PANAMA CITY, Panama—The Chinese tire industry is undergoing a consolidation that likely will last until global tire demand and global tire capacity become more balanced, according to a speaker at the recent Latin American & Caribbean Tyre Expo in Panama City. This consolidation is happening now and could result in some manufacturers, plants and brands disappearing, said Walt Weller, vice president of sales, China Manufacturers Alliance L.L.C., based in Monrovia, Calif., the U.S.-based marketing unit…

KUALA LUMPUR: Hartalega Holdings Bhd posted a net profit of RM63 million for its first quarter ended June 30 from RM53.4 million in the same quarter a year ago. Revenue rose 12.2 per cent to RM278 million from RM247.6 million previously. For the period under review, earnings per share was 8.56 sen while net assets per share stood at 109.77 sen. In its statement issued yesterday, Hartalega said the board has declared an interim dividend…

It appears Apollo Tyres is not planning to shift any Cooper tire production to its factories in India. The Times of India reported on June 22 that the existence of Cooper production sites in low production cost countries makes such a move unnecessary. On the other hand, the Indian tiremaker makes no secret that it will use the acquisition deal to bring its Apollo brand into new markets. And the possibility of Apollo production in…

NIZHNEKAMSK, Russia—Russian tire maker JSC Nizhnekamskshina is projecting 12-percent growth in 2013 to 11.5 million tires, the firm’s executives told shareholders at the firm’s recent annual meeting. Nizhnekamskshina, a unit the Russian petrochemical giant Tatneft, claims output last year of 10.3 million tires at its three factories represented 25 percent of overall Russian tire production in 2012. The executives said Nizhnekamskshina launched seven new tire models last year and told shareholders that “innovative” products now…

CIWANDAN, Indonesia—Michelin is planning to set up a joint venture in Indonesia with P.T. Petrokimia Butadiene Indonesia, a local producer of butadiene, to build a synthetic rubber plant there to support its growing operations in Asia. Michelin said it will own 55 percent of the as-yet unnamed joint venture company, which will oversee the project. The partners estimate they would invest $435 million through 2017 to build the plant, but they did not say which…

KUALA LUMPUR: Hartalega Holdings Bhd has purchased a piece of land in Sepang for RM96.96mil for a proposed rubber glove factory as it expands its production capacity. It said on Wednesday the 120-ha site in Sepang, which was acquired from Kumpulan Tanjung Balai Sdn Bhd, would house its RM1.9bil plant which will have 72 new hi-tech production lines. Hartalega said the land purchase would be from its own funds and group borrowings and the acquisition…

DURBAN, South Africa—Apollo Tyres Ltd. is selling its Ladysmith, South Africa, passenger and light truck tire factory and the rights to the Dunlop brand in Africa to Sumitomo Rubber Industries Co. Ltd. for $60 million. Apollo Tyres said it will retain its Durban, South Africa, truck and off-the-road tire plant. The India-based company will continue to make and sell Apollo-, Vredestein- and Regal-brand tires in Africa through a sales and distribution network it will set…

Apollo Tyres Ltd (NSE: ApolloTYRE) and Cooper Tire & Rubber Company (NYSE: CTB) today announced the execution of a definitive merger agreement under which a wholly-owned subsidiary of Apollo will acquire Cooper in an all-cash transaction valued at approximately $2.5 billion. Under the terms of the agreement, which has been unanimously approved by the boards of directors of both companies, Cooper stockholders will receive $35.00 per share in cash. The transaction represents a 40% premium…

BUDAPEST, Hungary—Hankook Tire Co. Ltd. is moving ahead with the third phase of the company’s expansion of its plant in Racalmas, Hungary. The South Korean tire manufacturer said it is committing $400 million over two years to boost capacity for car and light truck tires at the site by 42 percent. The new project will increase the company’s investment in the factory to more than $1.1 billion. The expansion will boost annual capacity to 17…

Pirelli SpA wants to grow faster in the Asian markets, and is now seeking “industrial partnerships” toward that end, according to Reuters reports. Pirelli Chairman Marco Tronchetti Provera was quoted on June 8 as saying, “We’re looking at how we can grow the most quickly in Asia, for example at an industrial partnership along the lines of what we did (with motorcycle tires) in Indonesia.” Despite this, he said no talks were currently under way….