Vol 20 • December 2014 a new set of tyres to the value of R5 000.00 courtesy of Maxxis Resale of waste tyres causes concern Exclusive interview with Riaz Haffejee – SRSA Best Drive premium fitment chain is launched in SA New Truck and Bus tyre range from Dunlop Bandag honours BTS franchisees FOCUS ON USED TYRES
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Vol 2
0 • D
ecem
ber 2
014
a new set of tyres to the value of R5 000.00 courtesy of Maxxis
Resale of waste tyres causes concern
Exclusive interview with Riaz Haffejee – SRSA
Best Drive premium fitment chain is launched in SA
Breakdowns can leave you dead in the water, but you needn’t be left to the sharks. With Bandag’s Emergency Tyre Assistance (ETA) programme you can be covered throughout South Africa 24/7, 365 days of the year. ETA has one easy to remember toll free number, efficient service, consistent on-road pricing and comprehensive reports. That’s what we do.
10715 - ETA ad - Tread S.A.indd 1 2011/11/08 1:45 PM
Editor Liana Shaw
Technical consultant Wray Shaw
reproduction Diane van Noort
Printing TYPO
– Colour Printing Specialists
Distribution Prestige Bulk Mailers
Advertising Liana Shaw
Contents A note fromthe editor
The festive season is just around the corner
and with it happy times ahead relaxing with
family and friends. But for some, travelling
on the country’s major routes to and from
the Coast could have dire consequences.
Driving under the influence or when tired,
excessive speeds and vehicles that are not
roadworthy are some of the causes cited
contributing to serious road accidents, but
what is not commonly known, is that tyres
are another major contributor to the rising death toll in this country.
The legal tread depth limit currently dictates that a tyre must sport a minimum of
1.6mm across its entire circumference, a law commonly ignored by motorists as
is evident by the number of worn tyres currently in circulation. Part of the problem
lies in that this important legislation is seldom enforced or even policed. But
another, equally grave scenario involves the growing number of badly worn tyres
being resold as second-hands to consumers.
Our lead story takes an in-depth look at this current crisis and its implications.
Thankfully, both industry and government appear to be giving the matter the
serious consideration it deserves. Proposed initiatives to counter this problem
are discussed on page 12 while our resident columnist, Colin Mileman, further
suggests that educating the consumer around the perils of driving on worn or
unsuitable tyres, is of critical importance.
On a lighter note, the Retail sector has been particularly active this quarter. The
recently established Tyres & More franchise (a member of the TiA Group of
companies), is continues to expand its national footprint with a range of new stores,
while Continental Tyre SA has proudly unveiled its new retail offering to market in
the form the ‘Best Drive’ suite of stores, which promises to enhance the tyre-fitting
experience to unprecedented levels, they claim. All this and more in this issue.
Of course the most exciting development of all is the recent acquisition of Apollo
South Africa (Dunlop) by Japanese-based manufacturer, Sumitomo Rubber
Industries, currently ranked number 5 in the top 10 global tyre company listings.
The implications of this to the South African tyre maker are outlined in our exclusive
interview with CEO Riaz Haffejee as he maps out the way forward for the company’s
future.
And last but by no means least stand a chance to win a new set of tyres to the
value of R5 000.00 courtesy of Maxxis (renowned for its high tech range of 4x4
tyres) by entering our quarterly competition, either via www.satreads.co.za or on
fax (011) 658-0010.
If you are navigating those roads remember to take extra special care over the
Manufacturing New Dunlop Truck & Bus Range Announced ................................... 26 Sumitomo Rubber South Africa announces R1.1 billion investment plan ........................................... 26 Continental named SA’s top tyre brand at People’s Wheels Awards ............................................................... 27
Distribution New Tyres & More Automotive Fitment Centre Opens in Lynnwood.......................................................................... 28 New Tyres & More Automotive Fitment Centre Opens Its Doors in Kempton Park CBD ............................................ 29 Premium tyre fitment reaches South Africa ...................................... 30
Talking Tyres Tyre Forum – Don’t negate – Educate .............................................. 33
Goodyear news Goodyear partnered with Rainer Zietlow on his record-breaking drive across three continents ...................... 36 Goodyear recognised as a Top Employer ......................................... 37
Arguably one of this year’s most significant developments has been the acquisition of local manufacturer, Apollo Tyres South Africa (Dunlop), by Japanese-based Sumitomo Rubber Industries. Indian-based Apollo Tyres originally purchased Dunlop Tyres SA in 2006 and went on to invest a considerable sum of money into the South African operation, most notably, in the Ladysmith tyre factory.
In May 2013, allegedly in a move aimed at consolidating its two global brands – Apollo and Vredestein –Apollo Tyres formally announced the closure of the transaction with Sumitomo Rubber Industries (SRI) which saw SRI taking over Apollo Tyres SA including the Ladysmith passenger plant as well as the Dunlop brand rights that Apollo had in 32 African countries, for a sum of US$60 million.
We caught up with CEO of the newly formed Sumitomo Rubber South Africa, (SRSA), Riaz Haffejee, to map out the way forward for this local tyre maker.
2 • O n e - o n - O n e
www.stamfordtyres.co.za
SUMITOMO RUBBER INDUSTRIES, JAPAN
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4 • O n e - o n - O n e
The announcement certainly took the market by storm
Riaz. What was the reaction internally?
The initial shock was quickly replaced with excitement
and optimism for the future as we began the process of
outlining SRI’s objectives for its South African operation
via dedicated Road Shows across the country. We
took the decision to do this not only in a bid to inform
our customers of our strategy to market, but more
importantly perhaps, in order to explain SRI’s vision for
this part of the world to our staff force.
Do you believe that SRI is a good culture fit for the
South African organisation?
First, Sumitomo is a world-class tyre company , currently
ranking number 5 among the world’s most reputable tyre brands. Second,
Japanese brands generally have the performance and engineering edge over
most tyre makers , and this is seen in a positive light by both customers and
staff alike.
SRI enjoys much success in Japan courtesy of its grounded history. And
whilst it is not the biggest tyre maker in Japan, it is certainly not the smallest.
My experience with SRI management thus far leads me to believe that the
company is pragmatic yet also aggressive in its approach to market, a winning
combination in my opinion, and one that instils confidence in our future
association with them.
I must add that our parent company is flexible when it comes to its stance to the
local market, opting to take the lead from the local management with respect to
what is right for our market.
They have come to understand that the South African tyre market is mature and
in that we need to take a step beyond the current retail experience, if we are to
grow our marketshare.
Have you ascertained how you are going to achieve this?
Primarily and most importantly, by focusing on the basics and reverting back to
a culture that embraces unparalleled customer service. In my view, this begins
from the minute your customer enters your premises.
A recent mystery shopper exercise aimed at the retail segment revealed
some alarming practices taking place within our industry. It would seem we’ve
lost focus of basic service principles. Instead of treating our customers with
common courtesy and the respect they deserve, especially as they are there to
make a grudge purchase, we are treating them like an inconvenience.
Was this specific to any particular brand, franchise or group of dealers?
Sadly the survey results show that the problem is widespread. In short, this is
an ‘Industry Disease’ and one that needs to be addressed. Of course, there are
many store dealers that excel in customer service, which
we admire greatly. The opportunity rests with those who
are not sensitive to consumer needs or expectations.
How do you believe this challenge can be addressed?
We need to find a way to convince retailers of the
importance of turning this around for their own benefit
as well as the consumers. Change cannot be brought
about overnight but a definite mindshift needs to take
place within the retail sector.
Speaking of retail what plans are in store for your
Dunlop Zone programme?
Much emphasis is being placed on our Dunlop Zone
Loyalty Programme so that our preferred dealers can fully understand our goals
and objectives for the future and how these are likely to affect them.
In July we began a concentrated effort aimed at our internal sales staff furnishing
them with the necessary technical know-how required in order for them to
pass this knowledge down to our retail network.
Training sessions with both owners and counter staff are in the pipeline ahead
of an advertising campaign aimed at the consumer, as it is vital that dealers
become fully au fait with the SRI product and culture first.
We have launched the Sumitomo Dealer Campaign which will roll out across
four regions to ensure that dealers are up to speed with the brand, pricing
and so on. And to complement this campaign, we are giving away a new fully
branded delivery vehicle to the best-selling dealership.
What a great incentive! How will the Sumitomo brand compete on price?
We believe the brand will effectively compete against locally manufactured and
reputable imported products, whilst also providing longevity alongside superior
performance.
How would you respond to claims from the market that the Dunlop brand
is selling far too cheaply?
I agree that in many cases the Dunlop brand is selling too cheaply and this is
something we will be addressing with our dealers in an attempt to reposition the
brand to where it rightfully belongs.
This year’s TGI Icon Brands Survey once again placed the Dunlop brand in
top position, for the third year in a row, in a survey carried out to over 15
000 participants and if this is the case, why is the brand being discounted
to the extent that it is?
What would you say to dealers who claim that purchasing prices from the
local manufacturers could be a whole lot better?
❝
We have launched
the Sumitomo Dealer
Campaign which will roll
out across four regions
to ensure that dealers
are up to speed with
the brand and pricings.
❞
O n e - o n - O n e • 54 • O n e - o n - O n e
6 • O n e - o n - O n e
What is your view on the practice of ‘mixed brand alliances’ in the retail
market?
Although we would obviously prefer our dealers to see more value in the
Zone Programme, we are fairly relaxed about this. If they choose to operate
as multi-franchise dealers we will respect that.
We are running our own race in this market. Although the Dunlop Zone
Programme as it stands can be considered somewhat loose and there is
room for tightening up on certain issues, we do not want to stifle their
entrepreneurial spirit. Instead, we are hoping to create an environment that
supports them buying from us due to our customer service, reasonable
prices, a good supply chain and of course good tyre performance
We also need to ensure that when it comes to our dealer network we do not
over-promise or under-deliver. Remaining as authentic as possible is key.
Apollo SA recently announced that it was Biz-rescue. What is the future
for this Durban-based manufacturer in SA?
RIAZ PLEASE ELABORATE ON ANY NEW DEVELOPMENTS….
The tyre industry has found many challenges in the last five years. Primarily
amongst this is the practice of under invoicing imported tyres. This,
together with a multitude of tyre brands entering the market, has pushed
TBR market share from 27% five years ago to 67% in quarter two.
I would point out that business is a two-way street. It is important for a
dealer to deliver higher volumes in order to qualify for preferential pricing.
Dealers who are fully committed to working with us, and of course vice
versa, will ultimately enjoy the best possible pricing arrangement from us.
You recently launched your new Dunlop TBR range which we believe is
fully imported?
Yes, we are excited about this new product range which has been researched,
designed and engineered in Japan where it was also exhaustively tested in
all road conditions. We are confident our new generation truck and bus
tyres will deliver unparalleled performance for fleet services in all wheel
positions – steer, drive and trail.
*See page 26 for more on this story.
How do you plan on servicing the truck tyre market?
We believe that when it comes to the larger truck dealers, the Dunlop brand
is already well represented. Work remains to be done in the mid and small
tier segment of truck tyre dealers however.
We also introduced a team of in-field tyre technicians last year whose role
is to maintain a close relationship with customers by way of overseeing
fleet surveys, tyre testing and the like. This was done to provide further
assistance to our field technical team which is responsible for on-site
maintenance and assistance to our fleet customers.
17 Rosettenville Rd Village Main Johannesburg, South Africa Tel. +27 (0)11 334 1680 NATIONAL HOTLINE: 086 000 2010
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8 • O n e - o n - O n e
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O n e - o n - O n e • 98 • O n e - o n - O n e
Infinity Tyres. Built to perform. with complete dependability.When it comes to tyre connecting with tarmac, there can be no room for compromise. Which is why Infinity Tyres are the perfectchoice for your customers. Designed to deliver unfailing safety,dependability and performance, they form the critical connectionbetween motorist and road.
Because the connection is critical.
O n e - o n - O n e • 1 1
This has had a detrimental
effect on local TBR
manufacturing and Apollo
Durban factory has
been a casualty of these
circumstances.
How active does SRSA plan
to be in the African market?
We have been working
hard on building sound
relationships with our African distributors and have trained more than 400
people on Fleet Services during the past few months alone. The transport
business is growing significantly in Africa but truck tyre management remains a
big challenge, as does the growing problem of dumping.
We are making a concerted effort to make a difference in this market through
ongoing education campaigns aimed atboth distributors and end users alike.
What are some of the challenges your business is facing at this point in time?
The number of cheap, sub-standard tyres filtering in from China is of growing
concern, but more importantly perhaps, is the growing number of waste tyres
that are finding their way back to market and being resold as second-hand
tyres.
This is a serious issue and my personal objective and the objective of the SATMC
is to address this with the dealer network as well as the relevant government
authorities. As an industry we need to assist government in finding a workable
solution to this problem.
Speaking of waste tyres, how would you rate Redisa’s service levels
currently?
The service from Redisa has definitely improved over the past few months with
collections regularly taking place from our dealers.
However, Redisa still has an issue with transporters not picking up waste tyres
from dealers that have been destroyed. These tyres then find their way back
into the market and for us as tyre manufacturers, there are major safety risks
associated with this practice.
A waste tyre from a dealer must be destroyed and collected by Redisa – no
compromise.
Hopefully with Redisa’s service to industry now beginning to improve coupled
with a unified approach on the part of the SATMC, TDAFA and TIASA, we can
begin eradicating the growing number of waste tyres from our premises, our
landfills, and more importantly, our roads.
❝
A waste tyre from
a dealer must be
destroyed and collected
by Redisa – no
compromise.
❞
1 2 • F o c u s o n U s e d T y r e s
RESALE OF WASTE TYRES
ON THE UP!According to the N3 Toll Concession, the
number of fatalities on South Africa’s
most popular coastal route continues
to rise for a variety of reasons, not
least of which is faulty or worn tyres.
Industry experts are suggesting that
the problem exists not only because
motorists are failing to remove and
replace worn or damaged tyres in a
timeous manner, but also because of
the number of illegal, second hand
tyres that are being resold to the public
when they should in fact be relegated
to the scrap pile.
According to the N3 Toll Concession, the number of fatalities on South Africa’s
most popular coastal route continues to rise for a variety of reasons, not least of
which is faulty or worn tyres. Industry experts are suggesting that the problem
exists not only because motorists are failing to remove and replace worn or
damaged tyres in a timeous manner, but also because of the number of illegal,
second hand tyres that are being resold to the public when they should in fact
be relegated to the scrap pile.
The charts below, which are only a mere indication of what takes place across
other major routes, outlines the type and number of tyre-related incidents on
the N3 over the last three years:
*Note: Traffic flow varies along the route from around 40 000 vehicles per
day at the southern end to about 15 000 vehicles per day in the middle.
*Total mvkms (million vehicle kilometres) Nb + Sb for the route:
2012 2131.945 mvkm
2013 2189.119 mvkm
2014(up to end Sept 1582.264 mvkm
F o c u s o n U s e d T y r e s • 1 31 2 • F o c u s o n U s e d T y r e s
One doesn’t have to be a rocket scientist to deduce that scores
of motorists are driving on worn or damaged tyres or tyres that are
completely unsuitable for South African conditions. A mere glance at
vehicles parked outside any shopping mall will confirm this, and sadly,
although the legal tread depth limit is currently at a minimum of 1.6mm,
very little is being done to police or enforce this.
A tyre survey aimed at investigating the quality level and legal compliance
of second hand tyres passenger and light truck tyres intended for sale
in South Africa, carried out by Sumitomo Rubber SA in August, revealed
some further worrying trends. Out of the 275 tyres inspected in all
major metropolitan centres, (at dealers as well as the informal sector),
only 47% were still deemed suitable for use.
This exercise clearly showed that the current economic climate and its
subsequent impact on peoples’ pockets are not totally to blame. Of
more concern to the industry is the growing number of dangerously
worn or damaged tyres that are being resold via retailers as second-
hand tyres.
According to the SATMC (South African Tyre Manufacturers
Conference), there are two distinct sources for these dubious tyres.
Explained CEO, Dr. Etienne Human: “Waste tyres that should be
disposed of in a responsible manner are instead landing up in the
informal sector. In Diepsloot alone, there are currently up to 10 informal
tyre dealers in operation, all of whom purchase waste tyres either from
tyre dealers who are not sorting the used tyres and mutilating the waste
TYrE crAsHEs/IncIDEnTs n3 ToLL rouTE
2012 2013 2014 (Jan to oct)
crashes 98 95 88
Tyre on Fire 43 23 30
Incidents 10 6 7
Fatalities (Tyre related) 13 14 6
Tyre Treads removed from the road 2012 to 2014
JOBSCREATED
Our target is to create a total of 10 000 jobs by the end of 2017.
149 BUSINESSES
SMAL
L
CREATED
EDUCATION& AWARENESSCAMPAIGNS TO
MIL
LION9.5
PEOPLE
26DEPOTS
T NNES 61897OF TYRES COLLECTED
1820REGISTEREDTYRE DEALERS
REDISA is leading the way in creating a sustainable waste management system.
REDISA turns waste into worth through a circular economy that connects all stakeholders to empower communities and solve environmental problems.
OUR RESULTS SPEAK FOR THEMSELVES
JOIN THE JOURNEY | www.redisa.org.za | /wasteintoworth | @wasteintoworth
We’re on track to meet all our fi rst year targets and we will achieve all the objectives set out in our 5-year roll-out plan. Thank you to the tyre dealers who have supported us along the way – we look forward to continuing our partnership and journey to success with you in the future.
Note: All the above stats are as at October 2014.
JOBSCREATED
Our target is to create a total of 10 000 jobs by the end of 2017.
149 BUSINESSES
SMAL
L
CREATED
EDUCATION& AWARENESSCAMPAIGNS TO
MIL
LION9.5
PEOPLE
26DEPOTS
T NNES 61897OF TYRES COLLECTED
1820REGISTEREDTYRE DEALERS
REDISA is leading the way in creating a sustainable waste management system.
REDISA turns waste into worth through a circular economy that connects all stakeholders to empower communities and solve environmental problems.
OUR RESULTS SPEAK FOR THEMSELVES
JOIN THE JOURNEY | www.redisa.org.za | /wasteintoworth | @wasteintoworth
We’re on track to meet all our fi rst year targets and we will achieve all the objectives set out in our 5-year roll-out plan. Thank you to the tyre dealers who have supported us along the way – we look forward to continuing our partnership and journey to success with you in the future.
Note: All the above stats are as at October 2014.
1 6 • F o c u s o n U s e d T y r e s
tyres as per law, or from waste tyre collectors who instead of depositing
the scraps in designated waste depots, sell them to make money.”
Allegations surrounding the waste collectors’ reluctance to collect mutilated or
badly worn tyres from industry, (most of whom are Redisa appointed agents)
have been circulating for months and are adding to the concern that these illicit
practices are on the up.
Corrie Taljaard, Director of the TDAFA echoed: “Our members are regularly
alerting us to the fact that waste collectors are either blatantly refusing to collect
mutilated tyres or are doing so begrudgingly. Redisa cannot be blamed for this
as they have contractors, sub-contractors and collectors that are not playing
ball, however, Redisa does need to address this by way of appointing alternative
and reputable service providers.”
In response, Redisa Director Stacey Davidson said: “Used tyres from tyre
dealers fall into three categories: waste tyres which are tyres that are no longer
roadworthy and not capable of being retreaded, tyres that can be retreaded
and are termed casings and used tyres which are tyres that still have a useful
life and can be sold into the second-hand market. Sometimes tyres with less
than the minimum regulated skid depth tread depth remaining or with large or
dangerous penetrations are sold to unscrupulous people who make a living
from illegally repairing and re-grooving tyres. It is only this practice that is illegal.
“Redisa fully supports the legal sale of used tyres for retreading or sale as
second-hand as it makes the most of a tyre’s useful life and ultimately reduces
the amount of waste tyres. Illegal, unsafe repairs are definitely not supported
by Redisa and we are carrying out training and education programmes
for transporters and depot operators to educate them on the law as well
as the dangers to life of these practices. That being said Redisa has no law
enforcement authority.”
Interjected Human: “ Moreover as Redisa cannot guarantee the quality of the
tyres chosen by its waste collectors for sales back to consumers, if safety is to
be considered as paramount, it stands to reason that this practice should not
be supported.”
Continued Davidson: “Casings can be legally imported for retreading but there
are allegations that second-hand tyres are also being imported under the guise
of being casings. It is illegal to import second-hand tyres and Redisa is actively
engaging with the tyre industry to investigate this.
“With regards to allegations that transporters refuse to collect mutilated tyres
at dealers, a transporter who does so is acting contrary to his contract with
Redisa. Should we become aware of such actions, we would institute action that
includes engagement and training or suspending that transporter’s contract.
If after engagement and training the transporter persists in not delivering the
contracted service, his or her contract will be terminated.
“It is also important to note that solid tyres, tubes, flaps and rubber inserts are
not part of the Redisa Plan and will therefore not be collected. Also, I must stress
that the Redisa Plan has a five-year phased implementation whereby different
categories of tyres will be included at different stages,” added Davidson.
She concluded: “Any dealer who has a transporter refusing to pick up tyres
that are legitimately due for collection should kindly call our contact centre on
087 357 3873, and ideally do so immediately as it makes it easier to deal with
any errant behaviour.
“Redisa is committed to fulfilling its obligations in terms of the gazetted plan
and therefore welcomes all the help, participation and commitment from all
industry role players to ensure that we achieve our objectives together.”SRSA Survey Findings – August 2014
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Argued Taljaard: “ I agree that some used tyres (those
sporting 3mm tread or more) are essentially fit for
the resale market, but not before that tyre is properly
inspected and classified as Part 1 Worn Tyre; see (SABS)
document SANS 1633. In addition, any dealer selling
used tyres must register with their local SAPS as a
Used Goods Dealer after which he will receive a licence
(renewable annually), in accordance with the Used
Goods Act.”
He added: “Tyres that are not fit for resale must,
according to the Waste Tyre Regulation, 2009 be cut by
the tyre dealer before they leave their premises. Only
then, can we ensure that they don’t find their way back
into circulation.”
Added Human: “Tyre dealers are responsible for
destroying their scrap passenger type tyres either by
way of a mutilation machine or by simply putting a knife
through the sidewall, to ensure that these don’t find their way back to market.”
In response many dealers claim that they don’t have sufficient funds to invest
in mutilation machines or the manpower required to carry out tyre mutilations
manually. Yet, during an average days you will constantly finding dealership
staff waiting around for customers, claimed Human. “Any business has the
responsibility to dispose of their waste, especially when peoples’ lives are at
stake,” he added.
And then there are those who are allegedly exploiting the sale of waste hand
tyres to boost profit margins.
“Selling waste tyres provides instant income,” said Human, “which is why so
many are falling prey to this practice, despite that it is ethically wrong.”
According to figures obtained from the TDAFA, currently only about 40 percent
of franchise and fitment stores are fully compliant when it comes to the resale
of used tyres, and this despite regular communication circulated alerting them
to the dangers and legalities around the sale of part-worn tyres.
Said Human: “Part of the problem in South Africa is that there are no formal
standards regulating the sale of second-hand tyres. In contrast, the United
Kingdom abides by a certified standard which falls under the Motor Vehicle
Tyres (Safety) Regulations 1994 which dictates that certain requirements are
met before any part-worn tyre is fitted to a vehicle.”
And indeed, the UK Standards are not only comprehensive but also very
specific to what constitutes a feasible repair in the event of tyre bulges, tears,
lumps and the like whilst also specifying minimum tread depth around the
entire tyre.
For example, the Regulations clearly stipulate that a tyre may not have cuts
larger than 25 millimetres, or 10 percent of the section width of the tyre,
whichever is the greater, measured in any direction on the outside of the tyre
and deep enough to reach the ply or cord. It further
states that a tyre may not have any internal or external
lump, bulge or tear caused by the separation or partial
failure of the structure.
In addition, any part-worn tyre destined for resale must
display the approval mark which was put on when the
tyre was manufactured and must also say “PART-WORN’
in uppercase letters at least 4mm high. Last but not
least, marks showing a speed category symbol and load-
capacity index which were put on when the tyre was
manufactured must also be clearly visible on the tyre.
And insofar as tyre repairs are concerned, repairs must
be carried out properly to meet the requirements of
British Standard BS AU 15ge. 1990.
Failure to comply with all these requirements could
render the offending party liable to a penalty of six
months imprisonment, a fine of up to 5000GBP or both.
Added Human: “The supply of defective used tyres is effectively being
policed in first world countries such as the United Kingdom and most EU
countries, thereby ensuring that the vast majority of dealers and consumers
comply with these Regulations.
“The Rubber Manufacturers Association in the USA produces a practical Tyre
Repair Chart which serves to educate the dealer as well as the motorist on
whether a tyre is fit for use, or whether it can be safely repaired. We are
looking at the viability of either acquiring the rights to reproduce this Chart
in South Africa as transport costs are prohibitive and we believe this would
go a long way towards alleviating at least part of the problem,” said Human.
Imports under scrutiny
As raised earlier by Redisa management, there are numerous scams
surrounding the importation of casings allegedly destined for the retread
sector. According to the TDAFA placing a ban on these imports is simply
not feasible as there are not enough good casings in circulation to meet
local demand by the retreading factories.
That being said, passenger retreading is on the decline with only a handful
of operators still servicing this market.
Said Taljaard: “At one stage, according to figures from ITAC, 1.6 million
casings were being imported for this purpose, a number that has since
reduced to 450 000. Nonetheless, this figure is still too high when one
considers local passenger retreading capacity is currently estimated at
25 000 units per annum on popular retreadable sizes.
In response, Philip Snyman, Senior Manager: Import and Export Control at
ITAC had this to say: “Import permits for the importation of used passenger
vehicle tyre casings were issued to a limited number of importers. To qualify
for an import permit it is required that the applicant operate as a bona
❝
Part of the problem in
South Africa is that
there are no formal
standards regulating the
sale of second-hand
tyres.
❞
YOUR TYRE SPECIALIST
There is also no manufacturer or investor infl uence. This means you have the freedom, not only to retain your business’ name but also stock the brands you want to stock. Give Point.S a call today and set your tyre business free.
We’re not a franchise. We’re the world’s largest independent tyre dealer network that is 100% member owned & driven.
Sumitomo Rubber South Africa (Pty) Ltd (SRSA) is excited to announce
the rejuvenation of its Truck Bus Radial tyre range into the African market,
which they say shows the company’s commitment and effort to promote
advanced fleet management services and increase the variety of top-quality
product from its stable
SRSA is part of Sumitomo Rubber Industries, Ltd (SRI), which is
headquartered in Japan and is the world’s fifth largest tyre manufacturing
company, renowned for producing superior quality tyres in a number of
leading brands, including the iconic Dunlop brand, from its 11 state-of-
the-art manufacturing facilities located in Asia, Europe and Africa. The
company is also a global leader in Original Equipment (OE) supplies, used
by prominent car manufacturers as a tyre specification benchmark.
The TBR range has been researched, designed and engineered in Japan
and exhaustively tested, in all road conditions, to deliver unparalleled
performance for fleet services in all wheel positions – steer, drive and trail.
The tyre range features the latest FM and DECTES technology – a
combination of cool running compounds and unique construction that
work in combination to improve fuel efficiency, prolong original tread life
and promote slow, even wear for optimal retreadability, while adhering to
strict international safety standards.
SRSA has taken strategic steps to introduce SRI’s TBR range into the
African market as means of controlling cost effective pricing and superior
technological quality. The company is confident that this range application
will serve as an asset to any fleet management company and will be well
received having already proven itself in highly demanding international
markets.
The TBR range is available with immediate effect and a dedicated campaign
will launch in January 2015.
2 6 • M a n u f a c t u r i n g
NEW DUNLOP TRUCK & BUS RANGE ANNOUNCED
SUMITOMO RUBBER SOUTH AFRICA ANNOUNCES R1.1 BILLION INVESTMENT PLAN
Sumitomo Rubber South Africa
(Pty) Ltd (SRSA) is excited to
announce a R1.1 billion company
investment in their operations in
support of Original Equipment (OE)
business and African expansion.
The investment includes plans
to initiate local production of the
Sumitomo Tires’ brand as well
as range extensions and quality
enhancements to the iconic Dunlop
brand at the company’s South
African manufacturing plant in
Ladysmith. These new ranges will
require significant technological
enhancements and physical
expansion to the 41 year old plant.
This announcement was made at the opening of the new corporate head office
in Durban by the Group CEO & President, Mr. Ikuji Ikeda.
SRSA has also invested significantly in its Ladysmith based workforce and
included multiple stakeholders in a structured programme to promote unity,
productivity and motivation of the workforce in line with the expansion plans.
“The Ladysmith plant is set to undergo significant changes over the next 18
Mr. Ikuji Ikeda (CEO & President of Sumitomo Rubber Industries, Ltd) and Mr. Riaz Haffejee (CEO Sumitomo Rubber South Africa)
M a n u f a c t u r i n g • 2 7
CONTINENTAL NAMED SA’S TOP TYRE BRAND AT PEOPLE’S WHEELS AWARDS
Continental has been named South Africa’s top replacement tyre
choice in the 2015 Standard Bank People’s Wheels Awards for the
third year in a row.
The initiative is run by the Future Group, in association with
Standard Bank Vehicle and Asset Finance, research house TNS
Global and media partner Sunday Times.
According to the organisers, the fourth annual nationwide survey
of vehicle owners, which drew its biggest-ever response this year
with more than 60 000 online votes, determined which automotive
brands were considered the best by SA’s motoring public.
Continental once again topped the motoring public’s list of preferred
replacement tyre brands, having already won this category for the
past two years.
“This is a fantastic achievement for Continental, and reinforces
the hard work that has gone into establishing and maintaining our
status as the leading tyre brand in the original equipment sector,
and the preferred choice in the replacement tyre market,” says
Dieter Horni, managing director of Continental Tyre South Africa
(CTSA).
Continental is a global leader in the development and manufacture
of original equipment (OE) tyres to vehicle manufacturers, and
retains its status as CTSA’s premium tyre brand with best-in-class
braking and driving safety.
It is also the only tyre manufacturer that supplies to all seven local
vehicle manufacturers in South Africa, comprising Mercedes-Benz,
BMW, Volkswagen, Ford, Toyota, General Motors and Nissan.
months and we really wanted our employees to feel part of this process
and to be excited by the expansion,” explains Mr. Riaz Haffejee, CEO of
SRSA.
Sumitomo Rubber Industries, Ltd (SRI), the Japanese tyre manufacturing
giant acquired the manufacturing and distribution license for Dunlop tyres
in South Africa and 33 African countries from Apollo Tyres Limited in
December 2013. This led to the formation of Sumitomo Rubber South
Africa (Pty) Ltd. This latest investment is an indication of the company’s
commitment to growing its business in South Africa and boosting the
quality of the company’s products and ongoing improvement of the range
offering to consumers. Sumitomo Rubber Industries, Ltd, manufactures
and distributes Dunlop tyres across many territories as well as Falken and
Sumitomo Tire brands worldwide.
Today, SRSA produces tyres in passenger, SUV/4x4 and light truck
applications and will introduce its new range of Truck Bus Radial tyres in
January 2015, which will be distributed both locally and internationally.
The Sumitomo Tires’ range, although new to local markets, is a highly
acclaimed brand that has a proven track record in the competitive
European and North American markets and the company believes that it
will perfectly complement the flagship Dunlop brand.
“The Dunlop brand already has a strong consumer loyalty base in South
Africa, and is instantly recognisable throughout Africa, having recently
taken top place in the TGI Brand Icon Survey 2013 / 2014 for the third
consecutive year,” says Mr. Haffejee, who goes on to elaborate, “First
introduced into the country in 1935, when Dunlop Limited opened its
Durban factory and subsequently the Ladysmith factory in 1973, Dunlop
has since gone on to build an impressive track record of achievements in
this country and around the world.”
At a time when the industry faces challenges from high manufacturing
costs, tough labour relations and imported tyre competition, SRSA is still
confident in making the investment and has taken a long term view of the
South African motor industry and African tyre market potential.
SRSA is sure that this investment will have a hugely positive effect on the
country’s tyre industry and local employment and will serve to facilitate
the company’s future growth and development on the African continent.
“The Dunlop brand already has a strong consumer loyalty base in South Africa, and is instantly
recognisable throughout Africa.”
says Mr. Haffejee
2 8 • D i s t r i b u t i o n
Another Tyres & More automotive fitment centre has opened in Lynnwood
at Willow Way Shopping Centre, 404 Lynnwood Road, Lynnwood.
Franchisee Thomas Rundle, owner of this new Tyres & More store
commented: “We are excited to bring Tyres & More to Lynnwood and our
staff are eager to introduce motorists to the brand and our fast-becoming-
legendary, hassle-free service. We recently changed over to the Tyres &
More brand to offer our customers the ‘more’ we know they are looking for.”
Jeff Saayman, manager of the new fitment centre, concurred and added that
he and the other staff members are looking forward to demonstrating to
customers just how well they are able to meet their automotive needs now
and in the future.
For consumers who are not yet familiar with Tyres & More, the automotive
fitment centre does tyres, wheels, alignment, batteries, brakes, shocks,
exhausts, tow bars and more; and does them at better than usual prices, with
better than average service; so that you can get on with the business of doing
more of the things that really matter to you, the company claims.
Front Row: Russell Meyers, Victor Ndhlovu, Kenneth Masha, Mike Dombo, Ernsest Skosana: Ephriam DikgaleMiddle Row: Vera Gomes, Springbok Mtsweni, George Lekalakala, Dupie Du plessisBack Row: Lourens Smit, Lourens Dye, Andre Jacobsz, Johan Vermeulen, Jeffrey Saayman, Bennie Van Niekerk
New Tyres & More Automotive Fitment Centre Opens in Lynnwood
D i s t r i b u t i o n • 2 9
A new Tyres & More (a division of the established TiAuto Group) automotive
fitment centre has opened in Kempton Park at 105 Pretoria Road, Kempton
Park. The chain is rapidly expanding its nationwide footprint, and gaining
traction with its promise to take care of motorists’ automotive needs with
quality products and service at affordable price points.
Franchisee Jan Brak is owner of this new Tyres & More store. He commented:
“We are excited to bring Tyres & More to Kempton Park CBD and our staff are
eager to introduce motorists to the brand and our fast-becoming-legendary,
hassle-free service. We recently changed over to the Tyres & More brand to
offer our customers the ‘more’ they are looking for.”
Said Martin Faurie, manager of the new Kempton Park Tyres & More, “We invite
everyone who lives in or commutes to the area to stop by and see what we
have to offer. No pressure, just come in and say ‘hi’ and see what’s on offer and
what we can do for you, whether it’s now or in the future.”
For consumers who are not yet familiar with Tyres & More, the automotive
fitment centre does tyres, wheels, alignment, batteries, brakes, shocks,
exhausts, tow bars and more; and does them at better than usual prices, with
better than average service; so that you can get on with the business of doing
more of the things that really matter to you.
Tyres & More Lynnwood has eight fitment and two alignment bays, manned
by skilled technicians. In addition to the aforementioned services, the fitment
centre also sells and fits wiper blades, Agri Tyres, Bull Bars and McGard wheel
locks and offers balancing and nitrogen inflation for tyres.
“To fully appreciate the Tyres & More offering, you must experience it
firsthand,” explained Marketing Manager, Natashé Taljaard, “Staff members
approach each customer interaction with the understanding that in all
likelihood you want to be anywhere else but here, taking care of your car. So
the agreement is that we’ll get on with it quickly, efficiently and get it right the
first time, so you can be on your way to do the things you really care about.”
New Tyres & More Automotive Fitment Centre Opens in Lynnwood
Tyres & More Kempton Park CBD has five fitment and one alignment bay,
manned by skilled technicians. In addition to the aforementioned services, the
Kempton Park fitment centre also sells and fits wiper blades, and McGard wheel
locks and offers balancing and nitrogen inflation for tyres.
“To fully appreciate the Tyres & More offering, you must experience it firsthand,”
explained Marketing Manager, Natashé Taljaard, “Staff members approach
each customer interaction with the understanding that in all likelihood you want
to be anywhere else but here, taking care of your car. So the agreement is that
we’ll get on with it quickly, efficiently and get it right the first time, so you can be
on your way to do the things you really care about.”
For more information on Tyres & More Kempton Park, call the store on 011 394
0198/9 or head over there and check it out for yourself. If you’re strapped for
E N G I N E E R E D T O G O T H E D I S T A N C ETruck and Bus | Dump Trucks | Scrapers | Loaders | Compactors | Graders
1 • O n e - o n - O n e
With the reliability you get from Bandag, your fleet can take on anything. www.bandag.co.za
8182 Bandag Strip Ad.indd 3 5/15/08 4:39:38 PM
South African truckers have grown accustomed to expect best in class products from
Bandag. Innovation is central to ensuring that durability, quality and reliability are
not compromised! This infectious spirit to innovate has once again gripped Bandag!
Bandag Southern Africa is proud to announce the launch of not one, but two, Next Generation
Application Specific® products.
BDR-HG is a premium product for the long haul and regional drive applications
for fleets that refuse to compromise outstanding performance for outright muscle.
BDR-HG is engineered to deliver serious traction plus superb mileage and all this, in a
gripping fashion. Besides shoulder and centre tie bars to increase stability and handling,
BDR-HG offers open shoulders and deep sipes for continued traction and excellent grip.
With Bandag, you don’t have to be a tyre expert. You just have to know one! Bandag specialises in the manufacture of retreads and best-in-class after sales service. That’s what we do!
For more information please contact Bandag on 011 439 6000 or visit the website at www.bandag.co.za.
BDV2 is the latest addition to the Application Specific® range and is dedicated to the
Bus and Urban Delivery markets. Like its predecessor, BDV2 is set to be the next
Benchmark in its application. BDV2 offers a lighter casing friendly tread design. Its
wide shoulders and wide tread area together with the latest in rubber compounding
technology ensure an optimum wear rate (km/mm).
Bandag’s range of Application Specific® products now boasts an improved product
offering geared to offer best in class products for your trucking needs. It is testimony
to Bandag’s commitment of continuous innovation to deliver Application Specific®
products that are not your average, but your BENCHMARK!