivery services and postal services, as well as on millions of all size commercial vehicles and Off The Road (OTR) vehicles from the smallest to the largest.

Retreading is a healthy industry and retreads are here to stay and retreaders will continue to prosper as long as they continue to produce the very best quality retreads they possibly can. The buyers are out there and as long as they can depend on retreads that are at least as trouble free at the best tire one new tires, and they can save serious money, they will not go away.

The message to every retreader who reads this is you must put your heart and soul into what you do and you must not cut corners when you produce a retread. If you do, your competitors are ready to eat your lunch and your customers will drop you like a hot potato! The moral of this article is: There is never a right time to do the wrong thing and there is never a wrong time to do the right thing!

By Harvey Brodsky, Managing Director, Retread Tyre Association

AS GOOD AS NEW: Technological advancements and modern machinery have ensured top quality for retreaded tyres, which can compete with new tyres (Picture courtesy: http://tyremachinery.marangoni.com)

There are three major costs of

operating any trucking fleet, regardless of where in the world the fleet is located - the cost of paying the driver, the cost of fuel, and the cost of tyres. Next to nothing can be done about the first two costs, but by having his own tyres retreaded or by buying retreads, the trucker can reduce his tyre costs by 50% and sometimes even more

Retreading is a healthy industry

and retreads are here to stay and retreaders will continue to prosper as long as they continue to produce the very best quality retreads they possibly can. The buyers are out there and as long as they can depend on retreads that are at least as trouble free at the best tire one new tyres, and they can save serious money, they will not go away


China and India, which are currently witnessing economic slowdown, is set for rapid growth in auto demand over the next decade that would naturally give a boost to the tyre industry. Rajiv Biswas, Asia-Pacific Chief Economist of IHS Global Insight, the world’s top provider of comprehensive economic information, analysis and consulting services, says home-grown Asian multinationals will compete with established OECD giants for market share in the fast-growing regional markets. He told Polymers & Tyre Asia that Asian multinationals will increasingly become more powerful competitors in leading-edge technology

GrowinG AsiAn muscle

PTA News Bureau

After three decades of economic growth averaging 10 per cent per year, China is forecast to witness

a ‘moderate’ 7 to 8 per cent average annual GDP growth until 2020. However, even this growth figures are strong growth drivers for the rest of the Asia-Pacific region, says Rajiv Biswas, the Asia-Pacific Chief Economist of IHS Global Insight.

IHS provides comprehensive economic and financial information on the region and its industries using a unique combination of expertise, models, data and software to support planning and decision-making.

China is racing to become the world’s largest economy in about a decade as several forecasts have shown, and the country will become an increasingly important export market for most nations in the Asia-Pacific region, he told Polymers & Tyre Asia in an interview.

“This is forecast to underpin strong growth in auto sales over the next decade, due to

rapid growth in household incomes and tens of millions of households entering the ranks of the middle class in China and India each year by 2020,” he elaborated.

IHS Automotive forecasts shows that the total light vehicle sales in China will reach 30 million, from a level of around 19 million in 2011. This will bring about many interesting changes in the auto sector of China, India and South Korea.

The most important development will be the emergence of a most competitive landscape in Asia for multinationals. The war for market share will become

increasingly fierce as the rapidly growing emerging markets will see multinationals from countries such as China, India and South Korea competing with established OECD multinationals for market share.

“Secondly, emerging Asian multinationals will increasingly become more powerful competitors in leading-edge technology,” Biswas said.

Commenting on the impact on the automobile and tyre industry due to the laggard growth figures of India and the current slowdown in China, he said that these were of a cyclical nature.

“After years of very rapid growth in the size of the domestic auto markets in both China and India, there has been a cyclical slowdown in both markets over the last 18 months due to the impact of a downturn in the business cycle in both nations,” he explained.

“A key contributory factor to this slowdown has been the upsurge in inflationary pressures in 2010-11, which resulted in a significant tightening of monetary policies in both countries.”

As auto sales are particularly sensitive to interest rates due to the importance of

Rajiv Biswas, Asia-Pacific Chief Economist, IHS Global Insight

pERSPECTIVE


auto finance for new vehicle sales, there has been a slowdown in auto sales in both China and India in late 2011 and during 2012.

Growth impulses“However, the long-term growth outlook for both countries is for an average annual GDP growth of around 7 to 8 per cent per year,” Biswas said. This will lift auto sales and give a boost to the tyre industry.

By 2020, while the total light vehicle sales in China will touch 30 million, India will report a very strong growth with total light vehicle sales doubling by 2020, from an estimated 3.3 million units in 2012.

For tyre makers, this means that China and India will continue to be among the leading growth markets over the next decade. The region will become an increasingly important part of the global market strategy for multinational companies.As Biswas discussed in his best-selling book Future Asia (Palgrave Macmillan, 2013), the competitive landscape for global multinationals could become increasingly fierce. Emerging markets multinationals from China, India and South Korea would offer a tough fight to Western auto giants for market share in the fast-growing Asian markets.

As emerging market multinationals focus greater efforts on building global market presence and creating international brands, they will become increasingly powerful competitors for global market share. “Strategic acquisitions, such as Tata Motors purchase of Jaguar Land Rover, have transformed the brand image and capabilities of Tata Motors to tap global markets compared to just a decade ago. Secondly, emerging Asian multinationals will increasingly become more powerful competitors in leading-edge technology.”

Another key Asian megatrend that Biswas has discussed in Future Asia is the continued urbanisation of both China and India over the next two decades. “In China, there will be over 200 cities with a population over 1 million persons by 2025, and in India, over 50 cities.”

These are pointers to the growing greenhouse gas emissions, particularly due to industrialisation and rapid growth in vehicles on the very often congested roads.

“There will be significant growth in the

technologies for new coal-fired power stations, he felt.

New technologiesReferring to the need to incentivise public transport and build road infrastructure in order to discourage personal transport to help reduce carbon footprint, Biswas said that both China and India are already investing heavily in the public transport infrastructure.

This is necessary in order to address congestion problems resulting from continued rapid urbanisation. “I believe it is an important priority for governments to provide adequate and affordable public infrastructure such as commuter rail networks and modern bus services in large cities, to lower traffic congestion and reduce commuting time for citizens.”

China is also investing heavily in high-speed rail networks across the nation. For both China and India, a key priority will be the continued investment in road infrastructure to connect cities. They need to provide infrastructure for the

rapidly increasing number of autos as well as to improve rural connectivity.

Increasingly the use of public-private partnerships is being utilised wherever commercially possible for road infrastructure development, due to fiscal constraints on governments in finding the necessary investment.

On the need to find greener solutions like rapid deployment of electric and hybrid vehicles, Biswas said it is the high marginal cost of their production and a lack of adequate infrastructure to support these new technologies that is proving to be a constraint.

A key hurdle on the use of electric and hybrid vehicles in both China and India is the inadequacy of the necessary infrastructure, Biswas said.

“India has the additional challenge of having inadequate power supply infrastructure, with widespread power outages across the nation and 25 per cent of the population still having no access to electricity.”

At the same time, rapidly rising household incomes and millions of households entering the ranks of the middle class create strong financial capacity to purchase vehicles which would push up their demand further.

These developments are forecast to continue to result in substantial growth in annual auto sales over the next decade, Biswas pointed out.

size of major cities in both countries, creating requirements for considerable new investment in the transport infrastructure. A number of Chinese cities are already trying to address congestion problems by introducing restrictions on the use of cars”

However, one of the key strategies for reducing greenhouse gas emissions will be the use of cleaner fuels for power generation – notably increasing the share of natural gas and renewable energy sources in the total energy supply mix, as well as greater use of clean coal

A key constraint on the use of electric

and hybrid vehicles in both China and India is the inadequacy of the necessary infrastructure. India has the additional challenge of having inadequate power supply infrastructure, with widespread power outages across the nation and 25 per cent of the population still having no access to electricity

Rajiv Biswas, Asia-Pacific Chief Economist, IHS Global Insight


fOCuS

Tyre pressure maintenance is an important safety issue throughout the automotive industry. Government regulators have been prompted to pass legislation mandating tyre pressure monitoring systems (TPMS). Apart from the safety aspect, TPMS is also a valuable contributor to fuel efficiency. The US National Highway Traffic Safety Administration has concluded that TPMS can help save typical passenger car about 35 litres of fuel and light-truck vehicle 103 litres

life-sAVinG wArninG

By Louis P Rumao

many of us have seen a vehicle with one or more tyres that appear noticeably low on tyre

pressure and wished that we could warn the driver of the situation before that slight inconvenience became a calamity! What if the vehicle with the low tyre pressure is the one you’re driving? Wouldn’t you want to be warned?

Maintaining the correct tyre pressure for a vehicle is an important factor in how much load its tyres can safely carry - the correct pressure will carry the load without a problem. Too little tyre pressure will eventually cause catastrophic tyre failure. Studies have shown that running tyres with low air pressure is not uncommon. It’s been estimated that about one out of every four vehicles on the road is running on under-inflated tyres.

This also means that one out of every four drivers is needlessly sacrificing his vehicle’s fuel economy and handling, and reducing tyres’ durability and tread life. This has made tyre pressure maintenance an important safety issue throughout the automotive industry and prompted government regulators to pass legislation mandating tyre pressure monitoring systems. The main purpose of these systems is to warn the driver if their tyres are losing air pressure, leaving the tyres underinflated and dangerous.

TREAD Act In THE uS, the Transportation Recall Enhancement, Accountability and Documentation (TREAD) Act was passed by Congress in 2000 in response to a major recall of defective tyres that created unsafe driving conditions and multiple driver fatalities (one hundred deaths

due to rollovers were attributed to tyre tread separation). The TREAD Act has since been incorporated into the existing National Traffic and Motor Vehicle Safety Act of 1966.

Among other mandates, the TREAD Act requires that a system to warn the driver about underinflated tyres be included in vehicles sold in the uS As of September 1, 2007, that warning system, or tyre pressure monitoring system (TPMS), had to be placed in 100% of all passenger cars, light trucks and buses. Automakers, and their suppliers, must also notify the National Highway Traffic Safety Administration (NHTSA) of all accidents involving alleged defects.

The TREAD Act (Federal Motor Vehicle Safety Standard 138) requires original car manufacturers to equip all new vehicles with monitoring of tyre pressure in all four tyres (but not the spare tyre), a TPMS system that operates when the vehicle ignition is on and warns the driver when tyres are underinflated by 25% or more, a TPMS system that alerts the driver when there is a system malfunction, a TPMS warning light that stays on until the tyre is inflated to the proper pressure or the system malfunction is corrected, a “bulb check” of the warning light on the instrument panel that occurs whenever the ignition is turned on and vehicle owner’s manuals that contain warnings about potentially incompatible replacement tyres for the vehicle.

Current statusThe National Highway Traffic Safety Administration has concluded that tyre

WARNING LIGHT: The TPMS warning light stays on until the tyre is inflated to the proper pressure or the system malfunction is corrected


pressure monitoring systems are effective in combating under-inflation of tyres. The agency says it studied tyre pressure in more than 6,000 vehicles. Of those without a TPMS, 23% had at least one tyre showing an under-inflation of 25% or more. In those fitted with a TPMS, the figure fell to 11.8%.

“Based on these results, the presence of TPMS, on a vehicle of model years 2004 to 2007, is estimated to result in a 55.6% reduction in the likelihood that the vehicle will have one or more severely underinflated tyres as defined by FMVSS No. 138,” NHTSA said in the 58-page report.

NHTSA extrapolated the data to conclude that during the first eight years of operation, TPMS is estimated to save typical passenger car 9.32 gallons (about 35 litres) of fuel and light-truck vehicle 27.89 gallons (about 103 litres) of fuel. The agency said during 2011 TPMS saved an estimated $511 million in reduced fuel consumption in the uS.

Types of systems Vehicle manufacturers have two options with which they can comply with the law. One option - a direct tyre pressure monitoring system - uses pressure sensors located in each wheel to directly measure the pressure in the tyre and warns drivers when the air pressure in any of the tyres drops at least 25% below the recommended cold inflation pressure identified on the vehicle placard.

Another option is an indirect tyre pressure monitoring system that warns the driver when a single tyre has lost at least 25% of its inflation pressure compared to the other tyres on the vehicle. The direct

system, with a sensor attached to each wheel, offers more precise warning threshold, while the indirect system, which works with vehicle’s anti-lock brake system, does not offer the same information or accuracy, especially if all four tyres are under-inflated to the same extent.

ConcernsIndustry experts are concerned about the percentage of under-inflation that the law permits before warning the driver. The driver of a passenger car that calls for 35 psi inflation may not be warned about tyre pressure loss until it drops to 26 psi. They are also concerned that the drivers of vehicles equipped with a TPMS will become over confident in the capabilities

of their system and will be even less likely to confirm their vehicle’s cold tyre pressure with a pressure gauge at least once a month and before long trips.

Since, the TPMS comes as a package deal on new vehicles, consumers are not aware of the added cost for the system, but are destined for a shock when they need to repair the system or replace a damaged wheel. A survey also shows that many buyers of new vehicles are unaware of this added safety feature, until the warning icon lights up on the instrument cluster! But many drivers are pleased with this feature, as indicated by one:

“TPMS has definitely been a peace-of-mind feature. Our safety no longer depends on me remembering to check the tyre inflation pressure. A lighted icon on the instrument panel tells me when tyre inflation pressure needs attention. Going beyond, General Motors’ OnStar® option also notifies us, via an e-mail shown below, that tyres are low on air”.

TPMS market to soarA new study estimates the North American and European tyre pressure monitoring systems market will reach $386.6 million in value by 2018. That compares with a $111.7 million market in 2011, according to the market research firm Frost & Sullivan. All new vehicles in North America have been equipped with TPMS since 2007, and by 2014, nearly 38% of vehicles in North America will feature TPMS—a 13% increase from 2011. In Europe, the TPMS installed base, though much lower, is expected to more than double by 2014 due to supportive legislation. Also according to the report, as more European countries like Turkey, Poland, and Belgium add winter tyre legislation, revenues from TPMS will increase, the report said.

NHTSA plans a study on feasible fuel economy standards for medium and heavy trucks for model year 2019 and beyond. Part of the study will be the time savings that may result from implementing a TPMS rule for trucks, NHTSA said in its Dec. 11, 2012 request for comments.

“To properly estimate this value, data are needed on the frequency with which maintenance staff or vehicle operators check tyre pressures and how many minutes a tyre pressure check and adjustment takes,” the agency said.

The NHTSA is also asking comment participants whether the proposed collection of information has practical utility.

The US National Highway Traffic

Safety Administration has concluded that tyre pressure monitoring systems are effective in combating under-inflation of tyres. The agency says it studied tyre pressure in more than 6,000 vehicles. Of those without a TPMS, 23% had at least one tyre showing an under-inflation of 25% or more. In those fitted with a TPMS, the figure fell to 11.8%


leAdinG the fiGht bAck

Not all tyre manufacturers see the current economic slowdown in Europe and elsewhere as a doomsday signal. A number of companies are achieving high marks and some, like Apollo Tyres, which opened its global R&D centre in Enschede, the Netherlands, are taking on the situation as an opportunity to strengthen the fundamentals. It is refreshing to witness the actions of the company, which believes in the traditional saying - in times of adversity, the only real form of defence is attack

By John Stone

europe may well be in a much publicised financial downturn at the

moment, but I am pleased to say it is not all ‘Doom and Gloom’ in the tyre industry with a number of flagship companies achieving encouraging performances.

It has just been announced that German manufacturer Continental AG has posted increased sales revenue of 7 per cent to record an impressive € 32.7 Billion turnover for their 2012 Fiscal year. At the same time the group’s adjusted EBIT margin increased to 10.7 per cent, a rise of 0.6 per cent on 2011.

Also Dubai based Al Dobowi Group has confirmed its intention to significantly increase its personnel at its European headquarters in London with specific emphasis being placed on their sales, marketing and service market operations.

I have also noticed that technology continues to have a strong influence on the industry, as it should of course and the perfect example of this trend was endorsed a short time ago when Indian based tyre manufacturer – Apollo Tyres announced the opening of their new, custom built research and development

to become an important ‘nerve centre’ as the group fully recognise that Europe is considered one of the most advanced automotive markets in the world and their R&D expertise will strengthen Apollo’s working relationship with OE vehicle manufacturers.

I was also informed that straight away the R&D centre is currently working on no less than 27 different development projects which are supported by appointed satellite development groups in Europe, South Africa and India. So there can be no doubt that Apollo intend to ‘hit the ground running’ when it comes to the future success of quality tyre production.

under normal circumstances the announcement of the opening of a major tyre research and development complex would be enough for any company to handle. However, having had the opportunity to chat at length with Apollo’s Vice Chairman and Managing Director Neeraj Kanwar it seems the company had another progressive surprise up its sleeve as I was informed that simultaneously they had also just opened an additional office in London.

Neeraj pointed out that for some time it had been Apollo’s objective to create a ‘stand alone’ base to exclusively specialise in all marketing, product strategy and brand communication operations and the uK was considered the perfect location. When I asked him why London and not any other major city in Europe such as Amsterdam, Berlin or Rome? He informed me that as one of the leading financial cantres of the world, London was the perfect choice as it enabled the group to further enhance their investment relations and banking activities in the future.

I came away from Enschede with the distinct feeling that I had witnessed an important event in the future of the global tyre industry. That may sound like a bold statement but in such uncertain times for all industries it is refreshing to witness the actions of a company who believe in the traditional saying -in times of adversity – the only real form of defence is attack!

I am sure that a number of people in the global tyre industry are watching the steady progress of Apollo very carefully and perhaps trying to work out how they can follow their example in growth management. As we ease into yet another trading year it is going to be interesting to see who the pace-leaders are going to be in hopefully restoring the industry to an even higher level of stability.

Nerve centreIt was made quite clear that this new R&D centre is destined to play a key role in Apollo’s desire to create innovative, cutting edge technology towards the future development of cars and van tyres. However the centre is not yet complete as it was announced that this year a special Material Laboratory will be established

centre close by to the Apollo Vredestein manufacturing plant in Enschede, The Netherlands.

I was fortunate enough to be invited to attend the opening event in Enschede and was impressed by the professional and dedicated ambition of Apollo who openly admits their objective of joining the leading ‘A’ brand of tyre manufacturers by 2016. Just over five years ago nobody had even heard of Apollo and if they achieve their ambition and become part of the elite tyre producers it will be a remarkably short path to the top. I certainly would not bet against such an impressive achievement.

It seems Apollo place great emphasis on their presence in Europe having acquired Vredestein in 2009 and the new R&D Centre will be managed by over 100 research and development specialists, which includes twenty car tyre experts from India and Apollo’s Dunlop South Africa base in Ladysmith. So not only are the group placing even more serious investment in Europe but also bringing together three different distinct cultures to work together which for me underlines the theory that knowledge, skill and success can always overcome ethnic difficulties.

Apollo’s R&D centre in Enschede is currently

working on no less than 27 different development projects which are supported by appointed satellite development groups in Europe, South Africa and India. So there can be no doubt that Apollo intend to ‘hit the ground running’ when it comes to the future success of quality tyre production

Neeraj Kanwar, Vice Chairman & Managing Director, Apollo Tyres

RESEARCH HUB: Apollo’s new global R&D centre in Enschede

fOCuS

John Stone


leAdinG the fiGht bAck

Not all tyre manufacturers see the current economic slowdown in Europe and elsewhere as a doomsday signal. A number of companies are achieving high marks and some, like Apollo Tyres, which opened its global R&D centre in Enschede, the Netherlands, are taking on the situation as an opportunity to strengthen the fundamentals. It is refreshing to witness the actions of the company, which believes in the traditional saying - in times of adversity, the only real form of defence is attack

By John Stone

europe may well be in a much publicised financial downturn at the

moment, but I am pleased to say it is not all ‘Doom and Gloom’ in the tyre industry with a number of flagship companies achieving encouraging performances.

It has just been announced that German manufacturer Continental AG has posted increased sales revenue of 7 per cent to record an impressive € 32.7 Billion turnover for their 2012 Fiscal year. At the same time the group’s adjusted EBIT margin increased to 10.7 per cent, a rise of 0.6 per cent on 2011.

Also Dubai based Al Dobowi Group has confirmed its intention to significantly increase its personnel at its European headquarters in London with specific emphasis being placed on their sales, marketing and service market operations.

I have also noticed that technology continues to have a strong influence on the industry, as it should of course and the perfect example of this trend was endorsed a short time ago when Indian based tyre manufacturer – Apollo Tyres announced the opening of their new, custom built research and development

to become an important ‘nerve centre’ as the group fully recognise that Europe is considered one of the most advanced automotive markets in the world and their R&D expertise will strengthen Apollo’s working relationship with OE vehicle manufacturers.

I was also informed that straight away the R&D centre is currently working on no less than 27 different development projects which are supported by appointed satellite development groups in Europe, South Africa and India. So there can be no doubt that Apollo intend to ‘hit the ground running’ when it comes to the future success of quality tyre production.

under normal circumstances the announcement of the opening of a major tyre research and development complex would be enough for any company to handle. However, having had the opportunity to chat at length with Apollo’s Vice Chairman and Managing Director Neeraj Kanwar it seems the company had another progressive surprise up its sleeve as I was informed that simultaneously they had also just opened an additional office in London.

Neeraj pointed out that for some time it had been Apollo’s objective to create a ‘stand alone’ base to exclusively specialise in all marketing, product strategy and brand communication operations and the uK was considered the perfect location. When I asked him why London and not any other major city in Europe such as Amsterdam, Berlin or Rome? He informed me that as one of the leading financial cantres of the world, London was the perfect choice as it enabled the group to further enhance their investment relations and banking activities in the future.

I came away from Enschede with the distinct feeling that I had witnessed an important event in the future of the global tyre industry. That may sound like a bold statement but in such uncertain times for all industries it is refreshing to witness the actions of a company who believe in the traditional saying -in times of adversity – the only real form of defence is attack!

I am sure that a number of people in the global tyre industry are watching the steady progress of Apollo very carefully and perhaps trying to work out how they can follow their example in growth management. As we ease into yet another trading year it is going to be interesting to see who the pace-leaders are going to be in hopefully restoring the industry to an even higher level of stability.

Nerve centreIt was made quite clear that this new R&D centre is destined to play a key role in Apollo’s desire to create innovative, cutting edge technology towards the future development of cars and van tyres. However the centre is not yet complete as it was announced that this year a special Material Laboratory will be established

centre close by to the Apollo Vredestein manufacturing plant in Enschede, The Netherlands.

I was fortunate enough to be invited to attend the opening event in Enschede and was impressed by the professional and dedicated ambition of Apollo who openly admits their objective of joining the leading ‘A’ brand of tyre manufacturers by 2016. Just over five years ago nobody had even heard of Apollo and if they achieve their ambition and become part of the elite tyre producers it will be a remarkably short path to the top. I certainly would not bet against such an impressive achievement.

It seems Apollo place great emphasis on their presence in Europe having acquired Vredestein in 2009 and the new R&D Centre will be managed by over 100 research and development specialists, which includes twenty car tyre experts from India and Apollo’s Dunlop South Africa base in Ladysmith. So not only are the group placing even more serious investment in Europe but also bringing together three different distinct cultures to work together which for me underlines the theory that knowledge, skill and success can always overcome ethnic difficulties.

Apollo’s R&D centre in Enschede is currently

working on no less than 27 different development projects which are supported by appointed satellite development groups in Europe, South Africa and India. So there can be no doubt that Apollo intend to ‘hit the ground running’ when it comes to the future success of quality tyre production

Neeraj Kanwar, Vice Chairman & Managing Director, Apollo Tyres

RESEARCH HUB: Apollo’s new global R&D centre in Enschede

fOCuS

John Stone


GREEN

keeping pace with the rapidly evolving industry trends is not an option. This simply has to

be done. Tire Technology Alliance (TTA), German-funded, Qingdao-based company proposed its Blue Concept in 2011 to take the developments on the Green front further, Hongwei Li, Ph.D, General Manager and Chief Engineer, told Polymers & Tyre Asia in an interview.

“TTA Blue Technology is taking the developments of the current Green technology further up. Blue is the next generation green. From the purchase of raw material to the process of manufacture, from the using the product to the recycling of scrap tyre, our effort is to improve upon the green tyre technology, raising it to a higher level,” she said.

Blue tyre technology improves energy conservation, reduces emission and helps cost savings. The focus is on the choice of environment friendly raw material and reduction of tyre weight, Hongwei added.

TTA’s blue strategy is based on optimised production standards and quality specification driven by advanced technical support. The impact on

Tyre manufacturing technology has evolved dramatically, driven by the changing market dynamics as well as mandated by new norms that lay stress on environmental sustainability. Green is the buzz word. Companies are also striving to add more value to the sustainability factor by focusing research and development efforts on going beyond green in order to maximise the positive impact on environment. The Blue Technology by Qingdao-based Tire Technology Alliance (TTA) is one such effort that has caught the industry’s attention. Dr Hongwei Li, Ph.D, General Manager and Chief Engineer, TTA, calls it “the next generation of Green”

Green TO blue

By PTA News Bureau

Tyre manufacturing technology has evolved dramatically, driven by the changing market dynamics as well as mandated by new norms that lay stress on environmental sustainability. Green is the buzz word. Companies are also striving to add more value to the sustainability factor by focusing research and development efforts on going beyond green in order to maximise the positive impact on environment. The Blue Technology by Qingdao-based Tire Technology Alliance (TTA) is one such effort that has caught the

Dr Hongwei Li, Ph.D, General Manager and Chief Engineer, TTA, calls it “the next

Siegfried Ratzeburg, Chairman, TTA

Dr Hongwei Li, Ph.D, General Manager and Chief Engineer

TTA’s blue strategy is based on optimised production standards and quality specification driven by advanced technical support. The impact on environment is more positive than what the current green technology can offer


environment is more positive than what the current green technology can offer, she claimed.

Hongwei said: “The process involves Sing-Step-Mixing technology (SSM), Automatic Rubber Preparation technology (ARP) and Sulfur Additive Preparation technology (SAP). All these systems are quite distinct from traditional tyre production methods. They can improve the overall productivity and quality through low energy consumption and with less number of operators.”

The production strategy focuses on pattern design with advanced formulas, generating optimum quality and tyre performance. Advanced technology also helps increase the recyclability rate of tyre parts and expands the scope of application better than green technology, she stressed.

Less fuel, noiseAccording to her, blue tyre technology helps reduce fuel consumption by 2%-3%, shortens wet braking distance by 3-6 metres, reduces noise and enhances riding comfort. “With today’s green technology, we can get C/C level of the new Eu label law. But with TTA’s blue technology, we can get B/A, A/B or A/A,” she said.

TTA’s blue technology has received widespread recognition from rubber and tyre industries. It also brought great positive impact on China tyres’ design, production and manufacture since it was introduced in 2011. The development has sparked keen interest, especially in saving on raw materials.

“TTA introduced Single-Step-Mixing (SSM) technology, which needs less investment and uses less energy, but can help achieve higher productivity and higher quality. The SSM technology has set off a mixing technology revolution in China, which will have profound influence on China’s rubber and tyre industries,” she said.

The company has been promoting its newest Automatic Rubber Preparation (ARP) technology to reduce the effect of raw material fluctuation

on mixing process and to increase the production efficiency of raw materials preparation. Further, it also improves the quality of mixing.

To develop these new technologies, TTA has invested over $3 million for its technology research. “Over the last three years, our company workforce strength has grown up from 9 to 40. We have engineers with long work experience. It is this strategic planning and thrust for innovation that has helped us maintain our competitive edge,” she added.

Blue futureHongwei feels that TTA’s blue technology in raw material consumption, design and production will get more attention from global tyre industry in the future.

“The whole tyre industry will show interest in this new concept as it saves on raw material consumption, guarantees performance and protect environment. Secondly, future tyres will have to meet high requirements on safety, low noise and comfort etc.”

Hongwei also believes that natural rubber will not be able to satisfy the demands of tyre industry. With the continuing advancement of new technology, tyre industry will be able to reduce its dependence on the natural rubber. That will depend upon new raw material development, recycling technology of waste and scrap rubber as well as tyre as well as the development of synthetic rubber technology .

She also thinks that the industry can live up to the expectations of sustainability and environment friendliness.

“We always hold the position that tyre industry realise the sustainable development through scientific and technological progress. Blue technology can certainly carry forward sustainable development.

TTA (Qingdao) Tire Technology Co., Ltd was established in 2009, specializing in professional tyre technology services. It adopts mature technology in radial tyre, especially in PCR tire, architecture design, formula design, process design, quality control, simulation and compound mixing SSM.

Its business involves four areas - PCR technology, advanced mixing technology, measurement machine’s design, development and manufacture and the PRIMMAX and ARCRON brands of tyres.

At present, TTA provides PCR tyre design, production and quality control technology for many tyre enterprises. “The technology is highly praised by customers and we get high recognition from our partners. This business is expected to have greater development in 2013,” Hongwei said.

The company developed Tack Measurement Analyzer (TMA) in 2012, which has won wide market recognition as there is no proper tack measurement machines in the Chinese market.

Blue Technology is taking the

developments of the current

Green technology further up.

Blue is the next generation

green. From the purchase of raw material to the process of manufacture,

from the using the product to

the recycling of scrap tyre,

the effort is to improve upon the green tyre

technology, raising it to a

higher level


tyres And pAhs

Although the use of polycyclic aromatic hydrocarbons (PAHs) in tyre has virtually come to an end following the ban on its use, there are still remnants that are a cause of concern. One of the largest man-made sources of PAHs that contribute to health problems and environmental damage are from vehicle emissions and tyre wear, besides wood-burning. A groundbreaking recent research by Dr Roger Westerholm, Director of Studies in the Department of Analytical Chemistry of Stockholm University, and his team, however notes that there are still several knowledge gap about tyres and PAHs

PTA News Bureau

many chemicals and oils used in the manufacture of tyres are suspected to be carcinogenic

and a threat to the environment. Dr Roger Westerholm, Director of Studies in the Department of Analytical Chemistry of Stockholm university and his research team, have undertaken studies on the subject. However, in an interview to Polymers & Tyre Asia he said that there are several gaps in our knowledge about tyres and PAHs. Bridging the knowledge gap calls for further research as motorists and the general public are becoming more aware of environmental issues.

During tyre manufacturing, extender oils are used that could contain various levels of PAHs. They are found in passenger car tyres, light and heavy truck tyres, agricultural tyres and motorcycle tyres. Due to the presence of these PAHs,

several extender oils have been classified as carcinogenic, mutagenic and toxic to reproduction.

Dr Westerholm and his research team have found that tyres could be a potential source of carcinogenic dibenzopyrenes. They are a type of PAH that exist in highly aromatic oils used as softeners during the tyre-making process. These carcinogenic and mutagenic environmental toxins are found to have long-lasting impact on humans and aquatic life. This is the major reason for banning its use under the Eu Directive 2005/69/EC to phase out PAH-rich oils and replace them with low-PAH alternatives such as mild extracted solvates (MES) and treated distillate aromatic extracts (TDAEs).

The aim of the regulation was to reduce PAH emissions stemming from tyre tread wear at least by 98 per cent. Extender oils

are disallowed for tyre production or its parts if they contain more than 1 mg/kg BaP or more than a total of 10 mg/kg of all listed PAHs.

Tyre makers are expected to have met the regulation criteria if the polycyclic aromatic (PCA) extract is less than 3 per cent by mass, as measured by the Institute of Petroleum standard. Tyres and treads for retreading manufactured after Jan 1, 2010 may not be placed on the market if they contain extender oils that exceed these limits.

Environmental hazardDr Westerholm believes that even tyre scraps that are piled up for recycling and the process of pyrolysis are hazardous to humans and the environment. The Stockholm researchers found this after analysing both winter and summer

tyres of different manufacturers after conducting pressurised fluid extraction to analyse PAHs.

Scientists frown at these chemicals because they are the “worst of the worst” as they remain in the environment for a long time, accumulate in human and animal bodies and get into the food chain and affect the nervous and reproductive systems that will linger for generations.

The Stockholm team found that the average of the main dibenzopyrenes found in tyres was lower than what was found in diesel and petrol exhaust emissions from vehicles. Their research has concluded that tyres are a major source of highly carcinogenic dibenzopyrenes, an issue that was not known previously.

Tyres usually consist of about 40−60 per cent of rubber polymers, 20−35 per cent reinforcing agents or fillers such as carbon black or silica and 15−20 per cent of mineral oils such as extender oils that are used as softeners. Highly aromatic oils used as extender oils or softeners in the tyre-manufacturing process have concentrations of PAHs ranging between 10 to 30 per cent.

The researchers have said that new tyres or tyre treads used for retreading after Jan 1, 2010 may not contain extender oil with PAHs but those that were produced prior to this date have not been covered by these threshold values and may still be sold on the market. It has been estimated that the replacement of HA-oils will reduce the PAH emission originating from tyre-tread-wear by 98%.

Another material known to contain PAHs in tyres is carbon black, which is used as a reinforcement material to give tyres properties of abrasion resistance and tensile strength. By replacing HA-oils with alternative extender oils, carbon black may well become a relatively more important source to PAHs than the extender oil used in the tyre manufacturing.

The Stockholm researchers have also noted that airborne tyre-debris particles are a source of concern because they can get deposited in the respiratory system when inhaled.

Another worrying factor is the release into the environment of PAHs from stockpiled scrap tyres, PAH emissions from pyrolysis, leaching of PAHs from recycled tyre rubber materials. The problem remains throughout the entire lifecycle of the tyre. It is surmised that tyre tread wear could

be a larger contributor to environmental damage than diesel vehicle exhaust.

Tyre particlesExplaining how serious is the current situation arising out of PAHs although it is no longer widely used in tyre manufacturing following the ban, Dr Westerholm noted that “the content of PAHs originating from carbon black in tyres is not known as we have not investigated any tyres without highly aromatic extender oils.”

Furthermore, tyres used for busses and trucks have not been investigated with respect to their PAH contents. “At least in Sweden, such tyres do not contain highly aromatic extender oils,” he said in the interview.

He believes that PAHs still continue to be a threat as many end-of-life-tyres used for pyrolysis could engender the environment. “Pyrolysis being an

incomplete combustion process will lead to the formation of PAHs regardless of its original content of PAH in the tyre,” he contended.

When asked why he thought that carbon black could become an important source of carcinogen in the context of the use of alternative extender oils, Dr Westerholm said more studies are needed to know the relative contribution of PAHs from extender oils or carbon black in tyres.

“Highly aromatic extender oils are banned in the European Union since the first of January 2010. We know that carbon black contains PAHs, but we do not know the relative contribution of PAHs from extender oils or carbon black in tyres,” he said.

It is found that by “replacing highly aromatic oils with alternatives would result in a reduction of PAH emissions originating from tyre tread wear by 98 per cent. However, carbon black was not recognised as a source to PAHs in the tyre rubber in the same study. The carbon black content in tyres varies between 15 to 20 per cent,” he explained.

Commenting on the perceived threat to the environment from tyre particles, he said that even though a substantial amount of research has been conducted in this area, it is not known what impact tyre tread wear particles has to the environment.

“It depends on where the tyre particles end up in the environment i.e., ambient air, water, roadside environments and who or what is exposed to i.e., humans or animals. Also very little is known about the bioavailability of PAH from tyre rubber. One measure would possibly be — in the context of road environment — the development of PAH-free tyre tread where carbon black also has been replaced with suitable alternative without compromise on safety.”

Commenting on the tyre disposal problems, Dr Westerholm said scrap tyres are considered as a serious environmental problem both when incinerated which generates PAHs and leaching of PAHs from stockpiled scrap tyres or recycled tire rubber material.

More research is called for to fill the knowledge gap about tyres and PAHs. Thanks to the growing popular awareness about tyres and environmental sustainability, green mobility is set to become more greener as researchers like Dr Westerholm further probes into PAHs to fill the knowledge gap.

During tyre manufacturing,

extender oils are used that could contain various levels of PAHs. They are found in passenger car tyres, light and heavy truck tyres, agricultural tyres and motorcycle tyres. Due to the presence of these PAHs, several extender oils have been classified as carcinogenic, mutagenic and toxic to reproduction

Scrap tyres are considered as a

serious environmental problem both when incinerated which generates PAHs and leaching of PAHs from stockpiled scrap tyres or recycled tire rubber material

GREEN


tyres And pAhs

Although the use of polycyclic aromatic hydrocarbons (PAHs) in tyre has virtually come to an end following the ban on its use, there are still remnants that are a cause of concern. One of the largest man-made sources of PAHs that contribute to health problems and environmental damage are from vehicle emissions and tyre wear, besides wood-burning. A groundbreaking recent research by Dr Roger Westerholm, Director of Studies in the Department of Analytical Chemistry of Stockholm University, and his team, however notes that there are still several knowledge gap about tyres and PAHs

PTA News Bureau

many chemicals and oils used in the manufacture of tyres are suspected to be carcinogenic

and a threat to the environment. Dr Roger Westerholm, Director of Studies in the Department of Analytical Chemistry of Stockholm university and his research team, have undertaken studies on the subject. However, in an interview to Polymers & Tyre Asia he said that there are several gaps in our knowledge about tyres and PAHs. Bridging the knowledge gap calls for further research as motorists and the general public are becoming more aware of environmental issues.

During tyre manufacturing, extender oils are used that could contain various levels of PAHs. They are found in passenger car tyres, light and heavy truck tyres, agricultural tyres and motorcycle tyres. Due to the presence of these PAHs,

several extender oils have been classified as carcinogenic, mutagenic and toxic to reproduction.

Dr Westerholm and his research team have found that tyres could be a potential source of carcinogenic dibenzopyrenes. They are a type of PAH that exist in highly aromatic oils used as softeners during the tyre-making process. These carcinogenic and mutagenic environmental toxins are found to have long-lasting impact on humans and aquatic life. This is the major reason for banning its use under the Eu Directive 2005/69/EC to phase out PAH-rich oils and replace them with low-PAH alternatives such as mild extracted solvates (MES) and treated distillate aromatic extracts (TDAEs).

The aim of the regulation was to reduce PAH emissions stemming from tyre tread wear at least by 98 per cent. Extender oils

are disallowed for tyre production or its parts if they contain more than 1 mg/kg BaP or more than a total of 10 mg/kg of all listed PAHs.

Tyre makers are expected to have met the regulation criteria if the polycyclic aromatic (PCA) extract is less than 3 per cent by mass, as measured by the Institute of Petroleum standard. Tyres and treads for retreading manufactured after Jan 1, 2010 may not be placed on the market if they contain extender oils that exceed these limits.

Environmental hazardDr Westerholm believes that even tyre scraps that are piled up for recycling and the process of pyrolysis are hazardous to humans and the environment. The Stockholm researchers found this after analysing both winter and summer

tyres of different manufacturers after conducting pressurised fluid extraction to analyse PAHs.

Scientists frown at these chemicals because they are the “worst of the worst” as they remain in the environment for a long time, accumulate in human and animal bodies and get into the food chain and affect the nervous and reproductive systems that will linger for generations.

The Stockholm team found that the average of the main dibenzopyrenes found in tyres was lower than what was found in diesel and petrol exhaust emissions from vehicles. Their research has concluded that tyres are a major source of highly carcinogenic dibenzopyrenes, an issue that was not known previously.

Tyres usually consist of about 40−60 per cent of rubber polymers, 20−35 per cent reinforcing agents or fillers such as carbon black or silica and 15−20 per cent of mineral oils such as extender oils that are used as softeners. Highly aromatic oils used as extender oils or softeners in the tyre-manufacturing process have concentrations of PAHs ranging between 10 to 30 per cent.

The researchers have said that new tyres or tyre treads used for retreading after Jan 1, 2010 may not contain extender oil with PAHs but those that were produced prior to this date have not been covered by these threshold values and may still be sold on the market. It has been estimated that the replacement of HA-oils will reduce the PAH emission originating from tyre-tread-wear by 98%.

Another material known to contain PAHs in tyres is carbon black, which is used as a reinforcement material to give tyres properties of abrasion resistance and tensile strength. By replacing HA-oils with alternative extender oils, carbon black may well become a relatively more important source to PAHs than the extender oil used in the tyre manufacturing.

The Stockholm researchers have also noted that airborne tyre-debris particles are a source of concern because they can get deposited in the respiratory system when inhaled.

Another worrying factor is the release into the environment of PAHs from stockpiled scrap tyres, PAH emissions from pyrolysis, leaching of PAHs from recycled tyre rubber materials. The problem remains throughout the entire lifecycle of the tyre. It is surmised that tyre tread wear could

be a larger contributor to environmental damage than diesel vehicle exhaust.

Tyre particlesExplaining how serious is the current situation arising out of PAHs although it is no longer widely used in tyre manufacturing following the ban, Dr Westerholm noted that “the content of PAHs originating from carbon black in tyres is not known as we have not investigated any tyres without highly aromatic extender oils.”

Furthermore, tyres used for busses and trucks have not been investigated with respect to their PAH contents. “At least in Sweden, such tyres do not contain highly aromatic extender oils,” he said in the interview.

He believes that PAHs still continue to be a threat as many end-of-life-tyres used for pyrolysis could engender the environment. “Pyrolysis being an

incomplete combustion process will lead to the formation of PAHs regardless of its original content of PAH in the tyre,” he contended.

When asked why he thought that carbon black could become an important source of carcinogen in the context of the use of alternative extender oils, Dr Westerholm said more studies are needed to know the relative contribution of PAHs from extender oils or carbon black in tyres.

“Highly aromatic extender oils are banned in the European Union since the first of January 2010. We know that carbon black contains PAHs, but we do not know the relative contribution of PAHs from extender oils or carbon black in tyres,” he said.

It is found that by “replacing highly aromatic oils with alternatives would result in a reduction of PAH emissions originating from tyre tread wear by 98 per cent. However, carbon black was not recognised as a source to PAHs in the tyre rubber in the same study. The carbon black content in tyres varies between 15 to 20 per cent,” he explained.

Commenting on the perceived threat to the environment from tyre particles, he said that even though a substantial amount of research has been conducted in this area, it is not known what impact tyre tread wear particles has to the environment.

“It depends on where the tyre particles end up in the environment i.e., ambient air, water, roadside environments and who or what is exposed to i.e., humans or animals. Also very little is known about the bioavailability of PAH from tyre rubber. One measure would possibly be — in the context of road environment — the development of PAH-free tyre tread where carbon black also has been replaced with suitable alternative without compromise on safety.”

Commenting on the tyre disposal problems, Dr Westerholm said scrap tyres are considered as a serious environmental problem both when incinerated which generates PAHs and leaching of PAHs from stockpiled scrap tyres or recycled tire rubber material.

More research is called for to fill the knowledge gap about tyres and PAHs. Thanks to the growing popular awareness about tyres and environmental sustainability, green mobility is set to become more greener as researchers like Dr Westerholm further probes into PAHs to fill the knowledge gap.

During tyre manufacturing,

extender oils are used that could contain various levels of PAHs. They are found in passenger car tyres, light and heavy truck tyres, agricultural tyres and motorcycle tyres. Due to the presence of these PAHs, several extender oils have been classified as carcinogenic, mutagenic and toxic to reproduction

Scrap tyres are considered as a

serious environmental problem both when incinerated which generates PAHs and leaching of PAHs from stockpiled scrap tyres or recycled tire rubber material


rubbER

Insufficient supply of natural rubber is not the only reason behind tyre makers’ increasing attention on synthetic rubber. Sustainable aspects like significant reduction of high-temperature hysteresis loss and rolling loss while increasing relative wear resistance of tyres have also encouraged companies to look more closely at SR, particularly Styrene-butadiene rubbers and Butadiene rubbers. Global giants like SIBUR are now stepping in to support the tyre industry by providing quality SBRs and BRs

SIBUr’S SBr POWEr

Styrene-butadiene rubbers (SbRs) have the biggest share in the global production of synthetic rubbers. It

contributed to 32% of total SR production in 2011. Their wide use stems from their good mechanical properties, suitability for manufacture of quality tyres and other rubber goods, and relative availability of the necessary monomers.

SbRs are general-purpose rubbers. They are mostly consumed in manufacture of tread rubber for passenger and light commercial tyres owing to their high road grip and wear resistance. SbRs are also used in other rubber products, such as conveyor belts, hoses, insulation materials, sealers, etc.

SIbuR, the largest integrated gas

processing and petrochemicals company in Russia, CIS as well as Central and Eastern Europe, is among a few companies in the world with synthetic rubber production which covers the entire manufacturing process chain for this product type, including separation of individual hydrocarbons, and manufacture of monomers and polymers.

The company produces SbRs at Tolyattikauchuk - with annual capacity of 60 ktonnes as of 2012 - and at Voronezhsintezkauchuk - with annual capacity of 80 ktonnes as of 2012. Modern industrial engineering and product certification to international quality standards ensure stable performance of SIbuR’s rubbers.

SIbuR produces a variety of grades. SKS-30 ARK is a product of low-temperature emulsion copolymerisation of butadiene and styrene with bound styrene content of 22–25% (mass). It is filled with non-staining antioxidant and emulsified with disproportionated or hydrogenated rosin salts. Rubbers produced from SKS-30 ARK with reinforcing fillers have high mechanical and wear strength. They are widely used in manufacture of various tyre parts, especially treads.

The company also offers grades SKS-30 ARKPN (emulsified with disproportionated or hydrogenated rosin salts and paraffinates), SKS-30 ARKM-15 (containing 14–17% of high-aromatic petroleum oil), SKS-30 ARKM-27

PRODUCTION BASE: SIBUR produces SBRs at Voronezhsintezkauchuk with annual capacity of 80 ktonnes as of 2012. There is another unit at Tolyattikauchuk with annual capacity of 60 ktonnes. (Photos courtesy: www.sibur.com)


(containing 26–29% of high-aromatic petroleum oil), and other products.

Solution SBRsTyre makers currently prefer styrene-butadiene rubbers produced by polymerisation in solution (S-SbRs), as they significantly reduce high-temperature hysteresis loss and rolling loss while increasing relative wear resistance of tyres. SIbuR’s S-SbR capacity is 23 ktpa as of 2012, and it continues expanding. The company is focused on process improvements and development of new grades and product niches.

In terms of their properties, S-SbRs containing 15–25% of styrene are in between emulsion SbRs and butadiene rubbers. Their highly linear structure allows their blends to take in more fillers and plasticisers without impairing plasto-elastic and strength properties. Rubbers have a pre-defined macro- and microstructure and contain segments with varying glass transition points, which results in a balance of performance properties that is unusual for general-purpose rubbers (low rolling loss despite increased wet road grip and wear life).

The high performance characteristics of S-SbR based tyres (low rolling resistance, low heat build-up, low hysteresis loss, improved road adhesion, etc.) make S-SbRs useful in manufacture of environment-friendy “green tyres”.

Butadiene rubbersbutadiene rubbers (bRs) have the second biggest share in the global production of synthetic rubbers after SbRs - over 20% in 2011. SIbuR produces bRs at Voronezhsintezkauchuk (capacity 84 ktpa as of 2012). SIbuR does not have to rely on external raw material suppliers, as its subsidiary Tobolsk-Neftekhim produces 207 ktpa of high-demand “A” grade butadiene.

SIbuR’s SKD grade rubber is a stereospecific butadiene rubber polymerised in solution using a titanium-based catalyst system, with a high proportion of cis-1.4 units (at least 87%). Molecular chains are highly linear. It is modified with non-staining antioxidant. Three groups of rubbers are produced with pre-defined viscosity levels.

bRs are general-purpose rubbers. They are most cold-resistant among all-hydrocarbon organic elastomers. Its high wear resistance, low friction, good strength properties, excellent elasticity, low hysteresis loss, and high cold

resistance make polybutadiene a very valuable synthetic rubber.

bR-based products are very flexible, non-freezing, and wear-resistant. Combination of bRs with other elastomers produces rubbers with high dynamic fatigue strength and abrasive resistance. Such rubbers find large application in manufacture of tyre treads and sidewalls, conveyor belts, non-freezing V-belts, hoses, asbestos products, cable insulation, etc. butadiene rubber is also used for making cold-resistant rubber footwear.

SKD-ND gradesSIbuR’s Voronezhsintezkauchuk plant also produces SKD-ND, a bR grade with narrow molecular-weight distribution and low cold flow. The product was developed by the plant’s R&D team in 2010. Its properties are suitable for application in “green tyres”, including premium-class high-speed tyres. Its output reached 21 ktpa in 2012.

SKD-ND is produced by polymerisation of butadiene in solution, using complex neodymium catalysts, with at least 96% of cis-1.4 units. It is filled with staining antioxidant. Three groups of rubbers are produced with pre-defined viscosity levels.

Due to the high proportion of cis-1.4 units, SKD-ND improves stress-strain properties of vulcanised stock, resulting in tread rubber having better adhesion and lower rolling loss, fuel consumption, and wear. SKD-ND also improves elasticity and dynamic fatigue strength of a product. It is compatible with isoprene and styrene-butadiene rubbers.

Replacing SbRs and bRs with S-SbRs and SKD-ND can reduce rolling resistance and improve wet road grip, which eventually results in lower fuel rates. Environmental protection (estimates show that the use of new grades can reduce emissions by as much as 20%) and road safety are the main priorities for new tyre labelling regulations (effective in Japan and the Eu, expected in the uS from 2016), which largely determine the development of solution rubbers. Environment friendliness, safety, and durability of tyres manufactured from S-SbRs and SKD-ND guarantee a high demand for these products.

R&D CentreThe company’s new Synthetic Rubbers Research and Development Centre is

designed to facilitate exploration with high implementation risks to ensure sustained innovations excellence in the market. In addition to fostering SIbuR’s technology competencies in synthetic rubbers, the centre will also engage in commercialising SIbuR’s synthetic rubber innovations, helping to prepare process design packages for further licensing and contributing to joint development programmes and production engineering.

Previously, synthetic rubbers R&D used to be carried out at the NIOST Laboratory for Synthetic Rubbers. The new R&D centre, as well as NIOST, SIBUR’s corporate scientific centre for chemical technologies, will participate in building and implementing research and development programmes along with advanced scientific and engineering activities. With the stand-alone rubbers R&D Centre set up, SIbuR’s R&D structure is now complete.

The centre leverages the platform and expertise of Voronezhsintezkauchuk’s former technical research facility and the NIOST Laboratory for Synthetic Rubbers. The R&D Centre headcount will total 70 people. The Voronezh site was considered the best choice for the new Centre due to its solid science and technology platform, capacities for the rapid introduction of innovations, convenience in terms of technical service, and prospective development of pilot units at the Voronezhsintezkauchuk site.

“Not only should the new Centre become the company’s major R&D hub in its field, but it should also act as a sponsor of conceptual research by third-party entities,” says Vasily Nomokonov, SIbuR’s Managing Director, Production Efficiency, Power Engineering, and Innovations

R&D HUB: SIBUR’s new Synthetic Rubbers Research and Development Centre is designed to facilitate exploration with high implementation risks to ensure sustained innovations excellence in the market

PRODUCTION BASE: SIBUR produces SBRs at Voronezhsintezkauchuk with annual capacity of 80 ktonnes as of 2012. There is another unit at Tolyattikauchuk with annual capacity of 60 ktonnes. (Photos courtesy: www.sibur.com)

An ISO 9001: 2008 Certified

Reg. Office: 3A, 3rd floor, Eastern corporate office, 34/137 E, N.H. By pass, Edappally P.O, Kochi, Kerala State, Pin-682 024, Ph: 91-484-3001100, Fax: 3001110

Mobile: 91-94479 74893, 093886 04092. E-mail: [email protected] Website: www.easterntreads.com

Factory: Oonnukal, Ernakulam – 686 693, Kerala, Phone: +91-485-2855448, 2856555

PRODUCTS

Tread RubberPre Cured Tread RubberBonding GumBlack Vulcanising SolutionTyre Repair Patches

An ISO 9001: 2008 Certified

Reg. Office: 3A, 3rd floor, Eastern corporate office, 34/137 E, N.H. By pass, Edappally P.O, Kochi, Kerala State, Pin-682 024, Ph: 91-484-3001100, Fax: 3001110

Mobile: 91-94479 74893, 093886 04092. E-mail: [email protected] Website: www.easterntreads.com

Factory: Oonnukal, Ernakulam – 686 693, Kerala, Phone: +91-485-2855448, 2856555

PRODUCTS

Tread RubberPre Cured Tread RubberBonding GumBlack Vulcanising SolutionTyre Repair Patches


rubbER

Nr markEt IN fOr ImmINENt glOOm

NR prices which have skyrocketed to as much as to $5 in the recent past is in for a steep fall according to experts mainly on account of the lingering economic slowdown with its negative impact on NR demand mainly by the auto sector. According to Dr Hidde P Smit, renowned NR market analyst and former Secretary General of IRSG, prices will recover only towards the end of the decade after nose-diving to as low as USD2 a kg in the next few years. Other experts like Jom Jacob, former senior economist of ANRPC is also of the view that In the prospective, despite a very low supply, NR market is unlikely to gain momentum until the global economy takes a clear recovery path.

By Saj Mathews

the forecast of the price of NR for 2011, made by experts in July 2011, was uS$ 4.59. This turned out to

be close to what the full year data would show: uS$ 4.52. In 2011, the expected growth in consumption for 2012 was 6.1%, resulting in a forecast of the price of NR in 2012 of uS$ 3.66. However, the current estimate for the growth of total rubber consumption is only 2.8%.

“The forecast for the price in 2012 is now uS$ 3.11. This includes an estimated level of 85,000 tonnes of government stocks, supporting the price. Prices are expected to decline to levels of around uS$ 2.50 for a few years and then further down to around uS$ 2.00. Towards the end of the decade prices will recover” says Dr Hidde Smit in an exclusive article written for Rubber Asia, sister publication of PTA.

Growth in world rubber consumption (natural and synthetic) is affected by the usual economic cycles. After a recession, growth rates in rubber consumption are normally around 5%. In 2010, however, growth was 15.3%, says Dr Smit

The pastAccording to him, the combination of structurally low NR supply potential and extremely high growth in demand in


2010 has resulted in historically low NR stock levels. This unusually low carry-over stock of 7.2 weeks consumption at the end of 2010, combined with the effect of the wintering period in the first half of 2011, resulted in NR prices occasionally increasing to levels above uS$ 6.-- in early 2011. Without the calamities and the financial crisis, 2011 would have been a repetition of 2010, with an extremely tight market.

“The extremely high rate of total rubber consumption growth in 2010 was followed by consumption growth of 4.1% in 2011. The expectation in July 2011 that 2012 would be better than 2011 has not materialized. On the contrary, 2012 was worse” says Dr Smit

The future The two pillars determining the price and the market share for NR are total

rubber consumption growth and growth in normal production. “The period 2002-2007 clearly shows higher consumption growth than NR normal production growth, leading to increasing prices. The current estimates show that already in 2012 total rubber consumption growth will be lower than normal production growth. This will continue for quite a number of years” explains Dr Smit.

Which direction does the market move in the short-term? Acording to Jom Jacob, former senior economist of ANRPC, the answer is that eeconomic uncertainties are likely to reduce the appetite for speculative investments and investors would rather prefer safe-haven gold and strong currencies. As such, despite a very low supply, NR market is unlikely to gain momentum until the global economy takes a clear recovery path.

Demand-Supply trendsThe supply situation of Thailand, the World’s top producer of NR is important to clearly understand the emerging global demand supply.

Though the yielding area expanded this year by 115,000 ha, average yield is on a decline. All indications are that supply cannot rise beyond 0.6% this year.

Meanwhile, the export curtailment under the ITRC can take the supply to negative territory. It may be recalled that ITRC decided to curtain exports by 300,000 ton during the period from October 2012 to March 2013.

In respect of supply from Indonesia during 2012, the yielding area expanded 67,000 ha in 2012. However a fall in average yield this year will bring down production by at least 0.1%. Here also ITRC’s intervention can further lower the supply.

In the case of Supply from Malaysia in 2012, area under tapping has come down by 17,000 ha and there is a decline in average yield this year. It is estimated that this year’s supply will be lower by at least 4.7%

“This year’s low supply and the seasonal down beginning from December 2012 will stay as a plus factor until May 2013. but, the demand-prospects heavily depend on the emerging global economic situation. IMF’s forecasts do not favour a revival of the demand sector during 2012.

No marked recovery is expected for 2013 either. It may be noted that oil forecasts are not favourable to NR at least till the end of 2013” says Jom Jacob.

Economic uncertainties

are likely to reduce the appetite for speculative investments and investors would rather prefer safe-haven gold and strong currencies. As such, despite a very low supply, NR market is unlikely to gain momentum until the global economy takes a clear recovery path

INDIAN RUBBER MANUFACTURERS RESEARCH ASSOCIATION (IRMRA)

(Affiliated to Ministry of Commerce and Industry, Govt. of India)

NABL ACCREDITATED LABORATORY(NABL–ISO/IEC 17025:2005)

Also Certified by

ISO – 9001: 2008, BIS & UL (Underwriters Laboratory) USA

IN THE SERVICE OF NATION FOR MORE THAN 50 YEARS “CENTRE OF EXCELLENCE FOR TYRE RESEARCH & TESTING”

FACILITIES AVAILABLE FOR TWO / THREE WHEELER / PASSENGER / LCV / COMMERCIAL VEHICLE TYRES AS UNDER:

For further details please contact:

Dr. P.Thavamani, Director Indian Rubber Manufactures Research Association (IRMRA) (Affiliated to Ministry of Commerce & Industry, Govt. of India) Plot No.254 / 1 B, Road No.16 V, Wagle Industrial Estate, Thane - 400 604

[email protected]

Tyre Durability Test (Endurance)

Tyre Strength Test (Plunger Test)

Tyre Bead unseating Test

Tyre Dimension (SW, OD and TWI)

Tyre Dynamic Growth Test

Tyre Stiffness Test (Radial / Lateral / Tangential (Cornering Stiffness)

Tyre Rolling Resistance Test (SLR. DLR, Rolling circumference)

NVH Analysis

(All as per standards, both National, International & customers specifications

Service to:

Automotive Tyre Industries

Major OEM

Defence Sector

INDIAN RUBBER MANUFACTURERS RESEARCH ASSOCIATION (IRMRA)

(Affiliated to Ministry of Commerce and Industry, Govt. of India)

NABL ACCREDITATED LABORATORY(NABL–ISO/IEC 17025:2005)

Also Certified by

ISO – 9001: 2008, BIS & UL (Underwriters Laboratory) USA

IN THE SERVICE OF NATION FOR MORE THAN 50 YEARS “CENTRE OF EXCELLENCE FOR TYRE RESEARCH & TESTING”

FACILITIES AVAILABLE FOR TWO / THREE WHEELER / PASSENGER / LCV / COMMERCIAL VEHICLE TYRES AS UNDER:

For further details please contact:

Dr. P.Thavamani, Director Indian Rubber Manufactures Research Association (IRMRA) (Affiliated to Ministry of Commerce & Industry, Govt. of India) Plot No.254 / 1 B, Road No.16 V, Wagle Industrial Estate, Thane - 400 604

[email protected]

Tyre Durability Test (Endurance)

Tyre Strength Test (Plunger Test)

Tyre Bead unseating Test

Tyre Dimension (SW, OD and TWI)

Tyre Dynamic Growth Test

Tyre Stiffness Test (Radial / Lateral / Tangential (Cornering Stiffness)

Tyre Rolling Resistance Test (SLR. DLR, Rolling circumference)

NVH Analysis

(All as per standards, both National, International & customers specifications

Service to:

Automotive Tyre Industries

Major OEM

Defence Sector

54 POLYMERS & TYRE ASIA February/March 201354 POLYMERS & TYRE ASIA February/March 201354 POLYMERS & TYRE ASIA February/March 2013 POLYMERS & TYRE ASIA February/March 2013 55

COVERSTORy

aSIa’S tECH Call

With the fundamentally strong Asian economies, particularly that of India and China, taking on another economic slow-down, tyre and rubber sectors are once again facing testing times. Sharing of new ideas and experience and power networking become highly significant. This has increased the relevance of Asian Tyre and Rubber Conference 2013 (ATRC), Asia’s biggest tyre industry conference with global participation, which will be held on June 21-22, in Chennai. The theme is, aptly, ‘Technology Advancement and Innovations: Road to a Green Planet’

atrC 2013:

the Asian emergence in global economy has been slow, but steady, and by now this continental shift

from the West to the East has established the region’s potential to remain the most favoured investment destination for a long time to come. Led by China and India, the Asian economic environment has emphatically proved its resilience to crises during the recent periods of slowdown when the much acclaimed developed economies appeared clueless. bigger populations and liberal doses of well-timed government deregulations have a

lot to do with this remarkable rise. A more significant feature has been the region’s better adaptability to the principles of globalisation that carried the stamp of prudence and pragmatism.

From IT to heavy industries, the Asian economic landscape has provided fertile grounds to grow, and grow they did at a tremendous pace. The huge markets have been pampering the world’s biggest consumer base with products and services at highest quality. The amazing growth of the automobile industry and its knock-on thrust on allied natural rubber

By Raghav Varma

POLYMERS & TYRE ASIA February/March 2013 55POLYMERS & TYRE ASIA February/March 2013 5554 POLYMERS & TYRE ASIA February/March 2013 POLYMERS & TYRE ASIA February/March 2013 55

COVERSTORy

aSIa’S tECH Call

With the fundamentally strong Asian economies, particularly that of India and China, taking on another economic slow-down, tyre and rubber sectors are once again facing testing times. Sharing of new ideas and experience and power networking become highly significant. This has increased the relevance of Asian Tyre and Rubber Conference 2013 (ATRC), Asia’s biggest tyre industry conference with global participation, which will be held on June 21-22, in Chennai. The theme is, aptly, ‘Technology Advancement and Innovations: Road to a Green Planet’

atrC 2013:

the Asian emergence in global economy has been slow, but steady, and by now this continental shift

from the West to the East has established the region’s potential to remain the most favoured investment destination for a long time to come. Led by China and India, the Asian economic environment has emphatically proved its resilience to crises during the recent periods of slowdown when the much acclaimed developed economies appeared clueless. bigger populations and liberal doses of well-timed government deregulations have a

lot to do with this remarkable rise. A more significant feature has been the region’s better adaptability to the principles of globalisation that carried the stamp of prudence and pragmatism.

From IT to heavy industries, the Asian economic landscape has provided fertile grounds to grow, and grow they did at a tremendous pace. The huge markets have been pampering the world’s biggest consumer base with products and services at highest quality. The amazing growth of the automobile industry and its knock-on thrust on allied natural rubber

By Raghav Varma

56 POLYMERS & TYRE ASIA February/March 201356 POLYMERS & TYRE ASIA February/March 2013

COVERSTORy

and tyre sectors has naturally turned the region into the most thriving hub for major as well as minor players. The Asian market practically defines auto and tyre industries.

The Asian Tyre and Rubber Conference (ATRC) made its debut in 2011 in this highly positive backdrop. There is no better region than Asia and no better place than India, one of the two biggest auto-tyre markets in the world, for the global leaders and experts of rubber and tyre industries to gather under one roof and share ideas. Polymers & Tyre Asia, the magazine from Dhanam Publications that tracks the tyre world most comprehensively, sought to drive home this point and bring together the best in the industry where challenges could be talked about, solutions suggested, ideas floated and knowledge shared.

Value additionThe tremendous response and the huge success of the 2011 debut has naturally driven expectations high for the second edition of the biennial conference, ATRC 2013, which has been designed on a much higher level. It will be held on June 21-22, 2013 at Hyatt Residency in Chennai, India’s most vibrant hub for automobile and tyre industry, which hosts several global majors.

VMI, the globally renowned equipment manufacturer, reputed for their innovative ideas and creativity, is the Corporate Sponsor of ATRC 2013. The event is also being supported by leading tyre manufacturing and tyre machinery companies like BKT, Infinity, MESNAC and bainite as Co-sponsors, Strutkol as Laynard Sponsor and TechSci Research as Tea & Coffee Sponsor.

There is another major reason for the organisers’ confidence over ATRC. Dhanam Group has a record of hosting high profile business conferences such

as the annual Indian Rubber Summit and Dinner (IRSD) organized by Rubber Asia, the Group’s globally popular rubber magazine that celebrated its 25th year in 2012, and the Dhanam business Summit. Both have proven success, reflecting the level of excellence in conceiving and executing world class conferences.

Renowned rubber technologist and consultant Zachariah George, Chairman of the ATRC Organising Committee, says:

“ATRC 2011 was a pioneering effort, for the first time in India focusing exclusively on tyre and rubber industry. We had an array of fantastic speakers and high profile delegates and we witnessed full-house participation throughout the two days of the conference, till the very end. This happens very rarely.”

“We can proudly say that the event has set a benchmark for excellence. Quite a lot of hard work and planning had gone into it. Obviously the quality of speakers and the subjects chosen attracted highest level of attention from the participants. The exciting interactive sessions, particularly during the panel discussion on branding excellence and benchmarking, showed how the audience was taken in by the speakers,” George added.

He promises that ATRC 2013 will be even better than the first effort with a wider range of subjects and presentations of greater value to the participants.

Green tech themeThe theme of ATRC 2013, “Technology Advancements and Innovation: Road to a

There is no better region than Asia and no better place than India, one of the two biggest auto-tyre

markets in the world, for the global leaders and experts of rubber and tyre industries to gather under one roof and share ideas. Polymers & Tyre Asia, the magazine from Dhanam Publications that tracks the tyre world most comprehensively, sought to drive home this point and bring together the best in the industry where challenges could be talked about, solutions suggested, ideas floated and knowledge shared

TENTATIVE LIST OF SPEAKERS, ATRC 2013

Harm J Voortman / Michael Norman, VMI Group, Netherlands

Sir Tom Farmer, Kwik Fit, uK

Surinder Kandhari, Al Dabowi Group, Dubai,

Martin Schuermann, Klockner Desma, Germany

Colin Clarke of Schill and Seilacher, Germany,

Jacob Peled, Pelmar, Israel

Harvey Brodsky, RTA, uSA

Dato’ Dr. Kamarul Baharain, ANRPC, Malaysia

Fazilet Cinaralp, ETRMA, Holland,

Michael Stops of A-Z Formen und Maschinenbau, GmbH, Germany,

Samuel Liew, HIS Chemical, Singapore

David Stevens, TRIb, uSA

Narendra Kajale, Du Pont

Robert G. Sherkin, Dynamic Tire Corp, Canada

Oguz Karcier, Oerliken Saurer, Germany

Tyra Lester, Columbian Carbon, uSA

Dr. James Jacob, RRII, Kottayam, India

Will Mars, Endurica LLC, uSA

Botond Szalma, Teijin Aramid b.V., Netherlands

A.K. Krishnakumar, IL&FS, India

Rajiv Budhraja, ATMA, Delhi, India


Green Planet,” has been carefully picked to focus on the most relevant issues in tyre industry. “In the current highly competitive scenario, it is an established and accepted fact that progress and success of an organisation is entirely dependent on adoption of the latest technologies and with creativity and innovation in all spheres of activity. The impact of manufacturing operations and technologies adopted on the environment is a subject which has been given great priority and importance.

All of us have realised that this is essential for the survival of our planet and we have had sufficient warnings on the effects of global warming and climate changes which have resulted in recent catastrophic calamities with terrible loss of lives and property. The theme of the conference is considered appropriate and hopefully will highlight the synergy needed between technology and innovation in

manufacturing and its impact on the environment,” George said.

A host of eminent speakers on focused subjects offer information of the greatest value to the participants. In addition to the excellent papers being presented with the primary objective of providing valuable technology inputs and generation of ideas, there will be ample opportunities for networking, renewing contacts, meeting up with old friends, establishing new business ventures and generally having fun.

“This is one of the greatest advantages of a Conference of this nature and we have given adequate importance and encouragement for providing sufficient time for this activity,” George pointed out.

Natural Rubber, the major polymer used by the tyre industry, and synthetic rubber, which is establishing its growing position, will find a prominent place in the

conference. There will also be participants from the major NR producing countries such as Malaysia, Thailand, Indonesia and Vietnam.The main focus will be on technological innovations, which are mandated by the changing trends in the industry, particularly because of the increasing emphasis on sustainability and the green factor.

“In addition to the excellent papers being presented with the primary objective of providing valuable technology inputs and generation of ideas, there will be ample opportunities for networking, renewing contacts, meeting up with old friends, establishing new business ventures and generally having fun. This is one of the greatest advantages of a Conference of this nature and we have given adequate importance and encouragement for providing sufficient time for this activity,” George added.

INVALUABLE INFORMATION: At the ATRC 2011 a host of eminent speakers on focused subjects offered information of the greatest value to the participants


COVERSTORy

The choice of Technology Advancement and Innovations as the theme of ATRC 2013 was natural because these are the factors that will drive the industry in the future, says Organising Committee Chairman Zachariah George, renowned rubber technologist and consultant. The conference will attempt to lay importance on the environment aspect and its effect on tyre manufacturing operations. ATRC will generate ideas to bring out methods of building up a perfect synergy between technology, innovation, manufacturing and the environment, he stresses

tO gENEratE IDEaSWhat drove you to select

Technology Advancement and Innovations – Road to Green

Planet as the theme of ATRC 2013?Advancement in technology, creativity and innovation are the key factors contributing to the success and progress of any organisation. An often cited example is the outstanding performance of the Apple Company. Although there are many computer companies, with no dearth of qualified software engineers, Apple continues to be the most preferred brand globally. This is primarily due to the innovative technology and products brought out year after year by Apple. It was hence felt that innovation and technology would be an ideal theme to focus our attention for discussions and interaction during the ATRC 2013.

Concern for the environment has been realised and the effects of global warming has been felt by all of us. We have had adequate warnings of climate changes by the resultant catastrophic natural disasters leading to terrible loss of lives and property. The ATRC will attempt to lay importance on this aspect of the effect of manufacturing operations on the environment and will generate ideas to bring out methods of building up a perfect synergy between technology, innovation, manufacturing and the environment. It was hence the appropriate theme for the ATRC 2013.

What in your view is the response from the tyre industry to the subject? The tyre industry has responded very positively as these are subjects of great relevance in the present highly competitive environment. The industry is keen to access, gather information,

generate creative ideas, evaluate and implement changes to enhance product performance and maintain leadership. Innovation and novel ideas will enable organizations to be progressive and be competitive .

Do you think sustainable development of technology is cost effective for tyre makers?Technology development is not only assessed by the performance benefits but by cost effectiveness and sustainability. These are parameters which are considered by tyre manufacturers. Innovative methods of cost reduction without affecting performance criteria.is the factor which contributes to the profitability and sustainability of the company.

What change do you foresee in tyres of the future?Tyres of the future need to satisfy customer expectations and performance. Modern cars have high speed capabilities with more powerful engines and naturally the tyres have to be capable of withstanding the speeds and handling characteristics. ultra modern designs and styling of cars will demand tyres to have excellent aesthetics and flawless appearance commensurate with finish of the car body and trim.

Extended life and wear properties especially in Commercial Vehicle tyres will be a primary requirement. Extended life of the casings of these tyres enabling retreading several times need to be assured. Fuel economy, achieved by low rolling resistance tyres, will continue to be an important performance stipulation. Safety by offering wet and dry skid

resistance and braking efficiency will be factors which are expected from tyres. Tyres of the future need to have reduced noise levels to satisfy noise pollution specifications.

Do you think more regulations are likely to impact tyre industry? Regulations such as the European tyre labeling to indicate safety and fuel economy will eventually be applicable globally to other countries as well. Guaranteed tyre life and noise parameters will be requirements which will have to be satisfied. Mandatory usage of a certain percentage of recycled material in a tyre will possibly be a regulation of the future.

What kind of value additions are going into ATRC 2013?Topics of interest to the technologists in the tyre industry have been selected for presentation. This has been done to generate ideas, create an environment for innovation and provide a forum for networking and discussing with the eminent personalities of the broad spectrum of the Industry.

We are also hoping to have the leading automotive multinational companies participating and presenting papers on their expectations for performance requirements for the vehicles of the future.

How in your view can ATRC impact tyre industry?ATRC, the conference exclusively devoted to tyres and rubber, will assemble selected eminent scientists, engineers and technologists to provide a platform for discussions, exchange of ideas and motivate technologists and engineers to promote innovation and creativity.

By PTA News Bureau

Zachariah George, Chairman, ATRC Organising Committee


COVERSTORy

The choice of Technology Advancement and Innovations as the theme of ATRC 2013 was natural because these are the factors that will drive the industry in the future, says Organising Committee Chairman Zachariah George, renowned rubber technologist and consultant. The conference will attempt to lay importance on the environment aspect and its effect on tyre manufacturing operations. ATRC will generate ideas to bring out methods of building up a perfect synergy between technology, innovation, manufacturing and the environment, he stresses

tO gENEratE IDEaSWhat drove you to select

Technology Advancement and Innovations – Road to Green

Planet as the theme of ATRC 2013?Advancement in technology, creativity and innovation are the key factors contributing to the success and progress of any organisation. An often cited example is the outstanding performance of the Apple Company. Although there are many computer companies, with no dearth of qualified software engineers, Apple continues to be the most preferred brand globally. This is primarily due to the innovative technology and products brought out year after year by Apple. It was hence felt that innovation and technology would be an ideal theme to focus our attention for discussions and interaction during the ATRC 2013.

Concern for the environment has been realised and the effects of global warming has been felt by all of us. We have had adequate warnings of climate changes by the resultant catastrophic natural disasters leading to terrible loss of lives and property. The ATRC will attempt to lay importance on this aspect of the effect of manufacturing operations on the environment and will generate ideas to bring out methods of building up a perfect synergy between technology, innovation, manufacturing and the environment. It was hence the appropriate theme for the ATRC 2013.

What in your view is the response from the tyre industry to the subject? The tyre industry has responded very positively as these are subjects of great relevance in the present highly competitive environment. The industry is keen to access, gather information,

generate creative ideas, evaluate and implement changes to enhance product performance and maintain leadership. Innovation and novel ideas will enable organizations to be progressive and be competitive .

Do you think sustainable development of technology is cost effective for tyre makers?Technology development is not only assessed by the performance benefits but by cost effectiveness and sustainability. These are parameters which are considered by tyre manufacturers. Innovative methods of cost reduction without affecting performance criteria.is the factor which contributes to the profitability and sustainability of the company.

What change do you foresee in tyres of the future?Tyres of the future need to satisfy customer expectations and performance. Modern cars have high speed capabilities with more powerful engines and naturally the tyres have to be capable of withstanding the speeds and handling characteristics. ultra modern designs and styling of cars will demand tyres to have excellent aesthetics and flawless appearance commensurate with finish of the car body and trim.

Extended life and wear properties especially in Commercial Vehicle tyres will be a primary requirement. Extended life of the casings of these tyres enabling retreading several times need to be assured. Fuel economy, achieved by low rolling resistance tyres, will continue to be an important performance stipulation. Safety by offering wet and dry skid

resistance and braking efficiency will be factors which are expected from tyres. Tyres of the future need to have reduced noise levels to satisfy noise pollution specifications.

Do you think more regulations are likely to impact tyre industry? Regulations such as the European tyre labeling to indicate safety and fuel economy will eventually be applicable globally to other countries as well. Guaranteed tyre life and noise parameters will be requirements which will have to be satisfied. Mandatory usage of a certain percentage of recycled material in a tyre will possibly be a regulation of the future.

What kind of value additions are going into ATRC 2013?Topics of interest to the technologists in the tyre industry have been selected for presentation. This has been done to generate ideas, create an environment for innovation and provide a forum for networking and discussing with the eminent personalities of the broad spectrum of the Industry.

We are also hoping to have the leading automotive multinational companies participating and presenting papers on their expectations for performance requirements for the vehicles of the future.

How in your view can ATRC impact tyre industry?ATRC, the conference exclusively devoted to tyres and rubber, will assemble selected eminent scientists, engineers and technologists to provide a platform for discussions, exchange of ideas and motivate technologists and engineers to promote innovation and creativity.

By PTA News Bureau

Zachariah George, Chairman, ATRC Organising Committee

Harvey Brodsky, Managing DirectorRetread Tire Association (RTA)California, uSA

Now that I have had time to reflect on my visit to Chennai to participate in the ATRC 2011

I want to let you know how much I enjoyed my visit and how professional and well organised I found the conference to be. In all my years in the tyre industry – and having attended countless conferences in many countries – I have never attended an event more well organised and better run than ATRC 2011. I am certain that all the other participants must share my very positive impression.

From the first presentation at the conference until the last I was totally impressed with every speaker and I came away with a tremendous amount of very important information that will be useful to both me and the many members of the Retread Tyre Association. The fact that all the presentations were made available on the thumb drive in my packet was definitely a very thoughtful plus.

Also, the venue was superb! The staff at the hotel just couldn’t have been nicer, from the minute I arrived until the minute I left. A truly great experience.

In summary, if I were asked to grade the conference I would happily give it an A+, and the icing on the cake was how well I was treated by the many new friends I made at the conference during my (too short) stay in India. I am already counting the days until I can return and learn more about your amazing country.

Rajiv BudhrajaDirector General, Automotive Tyre Manufacturers Association ofIndia (ATMA)

It was indeed a pleasure to be at ATRC, both as a speaker and a panel member and more than

that as a participant. The ATRC organising and implementing team needs to be complimented for the excellent arrangements at the conference. Rarely have I come across a conference that maintains such a high degree of interest and engagement amongst participants till the concluding session of the conference. It speaks volumes about the content of the conference. I wish the future conferences, under the ATRC banner, all success.

Surender KandhariAl Dobowi Group

thank you very much for the excellent conference arrangements. I did enjoy

plus learn a lot of new things about tyres, rubber and India. The entertainment was good overall. Must say you have done a great job. I am sure to participate in your future programmes.

Vikram ThomasMaximus Enterprises India Pvt. LtdSiliguri, West bengal, India

I take this opportunity to sincerely thank you for letting me participate in the ATRC 2011.

The programme was arranged superbly and yes, for a novice like me, this programme was a real learning experience. Having the good opportunity of listening to and meeting such experienced leaders from the tyre & rubber industry has helped me understand a lot about the tire industry and the potential it holds.

Tapan Kumar Chatterjee,MIT universal Solutionsbangkok, Thailand

I must thank ATRC for providing me with a platform for participating in conference.

The subjects were topical, presentations were interesting and of a high quality. During informal chats, most participants seemed very satisfied. The Conference was organised very well, especially, with respect to ambience and attention to detail. Look forward to the next ATRC !

WOrDSOF

PraISE


The Indian tyre industry, which has been bearing the heat of subdued automobile demand and high input costs since last few quarters, may get some relief as revival in demand in OEM segment and increase in exports activities coupled with moderate growth in passenger vehicles and two-wheelers are expected, predict industry analysts

SIgNS Of rEVIVal

By Sharad Matade

the performance of tyre industry is expected to largely trail the demand scenario in the auto industry during

Q4, 2012-13. We expect some revival in Original Equipment Manufacturers (OEMs) demand during 2013-14. Pickup in economic activity in the economy is also expected to support replacement demand for tyres during the next fiscal. We also expect exports to be healthy during 2013-14, Subrata Ray, Senior Group Vice President, ICRA Limited.

Supporting Ray’s prediction, Revati Kasture, General Manager & Head of Research, Credit Analysis And Research Ltd (CARE), says: “CARE Research foresees, the challenges from demand side would continue to prevail for tyre players in the near term. Healthy growth from LCV segment coupled with moderate

rise in passenger vehicles (cars and utility vehicles) and two-wheeler would keep the growth levels of tyre demand afloat. CARE Research foresees the tyre industry would observe a rise of around 4-5 per cent in unit terms for Fy13.”

However, Karan Chechi, Research Director, TechSci Research, sees the upcoming time is not going to bring any cheers to the Indian tyre companies. He says, “The tyre industry in India is growing at the rate of around 10 to 12% y-o-y. However, 2013 is expected to be a tough year for the industry. We expect that the OEMs segment will underperform but the replacement segment will continue at the same growth. However, the first quarter is expected to be the hardest of all the quarters throughout the year.”

Impact on demandThe demand for tyres has been significantly impacted due to slow down in automobile sales and the challenges in economic environment during Fy13. According to Revati Kasture, the OEMs demand that has been the growth driver during last 2-3 fiscals observed a moderation in growth levels during Fy13. As per the CARE Research estimates the OEM demand has grown in the range of around 3-4 per cent during Apr-Dec Fy13 period.

(As ATMA has discontinued providing data post April 2012, CARE Research made its own demand estimation across all the segment during Apr-Dec2012 period)

“The drop in the growth levels in the OEM segment was influenced by moderation in the growth levels in new vehicle sales across all the segments. Sharp drop in the T&b demand, which is the major contributor to the OEM demand, considerably pulled down the growth in OEM segment,” adds Kasture.

The recent implementation of of labelling on tyres sold in the European market will not have severe impact on exports activities by Indian tyre companies, think the analysts. Chechi says, “In Europe,

COVERSTORy


Subrata Ray, Senior Group VP, ICRA Karan Chechi, Research Director, TechSci Research

labeling on tyres was successfully implemented in last November 2012 and therefore there is no other option for Indian tyre manufacturer to join the race. We expect that the exports would certainly fall marginally but we also expect that the decrease in the price of natural rubber will fuel the export activities of Indian tyre manufacturers.”

Ray from ICRA also sees that currently export to Eu from India is not very significant and hence the impact would be marginal.

Profit marginThough the current slowdown on demand front has impacted profit margins of tyre companies in last few quarters but its impact would be not severe thanks to the recent declines in prices of natural rubber, the main ingredient for making tyres. “In the current fiscal, there was little impact on the margins of tyre companies as it was supported, to a large extent, by the steady decline in rubber prices, he says.

The commercial vehicle tyre segment is going to witness a greater toll than passenger car tyres, points out Ray. He says, “We believe that the contraction in the commercial vehicle segment would have a bigger impact on tyre demand considering a significant part of the replacement demand also stems from the CV segment. With slowdown in economic activity in the country replacement demand for CV tyres is also week.”

However, Chechi predicts contrast to Ray, saying , “under the prevailing market conditions the passenger tyre segment will face the maximum heat. The commercial segment is still performing moderately and we expect that this will continue for at least next two quarters.”

Prices of natural rubber have been the major concern for the tyre industry. Most

of the tyre companies’ profit margins have been pulled down by the record high level natural rubber prices. However, in recent times, prices of natural rubber have come down and will not increase in near term, predict the analysts.

“As far as input cost is concerned, CARE Research foresees, natural rubber prices would not increase significantly in near term, also crude oil prices are expected to soften. Hence for the near term, CARE Research believes there would not be any substantial cost pressure for Tyre manufacturers,” says Kasture.

However, the current prices of natural rubber may give some relief to tyre makers but it won’t help if the demand remains subdued. “We expect the current benign prices for NR to provide some comfort to tyre manufacturers particularly in the immediate quarters; however a prolonged demand contraction in auto industry cannot be offset with lower NR prices,” adds Subrata Ray.

RadialisationThe current emphasis of tyre makers to increase radialisation capacity and improving road conditions push demands for radial tyres. “Current radialisation in M&HCVs in the country is 18-22%. However we expect this to increase rapidly over the next three years. With a large domestic radial capacity most tyre manufacturers are aggressively pushing for radial tyres. Additionally over the next six-eight quarters we expect pick up in infrastructure building in the country,” says Ray.

Sub-standard road conditions and high initial price have restricted transport operators over opting for radial tyres for a long period of time. However, the manufacturers are making attempts to educate customers about the benefits of radial tyres in terms of better fuel economy and higher running life that ultimately benefit the truck operators, says Kasture. “CARE Research estimates that a truck operator can break-even initial cost difference between cross-ply and radial tyres at around 25,000-30,000 kms of the travel, which means within 5 – 6 months of usual operating time. CARE Research estimates that the proportion of radial tyres in T&b segment would increase by approximately 3.5-4 times from current levels to comprise almost half of the T&b tyre production by Fy17,” she adds.

Revati Kasture, General Manager & Head of Research, Credit Analysis And Research

Most of the tyre companies’ profit

margins have been pulled down by the record high level natural rubber prices. However, in recent times, prices of natural rubber have come down and will not increase in near term, predict analysts

Manufacturers are making attempts

to educate customers about the benefits of radial tyres in terms of better fuel economy and higher running life that ultimately benefit the truck operators


COVERSTORy

The consumer perception of tyre performance between low-cost Asian brands and more established tyre brands has narrowed a little following EU tyre labelling regulations, says Matthew Beecham, an analyst with the UK-based just-auto.com, an independent business information provider and publisher of market research reports. This observation has close relevance to ATRC 2013, where the main focus will be on technology innovations necessitated by changing regulatory environment in global tyre industry and its impact on tyre marketing

POSt laBEl BlUESPTA News Bureau

With the much awaited tyre labelling law now implemented in Europe, creating a level

playing field for tyre makers, the Asian Tyre & Rubber Conference (ATRC) 2013 will focus on Asian tyres and the new technology developments that have been necessitated by these new rules and regulations.

Matthew beecham, analyst with the uK-based just-auto.com, a major publisher of market research and information provider on auto market worldwide, says that many tyre makers had believed that the Eu tyre labelling would protect the price premiums of the more established and mature market brands. “but it now appears as though labelling could go some way to transform the existing three-tier tyre consumer pricing model.”

“For example, up to 60 per cent of the tyres sold here in the uK are manufactured in China, most of which are at the cheaper end of the spectrum. yet early indications are that the stated performance of such budget tyres – as shown on the sticky tyre label – compare well to other brands,” he told Polymers & Tyre Asia in an interview.

As a director of Auto Research Analysts Ltd, beecham’s custom research assignments have included working for AT Kearney, belron, bridgehead International, McKinsey, Kuwait Institute

for Scientific Research, Motorsport Industry Association, Motor Industry Research Association and the Economist Intelligence unit.

An obvious reaction has been the development of brands, but an examination of the accounts of companies in the industry shows that there are some distinct advantages in size.

“In many analyses, the big three manufacturers are demonstrated to have a clear advantage over their smaller competitors and it is this in-built disadvantage that has encouraged the mid-sized companies to look for alternative courses. None has given up the tyre industry as they have too much invested in it.”

When asked whether tyre-labelling could be leveraged by low-cost manufacturers in Asia to sustain at least their current market share in the budget segment, he said that earlier there was little information to evaluate the tyre and buyers went by the price factor alone. Now this has changed.

“Consumers need to make informed choices, whether they are buying refrigerators, air-conditioning units or tyres. For some time, drivers have concentrated too much on price and too little on technology when buying replacement tyres. And who can blame them?”

With little information available or inclination to search for it, it’s small wonder why most focussed on the price. Although tyre magazine tests may typically evaluate 20 tyre properties, the fact that the all new tyres sold across the Eu must now state the performance of just three is a useful starting point.

“Prior to the legislation swinging into force in Europe, some in the tyre industry believed that labelling would protect the price premiums of the more established and mature market brands,” beecham noted. “Although it is still early days, it appears that the consumer perception of tyre performance between such low-cost brands and other more established tyres has narrowed a little following the introduction of labelling,” he said.

Again, keep in mind the current system of tyre labelling, it shares just part of the story in terms of tyre performance. “On that basis, emerging low-cost Asian manufacturers could expect to sustain their market share in the budget tyre arena,” he said.

On the growth prospects of low-cost Asian tyre manufacturers and their product competitiveness in the global market, beecham stressed the importance of labelling of budget tyres. “Given the tyre market is globalising, tyre labelling is even more important in low cost regions of Asia.”

Labelling makes the performance of the tyres visible to the motorist. When tyre labelling eventually becomes mandatory in certain Asian countries such as India, manufacturers will be forced to provide details such as rolling resistance, wet braking performance and external tyre/road noise.

“Low-cost tyre manufacturers in countries such as India – which has an aggressive agenda in reducing carbon dioxide emissions – can play a major role. This global trend for mandating tyre labelling will bring with it not only the challenge to solve the trade-off between rolling resistance and wet grip but other tyre performance characteristics such as wear and noise.

Emerging trendsbeecham, citing market trends, said that many new vehicles now do not come with spare tyres because of the focus on the increasing fitment of run-flat tyres. Research by just-auto.com has showed that there is a gradual elimination of spare wheels.

Perhaps the most dramatic innovation in tyre technology over the past decade or so has been the development of the run-flat tyre. Yet while run-flats have done a lot to improve vehicle safety, they still come with a high price tag and are heavier than conventional tyres.

“Nowadays, motorists do not have spare tyre. The sealant and compressed air can be injected through the tyre valve but the result achieved will depend on the cause of the puncture and how far and fast the flat tyre has been driven on.”

The company’s research service, which includes market trends, shares and forecasts as well as a technical round-up of various tyre-related technologies and brief company profiles, has shown that the future is run-flats.

yet with automakers under pressure to produce more fuel-efficient cars, it is hardly surprising to see them eliminating the spare wheel, thereby shedding up to 30 pounds in one stroke. While some motorists may be surprised to discover their spare wheel is missing from the trunk, automakers say it is not unsafe to go without.

but this technology is yet to come to China, India and brazil, the countries that hold the highest potential for tyre market. Commenting on this beecham said that Western manufacturers are shrewd in retaining information on such technologies.

“A good starting point (for Asian tyre makers) is to place a representative in Europe to establish trust and build relationships with manufacturers and, ultimately, form technology partnering arrangements. Of course, the differences in business behaviour between Western and bRIC nations take time to comprehend and appreciate.”

In the longer term, non-pneumatic tyre technology, which takes a completely different approach, is continuing to advance due to new design concepts and the utilisation of non-standard tyre industry polymers such as polyurethanes and thermo-plastic elastomers.

As far as green tyres are concerned – the fastest growing segment –China’s Rubber Industry Association (CRIA) has launched a programme to develop them. The plan calls for half of China’s tyre makers to be capable of producing a fuel-efficient tyre by 2015 and for 25 per cent of passenger vehicle tyre production to be such tyres by then.

“One interesting element is the plan is to draw up national standards based on the Eu tyre labelling regulations. Currently, Europe and South Korea are making tyre

labelling mandatory with Japan having already initiated a voluntary labelling system back in 2010. And thanks to CRIA’s initiative, tyre labelling in China could be on the horizon.”

Pressure monitoringAlthough tyre pressuring monitoring systems (TPMS) contribute to lower emission due to improved fuel consumption by maintaining correct inflation pressure, there is no legislation in China and India to ensure proper tyre inflation.

Referring to this beecham said that this is going to be made mandatory in Europe. “While tyre labelling is topical given its recent launch in Europe, another rule requiring that all new cars must be fitted with TPMS has also recently swung into force here.” In the early days of indirect TPMS development, the system had within it all the information required to create a vehicle ‘black box’ similar to that found on aircraft. yet this idea never really took off into mainstream vehicles. Next-generation TPMS systems are focussing on integrating the up-to-now fully mechanical tyres into the electronic control algorithms of modern vehicles, i.e. the intelligent tyre system. It extends the scope of classic TPMS systems to electronically identify tyre properties and even measure physical data at the tyre-road interface. “The ultimate target, however, is using tyre-related data to improve chassis algorithms, e.g. roll-over protection or brake distance, thus enhancing fun of driving and vehicle safety at the same time,” he explained.Following the lead of uS and European TPMS mandates, Asia represents the next large vehicle region ripe for TPMS legislation. While Korea is in the process of adopting similar legislation, China and India are expected to follow, most likely within a year or two of these dates, with conservative estimates of Japan in 2017, China in 2018 and India in 2019.

“The legislative trend across these countries underlines the move towards international harmonisation of automotive industry standards,” he pointed out.

Market 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017

China 40,041.27 42,012.06 62,946.70 82,341.22 83,866.50 90,553.28 104,082.93 119,286.85 130,793.19 139,898.35 145,590.69

India 9,620.37 10,230.19 11,978.62 15,972.62 17,600.54 19,846.22 22,568.64 25,736.29 30,054.87 34,854.69 40,538.51

Market volumes of tyres fitted to newly-assembled passenger cars and light vehicles, 2007-2027, ('000s units)

Source: QUBE by just-auto.com

Matthew Beecham, analyst, just-auto.com

In the longer term, non-pneumatic tyre

technology, which takes a completely different approach, is continuing to advance due to new design concepts and the utilisation of non-standard tyre industry polymers such as polyurethanes and thermo-plastic elastomers


COVERSTORy

The consumer perception of tyre performance between low-cost Asian brands and more established tyre brands has narrowed a little following EU tyre labelling regulations, says Matthew Beecham, an analyst with the UK-based just-auto.com, an independent business information provider and publisher of market research reports. This observation has close relevance to ATRC 2013, where the main focus will be on technology innovations necessitated by changing regulatory environment in global tyre industry and its impact on tyre marketing

POSt laBEl BlUESPTA News Bureau

With the much awaited tyre labelling law now implemented in Europe, creating a level

playing field for tyre makers, the Asian Tyre & Rubber Conference (ATRC) 2013 will focus on Asian tyres and the new technology developments that have been necessitated by these new rules and regulations.

Matthew beecham, analyst with the uK-based just-auto.com, a major publisher of market research and information provider on auto market worldwide, says that many tyre makers had believed that the Eu tyre labelling would protect the price premiums of the more established and mature market brands. “but it now appears as though labelling could go some way to transform the existing three-tier tyre consumer pricing model.”

“For example, up to 60 per cent of the tyres sold here in the uK are manufactured in China, most of which are at the cheaper end of the spectrum. yet early indications are that the stated performance of such budget tyres – as shown on the sticky tyre label – compare well to other brands,” he told Polymers & Tyre Asia in an interview.

As a director of Auto Research Analysts Ltd, beecham’s custom research assignments have included working for AT Kearney, belron, bridgehead International, McKinsey, Kuwait Institute

for Scientific Research, Motorsport Industry Association, Motor Industry Research Association and the Economist Intelligence unit.

An obvious reaction has been the development of brands, but an examination of the accounts of companies in the industry shows that there are some distinct advantages in size.

“In many analyses, the big three manufacturers are demonstrated to have a clear advantage over their smaller competitors and it is this in-built disadvantage that has encouraged the mid-sized companies to look for alternative courses. None has given up the tyre industry as they have too much invested in it.”

When asked whether tyre-labelling could be leveraged by low-cost manufacturers in Asia to sustain at least their current market share in the budget segment, he said that earlier there was little information to evaluate the tyre and buyers went by the price factor alone. Now this has changed.

“Consumers need to make informed choices, whether they are buying refrigerators, air-conditioning units or tyres. For some time, drivers have concentrated too much on price and too little on technology when buying replacement tyres. And who can blame them?”

With little information available or inclination to search for it, it’s small wonder why most focussed on the price. Although tyre magazine tests may typically evaluate 20 tyre properties, the fact that the all new tyres sold across the Eu must now state the performance of just three is a useful starting point.

“Prior to the legislation swinging into force in Europe, some in the tyre industry believed that labelling would protect the price premiums of the more established and mature market brands,” beecham noted. “Although it is still early days, it appears that the consumer perception of tyre performance between such low-cost brands and other more established tyres has narrowed a little following the introduction of labelling,” he said.

Again, keep in mind the current system of tyre labelling, it shares just part of the story in terms of tyre performance. “On that basis, emerging low-cost Asian manufacturers could expect to sustain their market share in the budget tyre arena,” he said.

On the growth prospects of low-cost Asian tyre manufacturers and their product competitiveness in the global market, beecham stressed the importance of labelling of budget tyres. “Given the tyre market is globalising, tyre labelling is even more important in low cost regions of Asia.”

Labelling makes the performance of the tyres visible to the motorist. When tyre labelling eventually becomes mandatory in certain Asian countries such as India, manufacturers will be forced to provide details such as rolling resistance, wet braking performance and external tyre/road noise.

“Low-cost tyre manufacturers in countries such as India – which has an aggressive agenda in reducing carbon dioxide emissions – can play a major role. This global trend for mandating tyre labelling will bring with it not only the challenge to solve the trade-off between rolling resistance and wet grip but other tyre performance characteristics such as wear and noise.

Emerging trendsbeecham, citing market trends, said that many new vehicles now do not come with spare tyres because of the focus on the increasing fitment of run-flat tyres. Research by just-auto.com has showed that there is a gradual elimination of spare wheels.

Perhaps the most dramatic innovation in tyre technology over the past decade or so has been the development of the run-flat tyre. Yet while run-flats have done a lot to improve vehicle safety, they still come with a high price tag and are heavier than conventional tyres.

“Nowadays, motorists do not have spare tyre. The sealant and compressed air can be injected through the tyre valve but the result achieved will depend on the cause of the puncture and how far and fast the flat tyre has been driven on.”

The company’s research service, which includes market trends, shares and forecasts as well as a technical round-up of various tyre-related technologies and brief company profiles, has shown that the future is run-flats.

yet with automakers under pressure to produce more fuel-efficient cars, it is hardly surprising to see them eliminating the spare wheel, thereby shedding up to 30 pounds in one stroke. While some motorists may be surprised to discover their spare wheel is missing from the trunk, automakers say it is not unsafe to go without.

but this technology is yet to come to China, India and brazil, the countries that hold the highest potential for tyre market. Commenting on this beecham said that Western manufacturers are shrewd in retaining information on such technologies.

“A good starting point (for Asian tyre makers) is to place a representative in Europe to establish trust and build relationships with manufacturers and, ultimately, form technology partnering arrangements. Of course, the differences in business behaviour between Western and bRIC nations take time to comprehend and appreciate.”

In the longer term, non-pneumatic tyre technology, which takes a completely different approach, is continuing to advance due to new design concepts and the utilisation of non-standard tyre industry polymers such as polyurethanes and thermo-plastic elastomers.

As far as green tyres are concerned – the fastest growing segment –China’s Rubber Industry Association (CRIA) has launched a programme to develop them. The plan calls for half of China’s tyre makers to be capable of producing a fuel-efficient tyre by 2015 and for 25 per cent of passenger vehicle tyre production to be such tyres by then.

“One interesting element is the plan is to draw up national standards based on the Eu tyre labelling regulations. Currently, Europe and South Korea are making tyre

labelling mandatory with Japan having already initiated a voluntary labelling system back in 2010. And thanks to CRIA’s initiative, tyre labelling in China could be on the horizon.”

Pressure monitoringAlthough tyre pressuring monitoring systems (TPMS) contribute to lower emission due to improved fuel consumption by maintaining correct inflation pressure, there is no legislation in China and India to ensure proper tyre inflation.

Referring to this beecham said that this is going to be made mandatory in Europe. “While tyre labelling is topical given its recent launch in Europe, another rule requiring that all new cars must be fitted with TPMS has also recently swung into force here.” In the early days of indirect TPMS development, the system had within it all the information required to create a vehicle ‘black box’ similar to that found on aircraft. yet this idea never really took off into mainstream vehicles. Next-generation TPMS systems are focussing on integrating the up-to-now fully mechanical tyres into the electronic control algorithms of modern vehicles, i.e. the intelligent tyre system. It extends the scope of classic TPMS systems to electronically identify tyre properties and even measure physical data at the tyre-road interface. “The ultimate target, however, is using tyre-related data to improve chassis algorithms, e.g. roll-over protection or brake distance, thus enhancing fun of driving and vehicle safety at the same time,” he explained.Following the lead of uS and European TPMS mandates, Asia represents the next large vehicle region ripe for TPMS legislation. While Korea is in the process of adopting similar legislation, China and India are expected to follow, most likely within a year or two of these dates, with conservative estimates of Japan in 2017, China in 2018 and India in 2019.

“The legislative trend across these countries underlines the move towards international harmonisation of automotive industry standards,” he pointed out.

Market 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017

China 40,041.27 42,012.06 62,946.70 82,341.22 83,866.50 90,553.28 104,082.93 119,286.85 130,793.19 139,898.35 145,590.69

India 9,620.37 10,230.19 11,978.62 15,972.62 17,600.54 19,846.22 22,568.64 25,736.29 30,054.87 34,854.69 40,538.51

Market volumes of tyres fitted to newly-assembled passenger cars and light vehicles, 2007-2027, ('000s units)

Source: QUBE by just-auto.com

Matthew Beecham, analyst, just-auto.com

In the longer term, non-pneumatic tyre

technology, which takes a completely different approach, is continuing to advance due to new design concepts and the utilisation of non-standard tyre industry polymers such as polyurethanes and thermo-plastic elastomers


When one talks about tyre industry, China is the natural focus. When ATRC 2013 talks about sustainable tyre technology, China will naturally remain the backdrop, because it is the world’s largest manufacturer of tyres. It is also the biggest exporter and importer of tyres. Not only is this growth mostly export-driven, the domestic demand is also rising, piggy-backing the impressive economic growth. Although there has been a slow down in GDP figures, China is currently posting a healthy 8.8 per cent sustainable figures

CHINa rISINgPTA News Bureau

COVERSTORy

In January this year the Center for Forecasting Science with the Chinese Academy of Sciences said that it

expected the economy to grow by about 9 per cent in 2013. This is set to see the start of a new growth cycle with GDP gaining momentum of 8.5 per cent. This incredible achievement, at a time of global slowdown, particularly in the uS and Europe, can be sustained if the country remains steadfast in its economic reforms.

There is no indication that economic liberalisation will be put on the backburner as the rise in GDP and economic prosperity of a larger section of the population have fired greater productivity and consumer demand, the key drivers of industrialisation and job creation. The rising domestic demand for automobiles also reflects the aspirations

of people to acquire the means of individual mobility. This is driving up the demand for tyres. Today, China accounts for about 25 per cent of the world’s total output of tyres.

China has adorned yet another red feather in its cap when it became the world’s largest auto market in 2009. It is reckoned that the country’s potential for further growth is also greater because the per capita ownership of vehicles is still abysmally low. In 2011, the number of autos per 1000 population was less than 80, which is far behind the 600 to 800 per capita in developed countries. This shows that there is still room for auto growth that would further boost tyre demand.

The auto market is expected to grow at over 10 per cent in coming years, which

would also help enlarge the domestic replacement market for tyres. China Association of Auto Manufacturers figures showed that sales of passenger and commercial vehicles had risen 4.3 per cent to 19.3 million units last year. This is projected to touch 20 million this year.

The automobile sector will see annual growth rate of over 10 per cen. This figure will be maintained in the coming several years. This healthy figure are attributed to macroeconomic rebound and rapid urbanisation. All these point to a favourable climate for tyre industry’s sterling performance.

There is also optimism that the expiry of import restrictions slapped on Chinese tyre by the Obama administration in 2009 would further strengthen the export ambitions of quality tyre makers of China. The tariff restrictions had expired on Sept

26. The imposition of the punitive tariff was considered as a wrong step even by American tyre makers who had had criticised it as unwise. As the domestic industry had warned the White House, following the punitive tariff on Chinese

tyres, the imports from other low-cost countries had surged.

Bright futureThe tariff issue only proved to be a political gimmick because China ‘s tyre industry was not grievously hit thanks to the continuing rise in local demand on the back of domestic auto boom fuelled by rising personal income.

With the European union tyre labelling coming into force, Chinese-made budget tyres would be further strengthening its market share because of the efforts of the domestic industry to manufacture tyres in line with the Eu regulations on rolling resistance, wet grip and noise. China-made tyres are sporting rolling resistance grades of E to F class under the Eu tyre label regulations.

Currently the Eu is the largest export

destination for Chinese-made car tyres, taking around 40 per cent of tyre exports—or 16 per cent of total output. The domestic companies had upgraded their compounding and manufacturing technologies.

The Chinese tyre sector is truly global as there are many foreign companies that operate their manufacturing facilities in the country. They include Goodyear, Cooper, Sumitomo etc. Goodyear, which opened a state-of-the-art new production facility in Dalian City in Pulandian recently, is the first foreign tyre maker to set up a factory in China.

With the uS preparing to introduce Eu-like tyre labelling, the Chinese manufacturers are getting ready to meet these regulations as well. An official of the China Rubber Industry Association was quoted as saying that many domestic manufacturers are ready to adhere with the uS Environmental Protection Agency’s “green tyre” labelling provisions.

The booming domestic market assures profitability to Chinese manufacturers of all kinds of tyres, including bicycle, motorcycle

and off-road tyres. An analysis by the Freedonia Group indicated that the massive Chinese tyre market, which accounted for more than one-quarter of global tyre demand in 2010, will record the strongest gains of any country through 2015.

GLOBAL EYES: Products displayed at one of the major tyre shows in China.


When one talks about tyre industry, China is the natural focus. When ATRC 2013 talks about sustainable tyre technology, China will naturally remain the backdrop, because it is the world’s largest manufacturer of tyres. It is also the biggest exporter and importer of tyres. Not only is this growth mostly export-driven, the domestic demand is also rising, piggy-backing the impressive economic growth. Although there has been a slow down in GDP figures, China is currently posting a healthy 8.8 per cent sustainable figures

CHINa rISINgPTA News Bureau

COVERSTORy

In January this year the Center for Forecasting Science with the Chinese Academy of Sciences said that it

expected the economy to grow by about 9 per cent in 2013. This is set to see the start of a new growth cycle with GDP gaining momentum of 8.5 per cent. This incredible achievement, at a time of global slowdown, particularly in the uS and Europe, can be sustained if the country remains steadfast in its economic reforms.

There is no indication that economic liberalisation will be put on the backburner as the rise in GDP and economic prosperity of a larger section of the population have fired greater productivity and consumer demand, the key drivers of industrialisation and job creation. The rising domestic demand for automobiles also reflects the aspirations

of people to acquire the means of individual mobility. This is driving up the demand for tyres. Today, China accounts for about 25 per cent of the world’s total output of tyres.

China has adorned yet another red feather in its cap when it became the world’s largest auto market in 2009. It is reckoned that the country’s potential for further growth is also greater because the per capita ownership of vehicles is still abysmally low. In 2011, the number of autos per 1000 population was less than 80, which is far behind the 600 to 800 per capita in developed countries. This shows that there is still room for auto growth that would further boost tyre demand.

The auto market is expected to grow at over 10 per cent in coming years, which

would also help enlarge the domestic replacement market for tyres. China Association of Auto Manufacturers figures showed that sales of passenger and commercial vehicles had risen 4.3 per cent to 19.3 million units last year. This is projected to touch 20 million this year.

The automobile sector will see annual growth rate of over 10 per cen. This figure will be maintained in the coming several years. This healthy figure are attributed to macroeconomic rebound and rapid urbanisation. All these point to a favourable climate for tyre industry’s sterling performance.

There is also optimism that the expiry of import restrictions slapped on Chinese tyre by the Obama administration in 2009 would further strengthen the export ambitions of quality tyre makers of China. The tariff restrictions had expired on Sept

26. The imposition of the punitive tariff was considered as a wrong step even by American tyre makers who had had criticised it as unwise. As the domestic industry had warned the White House, following the punitive tariff on Chinese

tyres, the imports from other low-cost countries had surged.

Bright futureThe tariff issue only proved to be a political gimmick because China ‘s tyre industry was not grievously hit thanks to the continuing rise in local demand on the back of domestic auto boom fuelled by rising personal income.

With the European union tyre labelling coming into force, Chinese-made budget tyres would be further strengthening its market share because of the efforts of the domestic industry to manufacture tyres in line with the Eu regulations on rolling resistance, wet grip and noise. China-made tyres are sporting rolling resistance grades of E to F class under the Eu tyre label regulations.

Currently the Eu is the largest export

destination for Chinese-made car tyres, taking around 40 per cent of tyre exports—or 16 per cent of total output. The domestic companies had upgraded their compounding and manufacturing technologies.

The Chinese tyre sector is truly global as there are many foreign companies that operate their manufacturing facilities in the country. They include Goodyear, Cooper, Sumitomo etc. Goodyear, which opened a state-of-the-art new production facility in Dalian City in Pulandian recently, is the first foreign tyre maker to set up a factory in China.

With the uS preparing to introduce Eu-like tyre labelling, the Chinese manufacturers are getting ready to meet these regulations as well. An official of the China Rubber Industry Association was quoted as saying that many domestic manufacturers are ready to adhere with the uS Environmental Protection Agency’s “green tyre” labelling provisions.

The booming domestic market assures profitability to Chinese manufacturers of all kinds of tyres, including bicycle, motorcycle

and off-road tyres. An analysis by the Freedonia Group indicated that the massive Chinese tyre market, which accounted for more than one-quarter of global tyre demand in 2010, will record the strongest gains of any country through 2015.

GLOBAL EYES: Products displayed at one of the major tyre shows in China.


tECHNOLOGy

It is also known that new vehicle designs generally have more electronics and higher levels of integration in their control systems. The availability of such integrated vehicle dynamics control will permit future technology of intelligent tyres integrated with vehicle dynamics control in all cars.

“Such a system is essential for improvements in tyre characteristics beyond the current methodology of RR improvements,” he said in the interview.

Consider that in a typical automobile in city driving, only about 13 per cent of the fuel energy is translated into the driveline output that actually moves the vehicle. The rest of the energy is either lost or is used in accessories, or in idling, etc. Many other opportunities, therefore, exist to achieve further gains by cutting down the amount of wasted energy.

Fast developing economies pose unique challenges in achieving sustainability goals but they also provide opportunities to implement the lessons learned from other developed nations.

Infrastructure bottlenecksbesides low RR, there are multiple other factors that come into play that can degrade fuel efficiency such as the condition of the roads with rough or uneven surfaces that increase fuel consumption. Similarly, the design of roads, intersections, etc can affect how smoothly traffic moves and thus significantly affect fuel consumption and emissions.

“Therefore, conversations between tyre and automobile engineers and road engineers are essential to maximise progress towards the goal of ‘green’ transportation.”

The ideal solution of course is that all roads must have smooth surface and provide free traffic flow. However, in reality, this cannot be achieved immediately or completely. Therefore, it is necessary to take road conditions into account when planning new vehicles and tyres.

Please keep in mind that automobile designs and tyre designs are done four to five years in advance of the date of marketplace introduction. Thus in order to optimise the potential benefits, the cooperation between road design and automobile/tyre design should also take place far in advance. One big first step is mandated fuel efficiency standards for all vehicles. It has been observed that these drive

the components, the material, the cost of labour, shipping expenses, etc.

“A few months ago, I was asked by the US National Highway Traffic Safety Administration (NHTSA) to review their research on lightweight vehicle design and costs and to provide comments and opinions,” he recalled.

Extensive amount of research has been funded both by the NHTSA and by the Environmental Protection Agency on the subject of creating future automobile designs meeting all performance and safety requirements and on generating credible cost estimates for these vehicles. There also exist several other published studies on such estimates besides the NHTSA and the EPA work”.

“After studying the data, one comes to the conclusion that there will indeed be increased cost in light-weighting’ of automobiles, which is defined as reducing the mass without reducing the size.” The cost of alternative materials is high. Higher grades of steel, aluminium parts, etc, which are being replace by lower grades of steel, are very expensive.

“These alternative materials in some cases will require new processes and machines for stamping, welding and assembly, resulting in further cost increases in the beginning years. The estimates of increased costs for light-weighting of vehicles are approximately uS$1 per pound of weight reduction in the 5-10 per cent range. It is observed that a 5 per cent mass reduction is estimated to lead to 3-4 per cent reduction in fuel consumption.

However, when discussing the cost of mobility, one needs to consider all components of the ‘total cost’ and not just the purchase price. These ‘total cost’ components can be direct (purchase price, gasoline price, maintenance and insurance) and indirect (road tax, cost of infrastructure passed as tax on the population). They should also include the societal costs such as air pollution, increased garbage, noise, and the cost of dealing with these besides hidden costs including cost of caring for accident victims, cost of illnesses from pollution and noise, etc.

“There are some aspects of costs that we only faintly comprehend, such as global climate changes and resulting calamities,” Dr Verma pointed out. “The intent of sustainable transportation steps should be to reduce the total cost of mobility in the future for the society as a whole.”

tyre pressure monitoring system (TPMS), which is already on all new cars in the uS and at an advanced

implementation stage in Eu, should be considered for implementation in countries such as China and India where the vehicle population is exploding. Dr Mukul Verma, an internationally known automobile engineering consultant and former top safety engineer with General Motors, who headed many R&D projects in advanced auto technology, said these systems are intended to warn the car’s driver if the tyre pressure falls below certain limits.

It is expected that such warnings will cause the drivers to correct the situation by inflating the tyre to the correct pressure in order to save on fuel and ensure safety, he told Polymers & Tyre Asia.

Since a tyre’s rolling resistance (RR) is highly dependent on its inflation pressure, any under-inflation will increase it and wipe out the gains from tyre design improvements.”It has been observed that many vehicles operate at much lower inflation pressures than recommended,” he revealed.

Dr Verma, who was also involved in research and development work on hydrogen fuel cell vehicles, telematics systems, pre-crash sensing and ‘smart’

systems for vehicle safety, quoted studies that showed that use of TPMS results in about 0.7% reduction in fuel consumption.

Overall, it would be correct to say that RR improvements need to be combined with TPMS mandate for maximum effectiveness but it should also be stated that other technologies (such as light-weighting vehicles) for reducing fuel consumption and greenhouse gas emissions must be implemented as soon as possible so as to start achieving incremental gains immediately”.

Dr. Verma, who along with Prof. Vladimir Vantsevich, introduced graduate classes in Mechatronics Design of Intelligent Tires and Vehicles at his university, is also a R&D consultant in vehicle-based sensors, integrated mechanical and electronics systems and automobile designs for improved efficiency and safety.

“Although TPMS was originally mandated in the uS based on considerations of safety, its use is a step towards improving fuel-efficiency.” Without deploying all technological solutions as well as the socioeconomic measures, one will have failed in achieving any significant progress towards a sustainable future expected out of green tyres,” he elaborated.

But designing tyres with significantly higher recommended inflation pressure is a step beyond that and technologies such as intelligent tyres integrated with vehicle dynamics need to be fully developed and commercially implemented to address any potential concerns.

Vehicle designDr Verma says vehicle designs undoubtedly need to improve in many respects, but implementation of improved tyres with lower RR need not wait for other vehicle design changes to be already in place, with one exception: It is essential that TPMS technology be implemented in all new and replacement tyres before implementing RR improvements.

However, there are other innovations in vehicle design that, when implemented, will enable further advances in tyre efficiency. For example, it is known that increased tyre pressure will also lead to higher fuel economy but may also lead to more road-induced vibration transmitted to the automobile occupants.

Since newer vehicle designs generally provide more vibration isolation and quieter ride, the advent of such vehicles will allow future increases in recommended inflation pressures. This will enhance previous improvements.

most of the technology innovations in fuel consumption reduction. A second step may be more public transportation reducing needs for automobiles) in large cities and during rush hours since an automobile is at its least efficient in these operating conditions.

“For densely populated countries such as India and China, it is also extremely important that roads be improved and well-maintained, as well the traffic control infrastructure is built to minimise congestion and wasted fuel, Dr Verma said.

urban planning that takes into account the future population and resultant traffic growth is perhaps the major aspect in moving towards sustainability. Once these big steps have been taken, other legislation such as labelling requirements, gasoline purity standards, etc will have noticeable effect.

The actual steps that get implemented by a nation in this regard will be a matter of that nation’s will and its priorities. but moving towards sustainable transportation does not need to wait for a specific legislation.

New materialsThe estimation of ‘future cost’ of mobility or of an automobile is difficult to answer since such projections are generally based on many assumptions regarding

HOlIStIC aPPrOaCH

PTA News Bureau

It is necessary that several new technologies should be incorporated in vehicles, besides green tyres, for sustainable green transportation. In fact, these technologies should be introduced along with or ahead of mandates on tyre rolling resistance that is intended to achieve lower fuel consumption and to cut greenhouse gas emissions, says Dr Mukul Verma, renowned international automobile consultant and Professor of Mechanical Engineering (Adjunct) at Michigan’s Lawrence Technological University

Dr Mukul Verma, Professor of Mechanical Engineering (Adjunct), Lawrence Technological University, Michigan

CH

Dr Mukul Verma, Professor of Mechanical Engineering (Adjunct),

Overall, it would be correct to say

that RR improvements need to be combined with TPMS mandate for maximum effectiveness but it should also be stated that other technologies (such as light-weighting vehicles) for reducing fuel consumption and greenhouse gas emissions must be implemented as soon as possible so as to start achieving incremental gains immediately”.


tECHNOLOGy

It is also known that new vehicle designs generally have more electronics and higher levels of integration in their control systems. The availability of such integrated vehicle dynamics control will permit future technology of intelligent tyres integrated with vehicle dynamics control in all cars.

“Such a system is essential for improvements in tyre characteristics beyond the current methodology of RR improvements,” he said in the interview.

Consider that in a typical automobile in city driving, only about 13 per cent of the fuel energy is translated into the driveline output that actually moves the vehicle. The rest of the energy is either lost or is used in accessories, or in idling, etc. Many other opportunities, therefore, exist to achieve further gains by cutting down the amount of wasted energy.

Fast developing economies pose unique challenges in achieving sustainability goals but they also provide opportunities to implement the lessons learned from other developed nations.

Infrastructure bottlenecksbesides low RR, there are multiple other factors that come into play that can degrade fuel efficiency such as the condition of the roads with rough or uneven surfaces that increase fuel consumption. Similarly, the design of roads, intersections, etc can affect how smoothly traffic moves and thus significantly affect fuel consumption and emissions.

“Therefore, conversations between tyre and automobile engineers and road engineers are essential to maximise progress towards the goal of ‘green’ transportation.”

The ideal solution of course is that all roads must have smooth surface and provide free traffic flow. However, in reality, this cannot be achieved immediately or completely. Therefore, it is necessary to take road conditions into account when planning new vehicles and tyres.

Please keep in mind that automobile designs and tyre designs are done four to five years in advance of the date of marketplace introduction. Thus in order to optimise the potential benefits, the cooperation between road design and automobile/tyre design should also take place far in advance. One big first step is mandated fuel efficiency standards for all vehicles. It has been observed that these drive

the components, the material, the cost of labour, shipping expenses, etc.

“A few months ago, I was asked by the US National Highway Traffic Safety Administration (NHTSA) to review their research on lightweight vehicle design and costs and to provide comments and opinions,” he recalled.

Extensive amount of research has been funded both by the NHTSA and by the Environmental Protection Agency on the subject of creating future automobile designs meeting all performance and safety requirements and on generating credible cost estimates for these vehicles. There also exist several other published studies on such estimates besides the NHTSA and the EPA work”.

“After studying the data, one comes to the conclusion that there will indeed be increased cost in light-weighting’ of automobiles, which is defined as reducing the mass without reducing the size.” The cost of alternative materials is high. Higher grades of steel, aluminium parts, etc, which are being replace by lower grades of steel, are very expensive.

“These alternative materials in some cases will require new processes and machines for stamping, welding and assembly, resulting in further cost increases in the beginning years. The estimates of increased costs for light-weighting of vehicles are approximately uS$1 per pound of weight reduction in the 5-10 per cent range. It is observed that a 5 per cent mass reduction is estimated to lead to 3-4 per cent reduction in fuel consumption.

However, when discussing the cost of mobility, one needs to consider all components of the ‘total cost’ and not just the purchase price. These ‘total cost’ components can be direct (purchase price, gasoline price, maintenance and insurance) and indirect (road tax, cost of infrastructure passed as tax on the population). They should also include the societal costs such as air pollution, increased garbage, noise, and the cost of dealing with these besides hidden costs including cost of caring for accident victims, cost of illnesses from pollution and noise, etc.

“There are some aspects of costs that we only faintly comprehend, such as global climate changes and resulting calamities,” Dr Verma pointed out. “The intent of sustainable transportation steps should be to reduce the total cost of mobility in the future for the society as a whole.”

tyre pressure monitoring system (TPMS), which is already on all new cars in the uS and at an advanced

implementation stage in Eu, should be considered for implementation in countries such as China and India where the vehicle population is exploding. Dr Mukul Verma, an internationally known automobile engineering consultant and former top safety engineer with General Motors, who headed many R&D projects in advanced auto technology, said these systems are intended to warn the car’s driver if the tyre pressure falls below certain limits.

It is expected that such warnings will cause the drivers to correct the situation by inflating the tyre to the correct pressure in order to save on fuel and ensure safety, he told Polymers & Tyre Asia.

Since a tyre’s rolling resistance (RR) is highly dependent on its inflation pressure, any under-inflation will increase it and wipe out the gains from tyre design improvements.”It has been observed that many vehicles operate at much lower inflation pressures than recommended,” he revealed.

Dr Verma, who was also involved in research and development work on hydrogen fuel cell vehicles, telematics systems, pre-crash sensing and ‘smart’

systems for vehicle safety, quoted studies that showed that use of TPMS results in about 0.7% reduction in fuel consumption.

Overall, it would be correct to say that RR improvements need to be combined with TPMS mandate for maximum effectiveness but it should also be stated that other technologies (such as light-weighting vehicles) for reducing fuel consumption and greenhouse gas emissions must be implemented as soon as possible so as to start achieving incremental gains immediately”.

Dr. Verma, who along with Prof. Vladimir Vantsevich, introduced graduate classes in Mechatronics Design of Intelligent Tires and Vehicles at his university, is also a R&D consultant in vehicle-based sensors, integrated mechanical and electronics systems and automobile designs for improved efficiency and safety.

“Although TPMS was originally mandated in the uS based on considerations of safety, its use is a step towards improving fuel-efficiency.” Without deploying all technological solutions as well as the socioeconomic measures, one will have failed in achieving any significant progress towards a sustainable future expected out of green tyres,” he elaborated.

But designing tyres with significantly higher recommended inflation pressure is a step beyond that and technologies such as intelligent tyres integrated with vehicle dynamics need to be fully developed and commercially implemented to address any potential concerns.

Vehicle designDr Verma says vehicle designs undoubtedly need to improve in many respects, but implementation of improved tyres with lower RR need not wait for other vehicle design changes to be already in place, with one exception: It is essential that TPMS technology be implemented in all new and replacement tyres before implementing RR improvements.

However, there are other innovations in vehicle design that, when implemented, will enable further advances in tyre efficiency. For example, it is known that increased tyre pressure will also lead to higher fuel economy but may also lead to more road-induced vibration transmitted to the automobile occupants.

Since newer vehicle designs generally provide more vibration isolation and quieter ride, the advent of such vehicles will allow future increases in recommended inflation pressures. This will enhance previous improvements.

most of the technology innovations in fuel consumption reduction. A second step may be more public transportation reducing needs for automobiles) in large cities and during rush hours since an automobile is at its least efficient in these operating conditions.

“For densely populated countries such as India and China, it is also extremely important that roads be improved and well-maintained, as well the traffic control infrastructure is built to minimise congestion and wasted fuel, Dr Verma said.

urban planning that takes into account the future population and resultant traffic growth is perhaps the major aspect in moving towards sustainability. Once these big steps have been taken, other legislation such as labelling requirements, gasoline purity standards, etc will have noticeable effect.

The actual steps that get implemented by a nation in this regard will be a matter of that nation’s will and its priorities. but moving towards sustainable transportation does not need to wait for a specific legislation.

New materialsThe estimation of ‘future cost’ of mobility or of an automobile is difficult to answer since such projections are generally based on many assumptions regarding

HOlIStIC aPPrOaCH

PTA News Bureau

It is necessary that several new technologies should be incorporated in vehicles, besides green tyres, for sustainable green transportation. In fact, these technologies should be introduced along with or ahead of mandates on tyre rolling resistance that is intended to achieve lower fuel consumption and to cut greenhouse gas emissions, says Dr Mukul Verma, renowned international automobile consultant and Professor of Mechanical Engineering (Adjunct) at Michigan’s Lawrence Technological University

Dr Mukul Verma, Professor of Mechanical Engineering (Adjunct), Lawrence Technological University, Michigan

Overall, it would be correct to say

that RR improvements need to be combined with TPMS mandate for maximum effectiveness but it should also be stated that other technologies (such as light-weighting vehicles) for reducing fuel consumption and greenhouse gas emissions must be implemented as soon as possible so as to start achieving incremental gains immediately”.

Importer & Resellers

Your Platform in Emerging India

Importer & Resellers

Your Platform in Emerging India


tECHNOLOGy

Sustainable mobility demands revolutionary changes in every area of technology,

which should aim at further reducing the ecological damage due to auto emissions. Of the estimated 31.3 tonnes of CO2 emissions, 5.01 billion tonnes is contributed by road transport alone. Of this, tyre’s contribution is about 4 per cent, says P K Mohamed, Apollo Tyres’ Chief Advisor of Research & Development



which should aim at further reducing the ecological damage due to auto emissions. Of the estimated 31.3 tonnes of CO2 emissions, 5.01 billion tonnes is contributed by road transport alone. Of this, tyre’s contribution is about 4 per cent, says Tyres’ Chief Advisor of Research & Development

He wants to see closer cooperation among all stakeholders in the transportation sector to reduce fuel consumption and thereby bring out substantial reduction in carbon emissions.

“Tyre production with greener materials and processes, working with all partners in the transportation industry such as customers, vehicle and road engineers , material suppliers and tyre manufacturers will result in substantial positive gains through synergy.”

Ecological compulsions Another area where the tyre industry has to work is in the field of recyclability. Increased usage of biodegradable materials in tyres and improved processes for recycling can help in achieving the desirable targets.

“ A new technology that combines the pyrolysis route is said to be successful in regenerating carbon black, diesel-grade fuel oil, high calorific value gas,” Mohamed said.

Ecological compulsions are forcing countries and markets to enforce stricter and time-bound regulations. To do the business in these regions, one has to redefine the market needs and product requirements.

The need for increased research will put manufacturers under cost pressure, but nonetheless it makes it imperative for them to meet the necessary changes in the materials used, manufacturing methods adopted and the use of technologies.

At the same time, manufacturers have to ensure that the product is viable for profitable business. “Needless to say this is the biggest challenge the tyre industry has ever faced in its period of evolution.”

This trend is posing several manufacturing challenges as they come under pressure to switch over to full production of green tyres that calls for the use of specialised fillers. “One can imagine the effort, investment and time required for any tyre manufacturer to shift from conventional mode of producing tyres to the green mode. Nevertheless, determined efforts are made by all those who are serious about sustainable business.”

Apart from the challenges of green designing, production of green tyres requires major changes in the manufacturing process. Processing of new materials like silica will require advanced mixing , extrusion, curing systems and better knowledge and skill of working with

them. Managing complexity and balancing cost and price are major challenges in tyre making.

“Green manufacturing calls for reduced usage of water, steam, energy, and elimination of unwanted process or steps to simplify manufacturing,” Mohamed said.

More attention is now required to be paid on materials e.g., mixing, optimal cure time and energy input, reduction in unwanted movement of in-process materials, reduction/standardisation of a number of components in green tyre and cold methods in calendaring and extrusion.

Green manufacturing also involves creating a zero-waste culture to reuse or recycled resources, usage of non-hazardous chemicals such as water-based lubes in place of naphtha etc., increased usage of renewable energy in manufacturing ,and reduction in the overall carbon footprint in the manufacturing process.

Referring to Eu tyre labeling and more such regulations that are being adopted by other countries, he said such stricter regulatory environment is forcing the industry to review its priorities. It is facing ecological compulsions, customer awareness about the environment and growing market preferences for green products.

These regulations are forcing tyre manufacturers to meet the challenges of new performance requirements.

“Increased awareness stimulates demand for greener tyres, and companies that are serious about sustained profitable business have to make serious efforts to meet the market needs.”

Doing this overnight may not be possible but the efforts are on to use a higher percentage of sustainable materials. Efforts are also on to increase the green tyre mix in the product range and companies are stepping up collaboration with suppliers for green material development.

Tyre makers are also partnering with customers to reduce emissions through educating them on correct tyre inflation pressure and proper vehicle maintenance of vehicles and tyres. Companies are also suggesting value added solutions for tyre disposal.

“It appears to me that green tyre is poised to become the norm, and that also not in the distant future,” he added.

Rolling resistanceIn order to reduce the carbon footprint, tyre engineers are continually seeking to reduce RR and find a way out of the perennial problem of the magic triangle.

“Traditionally engineers grapple with the problem of optimising the performance envelop of a tyre as improvement in one performance aspect comes at a substantial cost of another desirable feature,” Mohamed says.

For example, reduction in tyre RR is achieved at a notable expense of wet grip that is responsible for safety and improvement in ride quality.

“As active partners in the green development , the tyre industry has been constantly trying to overcome this law of compromises. New materials, technologies and better processes are helping tyre engineers now to overcome the problem of the magic triangle.”

Silica as a filler contributes to reduction in RR and engineers are able to develop better processing capabilities to achieve reduction in RR without compromising on wet grip.

“better tools for analysis and better understanding of the functions of the individual component or part of a tyre structure have helped optimise material usage for performance,” he explained.

For example, capability to map pressure distribution at tyre-road interface has helped tyre engineers to deploy tread compounds of varied properties optimally

PTA News Bureau

Continued on page 115

CHallENgE Of SUStaINaBlE mOBIlIty

CO2 was released into atmosphere in 2009 of which the share of road transport alone was approx 5.01 billion tonnes. “ If we take tyre contribution at 4%, approximately 200 million tonnes of CO2 emission was due to tyre rolling resistance (RR). It’s substantial enough to invite serious research in this area,” he said.

Studies have suggested that tyres are responsible for approximately 15-20 % of the fuel consumption in conventional vehicles and 30% in electric powered vehicles. However, this can vary depending on usage in highways or in traffic.

“Reduction by a significant level in the RR of tyres will result in a fuel savings of approximately 1/5th of the total fuel consumed by the tyre,” he said adding that inflation pressure also played a critical role in fuel usage of vehicles.

“ We should not forget the importance of inflation pressure which has a major role in influencing the fuel savings by tyres,” he pointed out. “Every 10% reduction of tyre RR, reduces fuel consumption by 2% which is responsible for approximate 2g/km of CO2 emissions.”

as one of the founding members of Apollo Tyres’ technology development in commercial and

passenger tyres, PK Mohamed intimately knows all aspects of the product that is now undergoing rapid technological changes especially in the light of strict regulations on reducing rolling resistance (RR) aimed at slashing auto emissions.

“Sustainable mobility is the challenge that is being faced by the transportation industry today,” he told Polymers & Tyre Asia in an interview. “It demands revolutionary changes in every area of technology.”

It is Mohamed, a member of Apollo’s Management board, who drives the company’s bestinclass research and development centres. His team of research engineers has developed a wide-range of products that has made Apollo a leader in commercial and passenger vehicle tyres in India.

The challenges emanating from carbon emissions from vehicles can only be met with the development of energy-efficient

tyres, he said. An estimate showed that 31.3 billion tonnes of

P K MohamedR&D Chief Advisor, Apollo Tyres

Reduction in rolling resistance of tyres

by a significant level will result in a fuel saving of approximately 1/5th the total fuel consumed by the tyres. One should also not forget the importance of inflation pressure which has a major role in influencing fuel savings by tyres. Every 10% reduction of tyre RR, reduces fuel consumption by 2% which is responsible for approximate 2g/km of CO2 emissions



which should aim at further reducing the ecological damage due to auto emissions. Of the estimated 31.3 tonnes of CO2 emissions, 5.01 billion tonnes is contributed by road transport alone. Of this, tyre’s contribution is about 4 per cent, says P K Mohamed, Apollo Tyres’ Chief Advisor of Research & Development

He wants to see closer cooperation among all stakeholders in the transportation sector to reduce fuel consumption and thereby bring out substantial reduction in carbon emissions.

“Tyre production with greener materials and processes, working with all partners in the transportation industry such as customers, vehicle and road engineers , material suppliers and tyre manufacturers will result in substantial positive gains through synergy.”

Ecological compulsions Another area where the tyre industry has to work is in the field of recyclability. Increased usage of biodegradable materials in tyres and improved processes for recycling can help in achieving the desirable targets.

“ A new technology that combines the pyrolysis route is said to be successful in regenerating carbon black, diesel-grade fuel oil, high calorific value gas,” Mohamed said.

Ecological compulsions are forcing countries and markets to enforce stricter and time-bound regulations. To do the business in these regions, one has to redefine the market needs and product requirements.

The need for increased research will put manufacturers under cost pressure, but nonetheless it makes it imperative for them to meet the necessary changes in the materials used, manufacturing methods adopted and the use of technologies.

At the same time, manufacturers have to ensure that the product is viable for profitable business. “Needless to say this is the biggest challenge the tyre industry has ever faced in its period of evolution.”

This trend is posing several manufacturing challenges as they come under pressure to switch over to full production of green tyres that calls for the use of specialised fillers. “One can imagine the effort, investment and time required for any tyre manufacturer to shift from conventional mode of producing tyres to the green mode. Nevertheless, determined efforts are made by all those who are serious about sustainable business.”

Apart from the challenges of green designing, production of green tyres requires major changes in the manufacturing process. Processing of new materials like silica will require advanced mixing , extrusion, curing systems and better knowledge and skill of working with

them. Managing complexity and balancing cost and price are major challenges in tyre making.

“Green manufacturing calls for reduced usage of water, steam, energy, and elimination of unwanted process or steps to simplify manufacturing,” Mohamed said.

More attention is now required to be paid on materials e.g., mixing, optimal cure time and energy input, reduction in unwanted movement of in-process materials, reduction/standardisation of a number of components in green tyre and cold methods in calendaring and extrusion.

Green manufacturing also involves creating a zero-waste culture to reuse or recycled resources, usage of non-hazardous chemicals such as water-based lubes in place of naphtha etc., increased usage of renewable energy in manufacturing ,and reduction in the overall carbon footprint in the manufacturing process.

Referring to Eu tyre labeling and more such regulations that are being adopted by other countries, he said such stricter regulatory environment is forcing the industry to review its priorities. It is facing ecological compulsions, customer awareness about the environment and growing market preferences for green products.

These regulations are forcing tyre manufacturers to meet the challenges of new performance requirements.

“Increased awareness stimulates demand for greener tyres, and companies that are serious about sustained profitable business have to make serious efforts to meet the market needs.”

Doing this overnight may not be possible but the efforts are on to use a higher percentage of sustainable materials. Efforts are also on to increase the green tyre mix in the product range and companies are stepping up collaboration with suppliers for green material development.

Tyre makers are also partnering with customers to reduce emissions through educating them on correct tyre inflation pressure and proper vehicle maintenance of vehicles and tyres. Companies are also suggesting value added solutions for tyre disposal.

“It appears to me that green tyre is poised to become the norm, and that also not in the distant future,” he added.

Rolling resistanceIn order to reduce the carbon footprint, tyre engineers are continually seeking to reduce RR and find a way out of the perennial problem of the magic triangle.

“Traditionally engineers grapple with the problem of optimising the performance envelop of a tyre as improvement in one performance aspect comes at a substantial cost of another desirable feature,” Mohamed says.

For example, reduction in tyre RR is achieved at a notable expense of wet grip that is responsible for safety and improvement in ride quality.

“As active partners in the green development , the tyre industry has been constantly trying to overcome this law of compromises. New materials, technologies and better processes are helping tyre engineers now to overcome the problem of the magic triangle.”

Silica as a filler contributes to reduction in RR and engineers are able to develop better processing capabilities to achieve reduction in RR without compromising on wet grip.

“better tools for analysis and better understanding of the functions of the individual component or part of a tyre structure have helped optimise material usage for performance,” he explained.

For example, capability to map pressure distribution at tyre-road interface has helped tyre engineers to deploy tread compounds of varied properties optimally

PTA News Bureau

Continued on page 115

CHallENgE Of SUStaINaBlE mOBIlIty

CO2 was released into atmosphere in 2009 of which the share of road transport alone was approx 5.01 billion tonnes. “ If we take tyre contribution at 4%, approximately 200 million tonnes of CO2 emission was due to tyre rolling resistance (RR). It’s substantial enough to invite serious research in this area,” he said.

Studies have suggested that tyres are responsible for approximately 15-20 % of the fuel consumption in conventional vehicles and 30% in electric powered vehicles. However, this can vary depending on usage in highways or in traffic.

“Reduction by a significant level in the RR of tyres will result in a fuel savings of approximately 1/5th of the total fuel consumed by the tyre,” he said adding that inflation pressure also played a critical role in fuel usage of vehicles.

“ We should not forget the importance of inflation pressure which has a major role in influencing the fuel savings by tyres,” he pointed out. “Every 10% reduction of tyre RR, reduces fuel consumption by 2% which is responsible for approximate 2g/km of CO2 emissions.”

as one of the founding members of Apollo Tyres’ technology development in commercial and

passenger tyres, PK Mohamed intimately knows all aspects of the product that is now undergoing rapid technological changes especially in the light of strict regulations on reducing rolling resistance (RR) aimed at slashing auto emissions.

“Sustainable mobility is the challenge that is being faced by the transportation industry today,” he told Polymers & Tyre Asia in an interview. “It demands revolutionary changes in every area of technology.”

It is Mohamed, a member of Apollo’s Management board, who drives the company’s bestinclass research and development centres. His team of research engineers has developed a wide-range of products that has made Apollo a leader in commercial and passenger vehicle tyres in India.

The challenges emanating from carbon emissions from vehicles can only be met with the development of energy-efficient

tyres, he said. An estimate showed that 31.3 billion tonnes of

P K MohamedR&D Chief Advisor, Apollo Tyres

Reduction in rolling resistance of tyres

by a significant level will result in a fuel saving of approximately 1/5th the total fuel consumed by the tyres. One should also not forget the importance of inflation pressure which has a major role in influencing fuel savings by tyres. Every 10% reduction of tyre RR, reduces fuel consumption by 2% which is responsible for approximate 2g/km of CO2 emissions


rACETRACK

It’s vrooom…time for those 1000cc beasts. Come February 5 and they will roar again from Sepang, Malaysia, where the first of the eight pre-race trials for the Moto GP 2013 season will be held. The first test in Valencia in November 2012 was a wash-out and, naturally, the riders are itching to get back to the track. The actual races begin in Qatar on April 7, but the men and their machines are already revving up for the first flag - grunts, swears, fists-ups and all…

BIg BOyS,BIg BIkES


at Bridgestone, the official tyre suppliers of Moto GP, the world’s premier class of motorcycle road

racing, the smell of burnt rubber puts a smile on the assembly line faces. The tyres are ready for the 2013 season for the new generation of 1000cc MotoGP bikes – fresh from the line, cooked as per the recipe prepared from the empirical data and feedback from the riders.

The compounds used in the tyres are combinations of synthetic material and naturally sourced rubber which is vulcanised and transformed into latex. A typical race tyre comprises rubber, high tech plastic fibres, resins and minerals, combined to produce the highest level of performance.

The choice of exactly which compound to use during a race is undertaken by the teams following consultation of the data collected previously at the track by themselves and the tyre supplier. Discussions with their riders based on knowledge of the circuit, weather conditions and the “feel” of the bike on

test days, free practice, qualifying and the pre-race warm-up sessions also affects which tyres are selected.

The pre-race days are full of adrenalin and expectations – both for the riders and the tyre makers. Quite a lot of words fly around, sounding with optimism, hopes and fears as well. The all-pervading mood is one of confidence.

Tyre challengeMoto GP is for the big boys. The new 1000ccs are premier league chart busters spewing raw power, challenging its riders to rein them in on control, balance and speed management. The tyres simply have to live up to the mean machines. That’s the challenge bridgestone took on and delivered.

Hiroshi yamada, Manager of bridgestone’s Motorsport Department, had asked for tyres that met the demands of the new 1000cc machines while delivering improved levels of rider safety. As the countdown clock ticks on, yamada is a happy and confident man.

He said: “The construction of the 2012 specification tyres received a

Hiroshi Yamada, Manager, Bridgestone Motorsport Department

PTA News Bureau


good appraisal from the riders and it makes sense for the riders, teams and manufacturers to use the same construction for this season. However, we have undertaken some compound development for this season and will also use our current rubber compounds in different ways.

“Perhaps the biggest change for this year is that we have utilised our existing extra-soft rubber compound to create a range of soft rear slicks purely for the CRT entries, providing them with a more suitable rear tyre allocation for races. We have also continued development of a new hard rubber compound that will bring this option closer to the medium rubber compound and make the harder option rear slicks a more desirable option among the works machines.”

In response to the increase in practice and qualifying sessions in the 2013 season, each rider will be granted one extra rear slick tyre in their allocation, bringing the total up to 11 rear slicks per rider. Also, a slight change has been made to the front tyre allocation, with the extra-soft front option that was previously available but never used being dropped, allowing for riders to choose a greater number of front tyres from the regular

softer and harder options specified for each race.

That is the 2013 season’s tyrescape, which the riders look forward to test. No bet on guessing how tough those tests are going to be.

Riders readyOver the machines, the riders are brimming with confidence. Defending double MotoGP world champion Jorge Lorenzo of yamaha has no inhibition to declare “I’m the man to beat because I won the last championship, but Pedrosa (Dani Pedrosa, Team Repsol Honda) won a lot last season, including the finale, so he has to be a favourite and then there’s Marquez (Marc Marquez, Repsol Honda).”

“Valentino (Rossi, yamaha) is also a contender and cannot have forgotten how to win. The four of us are the favourites, but there can always be surprises and so I don’t like to make predictions,” Lorenzo was quoted as saying.

Nine times world champion Rossi has extended his agreement with bridgestone Europe to act as its Motorcycle Tyre Development Adviser. but his team does not have anything to do with it.

The teams are, meanwhile, getting ready with their new bikes. Ducati’s GP 13 has been undergoing series of tests by its riders riders Andrea Dovizioso and Nicky Hayden and will be ready for the Sepang trials.

Established as a World Championship by the Fédération Internationale de Motocyclisme in 1949, MotoGP is now into its 63rd year.

It is the oldest motorsports championship in the world and the premier class of three racing classes that take to the track on a typical Grand Prix weekend.

Formerly labelled “500cc,” the championship underwent a change in 2002 with new technical regulations permitting the introduction of four-stroke machinery and increasing the engine capacity to 990cc, thus becoming MotoGP.

From 2007 the rules were altered, limiting engine capacity to 800cc, and once again from 2012, setting the maximum engine displacement at 1000cc. MotoGP has been administrated by commercial rights owners Dorna Sports under the supervision of the FIM since 1992.

THE CHAMP: Jorge Lorenzo, Yamaha


DEmaND grOWtH SlOWS, BUt rEVENUE tO rISE IN 2013 fOr INDIaN tyrE INDUStry

ICRA, the Indian credit rating agency, has pointed out in its report on the country’s tyre industry that while the revenues

would grow by 13-14% during 2012-2013, demand growth will slow down because of the subdued conditions in the domestic auto industry and the weak export outlook to the Eu. The impact of this slow down will offset the positives, the report has said.

According to the report, sales growth in tyre industry will be slow during the period because of the slackening OEM and replacement demand and falling export volumes. It says price hikes were possible only to the extent of 1.5-2.5% with dropping input costs.

CONtINENtal EXCEEDS SalES targEtS agaIN IN 2012; EyES HIgHEr grOWtH

Continental, the leading international automotive supplier, again exceeded its targets in 2012, despite slumping auto

markets in Europe. The corporation boosted 2012 sales by more than 7% to approximately €32.7 billion. At around 10.7%, the adjusted EBIT margin topped the previous year’s very good figure of 10.1%, a company statement said.

“Although indicators on the auto markets are more guarded at present than they were a year ago, we are aiming for sales growth of around 5% to more than €34 billion in 2013.

The adjusted EbIT margin is expected to remain above 10%,”

said Dr. Elmar Degenhart, Chairman, Continental, disclosing the initial preliminary key figures.

“In 2013, we expect global production of passenger cars with a gross weight of up to six tons to increase from around 80 million units in 2012 to a mere 82 million. There is, however, still a great deal of uncertainty regarding the course of passenger car production and other of Continental’s key sales markets,” commented Degenhart, adding: “We shall very likely not quite be able to hold to our tempo in the successful year 2012. To be sure, we already came very close to meeting many of our medium-term financial targets in 2012. In any event, we shall further reduce our indebtedness in the current year.”

kWIk-fIt rECOrDS OPEratINg lOSS Of £17.2 mIllION OVEr 15 mONtHS

kwik-Fit (Gb), the uK-based tyre and exhaust chain, has recorded an operating loss of £17.2 million during the past

15-months, media reports said. This is in sharp contrast with the 2010 December figures that showed an operating profit of £48.5m. The turnover totalled £639.5m in the 15 months to March 31, 2012. It was was £526.9 million in 2010.

The directors of Kwik-Fit (Gb) said that, taking into account the extended accounting period, the turnover of the business was down only 2.9% on a like-for-like basis in the 15 months to March 31 in spite of “challenging market conditions and a mild winter season in the uK,” a Herald Scotland report said quoting accounts available from Companies House.

COMPANy WATCH


PRODuCT WATCH

CONtINENtal’S NEW WINtEr tyrE amONg 2012’S BESt PrODUCtS

Continental’s new ContiWinterContact TS850 winter tyre was chosen among

the top 20 products of 2012 by Auto Express. “Tyres rarely make it on to our lists of favourites. We test dozens of them every year, and there’s generally not much between the top

performers. but this Continental winter tyre grabbed our attention with a string of superb results,” a statement from the popular auto industry magazine said.

“Impressive stuff, as excellence in one area usually means a trade-off elsewhere. but not with the TS850: It’s top in wet, dry and snowy conditions,” the stamen added. The ContiWinterContact TS830P was named best winter tyre in the weekly mag’s Product Awards.

BrIDgEStONE BrINgS BaCk DaytON trUCk tyrES frOm ‘rEtIrEmENt’

Bridgestone Americas Tire Operations has decided to bring back its Dayton medium truck tyre line

from two-year retirement in 2013. The tyres are made in the US and offer small fleets and independent drivers quality at a lower cost, bridgestone said.

bert Jones, Manager, Product Marketing, TbR, Retread and OTR, said: “Increasing fleet and truck maintenance costs continue to force managers, small companies and independent drivers to search for high quality, dependable

and proven solutions at a lower cost. We are bringing back Dayton truck tyres to provide a viable solution to the market—tyres with proven technology that are immediately available to meet market demands.”

HaNkOOk’S WINtEr I*CEPt EVO WINS gOOD DESIgN aWarD 2012

Hankook’s Winter I*cept Evo ultra-high performance winter tire has been named for

the Good Design Award 2012 in the transportation design category. The Good Design Award programme, which started in 1950, judges products in various categories based on innovative design, new technologies, materials, construction, concept,

energy efficiency and more. For 2012, the Good Design Award honored approximately 500 product designs and graphics from 48 countries.

The Winter I*cept Evo relies on the asymmetrical pattern to respond to slippery winter weather conditions, including wet and frigid road surfaces and snow and ice. A High-Technology Tread compound enhances winter weather performance while the outer longitudinal rib block provides exceptional braking and cornering.

Ho youl Pae, Hankook’s Senior Vice President, Marketing Strategy, said: “This award certainly proves Hankook’s competitiveness in the global industry with leading technology, product performance and design. Hankook will continue its relentless effort to produce the best tire products in terms of quality and performance, but also in terms of its design and eco-friendliness.”


auto WAtCH

INFINITI UNVEILS Q50 WITH FIRST EVER DRIVE-BY-WIRE STEERING TECHNOLOGY

Featuring for the first time in a car a drive-by-wire steering instead of conventional mechanical and hydraulic linkages,

Infiniti Q50 has made its world debut at the North American International Auto Show (NAIAS) in Detroit in January.

Infiniti Direct Adaptive Steering technology is Infiniti’s drive-by-wire system that replaces mechanical linkages with digital controls. These not only simplify the design of the car, but also allow for a degree of customization with four different steering settings based on the driver’s preference. Also, according to Infiniti, the system provides superior handling by “transmitting the driver’s intentions to the wheels faster than a mechanical system.”

The Q50 comes with a choice of a conventional or hybrid drive train. The conventional engine is a 328 bhp (244 kW) 3.7-liter V6 with 269 ft lb (365 Nm) of torque while the Infiniti Direct Response Hybrid System has a 3.5-liter 354 bhp (264 kW) V6 with lithium-ion batteries, electric motor and two clutches. Both come with a 7-speed automatic gearbox with manual mode and the option of a rear-wheel drive or Intelligent All-Wheel Drive. Currently, there is no word on performance.

VOLKSWaGEN REVEaLS CROSSBLUE SUV WITH PLUG-IN HYBRID POWERTRaIN

Volkswagen has revealed their CrossBlue SUV with 7 seats at the

Detroit Motor Show. The diesel hybrid is based on the MQB platform and comes in the range between the Tiguan and Touareg. The company said the VW CrossBlue will be initially offered only in the US and Canada markets.

The CrossBlue features a plug-in hybrid powertrain that combines a TDI engine with two electric motors, a DSG transmission, and an electric all-wheel-drive system dubbed “propshaft by wire,” and offers economy of 2.1 litres per 100 kilometres, or 134.5 mpg.

The SUV is 4,987 mm long, 2,015 mm wide and 1,733 mm high. It will be available in FWD and AWD options. The front wheel drive variant will derive power from diesel engine and e-motor to the front wheels, the rear wheel driven option will derive power from rear e-motor while the AWD variant will derive power to the front from diesel + e-motor and to the rear from e-motor. The diesel engine inside generates 140 kW and while the electric motors generates 85 kW. Transmission will be taken care by 6 Speed DSG.

BMW Z4 SERIES COMBINES aESTHETICS WITH POWERFUL SPORTINESS, EFFICIENCY

The Detroit Motor Show also hosted the new inspiring BMW’s Z4 Series. The

design of the BMW Z4 Roadster combines the highest aesthetic with powerful sportiness. The classic proportions of the stretched bonnet and short overhangs are

complimented by the low seats near to the rear axle to grant the driver a perfect feel for the road.

The Star-spoke 276 light-alloy wheels in Reflex Silver add

particularly elegant accents. The wheels available with 17 and 19-inch rims underline the aesthetic design of the BMW Z4 and allow you to experience the unique driving feel of the Roadster even when its standing still.

The front grille in black lends the BMW Z4 Roadster an even more distinctive expression. Other dynamic accents come from the front splitter in carbon whose design perfectly complements the vehicle.

The car is equipped with Brake Energy Regeneration system. As soon as you release the accelerator or apply the brake, Brake Energy Regeneration uses the energy liberated to charge the battery. This unburdens the engine and reduces emissions.

2014 CHEVROLET CORVETTE C7 STINGRaY TaKES BREaTH aWaY aT DETROIT SHOW

One of the most awaited new entries is 2014 Chevrolet

Corvette C7 Stingray, the seventh generation from the global hit Corvette stable. The Stingray took the breath away from hundreds of onlookers when it was revealed at the Detroit Motor Show with its menacingly sleek look.

With the price likely to be above $49,600, which was the base for its C6 predecessor, the C7 Stingray is among 13 new Chevrolet products that will hit US show rooms in 2013. Comprehensive interior-exterior overhaul has gone into C7 along with reduced weight.

Two variants of the C7 will be available. The higher-performance variant will be called the Z51. The base C7 will be called Stingray. Both C7 variants are built on a new all-aluminum chassis. C7 has a direct-injected, 6.2-litre LT1 pushrod V8 power plant spewing 450 horsepower and 450 pound-feet of torque. The two available transmissions are a conventional six-speed automatic and a new seven-speed Tremec TR6070 manual gearbox.

JEEP 2014 GRaND CHEROKEE MaKES GRaND ENTRY, REaDY FOR ROLL

Jeep came out with their 2014 Grand Cherokee at the Detroit Motor Show

armed with Chrysler’s new 3.0-litre EcoDiesel V6 under the hood that can churn out 240 horsepower and 420

pound-feet of torque. An eight-speed automatic transmission defines the Cherokee’s thrust potential.

The transmission is also carried forward to the 3.6-litre V6 Pentastar petrol and the 5.7-litre V8 petrol, aiding fuel economy in the process. The V8 also gets cylinder deactivation technology to further improve economy by up to five per cent.

The SRT version gets a 6.4-litre Hemi V8 that now produces 470 bhp and the same eight-speed automatic, helping cut down 0-100 kph (0-62 mph) times by quite some margin. The company suggests that the roll-on times have seen massive improvement too.

The Cherokee 2014 gets a new three-spoke steering wheel with paddle shifters as standard, a new seven-inch screen for the instruments, a new central console with an 8.4-inch screen and UConnect infotainment system and a new electronic gear shifter.

Chrysler also revealed two other models – Compass and Patriot – at the Detroit show. Both are marked for the passenger car platform.


CALENDAR

M A R2013

F E B2013

M A R2013

APRIL2013

APRIL2013

APRIL2013

M A Y2013

M A Y2013

M A Y2013

J U LY2013

JUNE2013

JUNE2013

S E P2013

S E P2013

N O V2013

M A R2013

M A R2013

M A R2013

M A R2013

APRIL2013

Tire Technology EXPO 2013 uKoelnmesse, Koeln, Germany. uFebruary 5 - 7, 2013

uContact: Colin Scott, Sales Director uTel: +44 (0) 1306 743744 uEmail: [email protected] uwww.tiretechnology

Latex Tech Asia 2013 uBangkok Thailand. uMarch 5-6, 2013 uICRRM 2013 uorganised by Rubber Technology Centre, IIT Kharagpur. uMarch 6-9, 2013

uContact: Prof. Golok B Nando, Chairman uTel: +91-3222-282292/283194 uEmail: [email protected]/[email protected]

PNEU EXPO 2013 uEurexpo Lyon Hall 4, Versailles, France. uMarch 12-14, 2013 uTél: +33 (0) 1 39 20 88 05

[email protected], www.pneu-expo.com 3rd Rubber Plant Summit uorganised by CMT at Yangon, Myanmar. uMarch 14-15, 2013 uContact: Ms Hafizah Adam

uEmail: [email protected] uTel: +65 6346 9218 | Fax: +65 6345 5928

uTyrexpo Asia 2013 uSingapore Expo Centre, Singapore. uMarch 19 - 21, 2013

uContact: Rowena Suthers, ECI International Ltd, uTel: + 44 (0) 1892 863888 uEmail: [email protected]

uCRC & CRE 2013 uKempinski Hotel Qingdao, China. uMarch 25- 28, 2013 uContact: Susan Wang

uTel: 0086-10-84924091, uEmail: [email protected] uWebsite: www.cria.org.cn

Tyre & Rubber Indonesia 2013 uorganised by PT. Global Expo Management (GEM), JIExpo Kemayoran, Jakarta - Indonesia.

uMarch 26 - 29, 2013 uContact: Jeanette (Ms.), uTelp: +6221 543581 90 (Direct Line) uMob: + 62 85691711400

2013 China Tires and Rubber Tech Fair uorganised by Qingdao Jinnoc Int’l Expo Co., Ltd China at Qingdao International Convention & Exhibition

Center, Qingdao, China. uApril 09-11, 2013 uTel: +(86)-(532)-55552901

Clemson Tire Conference 2013 uWestin Hilton Head Resort & Spa. uApril 24-26, 2013

uContact: Jim Burns, Chairman, [email protected] Rubber and Tyre Vietnam 2013 uSaigon Exhibition and Convention Center, Ho Chi Minh City, Vietnam.

uApril 11-13, 2013 uContact: Shirley Abraham, Business Head, CNCIC India, Mobile: +91 9840641101 uEmail: [email protected]

Tires & Rubber 2013 uPavilion No. 3, Expocentre Fairgrounds, Moscow. uApril 23-26, 2013 uContact: Natalia Topilskaya,

uTel: + 7 (499) 795-38-44, 795-39-99 uE-mail: [email protected]

Thai Rubber Association Dinner uCentara Grand at Central World, Bangkok. uMay 10, 2013

World Rubber Summit 2013 uSingapore. uMay 21-23, 2013 uContact: Christina Ho, IRSG, Singapore.

uTel: +65 68372411 x 201 uEmail: [email protected] uWebsite: www.rubberstudy.com

Autopromotec 2013 uBologna, Italy. uMay 22-26, 2013 uContact: Tel: +39 051 6424000

[email protected], www.autopromotec.it Automechanika Dubai 2013 uorganised by Epoc Messe Frankfurt GmbH (MF) at Dubai International Exhibition and Convention Centre,

Dubai, UAE. uJune 11-13, 2013 uContact: Richard McKeon uTel. +971 4 3894548 [email protected] uwww.automechanikadubai.com

Asian Tyre & Rubber Conference 2013 uChennai, India. uJune 21 - 22, 2013 uContact: Antony Powath, VP-Mktg.,

uMobile: +91 9833 901 586 uTel: +91 22 26400735, 26400829 Email: [email protected] uWebsite: www.atrc.in

Tyrexpo India 2013 uChennai Trade Centre, India. uJuly 9 - 11, 2013 uContact: Rowena Suthers, ECI International Ltd,

uTel: + 44 (0) 1892 863888, [email protected], uwww.eci-international.com

Latin American & Caribbean Tyre Expo 2013 uATLAPA Convention Center, Panama. uJuly 24 - 27, 2013 uLinda Bassitt, Show Director

uTel: +1 786-293-5186, uEmail: [email protected], uWebsite: www. LatinTyreExpo.com

CITEXPO 2013uShanghai Everbright Convention & Exhibition Center, Shanghai, China. uSeptember 4 - 6, 2013

uTel: +86(0)10 8589 8181, uEmail: [email protected]/ uVisit: http://www.citexpo.com.cn

RUBEXPO uorganised by Enterprising Fairs (India) P. Ltd, Tamil Nadu at SLECC, Colombo, Sri Lanka.

uSeptember 12-14, 2013 uContact: Mohammed Saleem uMobile: +91 9920659331 uWebsite: www.smartexpos.in

India Rubber Summit & Dinner 2013 uorganised by Rubber Asia at Ramada Resort, Kochi, India.

uSeptember 7, 2013 uContact: Rubber Asia, Kochi – 682 020, India Tel: +91 484 2316494/ 2315840, uEmail: [email protected] Website: www.rubberasia.com

RubberTech China & Reifen China 2013 uSWEECC, Shanghai World Expo Exhibition & Convention Center, China. uNovember 13-15, 2013

uWebsite: www.rubbertech.com.cn, uwww.reifenchina.

M A R2013

J U LY2013

S E P2013

REMEMBRANCE

Christie Robert Fernandez, Chairman of International Standards Organisation (ISO/TC45), leaves behind a trail indelible contributions to rubber technology development and food crop industry in general that will continue to define future developmental efforts in these areas

CHRISTIE ROBERT – THE STaR TREK MaNBy Jay Nambiar

Christie Robert, as he was popularly known, died on December 31, 2012 at the Singapore Cancer

Institute at the age of 71. Having worked closely with him in the last several years on projects and conferences related to rubber, he had become like an elder brother to me and even more than a brother, a dear friend and colleague. Whilst I was aware of his deteriorating condition, nevertheless I was hoping for some miracle to make him better so that we could continue the several projects we were jointly involved in.

Christie was one of the earliest graduates of the National College of Rubber Technology, London. Upon graduation, he worked several years in rubber product manufacture in the UK after which he returned to Malaysia in 1969 to take up a position at the Guthrie Plantation Group, working in the general area of Latex Technology, Processing and Quality Control/Assurance. My first acquaintance with Christie was in the 1980’s when he was a senior member of the team from Guthrie with whom our team from the Rubber Research Institute of Malaysia (RRIM) were regularly in discussion on technology transfer of Epoxidised Natural Rubber (ENR) to them. We continued to interact regularly right through to the commissioning of Guthrie’s ENR commercial plant sometime in 1988-89 and beyond.

Star Trek approachChristie knowledge and ability were highly regarded in the field of latex technology and he was often requested to chair sessions and take part in panel discussions at Conferences organised by the RRIM, particularly in the downstream sector. He was averse to the approach of “jumping on the bandwagon” when it came to pursuing goals and achieving tasks. Christie’s advice to me on this always was what I term as the Star Trek approach – “to boldly go where no man has gone before,” to get involved in areas of specialisation and activity which are not common-place and therefore gives one, an edge over the competition.

It was undoubtedly this philosophy that got him involved in the development of standards for natural rubber as part of the Technical Committee under the auspices of the International Standards Organisation (ISO/TC45), rather than become one of the multitudes of quality management consultants which was the vogue in the 1980’s and 90’s. Since his involvement from 1983, Christie’s contribution to the TC45 was of such high calibre, that he was appointed Chairman of that Committee in 2006 and still held that position upon his death. Christie had fond hopes of making Malaysia, the base of operations for ISO/TC45 and had initiated efforts into making this a reality. It is unfortunate that he did not see it to fruition.

His in-depth involvement with standards also led to Christie being appointed as Chairman of the Malaysian Rubber Producers Technical Committee during the 1983 to 1995 period and also as Chairman of the National Committee of Standards (Malaysia) from 1983 to 2005.

When Christie left the Guthrie Group in 1995, he was at that time in the very senior position as their Controller for Rubber and Cocoa. Subsequently, he spent a relatively short period as Vice-President at STIK Polymers before setting up in 1998, ‘qa plus asia-pacific Pvt Ltd’ of which he was the Managing Director.

Focus on food cropsThe main areas of activity of this company which continues to this day are in providing food crop industries and plantation groups with consultancy and training services in meeting standards such as Good Agricultural Practice in accordance with EUREPGAP, Food Safety Management, Hazard Analysis Critical Control Point (HACCP) etc. With rubber being very close to Christies’ heart, he also set up another company CDR STATS-TECH Services Pvt Ltd to deal mainly with consultancy in rubber related projects. One other area in which Christie put in tremendous amount of effort was in organising conferences

and forums for the dissemination of up-to-date information in relation to all aspects of rubber. He was a key figure in the organising of the APEST (Asia Pacific Elastomer Science & Technology) Forum which held its 3rd edition in Bangkok last July 2012. I was with him in Bangkok, assisting in organising an Energy Management Workshop linked to that APEST Conference. At that time there was no hint whatsoever of his impending condition and Christie was full of energy in leaving no stone unturned to ensure the conference was properly planned and executed. Preliminary discussions were already afoot to get the next APEST forum organised and there was great support from the Indian delegation to hold the next edition in India.

‘Aviyal’ golfOne area outside of his professional activity for which Christie is fondly remembered particularly amongst his Malayali community in Malaysia is the annual ‘Aviyal Golf Tournament’ played in and around Kuala Lumpur.This is a tournament of Malayali Golfers for Malayali Golfers by Malayali Golfers, the proceeds from which is donated to the AMMA Educational Fund, the latter being a Malayali linked charitable organisation with special emphasis on providing grants and scholarships to needy students in Malaysian society. Christie was one of the two initiators of this tournament which is now into its 16th year without a break.

Christie leaves behind his loving wife Dorothy and son Ronald, brothers, sisters, relatives and close dear friends not so much to mourn as to remember fond memories of him. As Dorothy remarked to me before his funeral, Christie always had a penchant for drama and he had to choose New Year’s Eve to depart this life.

Christie, wherever you are, I consider myself lucky to be counted as one of your dear friends.

*Jay Nambiar, Director, Hevea-Tech S.B, Kuala Lumpur, is a leading name in latex technology and rubber research


REMEMBRANCE

Christie Robert Fernandez, Chairman of International Standards Organisation (ISO/TC45), leaves behind a trail indelible contributions to rubber technology development and food crop industry in general that will continue to define future developmental efforts in these areas

CHRISTIE ROBERT – THE STaR TREK MaNBy Jay Nambiar

Christie Robert, as he was popularly known, died on December 31, 2012 at the Singapore Cancer

Institute at the age of 71. Having worked closely with him in the last several years on projects and conferences related to rubber, he had become like an elder brother to me and even more than a brother, a dear friend and colleague. Whilst I was aware of his deteriorating condition, nevertheless I was hoping for some miracle to make him better so that we could continue the several projects we were jointly involved in.

Christie was one of the earliest graduates of the National College of Rubber Technology, London. Upon graduation, he worked several years in rubber product manufacture in the UK after which he returned to Malaysia in 1969 to take up a position at the Guthrie Plantation Group, working in the general area of Latex Technology, Processing and Quality Control/Assurance. My first acquaintance with Christie was in the 1980’s when he was a senior member of the team from Guthrie with whom our team from the Rubber Research Institute of Malaysia (RRIM) were regularly in discussion on technology transfer of Epoxidised Natural Rubber (ENR) to them. We continued to interact regularly right through to the commissioning of Guthrie’s ENR commercial plant sometime in 1988-89 and beyond.

Star Trek approachChristie knowledge and ability were highly regarded in the field of latex technology and he was often requested to chair sessions and take part in panel discussions at Conferences organised by the RRIM, particularly in the downstream sector. He was averse to the approach of “jumping on the bandwagon” when it came to pursuing goals and achieving tasks. Christie’s advice to me on this always was what I term as the Star Trek approach – “to boldly go where no man has gone before,” to get involved in areas of specialisation and activity which are not common-place and therefore gives one, an edge over the competition.

It was undoubtedly this philosophy that got him involved in the development of standards for natural rubber as part of the Technical Committee under the auspices of the International Standards Organisation (ISO/TC45), rather than become one of the multitudes of quality management consultants which was the vogue in the 1980’s and 90’s. Since his involvement from 1983, Christie’s contribution to the TC45 was of such high calibre, that he was appointed Chairman of that Committee in 2006 and still held that position upon his death. Christie had fond hopes of making Malaysia, the base of operations for ISO/TC45 and had initiated efforts into making this a reality. It is unfortunate that he did not see it to fruition.

His in-depth involvement with standards also led to Christie being appointed as Chairman of the Malaysian Rubber Producers Technical Committee during the 1983 to 1995 period and also as Chairman of the National Committee of Standards (Malaysia) from 1983 to 2005.

When Christie left the Guthrie Group in 1995, he was at that time in the very senior position as their Controller for Rubber and Cocoa. Subsequently, he spent a relatively short period as Vice-President at STIK Polymers before setting up in 1998, ‘qa plus asia-pacific Pvt Ltd’ of which he was the Managing Director.

Focus on food cropsThe main areas of activity of this company which continues to this day are in providing food crop industries and plantation groups with consultancy and training services in meeting standards such as Good Agricultural Practice in accordance with EUREPGAP, Food Safety Management, Hazard Analysis Critical Control Point (HACCP) etc. With rubber being very close to Christies’ heart, he also set up another company CDR STATS-TECH Services Pvt Ltd to deal mainly with consultancy in rubber related projects. One other area in which Christie put in tremendous amount of effort was in organising conferences

and forums for the dissemination of up-to-date information in relation to all aspects of rubber. He was a key figure in the organising of the APEST (Asia Pacific Elastomer Science & Technology) Forum which held its 3rd edition in Bangkok last July 2012. I was with him in Bangkok, assisting in organising an Energy Management Workshop linked to that APEST Conference. At that time there was no hint whatsoever of his impending condition and Christie was full of energy in leaving no stone unturned to ensure the conference was properly planned and executed. Preliminary discussions were already afoot to get the next APEST forum organised and there was great support from the Indian delegation to hold the next edition in India.

‘Aviyal’ golfOne area outside of his professional activity for which Christie is fondly remembered particularly amongst his Malayali community in Malaysia is the annual ‘Aviyal Golf Tournament’ played in and around Kuala Lumpur.This is a tournament of Malayali Golfers for Malayali Golfers by Malayali Golfers, the proceeds from which is donated to the AMMA Educational Fund, the latter being a Malayali linked charitable organisation with special emphasis on providing grants and scholarships to needy students in Malaysian society. Christie was one of the two initiators of this tournament which is now into its 16th year without a break.

Christie leaves behind his loving wife Dorothy and son Ronald, brothers, sisters, relatives and close dear friends not so much to mourn as to remember fond memories of him. As Dorothy remarked to me before his funeral, Christie always had a penchant for drama and he had to choose New Year’s Eve to depart this life.

Christie, wherever you are, I consider myself lucky to be counted as one of your dear friends.

*Jay Nambiar, Director, Hevea-Tech S.B, Kuala Lumpur, is a leading name in latex technology and rubber research


EVENTS

If it is February, it has to be Tire Technology Expo and Conference. Cologne is all set to host the 2013 show during Feb 5-7 at Koelnmesse, which bears the signature of Europe’s biggest tyre industry event. With another fantastic speaker line-up for the industry-leading conference programme, the event will also feature the Tire Technology International Awards 2013 where the inaugural ‘Young Scientist Prize’ will be announced

COLOGNE WELCOMES TIRE TECH EXPO 2013

By PTA News Bureau

TIRE TECH EXPO 2013Tony Robinson, CEO of UKIP Media

& Events, the organisers of Tire Technology Expo 2013, certainly

know how to turn an industry exposition into the most happening event that offers added value to everyone taking part in it. Over the years, he has proven an amazing ability to compete with himself in enriching the expo, making it refreshingly new, with surprises that mean much more than just another add-on. The “Young Scientist Prize,” which will make its debut in 2013, shows what this means.

The award aims to reward and encourage young scientists and engineers within the tyre industry. The prize will be independently judged and awarded by an established scientist from within the industry, the organisers say.

The “Young Scientist Prize,” is a global recognition open to any person involved in the research of tyres and their performance, tyre materials, tyre

engineering and mathematics and tyre production and independent of whether they are in university, a research institute or in industry based research, UKIP Media & Events says.Candidates, from either university or industry, will be expected to give a presentation that will then be evaluated by the independent judge. The successful entrant will be awarded £1,000 as well as a prestigious trophy.

The presentation will be judged on the quality of the research work presented, measured against the potential value in terms of further development and practical application. The clarity of the logic, the clearness of the presentation and the degree to which the young scientist is seen to have been responsible for the work will also be taken into account. Additionally the manner with which questions Tony RobinsonCEO, UKIP Media & Events

MUCH SOUGHT AFTER: Over 80% of the booths for the 2013 Expo has already been booked and the booth chart was almost fully marked even before the 2012 Expo concluded


are answered at interview and/or after their presentation in the Conference will also be taken into account.

The only stipulation is that entrants for the award should be 28 years or younger on the first day of the conference, Feb 5, 2013.

The Tire Technology International Awards for Innovation and Excellence will be announced at the event’s Gala Dinner on Feb 6, 2013.

Showcasing technologyWith over 130 exhibitors, the expo will deliver another outstanding tyre manufacturing and technology exhibition alongside what is undoubtedly the best conference in the industry. The show will feature a range of new technology and materials including pressure sensor electronics, additives and adhesion resins, valve technology, weaving systems and x-ray inspection and testing among other things. Several companies are waiting to launch their latest products to the industry.

For the 2013 conference, the event will deliver more speakers and more content than ever before, with an optional two-day Rubber Materials Short Course run in conjunction with Queen Mary, University of London, a Tire Mathematical Modelling

Course, run in conjunction with Coventry University, a Basic Rubber Compounding Course, run in conjunction with Polymer Recycling Ltd and the well-established Akron University Tire Mechanics Short Course.

Also new for this year will be the Tire Regulations Short Course run in conjunction with TÜV. The main conference will also cover all the crucial industry issues such as raw materials supply, new manufacturing and energy reduction technology, sustainability and biotechnology – plus much more.

Good businessAs ever, the speaker line-up draws upon the most senior and respected professionals from within the industry, representing many of the leading manufacturing tire brands and the industry’s biggest and best supplier companies.

Tire Technology Expo always had an air of lean, mean efficiency in its conduct. “Carry bags need not always mean good business. What the exhibitors and the visitors achieved in terms of real business matters most. I can tell you, it has been good business here for them. This has been a business boosting occasion,” Tony Robinson had told Polymers & Tyre Asia in an earlier interview.

“It is a matter of pride for us that we could do it at this level of excellence consistently,” he added.

Over 80% of the booths for the 2013 Expo has already been booked and the booth chart was almost fully marked even before the 2012 Expo concluded, clearly showing how much the industry believes in this event.

“The Expo remains the biggest and most focused show of its kind anywhere in the world,” says Colin Scott of Tire Technology Expo. “We are delivering an outstanding exhibition alongside a conference programme that is simply unmissable for anyone working within the tyre industry.”

High relevanceThe 2013 Expo is all the more important as it follows the implementation of the new tyre label rule in Europe, which has spurred the industry to lay more stress on technology innovations and sustainability. These are early days after the rule come into force on November 1, 2012. There is still lack of clarity and tyre makers as well as machinery suppliers will be using the opportunity at the Tire Tech conference to share ideas. Europe is also passing through another phase of economic and fiscal problems, slowing tyre trade across the continent. The Cologne exhibition has always proved to be an effective revitaliser to the industry, helping it to re-energise itself and look for better opportunities.

Also, the European slump has further motivated tyre makers to look at the expanding market opportunities in Asia. In the context of new business opportunities – from manufacturing to dealership – participation in the Tire Technology Expo has become not a choice any more but a necessity to cash in on the rapidly growing marks across borders.

Robinson launched UKIP Media & Events in 1991 as a quality event management company to provide tyre and accessory makers a powerful forum to discover new markets, strike joint ventures and expand business. Over the years he has proved, if any proof is needed, that participation in the TireTech opens huge vistas of opportunities and offers a win-win situation for all the stakeholders.

The company has organised more than 20 highly-specialised exhibitions, including the Automotive Testing Expo India in 2012 in Chennai, and publishes some 25 leading international magazines, including the prestigious Tire Technology International.


EVENTS

The India Rubber Expo 2013 and Tyre Show achieved remarkable success, once again reiterating its credential as the most effective reflector of the growth in rubber and related industries in the region. Asia’s biggest rubber industry event was also a clear indicator of India’s own status as the second fastest growing economy in the world

IRE 2013 HITS BULLS EYE

Living up to its reputation as the biggest rubber industry expo in Asia, the three-day 7th International

Exhibition and Conference, India Rubber Expo 2013, recorded a thumping success with around 550 participating firms from India and around the world and over 20,000 visitors from across 42 countries

making the best of the opportunity. The event provided great value to the people working in the field of tread rubber manufacturing, retreading and rubber compound mixing.

Held at the Bombay Exhibition Center, Mumbai, from January 22-24, 2013, IRE 2013 was organised by All India Rubber Industries Association (AIRIA) along with Chemicals and Allied Products Export Promotion Council (Capexil) and supported by the Indian Rubber Board and Automotive Tyre Manufacturers Association (ATMA). The event was also certified by the US Department of Commerce.

The exhibitors included manufacturers and distributors of automotive tyres &

BRIGHT START: Niraj Thakkar, President, AIRIA, lights the lamb to open IRE 2013 and Tyre Show in Mumbai


showing the sector’s potential for growth.

Capexil also organised a Buyer-Seller Meet during the show to facilitate direct interaction that can drive business development. It brought together over 30 international importers for a one-on-one interaction with suppliers from India, thus enhancing the export opportunities for adding additional products to the exports list.

The Vendor Meet, conducted for the first time, was another success where major buyers of rubber products from the auto component industry, the Railways and the Defense were invited to participate.

The exclusive Tyre Show that ran concurrent to IRE was another first that attracted impressive participation.

A highly beneficial feature of IRE-2013 was the introduction of workshops followed by panel discussions conducted by international experts. The panel consisted of distinguished technologists and experts in the field of mixing and retreading technology, tyre and equipment manufacturers, compounding specialists, members from standards organisation, tread rubber manufacturing and repair material. The expert speakers addressed various aspects of rubber industry,

tubes, belts and beltings, camelback products, latex products, conveyors, V belts, transmissions, rubber canvases, footwear, machinery and testing Equipment, moulded / extruded rubber goods, pharmaceutical products, raw materials, retreading materials, rubber profiles, rubber hoses, cots and aprons, services, sheeting and sports goods.

Apart from India, participating countries included China, USA, Germany, Japan, Korea, Hong Kong, UK, Sri Lanka, UAE, Thailand, Israel, Taiwan, Malaysia, Singapore, Africa, Vietnam, Cambodia, Turkey, Saudi Arabia, Nigeria, Greece and Italy.

SME ZoneSpread over an exhibition area of 30,000 square metres, IRE 2013 & Tyre Show 2013 had a dedicated special zone for Small and Medium Enterprises, reflecting the growing role SMEs are playing in rubber industry in the region. The Indian rubber industry has approximately 5,000 manufacturing units, mostly belonging to micro, small and medium enterprises (MSME). The sector offers direct employment to half a million people. More than five million people depend on the industry for their livelihood. The SME zone evoked keen interest among visitors,

including latest regulations that protect the environment and alternative materials that would ensure achieving sustainability.

With rapid increase on tyre production by 28% and tyre export 18% by years, the Indian rubber industry has been growing in strength and importance, as a part of India’s burgeoning role in the global economy. India remains the world’s largest producer and the third largest consumer of natural rubber and is also one of the fastest growing economies globally.

Niraj Thakkar, President, AIRIA, said: “For the first time, the expo witnessed major participation from Small and Medium Enterprises. This not only allowed them to showcase their products but also provided them with better business opportunities as the show was extended to invite visitors from the rubber product consuming industry.”

Ashok Mittal, Chairman for IRE 2013, said: “The conference was structured to benefit in a practical way all sectors of industry - large, medium, micro and small, and for the first time workshops were conducted parallel with the conference. We trust the workshops benefited to answer the queries of the micro and small scale industries.”

BRIGHT START: Niraj Thakkar, President, AIRIA, lights the lamb to open IRE 2013 and Tyre Show in Mumbai


TYREXPO aSIa 2013 TO BE SINGaPORE’S BIGGEST SHOW

More than 250 exhibitors representing all sectors of the global tyre and equipment

business will make Tyrexpo Asia 2013, organised by ECI International, the largest version of the exhibition ever staged in the Singapore Expo Centre. The unprecedented interest and huge demand means that the March 19-21 show will occupy more floor space than ever before, providing new opportunities for the sellers and buyers expected from almost 100 nations.

Joining dozens of familiar Tyrexpo Asia regulars will be first-time exhibitors such as ATC Tires, Inter-Sprint, Saffiro, Aeolus, Barcino Tyre Company, Dawg Pound Tires, GRL Tires, Toyomoto, Eternity Tyres, Beijing Capital Tire Co, Sailun, South China Tire & Rubber, Chengshan and Maxtrek Tyres.

Expanding Indian tyre maker GRL Tires will be using the show to promote its well-known ranges of two and three wheeler products, as well as sharing its ambitious investment plans for a US$225 million new factory in Gujarat. The company is moving into new markets for agricultural, industrial and earthmoving tyres and the new site will supplement output at the existing plant in Rajasthan, by the end of 2014. GRL plans to add new ranges of tractor, implement and flotation radials during 2013 and early 2014.

Fast-growing Chinese tyre manufacturer Aeolus is already ranked as the 20th largest global tyre maker. During its first appearance at Tyrexpo Asia it plans to exhibit a selection of the 1,000 sizes and patterns of TBR, OTR, LTR and PCR products it markets internationally under the Aeolus, Windpower and Henan brands.

A third new tyre range to debut at the show will be the distinctive Dawg Pound brand of construction, agricultural and material handling tyres, marketed by the East Bay Tire Company. East Bay is a fourth generation, family-owned Californian business keen to take advantage of the show’s global pulling power to expand its network of international Dawg Pound dealers.

Another US based company, Saffiro Tire, will be looking to the show to build international distribution for its extensive selection of passenger, UHP, light truck, trailer, and TBR products. Saffiro Tires are designed with the independent dealer in mind, offering long-term relationships with key dealers in defined territories. The company also markets its own wheels under the Katana, Dolce, Ninja, and KX brands.

Rowena Suthers, sales director for Tyrexpo Asia organiser, ECI International, said: “The show will offer visitors a superb mix of familiar and well established names, together with exciting first-time exhibitors, like Aeolus, GRL Tire, Saffiro, Inter-Sprint and many others.

“There is already a real sense of anticipation leading up to the event, with companies continuing to come forward on a daily basis to exhibit. We have every confidence that Tyrexpo Asia will provide a vibrant and stimulating setting for the industry to meet and do business in Singapore.”

Tyrexpo Asia will be officially opened by Dr Stephen Evans, head of the Singapore based International Rubber Study Group, the authoritative source of statistical data and analysis for all aspects of the global rubber industry.

EVENTS


aUTO ‘OSCaRS’ FOR WINNERSIt was a day of pride for Renault India

and Bajaj Auto when they won the prestigious “Indian Car of the Year

2013 (ICOTY)” and “Indian Motorcycle of the Year 2013, (IMOTY)” the JK Tyre-Autocar India partnered recognition for the Indian automobile industry. Considered as the “Oscar” in the Indian auto industry, the awards are in line with the American Car of the Year, European Car of the Year and Japanese Car of the Year honors.

Renault’s SUV Duster and Bajaj’s KTM 200 Duke were the chosen ones for the Indian awards. It was presented at a glittering ceremony in Mumbai, where Dr. Raghupati Singhania, Vice-Chairman & Managing Director, JK Tyre & Industries Limited, handed over the Indian car of the Year trophy to Marc Nassif, Country CEO and Managing Director, Renault India Private Limited, and Sumit Sawhney, Executive Director – S&M, Renault India Private Limited and the Indian Motorcycle of the Year trophy to Amit Nandi, Vice President – Pro-Biking, Bajaj Auto.

These winners were chosen after an expert and independent judgment process. They are aimed at recognising

focused, consistent, and rigorous efforts made by auto manufacturers, with the highest levels of performance in the areas of design excellence, innovation and R&D. JK Tyre has been associated with these awards ever since its inception.

The jury for ICOTY and IMOTY comprised Bob Rupani and Gautam Sen of Auto India; Vikrant Singh and Rahul Ghosh of Auto Bild; Aspi Bhathena of Car India & Bike India; Bertrand D’souza and Shubhabrata Marmar of Overdrive; Srinivas Krishnan, Pablo Chaterji and Rohin Nagrani of Business Standard Motoring and Girish Karkera and Sriram Narayanan of Top Gear India.

Renault’s SUV Duster has become one of the most popular buys in the Indian market in 2012. For the award, it had tough competition from major SUV players. The Duster was also named the SUV of the year 2013 and won viewer’s choice car of the year 2013.In 2012, Mahindra’s XUV5OO had won the ICOTY.

The Duster was given several awards even before it hit the roads. Among the awards were 4x4 of the Year in France and Argentine, Autobest 2011 in Germany, 2011 Car of the Year in Croatia and

Russia and Golden Steering Wheel in Romania.

Bajaj KTM 200 Duke, which set new trends among Indian youngsters, also was the viewers’ choice.

JK’s sporting roleJK Tyre has been closely associated with motor sport and has invested in a major way in rallying, racing, go-karting and international racing with its prodigies like Narain Karthikeyan, Karun Chandhok and Armaan Ebrahim who have made their mark internationally.

With JK Tyre entering the rally racing in 1992, the motorsport spectacle changed in the country. India’s first professional Rally team was launched in 1993. JK Tyre rally team has eight national championship titles and the first ever Asia Zone Rally Championship title in the region.

In an effort to educate people about motorsports, the company established Go-Karting tracks in key metros and patronised more than 8 go-karting centers in India, in order to make this sport viable for anyone from the age group of 8 to 80.

JK Tyre started 4-stroke karting championship in 2000 and later on introduced professional level of karting in 2005 with the introduction of the Rotax 2 stroke kart engines .The winners of the JK Tyre Rotax Max Challenge are selected to represent the country in the Rotax Max World Finals held every year.

JK Tyre remains one of the largest tyre exporters from India with a worldwide customer base in over 80 countries across all six continents. International sales operate through a strong and dedicated distribution network fully supported by the company’s technical team in terms of continued product development to meet specific market needs.

Besides India, JK Tyre has enhanced its global foot print with the acquisition of a Mexican tyre major – Tornel in 2008 to further strengthen JK Tyres resolve for increased presence in the NAFTA trade bloc and emerging economies of Central and South America where it has been exporting tyres from India in large volumes for over twenty years.

In addition to Mexico, to meet the increasing demand for our reputed tyres in the discerning global tyre markets, we have entered into sourcing arrangements with tyre companies in China Vietnam and Sri Lanka for various products including Truck Radial tyres and Bias Truck / Bus and LCV tyres.

Dr. Raghupati Singhania, Vice-Chairman & Managing Director, JK Tyre & Industries Limited, PRESENTS the Indian car of the Year trophy to Marc Nassif, Country CEO and Managing Director, Renault India, and Sumit Sawhney, Executive Director – S&M, Renault India


L IMELIGHT

Cimcorp’s robotic offerings, particularly its ‘Dream Factory’ solutions, have made considerable impact on the production process of major tyre manufacturing companies across the world. Over the years, the company has supplied thousands of gantry and linear robots to tyre makers, including Apollo Tyres, Bridgestone, Continental, Cooper Tires, Goodyear Dunlop Tires, Hankook Tire and Michelin among others, in over 30 countries

CIMCORP’S ROBOTIC MaSTERY

Cimcorp Oy, the Finnish robotics specialist, is all set to roll out its latest intralogistics innovations

slated for 2013. The Cimcorp 3D Shuttle solution, which the company will reveal at the International Materials Handling Exhibition (IMHX) in Birmingham in March, is among the new materials handling solutions from its successful stable of products. The new robotic system, which offers highly efficient storage and retrieval of plastic crates, totes and trays required for goods-to-person order picking that will be six times more efficient than a manual solution, the company claims.

Combining proven gantry robot technology with an integrated shuttle device in order to store and retrieve totes required for order fulfilment, the solution’s use of independently operating shuttles for the retrieval of required totes allows the robots to return to storage tasks sooner, thereby boosting efficiency.

In the global tyre industry, Cimcorp’s “Dream Factory” solutions have been revolutionising tyre production and

distribution facilities worldwide. Using robotic technology for handling, storage and picking, the company’s systems automate the material flow from raw materials goods into the finished tyre loading dock. This has made considerable positive impact on the management of material and data flow, helping to maximise output through ensuring efficiency, flexibility and accuracy.

Material flowAccording to the company, the concept can be applied to streamline the material flow. The solutions for each process phase are independent and can be applied individually and gradually. “With Dream Factory, we can ensure that you achieve the maximum possible throughput of high-quality tyres,” says Tero Peltomäki, Operating Director, Cimcorp.

The company’s gantry robots are also applied for efficient tyre-wheel assembly (TWA) order picking at TWA assembly plants. After the assembly line, the gantry robots store mounted tyre-wheel assemblies in a buffer storage to await

dispatch to the automobile plant. The robot picks up vehicle-specific wheel stacks from the buffer storage on the basis of orders from the auto plant.

The Dream Factory solution involves comprehensive automation technology for tyre manufacturers, providing total control of the material flow and precise, real-time data for production and inventory management. By automating material handling throughout the factory, Cimcorp’s systems optimise throughput, minimise buffer stocks and make dynamic use of available space. Computer control of all automation units means that individual tires can be tracked through the whole process.

Cimcorp has supplied a large number of greenfield and brownfield installations for tyre manufacturers worldwide. Although a greenfield site offers the ideal platform for Dream Factory, the fact that this system is created from independent modules means that partial automation of existing facilities is also simple to implement.

The company also has solutions for raw material and component processing, green tire processing, curing, testing, palletising, warehousing and shipping.

Tire manufacturing requires intelligent management of internal logistics, attention to product quality and precise timing. Cimcorp’s material handling solution begins in the raw material and component processing area, where its WCS control system with gantry robots, ASRS or intelligent AGVs can take care of the handling requirements.

As in all areas of a tyre manufacturing plant, control of the material flow is key. By logging material batches, operators and processing times, Cimcorp’s WCS control system provides total logistics management.

Green tyre bufferAs the industry focus on sustainable green solutions increases, Cimcorp has invested considerable time and effort to have space-efficient buffer of green tyres. Producing an optimal buffer of green tyres between the building machines and the curing presses and handling it efficiently is key for maximising output at the lowest cost, the company says.

As part of its Dream Factory solution, Cimcorp developed several fully automated systems for green tyre processing, like robots for unloading of the tyre-building machines, transfer robots and intelligent AGVs for transportation of

tyres from the building machines to the spraying area, and gantry robots for green tyre buffer storage. The solutions also take care of the weighing and spraying processes.

According to the company, the solution ensures several benefits for the customers, including optimisation of material flow, with data on every tyre recorded at each stage of the production process; improved quality by eliminating the manual handling of green tyres; and also ensuring more production space as high-density storage and minimal buffer stocks allow more space for manufacturing.

Cimcorp’s systems result in 100% tyre availability at the curing presses to ensure maximimum press utilisation. This is achieved by integrating buffer store and transfer systems under the control of Cimcorp’s WCS. As the throughput of the curing presses determines the ultimate production capacity of the tyre plant, keeping the presses closed is paramount. Cimcorp’s Dream Factory solution optimises the flow into the presses and eliminates unnecessary waiting time.

Robots are the most efficient way to load the curing presses, with linear transfer robots automatically collecting tyres from the green tyre buffer and depositing them on the press-loading tables. In existing facilities where there is insufficient space for linear robots, intelligent AGVs may be used instead. Precise spotting and bead-to-bead dimension stretching can be integrated into the loading sequence.

Cimcorp has also extended the gantry robot product family to revolutionise the logistics of tyre wheel assembly (TWA) plants. Tyres and wheels can be stored and loaded automatically into the assembly line. After the assembly line, the robot stores tyre-wheel assemblies (TWAs) in a buffer storage to await dispatch to the automobile plant. The robot picks up vehicle-specific wheel stacks from the buffer storage on the basis of orders from the auto plant. The conveyor system delivers the wheel stacks from the gantry robots to the delivery trucks automatically.

Cimcorp applies to the customer industries robot know-how gained over years in a broad range of industries. This is proven technology, tried and tested in hundreds of demanding installations. On this foundation the company has been continuously developing application-specific solutions.

The gantry robots are applied for large work-envelopes and heavy loads, and the linear transfer robots for connecting remote points. Gripper technology for the robots – with the development of application specific grippers – is a core discipline within Cimcorp.

Within Cimcorp the development of software is an integral part of the development of robot technology. The Warehouse Control Software (WCS) is the company’s system for all the necessary manufacturing execution and warehouse functionality, including control of all handling tasks, order picking and the complete material flow.

HIGH-END AUTOMATION: Cimcorp’s ‘Dream Factory’ solution involves comprehensive automation technology for tyre manufacturers.

By PTA News Bureau


L IMELIGHT

Cimcorp’s robotic offerings, particularly its ‘Dream Factory’ solutions, have made considerable impact on the production process of major tyre manufacturing companies across the world. Over the years, the company has supplied thousands of gantry and linear robots to tyre makers, including Apollo Tyres, Bridgestone, Continental, Cooper Tires, Goodyear Dunlop Tires, Hankook Tire and Michelin among others, in over 30 countries

CIMCORP’S ROBOTIC MaSTERY

Cimcorp Oy, the Finnish robotics specialist, is all set to roll out its latest intralogistics innovations

slated for 2013. The Cimcorp 3D Shuttle solution, which the company will reveal at the International Materials Handling Exhibition (IMHX) in Birmingham in March, is among the new materials handling solutions from its successful stable of products. The new robotic system, which offers highly efficient storage and retrieval of plastic crates, totes and trays required for goods-to-person order picking that will be six times more efficient than a manual solution, the company claims.

Combining proven gantry robot technology with an integrated shuttle device in order to store and retrieve totes required for order fulfilment, the solution’s use of independently operating shuttles for the retrieval of required totes allows the robots to return to storage tasks sooner, thereby boosting efficiency.

In the global tyre industry, Cimcorp’s “Dream Factory” solutions have been revolutionising tyre production and

distribution facilities worldwide. Using robotic technology for handling, storage and picking, the company’s systems automate the material flow from raw materials goods into the finished tyre loading dock. This has made considerable positive impact on the management of material and data flow, helping to maximise output through ensuring efficiency, flexibility and accuracy.

Material flowAccording to the company, the concept can be applied to streamline the material flow. The solutions for each process phase are independent and can be applied individually and gradually. “With Dream Factory, we can ensure that you achieve the maximum possible throughput of high-quality tyres,” says Tero Peltomäki, Operating Director, Cimcorp.

The company’s gantry robots are also applied for efficient tyre-wheel assembly (TWA) order picking at TWA assembly plants. After the assembly line, the gantry robots store mounted tyre-wheel assemblies in a buffer storage to await

dispatch to the automobile plant. The robot picks up vehicle-specific wheel stacks from the buffer storage on the basis of orders from the auto plant.

The Dream Factory solution involves comprehensive automation technology for tyre manufacturers, providing total control of the material flow and precise, real-time data for production and inventory management. By automating material handling throughout the factory, Cimcorp’s systems optimise throughput, minimise buffer stocks and make dynamic use of available space. Computer control of all automation units means that individual tires can be tracked through the whole process.

Cimcorp has supplied a large number of greenfield and brownfield installations for tyre manufacturers worldwide. Although a greenfield site offers the ideal platform for Dream Factory, the fact that this system is created from independent modules means that partial automation of existing facilities is also simple to implement.

The company also has solutions for raw material and component processing, green tire processing, curing, testing, palletising, warehousing and shipping.

Tire manufacturing requires intelligent management of internal logistics, attention to product quality and precise timing. Cimcorp’s material handling solution begins in the raw material and component processing area, where its WCS control system with gantry robots, ASRS or intelligent AGVs can take care of the handling requirements.

As in all areas of a tyre manufacturing plant, control of the material flow is key. By logging material batches, operators and processing times, Cimcorp’s WCS control system provides total logistics management.

Green tyre bufferAs the industry focus on sustainable green solutions increases, Cimcorp has invested considerable time and effort to have space-efficient buffer of green tyres. Producing an optimal buffer of green tyres between the building machines and the curing presses and handling it efficiently is key for maximising output at the lowest cost, the company says.

As part of its Dream Factory solution, Cimcorp developed several fully automated systems for green tyre processing, like robots for unloading of the tyre-building machines, transfer robots and intelligent AGVs for transportation of

tyres from the building machines to the spraying area, and gantry robots for green tyre buffer storage. The solutions also take care of the weighing and spraying processes.

According to the company, the solution ensures several benefits for the customers, including optimisation of material flow, with data on every tyre recorded at each stage of the production process; improved quality by eliminating the manual handling of green tyres; and also ensuring more production space as high-density storage and minimal buffer stocks allow more space for manufacturing.

Cimcorp’s systems result in 100% tyre availability at the curing presses to ensure maximimum press utilisation. This is achieved by integrating buffer store and transfer systems under the control of Cimcorp’s WCS. As the throughput of the curing presses determines the ultimate production capacity of the tyre plant, keeping the presses closed is paramount. Cimcorp’s Dream Factory solution optimises the flow into the presses and eliminates unnecessary waiting time.

Robots are the most efficient way to load the curing presses, with linear transfer robots automatically collecting tyres from the green tyre buffer and depositing them on the press-loading tables. In existing facilities where there is insufficient space for linear robots, intelligent AGVs may be used instead. Precise spotting and bead-to-bead dimension stretching can be integrated into the loading sequence.

Cimcorp has also extended the gantry robot product family to revolutionise the logistics of tyre wheel assembly (TWA) plants. Tyres and wheels can be stored and loaded automatically into the assembly line. After the assembly line, the robot stores tyre-wheel assemblies (TWAs) in a buffer storage to await dispatch to the automobile plant. The robot picks up vehicle-specific wheel stacks from the buffer storage on the basis of orders from the auto plant. The conveyor system delivers the wheel stacks from the gantry robots to the delivery trucks automatically.

Cimcorp applies to the customer industries robot know-how gained over years in a broad range of industries. This is proven technology, tried and tested in hundreds of demanding installations. On this foundation the company has been continuously developing application-specific solutions.

The gantry robots are applied for large work-envelopes and heavy loads, and the linear transfer robots for connecting remote points. Gripper technology for the robots – with the development of application specific grippers – is a core discipline within Cimcorp.

Within Cimcorp the development of software is an integral part of the development of robot technology. The Warehouse Control Software (WCS) is the company’s system for all the necessary manufacturing execution and warehouse functionality, including control of all handling tasks, order picking and the complete material flow.

HIGH-END AUTOMATION: Cimcorp’s ‘Dream Factory’ solution involves comprehensive automation technology for tyre manufacturers.

By PTA News Bureau


PNEUFORM, the Czech producer of moulds and containers, continues its expansion in the international markets setting up a second production plant in the Russian Federation. The company is also eyeing India as a key market in the upcoming two years

PNEUFORM EYES BIGGER GROWTHat the end of year 2012,

PNEUFORM celebrated 20 years of its remarkable growth. Over

the years the company, together with its subsidiaries, has developed into a major supplier of complete technology solutions for production of moulds and containers, sipes and venting systems.

“We are the only company in the world that specialises in production of moulds, containers, sipes and venting systems under one roof,” says Jan Bambuch, Sales Operation Manager.

“If a customer has specific requirements for development or tyre production, we are able to offer complex turnkey solution, reducing delivery time, cost as well as the risk of delay,” he added.

Product portfolio of PNEUFORM includes segmented and two-piece tyre moulds with focus on premium products, PCR, TBR and OTR containers and semi-containers, production of sipes, 3D sipes, DMLS sipes, spring vents and other types of venting systems.

“Our products are used for all types of tyres, from motorcycle, PCR, TBR and OTR right up to racing and Formula 1.” Bambuch said.

Innovation for 2013PNEUFORM’s research and development strategy is strictly aimed at products that will provide customers with an added value.

“We believe that innovation is more than part of our production strategy. It is a company philosophy, a way of thinking and state of mind of our employees. That is the way PNEUFORM follows in production,” he said.

“For example, for the Nordic type tyre segment, we launched a new line of winter moulds with directly casted stud pins last year. We also came up with directly casted inserts to accommodate multiple types of spikes in a mould. Only this technology meets the most demanding customers’ requirements for perfect position, perpendicularity to a tyre profile and mould spikes concentricity, enabling automatic / robotic installation of ice spikes,“ Bambuch pointed out.

Timeline1992 : PNEUFORM is founded

1994 : PNEUFORM´s first plant in Hulin, Czech Republic

1999 : GACZ, subsidiary is founded. Production of sipes and vents on steam

2006 : Moldcast is founded, new low-pressure foundry

2011 : PNEUFORM RUS is founded, second PNEUFORM´s plant located in the Russian Federation

2012 : Branch office in Seoul is founded

2013 : Third plant in the Russian Federation will be founded

PNEUFORM will be introducing in 2013 a new type of foundry material Formal 100. It has a designed

microstructure using particular alloying elements and alloys and a controlled process of solidification. It is the first alloy designed with respect to the thermal diffusivity and heat capacity characterised by better thermal conductivity. It requires 10% less heat to cure tyres

geometry that cannot be produced in the ordinary method.

“These moulds give customers new design possibilities, a tool to optimise tyre performance, cornering and handling. But most importantly, they reduce time by weeks,” he pointed out.

“Taking into consideration the current strong contraction of the truck and commercial vehicle sector in the EU, we introduced a new foundry al. material Formal 35 for truck and bus, racing and UHP tyre moulds at the beginning of 2012,” he added.

Formal 35 yield and tensile strength is equal to constructional steel and does not deteriorate at the curing temperature unlike standard foundry material used by most companies.

Foundry technologyPNEUFORM’s foundry technology shortens delivery time of moulds even for more complex tyre patterns to six or seven weeks. Unlike expensive, time-consuming and non-green steel engraving and milling when the customer de facto pays the supplier all the costs connected with CNC milling and turning of 40% – 60% material that is scrape or recyclated, Formal 35 casted tyre moulds are becoming very effective solution giving the best value for money, he said.

“For instance, the price level of a new mould is usually under 10% the price of a steel engraved mould, we are close to 40% of the usual price level,” Bambuch said.

He added that PNEUFORM will be introducing in 2013 a new type of foundry material Formal 100.

“Formal 100 has a designed microstructure using particular alloying elements and alloys and a controlled process of solidification. It is the first alloy designed with respect to the thermal diffusivity and heat capacity characterised by better thermal conductivity. It requires 10% less heat to cure tyres. This is an extremely strong argument,” he stressed.

Bambuch added: “One of our biggest ambition is further expansion to India. It is one of the most promising growth-oriented markets. We cannot afford to simply ignore the advantage when we plan in a big way to become a global player. We see it as an inevitable step that has to be taken in the next two or three years. We look forward to developing our relationship with our current customers as well as with the local tyre producers.”

In April 2012 PNEUFORM introduced moulds with completely laser-sintered sipes and sipe-optimised shoulder blocks.

DLMS technology allows the company to supply moulds with 0.20 – 0.30 mm micro-sipes with a complex 2D or 3D

By PTA News Bureau

L IMELIGHT


PNEUFORM, the Czech producer of moulds and containers, continues its expansion in the international markets setting up a second production plant in the Russian Federation. The company is also eyeing India as a key market in the upcoming two years

PNEUFORM EYES BIGGER GROWTHat the end of year 2012,

PNEUFORM celebrated 20 years of its remarkable growth. Over

the years the company, together with its subsidiaries, has developed into a major supplier of complete technology solutions for production of moulds and containers, sipes and venting systems.

“We are the only company in the world that specialises in production of moulds, containers, sipes and venting systems under one roof,” says Jan Bambuch, Sales Operation Manager.

“If a customer has specific requirements for development or tyre production, we are able to offer complex turnkey solution, reducing delivery time, cost as well as the risk of delay,” he added.

Product portfolio of PNEUFORM includes segmented and two-piece tyre moulds with focus on premium products, PCR, TBR and OTR containers and semi-containers, production of sipes, 3D sipes, DMLS sipes, spring vents and other types of venting systems.

“Our products are used for all types of tyres, from motorcycle, PCR, TBR and OTR right up to racing and Formula 1.” Bambuch said.

Innovation for 2013PNEUFORM’s research and development strategy is strictly aimed at products that will provide customers with an added value.

“We believe that innovation is more than part of our production strategy. It is a company philosophy, a way of thinking and state of mind of our employees. That is the way PNEUFORM follows in production,” he said.

“For example, for the Nordic type tyre segment, we launched a new line of winter moulds with directly casted stud pins last year. We also came up with directly casted inserts to accommodate multiple types of spikes in a mould. Only this technology meets the most demanding customers’ requirements for perfect position, perpendicularity to a tyre profile and mould spikes concentricity, enabling automatic / robotic installation of ice spikes,“ Bambuch pointed out.

Timeline1992 : PNEUFORM is founded

1994 : PNEUFORM´s first plant in Hulin, Czech Republic

1999 : GACZ, subsidiary is founded. Production of sipes and vents on steam

2006 : Moldcast is founded, new low-pressure foundry

2011 : PNEUFORM RUS is founded, second PNEUFORM´s plant located in the Russian Federation

2012 : Branch office in Seoul is founded

2013 : Third plant in the Russian Federation will be founded

PNEUFORM will be introducing in 2013 a new type of foundry material Formal 100. It has a designed

microstructure using particular alloying elements and alloys and a controlled process of solidification. It is the first alloy designed with respect to the thermal diffusivity and heat capacity characterised by better thermal conductivity. It requires 10% less heat to cure tyres

geometry that cannot be produced in the ordinary method.

“These moulds give customers new design possibilities, a tool to optimise tyre performance, cornering and handling. But most importantly, they reduce time by weeks,” he pointed out.

“Taking into consideration the current strong contraction of the truck and commercial vehicle sector in the EU, we introduced a new foundry al. material Formal 35 for truck and bus, racing and UHP tyre moulds at the beginning of 2012,” he added.

Formal 35 yield and tensile strength is equal to constructional steel and does not deteriorate at the curing temperature unlike standard foundry material used by most companies.

Foundry technologyPNEUFORM’s foundry technology shortens delivery time of moulds even for more complex tyre patterns to six or seven weeks. Unlike expensive, time-consuming and non-green steel engraving and milling when the customer de facto pays the supplier all the costs connected with CNC milling and turning of 40% – 60% material that is scrape or recyclated, Formal 35 casted tyre moulds are becoming very effective solution giving the best value for money, he said.

“For instance, the price level of a new mould is usually under 10% the price of a steel engraved mould, we are close to 40% of the usual price level,” Bambuch said.

He added that PNEUFORM will be introducing in 2013 a new type of foundry material Formal 100.

“Formal 100 has a designed microstructure using particular alloying elements and alloys and a controlled process of solidification. It is the first alloy designed with respect to the thermal diffusivity and heat capacity characterised by better thermal conductivity. It requires 10% less heat to cure tyres. This is an extremely strong argument,” he stressed.

Bambuch added: “One of our biggest ambition is further expansion to India. It is one of the most promising growth-oriented markets. We cannot afford to simply ignore the advantage when we plan in a big way to become a global player. We see it as an inevitable step that has to be taken in the next two or three years. We look forward to developing our relationship with our current customers as well as with the local tyre producers.”

In April 2012 PNEUFORM introduced moulds with completely laser-sintered sipes and sipe-optimised shoulder blocks.

DLMS technology allows the company to supply moulds with 0.20 – 0.30 mm micro-sipes with a complex 2D or 3D

By PTA News Bureau


UZER MaKINa POISED FOR BIGGER GROWTHUzer Makina, Turkey’s leading

manufacturer of tyre curing presses and moulds, has entered

2013 with strategic expansion plans in Europe and elsewhere, equipped to serve tyre industry in its new phase of sustainability challenges. The company is poised for bigger growth, creating opportunities at a time when European tyre business is fighting against odds.

The company has its eyes on expanding its operations to new markets, particularly in Asian markets where automobile and tyre sectors are more stable than in the volatile West. This is driven by a comprehensive quality excellence programme to help boost its products’ competitive edge in the market.

Having a state-of-the-art manufacturing facility in Izmit, the Turkish tyre capital, has helped Uzer Makina make use of its logistics advantage to the maximum. The city hosts most of the world’s top tyre makers, such as Bridgestone, Goodyear, and Pirelli.

Not only tyre plants but also raw material producers have also chosen Izmit also has several leading raw material producers such as Kordsa, producers of tyre cord fabric, and Beksa, makers of steel wire for belt and body ply.

Uzer Makina’s major competence lies in the design and manufacturing of sophisticated tyre moulds, tyre curing presses and related container mechanisms for the past several decades. It has been continually investing millions of dollars in upgrading its operating systems and skills of its engineers and workers so that it can deliver world-

class products in accordance with the requirements of tyre companies.

At every stage of production, Uzer Makina applies quality management processes and is proud to say that it has ISO 9001 since 2002 for all the manufacturing operations that are under the same roof. Also, since Uzer Makina works closely with its customers, any specific demands from them could be executed in a timely manner to their full satisfaction. For the company, integrating such requirements into the new design in the shortest possible time has become possible, he said.

Uzer Makina currently caters to thriving markets in the Americas, Europe, Middle East, and Far East, where the qualitative edge of its products helps maintain the company’s frontline position.

It made a timely entry into the Asian market when the tyre and auto industry started opening up to major global presence.

Moulds and pressesThe company followed direct engraving method in mould making through its state-of-the-art software and modern 5-axis CNC machines. Technological advancement has also helped Uzer Makina reduce the manufacturing time for moulds upto even four weeks.

According to the company, direct engraving method also helps in selecting a greater range of materials. Both aluminium and/or steel materials are used for manufacturing of segmental type of moulds.

The company’s tyre curing mould product

range covers PCR, LVR, LTR, TBR sizes in segmental type of mould construction with either aluminium or steel tread segments. And sidewall plates are made of steel. Full circular type AG, AGR, OTR and bladder moulds are also made.

Among its main products are bladder moulds, where the technology adopted includes forged or cast steel, vent sets engraved or acid etching. Pebble design vent sets are also applied with acid etching. Either transfer type or injection type moulds are manufactured with hard chromium plating on the cavity surfaces. Uzer Makina has delivered thousands of sets of containers to different clients in different types of constructions all over the world.

Uzer Makina began manufacturing tyre curing presses over two decades ago with the 65” twin BOM dome type mechanical presses. Since then, from mechanical to state-of-art hydraulic presses, the company has delivered hundreds of curing presses worldwide. The presses comply with CE regulations and all pressure vessels are certified and tested by notified bodies like TUV Germany.

With the latest EU regulations, new tyres require to be labelled with tyre performance attributes such as fuel efficiency, wet grip performance and exterior rolling noise. As rolling resistance is strongly related to radial run-out of the tyres, in the company’s new generation curing presses these attributes are taken care.

Its machines have better centring of green tyres into the moulds, which guarantees better uniformity values.

By PTA News Bureau

L IMELIGHT


aCTEN STRESSES ON EXCELLENCE

Expanding its footprint in new markets, including India, Acten Group, Malaysia-based leading

providers of equipment and know-how to tread rubber and tyre retreading plants, has developed its competitive edge through quality excellence and innovation. The company has broadened its influence and customer base that encompass almost all rubber based industries.

With the recruitment of experienced rubber technologists and marketers, Acten had formed a strong team that provides thorough services for rubber treads manufacturers as being the unique “One Stop Supplier.”

Acten Engineering Sdn. Bhd was established in 1994 by a group of inspiring engineers. The company’s corporate culture is strongly formed by the spirit of innovative and creativity that continually implemented their service in order to provide the most advanced and updated technological know-how.

Acten is currently able to provide quality and effective turnkey projects, which are tailor-made to suit every retreaders’ investment budget. In year 2001, Acten expanded its capacity by establishing Acten Marketing Sdn.Bhd. Five years later, Acten Tire Technology Sdn.Bhd. was established.

“We believe that all businesses need to adapt and reinvent themselves to keep abreast with today’s fast paced and ever changing world. Change is inevitable. We adapt to change by observing it, by listening to the people who are affected by it and by innovation. Simplicity is the key to change. We believe in simplicity in everything we do,” Steven Aw, Managing Director, said.

ACTEN’s customer base has been established throughout Malaysia. South East Asia has always been the major marketing focus for Acten and it has made a successful entry in Indonesia, Philippines, and Thailand over the years.

Acten has also expanded its market in China, Japan, Brazil, North America and Iran which further ensured the quality of the machinery and services the company supplied. In year 2011, Acten made its first entry in India and has achieved significant results.

Turn-key projectsActen Engineering provides service in design and consultation, machinery maintenance and modification, machinery installation as well as complete transfer of technical know-how from formulations design, mixing technique and on-site training to quality control.

Acten Marketing offers specialised market consultation and supplies a variety of products that encompass all other rubber based industries. Te company has grown to become one of the most reliable traders that continuously supply quality products at reasonable prices and with greatest value.Acten Tire Technology has made its niche in the market as responsible and trustworthy retreaders. It uses highly modern plants that are operated by trained technicians. The company offers retreading solutions to light truck, truck and bus tyres utilising precure/cold process retreading system.

Acten has been continually introducing newer and better ways to process rubber, and has been responsible for updating the technical know-how of many Malaysian based rubber tread manufacturers.

The flourishing rubber tread industry in Malaysia is a testament of Acten’s unique role as a one-stop supplier for the industry.

The main products from the Acten stable include complete tread rubber turnkey project set up, rubber processing machinery, tyre retreading machinery and accessories and tyre Recycling machinery.

Acten’s expertise benefits many small and medium sized rubber tread manufacturers across the globe. The company’s

workforce has also grown from an original small team of specialists to now include a rubber technologist with over 30 years experience in the rubber tread industry and strong marketers with a collective market experience of 40 years or more. The global market place has also propelled Acten to obtain the prestigious ISO 9001:2000 accreditation in the year 2004.

Acten has been continually introducing newer and better ways to process rubber, and has been responsible for updating the technical know-how of many Malaysian based rubber tread manufacturers. The flourishing rubber tread industry in Malaysia is a testament of Acten’s unique role as a one-stop supplier for the industry

Steven Aw, Managing Director, and Susan Wong, Executive Director

By PTA News Bureau


TECHVIEW

USING TYRE FaCTORY DaTaFOR COST-EFFECTIVE GROWTH

Spurred by global export opportunities, during the last decade Asian tyre companies introduced new

product lines and experienced growth at an unprecedented rate. Looking ahead, increasing demand from the domestic market and rising OE tyre customer quality requirements will combine to pressure these same companies to achieve productivity gains while improving quality.Large, multinational tyre producers faced with similar challenges have historically responded with huge investments in manufacturing and material handling automation, along with the purchase and implementation of costly IT systems (along with their corresponding upgrade and training costs). Investments and costs of this type are extremely challenging to growing Asian tyre companies who are already scrambling to obtain and deploy resources to meet current production requirements.Since 1982, Poling Group company CTI has worked closely with global tyre producers to acquire, store, and report tyre data. We’ve witnessed the productivity and quality improvements that come from turning data produced by people and machines, throughout the manufacturing process, into actionable information. We’d like to use that knowledge base to suggest some ways in which midsize tyre producers can leverage tyre factory data to meet ongoing and future operational challenges – in a scalable, cost-effective way.Product identificationProduct identification yields the quickest results that have the highest impact on productivity and quality improvement. You can identify packaged or singular product with a bar code label or RFID tag to:• Enable intelligent material handling. Regardless of whether or not you automate the process, delivering the correct product to a process set up to handle it is a crucial quality goal. • Provide the necessary element for product traceability required by many OE customers and governmental agencies.• Improve response to customer and product quality issues. Using product identification to track products as they are produced, moved, tested, and consumed reduces waste and facilitates future inventory management initiatives.For some tyre producers, the question is not whether to implement product identification, it is where to begin. Here are some advantages to consider:Component Production: Start here to provide maximum finished product traceability and the

most cost savings in scrap reduction. Tyre Building: Start here to verify product in the curing department and implement advanced analysis related to tyre construction issues.Curing Department: Start here and your material handling system can route tyres to specific processes and machines in the final finish area. You can also track finished tyre irregularities to a specific press or mold.

Capturing factory dataFrom production accounting to SPC monitoring, tyre factory data collection plays a key role in improving productivity. We know how to collect data from machines and effectively implement web-based reporting for all your users – from operators to CEOs.

Users can customise and automatically schedule a variety of tabular, graphic, and dynamic Final Finish Host (FFH) reports.• Our TFFIS (Tire Factory Floor Information System), first installed in 1997, provides a customizable base for collecting and monitoring production statistics from each area of the plant. It can also generate automatic text message alerts to mobile devices.•Our FFH system collects tyre testing statistics from a variety of machines. When we encounter a machine without an existing interface, we evaluate it and provide a spec to the machine vendor to simplify the data acquisition process. Once communications are established, FFH can also automatically download auditable recipe information from a centralized location.Advanced AnalyticsWould you rather spend more of your time finding problems, or solving them? Since 2004 we’ve worked with over 40 clients to successfully design data warehouses and

select off-the-shelf data analysis tools to avoid data overload, where:• Huge amounts of data are completely cut off from the source and stuck in a multitude of spreadsheets.• Productive hours are lost generating and analysing lengthy reports to identify production and quality trends.• IT spends too much time developing specialised queries to satisfy user reporting requests.At Poling Group, we use proven expertise to organize large, complex sets of data into warehouses and OLAP databases. We assist our clients in choosing the best tools from the marketplace to monitor changing operational status, and offer their staff training to ensure adequate maintenance and support for any data project. 24/7 remote support is always an option.

Select a dashboard tool to monitor production or quality status, by department or across the enterprise, complete with automatic alert capabilities.

The heat map presents volume as block size and status as color. At a glance, you can quickly discern what problems demand your immediate attention.

Once you identify a problem, use drill-down tools to quickly determine root cause. At Poling Group, the future is available now.www.PolingGroup.com/solutions


Louis P Rumao, PhD, is Polymers & Tyre Asia’s Correspondent in the United States. He is a Materials Engineering specialist with over three decades of automotive experience. He is a consultant to automotive rubber and plastics suppliers. He answers queries on tyre care and maintenance

TYRE CaRE

TIPS ON

TYRECARE

Many tyre dealers sell Road Hazard Warranty coverage, at additional cost, with a new set of tyres.

Road Hazard warranty plans vary widely, so there are things to know and a number of questions you should consider before making the decision to purchase Road Hazard coverage. Road Hazard policy is insurance, designed to offer you some protection in the case that one of your tyres is damaged by a road hazard - such as a pothole, nails, debris, or hitting a curb accidentally.You may ask, and rightly so, why do I need this extra-cost option when tyres come with manufacturer’s warranty?Let’s cover some of the basic types of tyre manufacturer warranties. Typically, tyres are warranted by the manufacturer for a period of six years from the date of sale. So, it is advised that you save the original purchase document. In absence of the proof of sale date, dealer may use the date of tyre manufacture. Limited manufacturer warranty which protects buyers against material or workmanship defects such as irregular wear (not due to the vehicle or driver), tread separation or broken belts (bubbles or blisters). Such defects are extremely rare and most often detected during tyre balancing and initial driving.Some tyres come with a tread life warranty. Tread life warranties are provided by the manufacturer and usually offer a pro-rated refund if your tyre does not last for the warranted mileage life. There are often many exclusions and limitations, such as exclusion for damage caused by vehicle or the driver.Few tyres come with manufacturer Road Hazard warranty. If a manufacturer does include Road Hazard warranty, the coverage

may be less generous than separately-purchased Road Hazard policies, and one can safely assume tyre price is marked-up

for the extra coverage. If you are buying tyres that come with such coverage, review the terms to determine whether the coverage meets your needs.

Insurance policyAs indicated earlier, it is an “insurance” policy, not unlike health or property insurance, where you hope that you will not have to use it, but if needed, it is there to reduce or eliminate future costs. Like all insurance policies, this is a matter of personal preference and may give you peace of mind. In general, insurance companies (tyre dealers included) plan to profit by selling policies for a price that is more than what they expect to pay out in claims. It is obvious that tyre dealers wouldn’t push warranties if they didn’t profit from them. Industry statistics show that the cost of claims paid out by providers is less than 10% of the premiums collected. If you feel that you experience a greater incidence of tyre damage, punctures, etc. it may be worthwhile for you, especially if you live, work, or drive in areas with more road hazards - like in new construction areas.Note that if car hits a road hazard hard enough, such as a pot hole, it’s wise to have the alignment checked. Road hazard policies and tyre reimbursement plans do not cover alignments. If a rim and tyre have incurred significant damage, it’s quite likely that other problems have resulted as well. First, the vehicle may have been jarred out of alignment. Secondly, hub bearings, front end components (tie rods, spindles, ball joints) and a variety of other components may have sustained damage. In this case, auto insurance, which you are already paying for, may pay for these damages.What should I look for in a Road Hazard Warranty?

As a general rule, Road Hazard warranties cover the same kind of damage, but they can differ on a few key points. Here are the questions you should consider before deciding whether or not to purchase the insurance.How long does the insurance coverage last?Most plans last 2-3 years, or until at least 1.6 mm tread is left.What percentage of the value of the tyre is covered?Most Road Hazard programmes have a pro-rated coverage structure, either based on time since purchase or on amount of useable tread left. Where must I go to file a road hazard claim under the policy?

The best Road Hazard insurance allows you to choose where to go for service, and offers a large network of approved tyre service shops around the country. Some tyre chains require you to come back to the specific store or the chain that issued the policy. As you can imagine, this has significant drawbacks if you happen to damage your tyre away from the store where you bought it. In this case, you may have to drive many miles on a spare tyre or seek help locally and miss out on the warranty.Is emergency roadside assistance covered?Comprehensive plans may cover some or all of the cost of roadside service, which may include spare tyre swap and even a tow in some cases. This can be very valuable late at night on the roadside in an unfamiliar area.Cost versus potential benefit/s In USA, the typical cost is $15 – $20, per tyre, for a set of four, and not sold for single tyre, and may save up to the cost of new tyres, not to mention the peace-of-mind benefit. Whether or not to buy Road Hazard Warranty is a personal decision. For most consumers, the odds of getting at least one flat tire over the duration of coverage is pretty high, so having the insurance protection can be useful. If you get a flat tyre in the first year after purchase and the tyre needs to be replaced, the combined value of the replacement tyre and emergency service can make Road Hazard warranty a worthwhile investment. If, on the other hand, you go the full duration without a flat, you’ll be out the original cost of the insurance. Like all insurance programs, you’ll probably be happier if you never need to use the Road Hazard Warranty programme, but if you’re ever to hear the rumble of a flat tyre, you’ll be glad that you’re protected.

ROaD HaZaRD WaRRaNTY FOR TYRES


REAR VIEW

Anil Mishra TRaNSPaRENCY IN COMMODITY FUTURES MaRKETCommodities are transacted mostly

in the spot market, but its pricing remains opaque, localised and

commodity is physically inspected every time then only its price is determined and trade takes place and the price differs lot by lot. Futures market has removed the price from the commodity. The commodity is traded based on the supply demand information both for current date and for future dates. The commodity traded on the exchange has standard specification and all the terms are well defined and approved by the regulator Forward Markets Commission (FMC). The market discovers the price based on supply demand forecast or any other price influencing news that appears affects the price. The producer could lock the price in advance without having commodity. He is not forced to give delivery and could sell to any place or to any client who gives him better price and square his position on the commodity exchange. Thus he would be free from any obligation on the exchange.

For better price discovery there is need for better transparency and the stakeholders should be fully aware of all the information and therefore could take correct informed decision. The screen of the exchange gives the depth of the buyers and sellers and the price quoted by the five best buyer and sellers is always displayed and the software system matches the price of the best buyer and best seller. There is no human intervention or preference. Big players do not get any privilege. This price information continuously changes with every new buyer and seller entering from any part of the country. Thus price available is not local but national.

The exchange quotes price not for immediate month but also for future months. The price of the future months indicates what market thinks about the supply demand situation in the future months. If the producers or consumers like the price of the future months they could lock that price. Thus price uncertainty is replaced by price certainty.

The exchange screen also continuously shows change in the open interest. The open interest is the number of contracts which are still opened to be settled. If such open interests are squared the number of open interest reduces. If new buyers or sellers emerge and do not square their position same day open interest increases. The change in open interest is also reported on real time basis.The price of the commodity is shown as the price at which market opened, the highest and lowest price achieved during the day, and the closing price of the day. It also shows change in price as compared to previous day. The price is displayed nationally at the same time.

KYC informationAll the clients have to give their KYC (Know Your Client) related information including the PAN number before they could trade on the commodity exchanges. The exchange sends direct information to the clients through SMS and email if any transaction happens in their account. This is done to avoid any misuse of the client account by the broker member and also to avoid future disputes.The price information is available through traders’ terminals, exchange website, through price ticker boards and through TV. Exchange has made provision that price information could be sent to the client anytime on their mobile if they send the SMS query and they could request for alerts also.The stock position in the exchange certified warehouse is displayed on the website of the exchange in which one could get the information of daily arrivals and despatch. The commodity exchanges are not meant

for physical delivery but for price discovery and price risk management. Physical delivery is the enabling provision to give delivery when it is most profitable in terms of price otherwise suppliers give delivery to their clients nearer to their location so that criss cross movement of the commodity is avoided which otherwise makes the commodity more expensive. Threat of delivery is to keep the futures market aligned with spot market so that nobody is able to manipulate the price on the futures market and convergence take place on the settlement date.

There is limit on open interest to ensure that nobody is able to corner the stock with his money power and manipulate the price. If unscrupulous traders build the position by forming a group the exchange clubs their position and doesn’t allow them to build the position.

To curb the volatility there is daily price band imposed, beyond which the price can’t move within a day. Even within the daily price band there is circuit filter at which the trading stops for 15 minutes and after that 1% additional band is opened but trade completely halts if the daily price band has reached. It can’t be breached.

Since this alternative market is very transparent it is analysed by the experts who give their opinion daily on the price trend in print and electronic media. It becomes more liquid hence the cost of transaction is lower. Unfortunately it has been misunderstood as speculators market, there is absence of skill set to better understand and efficiently use this market. There is need of more training and education to fully use this transparent and highly regulated market.

Anil Mishra is the MD & CEO of National Multi Commodity Exchange (NMCE). He is an expert on commodity trading, supply chain management and trading in derivatives. He is also an international speaker, presenter and writer. The views expressed here are of the author and not that of the Exchange

The commodity exchanges are not meant for physical delivery but for price discovery and price risk

management. Physical delivery is the enabling provision to give delivery when it is most profitable in terms of price otherwise suppliers give delivery to their clients nearer to their location so that criss cross movement of the commodity is avoided which otherwise makes the commodity more expensive. Threat of delivery is to keep the futures market aligned with spot market so that nobody is able to manipulate the price on the futures market and convergence take place on the settlement date


REAR VIEW

Anil Mishra TRaNSPaRENCY IN COMMODITY FUTURES MaRKETCommodities are transacted mostly

in the spot market, but its pricing remains opaque, localised and

commodity is physically inspected every time then only its price is determined and trade takes place and the price differs lot by lot. Futures market has removed the price from the commodity. The commodity is traded based on the supply demand information both for current date and for future dates. The commodity traded on the exchange has standard specification and all the terms are well defined and approved by the regulator Forward Markets Commission (FMC). The market discovers the price based on supply demand forecast or any other price influencing news that appears affects the price. The producer could lock the price in advance without having commodity. He is not forced to give delivery and could sell to any place or to any client who gives him better price and square his position on the commodity exchange. Thus he would be free from any obligation on the exchange.

For better price discovery there is need for better transparency and the stakeholders should be fully aware of all the information and therefore could take correct informed decision. The screen of the exchange gives the depth of the buyers and sellers and the price quoted by the five best buyer and sellers is always displayed and the software system matches the price of the best buyer and best seller. There is no human intervention or preference. Big players do not get any privilege. This price information continuously changes with every new buyer and seller entering from any part of the country. Thus price available is not local but national.

The exchange quotes price not for immediate month but also for future months. The price of the future months indicates what market thinks about the supply demand situation in the future months. If the producers or consumers like the price of the future months they could lock that price. Thus price uncertainty is replaced by price certainty.

The exchange screen also continuously shows change in the open interest. The open interest is the number of contracts which are still opened to be settled. If such open interests are squared the number of open interest reduces. If new buyers or sellers emerge and do not square their position same day open interest increases. The change in open interest is also reported on real time basis.The price of the commodity is shown as the price at which market opened, the highest and lowest price achieved during the day, and the closing price of the day. It also shows change in price as compared to previous day. The price is displayed nationally at the same time.

KYC informationAll the clients have to give their KYC (Know Your Client) related information including the PAN number before they could trade on the commodity exchanges. The exchange sends direct information to the clients through SMS and email if any transaction happens in their account. This is done to avoid any misuse of the client account by the broker member and also to avoid future disputes.The price information is available through traders’ terminals, exchange website, through price ticker boards and through TV. Exchange has made provision that price information could be sent to the client anytime on their mobile if they send the SMS query and they could request for alerts also.The stock position in the exchange certified warehouse is displayed on the website of the exchange in which one could get the information of daily arrivals and despatch. The commodity exchanges are not meant

for physical delivery but for price discovery and price risk management. Physical delivery is the enabling provision to give delivery when it is most profitable in terms of price otherwise suppliers give delivery to their clients nearer to their location so that criss cross movement of the commodity is avoided which otherwise makes the commodity more expensive. Threat of delivery is to keep the futures market aligned with spot market so that nobody is able to manipulate the price on the futures market and convergence take place on the settlement date.

There is limit on open interest to ensure that nobody is able to corner the stock with his money power and manipulate the price. If unscrupulous traders build the position by forming a group the exchange clubs their position and doesn’t allow them to build the position.

To curb the volatility there is daily price band imposed, beyond which the price can’t move within a day. Even within the daily price band there is circuit filter at which the trading stops for 15 minutes and after that 1% additional band is opened but trade completely halts if the daily price band has reached. It can’t be breached.

Since this alternative market is very transparent it is analysed by the experts who give their opinion daily on the price trend in print and electronic media. It becomes more liquid hence the cost of transaction is lower. Unfortunately it has been misunderstood as speculators market, there is absence of skill set to better understand and efficiently use this market. There is need of more training and education to fully use this transparent and highly regulated market.

Anil Mishra is the MD & CEO of National Multi Commodity Exchange (NMCE). He is an expert on commodity trading, supply chain management and trading in derivatives. He is also an international speaker, presenter and writer. The views expressed here are of the author and not that of the Exchange

The commodity exchanges are not meant for physical delivery but for price discovery and price risk

management. Physical delivery is the enabling provision to give delivery when it is most profitable in terms of price otherwise suppliers give delivery to their clients nearer to their location so that criss cross movement of the commodity is avoided which otherwise makes the commodity more expensive. Threat of delivery is to keep the futures market aligned with spot market so that nobody is able to manipulate the price on the futures market and convergence take place on the settlement date

Rajiv Budhraja is Director General of the New Delhi-based tyre industry association, Automotive Tyre Manufacturers’ Association (ATMA).The views expressed here are personal

By Rajiv Budhraja

TREADMARKS

New Year is meant to be a time to reflect, look ahead and make new resolutions. Change, by definition, implies confronting the past,

learning from it and moving forward. As the phrase goes, those who do not learn from history are liable to repeat their mistakes.

India is today at the cusp of a big change. Having delivered more than 9% growth for several years (second fastest in the world), Indian economy is battling its worst slowdown in a decade. The Indian economy is headed for the decade’s lowest growth of 5.7 – 5.9% in the current fiscal (Mid-year Economic Analysis, December 2012).

That Indian economy will slip to sub-six per cent growth so soon was something unimaginable even a year ago. After all, Economic Survey at the beginning of the financial year projected a growth of 7.6% considered to be a modest figure at that time. However as subsequent quarters have shown, not only the growth has slipped, fiscal and current account deficits have widened and the worst - India’s rating has been downgraded. India is looking for answers and there are no easy ones to fall back upon.

In that context, a crucial statement made by one of India’s most iconic figures, whose every word the country has been hanging on to as gospel, could help. That these views were expressed just days before he hung his boots on Dec 28, make it all the more significant and should be seen in the spirit they were expressed - anguish of a person who strode the industrial firmament like a colossus for two decades and made his USD 100 billion salt-to-software empire, a force to reckon with in the world.

Ratan Tata’s parting shot couldn’t have been more pointed or thought provoking as India woke up to New Year 2013.. “Lack of government support was preventing Indian industry from competing with China”. He is quoted to have been said in a widely published interview. He even contrasted the Indian government’s attitude towards its industrial sector with that of China where Tata recently opened a Jaguar Land Rover factory. “There’s a great, marked difference in government support,” he said. “If we had the same kind of encouragement to industry... I think India could compete definitely with China” he added.

What Tata said finds reverberation in what sections of Indian industry, automotive tyres included, have been saying for quite some time now. A study of growth pattern of tyre industry in both the countries puts in sharp relief what Government support can do for growth of an industry. For instance, the raw material intensive tyre industry in India is still recovering from the impact of consistently rising natural rubber prices during the years 2009-11 when NR prices shot up in a no-holds-barred momentum.

India being NR deficient, the high import duty of 20% further hurt the interests of the industry.

China, too, had a 20% import duty structure but it acted swiftly and rationalised the import duty to less than 10% in January 2010 itself. However it took India one full year and legal intervention before the duties could be capped at a level comparable to China. The result, in a year that witnessed healthy all round growth in Indian automobile sector, the tyre industry’s growth came about with a great cost to profitability significantly limiting the industry’s capacity to generate business surpluses.

That’s not a solitary incident. The export incentivisation policy of China led to a massive surge import of Chinese tyres in India. It took a long while for India to initiate safeguard duties against excessive imports. As a result, industry’s growth suffered.

What is significant to note is that China continues to stand by its industry in securing raw material supplies at cheaper cost so that the industry is able to tide over the current challenging phase.

At current international price of Rs 160 per Kg of Natural Rubber, the import duty of Rs 20 works out to around 12.5% in India which is much higher than the import duty on finished rubber products of 10% leading to inverted duty structure. China, on the other hand, has just reduced the import duty on Natural Rubber from a maximum of 1600 Yuan to a maximum of 1200 yuan effective Jan 2013. At the current international prices of around 25000 Yuan per ton, the import duty comes to just about 5%. That distorts the level playing field for India giving Chinese manufacturers competitive edge over Indian tyre manufactures, especially in common overseas markers.Against all odds, tyre industry in India has put in massive investments in capacity creation to be ahead of the demand curve in view of spiralling growth in automobile production in the years gone by. An investment of Rs 20000 crore (around $4 billion) is lined up for investment in recent years.

It will be in the fitness of things if Indian government comes in support of the industry with certain policy enablers as the economic and automobile slowdown has magnified the fears of excess capacity while the industry is passing through a tough phase. What the industry is looking at is a level-playing field with its counterparts in the world. Terming it as protectionism will be unfortunate and a travesty of the efforts being put in by the tyre industry in India.

A move has already been set in motion by the Indian government. There are definite signs of political will to reverse the slowing down process. Industry is hopeful of a fair dispensation in the forthcoming Budget presentation. Hope, Mr Tata will have a different more positive remark this time around.

ENERGISING INDIaN INDUSTRY, THE CHINa WaY


By KS Nayar

Branded tyre makers are worried at their inability to completely eliminate counterfeit tyres, which are variously

described as fakes or look-alikes. They pose a grave danger to motorists and undermine the financial stability of companies which spend huge amounts of money in developing safer tyres and to promote their brands.

The fake products, mostly manufactured in low-cost Asian countries, sport patented tyre treads and carry marks that look as originals. Counterfeiters even provide the buyer with authentic-looking guarantee cards on quality and durability. Fleet companies and individual vehicle owners, who are struggling to slash operational costs due to rising fuel prices and maintenance, fall victims to such cheap tyres. Michelin, the world’s largest manufacturer of tyre, had even written to the European Commission urging it to take action against the flood of counterfeit truck tyres. Organisations, such as the US-based Rubber Manufacturers Association, have been appealing to dealers not to stock tyres that are look-alikes. It has been urging consumers to be on the alert when they are offered massive discounts that defy logic. Various industry organisations are cooperating with local law enforcement authorities in tracking down suppliers and stockists of fake tyres. Many governments are stepping up legal action against those who deceive consumers and contravene intellectual property rights (IPR). However, police raids and legal actions have not deterred counterfeiters. The market continues to be awash with fake tyres.

In late January, Nigerian officials have indicated that there are over 50 million fake tyres on sale in the country. An official of the Standards Organisation of Nigeria in a deposition before the National Assembly Committee on Trade, Investment, Commerce and Industry said that 20 per cent of the road mishaps are due to fake tyres. In the Middle East counterfeits are blamed for road accidents.

The circulation of fake goods – from toiletries to kitchen appliances, medicines to even sports cars – is flourishing because of poor monitoring and slackness in IPR enforcement. This situation is likely to become worse with the widespread use of game-changing transformational technologies such as three-dimensional (3D) printing and additive manufacturing (AM).

Disruptive technologyThis emerging technology revolution will have profound impact on the world. is similar to the coming up of factories that hastened Industrial Revolution. The incredible 3D and AM technologies are

having great impact on human civilisation like the changes brought about by the steam engine, the light bulb and the computer chips. These developments call for appropriate laws to monitor and curb their misuse.

There is no doubt that 3-D printing and AM technologies have already begun unleashing stunning innovations. Today, manufacturers can reproduce goods–from a single product to multiples – in the most cost-effective way in the shortest possible time. Digital files of blueprints on personal computers can be turned into products without complicated manufacturing processes. Products are built by progressively adding layers after layers of metals, plastics or other raw materials.

AM allows production of any product whatever may the intricacies of the design. Hence, the emerging fears of a surge in counterfeits. There is a compelling reason now to tighten vigil and strictly enforce IPR. Thanks to the World Wide Web and the ubiquitous Internet, digital design files can be transferred from one end of the world to another in a jiffy without cross-border hassles. It is now possible to considerably cut the manufacturing time and slash the final cost of product development. Manufacturing is possible on any scale of choice that was inconceivable earlier.

Although 3-D printing and AM technologies have been evolving since the 1970s, it received a boost since the 1980s with the development of high-level graphical programming languages. Soon it led to rapid prototyping by way of 3D printing which has also been continually undergoing technological improvements. Its practical application can help avoid obsolescence as new features based on market

feedback can be quickly incorporated into products. The manufacturer can also choose incremental improvements to the merchandise according to market demands.

The disruptive technologies of 3D printing and AM already have made a profound impact on geopolitical, economic, social, and environmental fields. Companies can cut inventories as they will be capable of catering to just-in-time demand. They can also offer a wider range of product portfolios and manufacture customised mass products.

Cost benefitsWhat is more appealing is the ability to reduce costs by bringing production closer

to the market thereby eliminating supply-chain

bottlenecks and reducing carbon footprints. Manufacturing is set to see a renaissance thanks to 3D printing and AM technologies, whose costs are dropping. The need for labour will also be minimal. The AM technology is used in creating intricate components for anything from automotive parts to medical application. Even an entire vehicle could be created using this technology. Medical products are being made in accordance with the individual prescriptions of doctors: From hearing aids to dental braces.

The dwindling prices of AM technology are similar to what we are witnessing in the case of computers. Manufacturing is becoming more widespread and ‘democratised’ with the concept of factory undergoing metamorphic changes. As even complex tyre tread patterns could be copied and produced without authorisation, genuine producers would feel the heat of counterfeiters. Whatever is the design geometry of the tyre mould, they could be instantly reproduced and tyres manufactured. Like films and music getting counterfeited almost instantly after their official release, fake reproduction of tyres could flood the market immediately after their originals hit the showrooms.

In coming years distinguishing the counterfeit from genuine products could become more difficult. With law enforcement officials several steps behind fake tyre makers, tracking them down is a great challenge before governments and original manufacturers. Like new printing technology and digitised music posing difficulties in copyright law enforcement, 3D printing and AM breakthroughs are throwing up unprecedented challenges to trade marks and patents. Tyre makers beware.

REFLECTIONS

FaKE ENCOUNTER

RANDOM THOUGHTS

John S Powath


RANDOM THOUGHTS

John S Powath

There is one area where slowdown is minimal – world population growth. It took 50 years – from 1960 to 2010 -

for the global population growth rate to fall from 2.3% to 1.15%. Let’s face it, we are quite a lot of people! Europe may be cribbing about not having enough young people to compensate for the fast ageing old population. We in Asia are not! We make more than half the number of people on Planet Earth and we are pretty young too.

However, there is very little to cheer about. Growth comes with a price. While we all congratulate ourselves for achieving growth in every sphere of life and even changing the way of life beyond recognition, we are all sick. Be it environment pollution, global warming or multi-tasking lifestyle, we are all unhealthy. Healthcare is the biggest concern of all countries. In spite of all the achievements and technological advancements, health hazards are on the rise, particularly in the tropical regions. Healthcare systems remain sick in itself!

And thus, hospitals have become our most visited destination.

No wonder, hospitals are always over-crowded. There are far more sick people than any hospital can accommodate. There is irony in this. This overcrowding at the hospital counters is despite the scorching hot cost of treatment! The price of drugs and hospital treatment is rising at a frightful pace. The bill can give anyone a heart attack. The sick would turn sicker!

The truth is that the crowd at the counter is not because they can afford the prescribed drug, but because they have no option!

After all, who can afford to remain sick for long? The world is growing and there is a mad race out there to keep pace with it. One has to join the race and run. Thus, left with no option, we swallow the price pill and crowd at the counter.

This is not just for the poor people, many of whom may even pretend not to be sick and keep racing with life. This is also for those who can at one level afford the price. For them the treatment needs to be by specialists who charge special price for exclusivity. The price is in direct proportion with what the patient can “afford.”

Hospitals are no longer considered institutions that “serve” the society – more so with “exclusive” specialty hospitals. They have become business houses. Like politics, hospitals are now corporate units to make money. Profit is the key word. To hell with the sick, after all one day everyone will die!

There was a time when a doctor could diagnose what was wrong at the very first sight of the patient. A gentle touch on the pulse was enough. Their diagnostic skills were superhuman – that too at a technological level that we today will cry shame!

And today, even for the most minor of illnesses, we are given a long list of tests. We lay under huge, machines that bleep signals on screens that scare the life out of you. The machines are of course imported and costly. And who pays for them? We, the sick. This, even for a common cold. We become guinea pigs for new antibiotics. We scream and the docs learn! Tests are done with no sense of proportion to what actually is wrong with us, tests that finally make us immune to ordinary medications. That is the catch – lack of proportion.

Well, is there any way out? The answer is very simply – “No.” You

have to visit this “temple of suffering,” whether you like it or not!And there are other hawks waiting for their chance – the medical insurance guys! These days you have medical insurance cover for the young, the old, the able bodied and the sick. When the hospitals find that you are under medical cover, your charges are doubled. Naturally the insurance premium for the following year also gets

doubled. It is time we realised the

importance of a healthy life style. If nothing else, that can keep us far away from hospitals. The hustle and bustle of the modern world does not give us time to have regular exercise and in the process you are denied of a quality life. It is easy to say,”get back to nature, avoid unhealthy food, quit smoking, avoid alcohol…”. Well, you are no James Bond. You only live once!

Well, the bottom line is… do things that will at least cut down the number of visits to the hospital. If not, be mentally prepared to absorb the bill shock. All said and done, hospitals are unavoidable destinations. You have to live with it.

THE HEaRT-aTTaCK DESTINaTION

VMI is a highly innovative machine producer. In each market VMI is active in, it has the ambition to have a leading position by supplying the best solutions to its customers

MY VISION

INNOVaTION DRIVES GROWTH

FLEXX Belt Maker, the groundbreaking machine that the Epe (Netherlands)-based

VMI developed to launch at the Tire Technology Expo 2013 in Cologne (Feb 5-7), represents an innovative design that can boost tyre industry productivity at lower costs. It represents a unique fusion of cutting and feeding technology, high-speed vision systems and an extruder-gear-pump technology.

The unveiling of the latest product from the world class stable is yet again a sign of VMI’s continuing commitment to come up with innovative products that are designed in line with its other highly-acclaimed technology-driven product portfolios that offer cost-effective solutions to the tyre industry.

As HJ (Harm) Voortman, VMI’s President & CEO, says his strategy is to take the company further forward as a highly innovative machine producer. It was during last year’s Tire Tech show that he introduced to the world the EXXIUM car and light-truck tyre building machine. The revolutionary operator-run machine has since become the workhorse of the global tyre industry. As an innovation leader, VMI is at the top in each market where it is active, he told Polymers & Tyre Asia.

Since taking over the reins of VMI in July 2010 from the late JJ (Coos) Spanjer, Voortman has been driving the company to its current position as the world’s most versatile machine maker to the tyre industry. He

joined the company in 2004 as Manager of the Projects Department, and after three years got promoted as President of Sales & Projects division responsible for all commercial activities within the VMI Group. Today, as the CEO of the VMI Group, he is focussing on the company’s commercial and R&D activities, while at the same time giving leadership to its global expansion.

“VMI is a highly innovative machine producer. In each market that VMI is active in, it has the ambition to have a leading position by supplying the best solutions to its customers,” he said in the interview. Voortman reaffirmed that his company is highly service-oriented. “ VMI is determined to deliver progress to its customers by putting extreme effort in product development and services,” he asserted.

VMI believes in intense customer relationship as a basis for long-term sustainable business, he explained while giving an overview of his business strategy. “To achieve this VMI will continuously anticipate changing circumstances in society and in business as well as on specific needs of our customers. VMI strives to provide a progressive and healthy environment for its employees, while providing return-on-investment and a fair profit for its shareholders.”

Sustainable growthElaborating on VMI’s business strategy to enlarge its market share in a highly competitive global market, Voortman said that he believed that the basis for sustainable growth was two fold. “The first pillar is that we make sure that we have excellent products which we continuously further developed to ensure to have the best fit products for the various markets. This requires an excellent, but also an

INNOVDRIVES

FLEXX Belt Maker, the groundbreaking machine that the Epe (Netherlands)-based

VMI developed to launch at the Tire Technology Expo 2013 in Cologne (Feb 5-7), represents an innovative design that can boost tyre industry productivity at lower costs. It represents a unique fusion of cutting and feeding technology, high-speed vision systems and an extruder-gear-pump technology.

The unveiling of the latest product from the world class stable is yet again a sign of VMI’s continuing commitment to come up with innovative products that are designed in line with its other highly-acclaimed technology-driven product portfolios that offer cost-effective solutions to the tyre industry.

As HJ (Harm) Voortman, VMI’s President & CEO, says his strategy is to take the company further forward as a highly innovative machine producer. It was during last year’s Tire Tech show that he introduced to the world the EXXIUM car and light-truck tyre building machine. The revolutionary operator-run machine has since become the workhorse of the global tyre industry. As an innovation leader, VMI is at the top in each market where it is active, he told Polymers & Tyre Asia

Since taking over the reins of VMI in July 2010 from the late JJ (Coos) Spanjer, Voortman has been driving the company to its current position as the world’s most versatile machine maker to the tyre industry. He

By PTA News Bureau

HJ Voortman, President & CEO, VMI

VMI is a highly innovative machine producer. In each market VMI is active in, it has the ambition to have a leading position by supplying the best solutions to its customers

costs related to it. Also the impact on the environment will become more and more an issue.

“Therefore, consumers will demand lower fuel consumption, higher mileage, lower noise levels and better performance of a tyre,” Voortman said. “This means that for many different circumstances and customer perspectives, the tyre producer needs to have a solution that is better than that of the competition. In my opinion, this will lead to a further diversification and widening of portfolio.”

He said that tyre producers need to increase their R&D efforts in order to fulfil these demands and have more and more newly-developed tyres hit the market in ever shorter periods of time.

Referring to the importance of branding, Voortman said that in the past many end-user customers of tyres didn’t care and used the tyres advised by the car dealer. And if they did care, the brand name of the tyre was more important than actual performance.

In the last couple of years, a switch is seen in this ‘customer behaviour’ where the published test results of tyres steered their sales. “In my opinion, the fact that anybody will immediately see the performance of each and every tyre they buy (labelling!) will definitely have a huge impact on tyre sales. Actual performance is more important than brand name. So this is a large opportunity for a lot of tyre producers,” said Voortman.

efficient and effective, R&D department. “

The second pillar is the relationship with customers. “We intensify these relationships to ensure to understand the needs of the customer, but also to help us predict what the market will require in the future regarding product development.”

Since VMI’s market share in tyre building machines is already quite large, the growth of the company is built on widening its product portfolio while at the same time it is also striving to maintain its market share in tyre building in the open market. “In tyre building machinery, we still see some potential for growth, in case captive users could be convinced to switch partly or completely to VMI solutions,” he explained.

VMI’s sharp focus on R&D has enabled it to develop machinery and solutions for diversified tyre component manufacture. The focus is on increasing the quality of the product (the tyre component) to be produced in combination with high automation. Depending on the type of tyre component and on typical market circumstances, the emphasis can be either on flexibility on maximising output.

Voortman evolves his business strategy to cope with the continuing uncertainties facing the market for natural rubber, the key input of the tyre industry. “Already for some years, VMI is working very hard to have its other businesses outside the rubber and tyre industry grow,” he pointed out. “This to balance out the

non-continuous workload and make the company less vulnerable to the ups and downs of the tyre industry. Especially in the care sector (machinery for the medical industry and for personal care), we are quite successful. This is an interesting market since it is rapidly growing and investing heavily.”

Steps aheadVoortman is also preparing VMI to the changes that the tyre industry could face in coming years. “If you look at the future of the pneumatically pressurised tyre, I am convinced this type of tyre will survive the coming decade. Switch to lower natural rubber content and all sorts of new compounds for sure has an impact on our equipment. But in this case, we follow the needs and requests of our customers.”

Says Voortman: “The only thing we can do is make sure we are ready for any changes in compound or component behaviour. And this we do. We monitor continuously market developments, we discuss with our customers, but perhaps more importantly, we constantly discuss new developments and trends with institutes, universities and certain component suppliers.”

Commenting on the major consumer perceptions that he sees evolving that will have a defining impact on the tyre industry, Voortman said that consumers will become more and more aware of the impact of a tyre on their mobility and


understanding of the functions of the individual component or part of a tyre structure have helped optimise material usage for performance,” he explained.

For example, capability to map pressure distribution at tyre-road interface has helped tyre engineers to deploy tread compounds of varied properties optimally such as using high abrasion resistant compound at portions where maximum slip and wear occurs.

Usage of bio-oils such as sunflower oil can optimise the temperature range in order to maintain tread compound property to effect better grip, leaving a better window for RR reduction.

Better design capability helps to achieve optimal robustness from the same structural components for minimal deformation and energy losses etc. “Tyre researchers are constantly evaluating new materials and combinations, balancing the usage of materials of natural origin with synthetic materials in their effort to be part of the green development,” he said.

Future trendsMohamed thinks that in the future there could be larger and narrower tyres as they help to RR because of less number of rotations they make for a distance and reduced aerodynamic resistance they offer to cut through air.

On the tyre-road interface, he said super single tyres used in trucks may increase road damage possibilities. Improper inflation pressures and excessive loading can damage roads considerably. Vehicle designers can contribute more significantly towards road safety by optimising load distributions and suspension characteristics.

“ But at the same time road engineers can also actively contribute to optimising the vehicle tyre performance by optimising the texture to reduce noise and enhance grip and safety,” Mohamed said.

“So rather than acting separately and holding one another responsible for greenhouse gas emissions and safety, the road , vehicle and tyre engineers

have to come together to discuss and come out with the optimal solution for greener development.”

Light-weighting the vehicle could also contribute to reduced carbon footprint. The decrease in weight would mean massive fuel savings . It is estimated that cutting vehicle mass by 33 per cent would result in a 23 per cent decrease in fuel consumption and a significant decline in CO2 emissions.

Car emits carbon monoxide when the carbon in fuel doesn’t burn completely. Its exhaust emits hydrocarbons and nitrogen oxides which are toxic in nature. However, this emission rate depends on the power required to move the vehicle where tyre of course has a major role to play.

Nevertheless, there are other reasons for carbon emissions such as the power train, frictional losses and most importantly, the power required to overcome aerodynamic resistance to move the mass of the vehicle.

Electric-powered vehicles are getting popular, where the internal combustion is replaced by battery. But how green is this technology depends on the source of energy used to charge the battery.

A study carried out by Lotus Engineering finds that by using existing or emerging engineering techniques, automakers can reduce passenger-vehicle mass by one-third in exchange for a 3 per cent increase in component costs.

Besides, there are many other major influencing factors that contribute to greenhouse gas emissions. They include road texture and vehicle conditions and usage, driving habits etc.

“So an overall effort by coordinating all stakeholders is the key towards achieving the desired results in reducing CO2 reduction,” Mohamed asserted.

Efforts should be stepped up to educate and improve the awareness about the significance of these factors in order to achieve global sustainability. He has also suggested collaboration and coordination of research activities among road, vehicle and tyre engineers at institutional levels with the support of the governments.

Advertisers’ IndexActen Marketing 80Akron Special Machinery, Inc 4Al Dobowi 6ATRC 2013 Back CoverAutomechanika Dubai 93A-Z Formen 36Bainite 21Balkrishna Tyres 5Changzhou Yangs Mould Co Ltd 40China Tires & RubberTech Fair 2013 105Cimcorp Oy 13Citexpo 83Continental Back InsideElgi Rubber Company 44Eastern Treads Ltd. 48Far East Enterprises 71Gandhar Oil Refinery Ltd. 25GRP 116Hasetri 75Himile 8IRMRA 52Indian Synthetic Rubber 18JK Tyre & Industries 33Latin American & Caribbean Tyre Expo 104LANG GmbH & Co. KG 85L&T 32Midas 67M+V Marketing & Sales (S+S) 53NDI Tire (Quingdao) 41Nynas Naphthenics 28Omnova Solutions India 19Pelmar 20APioneer Rubber & Chemical 70Pioneer Industrial Systems 85Pneuform Hulin a.s 11Raj Petro L.t.d. 37Reifen China 87Rubber & Tyre Vietnam 2013 74RubberTech China 2013 79RubberTechnology Expo 2014 88Rub expo 81Sah Petroleum 29Shantou Tianyang Mold 1Soberay & Sons 49Struktol Company of America Front InsideSTL 82Swani Rubber Industries 66Tolins Tyres Pvt Ltd 45Tyre & Rubber Indonesia 2012 92Tyrexpo Asia 78Tyrexpo India 114Uzer Makina Vekalip Sanayll AS 15 VMI Holland 7Zafco 24

ChAlleNge of SuSTAiNABle MoBiliTy

Continued from page 73

COLOGNE sEt fOr tIrE tECH EXPO

Tony RobinsonChief Executive Officer,UKIP Media & Events

tyrEsaNd PaHs

Dr Roger Westerholm, Director of Studies, Stockholm University

VMI: INNOVatION drIVEs GrOwtH

HJ Voortman, President & CEO, VMI, Holland

aLsO IN tHIs

IssuE

HOLIstIC aPPrOaCH

Dr Mukul Verma, Lawrence Technological University, Michigan

ASIA’S TECH CALL

POLYM

ERS &

TYRE ASIA FEBRUARY/M

ARCH 2013

Rni n

o. MAH

EnG

/201034042

Rni no. MAHEnG/201034042

Vol no 4 issue no 1 FEBRUARY/MARCH 2013 US$20 150

BIG BOYS,BIG BIKESASIAN TYRE &

RUBBERCONFERENCE

2013 June 21,22


R O A D T O G R E E N P L A N E T

Antony Powath - +91 9833901586; e-mail: [email protected] Details: Website: www.atrc.in

Corporate sponsor:



Media Partners:Associates:

Asian Tyre & Rubber Conference (ATRC), Asia's biggest tyre and rubber conference, returns with high-end valueadditions. Focusing on sustainability-based technology advancement and innovations, ATRC 2013 offers a premierplatform for knowledge-sharing and networking where a line-up of global experts from the tyre and rubber industrywill be addressing issues that define its future. An opportunity to gain and assimilate valuable technical information.Network,exchange ideas and establish new business ventures

· Harm J Voortman / Michael Norman Sir Tom Farmer Surinder KandhariMartin Schuermann Colin Clarke Jacob Peled Harvey Brodsky

Fazilet Cinaralp Michael Stops Samuel LiewDato' Dr. Kamarul Baharain David Stevens Narendra Kajale Robert G. Sherkin

Oguz Karcier Tyra Lester Dr. James Jacob Will MarsBotond Szalma AK Krishnakumar

Rajiv Budhraja

,VMI Group, Netherlands · , Kwik Fit, UK · , Al Dabowi Group, Dubai· , Klockner Desma, Germany · , Schill and Seilacher, Germany · , Pelmar, Israel · ,

RTA, USA · , ETRMA, Brussels · , A-Z Formen und Maschinenbau, Germany · , HIS Chemical,Singapore· , ANRPC, Malaysia · ,TRIB, USA · , Du Pont · , Dynamic Tire Corp,

Canada · , Oerliken Saurer, Germany · , Columbian Carbon, USA · , RRII, Kottayam, India · ,Endurica LLC, USA · ,Teijin Aramid B.V., Netherlands · , IL&FS, India

· , ATMA, Delhi, India

Proposed Speakers

A DHANAM GROUP VENTURE

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