Fo c u s o n Tyre IM PorTs - SA TREADS

Tyre Imports – Have the tables turned?
Agricultural sector takes a hit
Michelin’s Andre Bonnet outlines plans for SA market
Apollo sells SA stake to Sumitomo Rubber Industries
Vol 19 • June 2013
New multi-terrain tyre from Cooper
Focus on Tyre IMPorTs
a set of the new Michelin Primacy 3 tyres courtesy of Michelin SA!

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Introduction • 1
Contents
one-on-one
with Andre Bonnet Michelin SA’s Managing Director ............................ 3
Focus on
Tyre Imports .......................................................................................... 9
Manufacturing
New Cooper Multi-Terrain Tyre available in Southern Africa ................. 17
Win a Set of Michelin Primacy 3 Tyres! ................................................. 18
Dunlop Awarding a Jaguar Xf at Top Gear! ............................................. 18
Goodyear Plant Achieves highest audited quality scores ever .............. 23
Apollo Tyres and Sumitomo Rubber Industries strike deal in Africa ...... 27
New Goodyear Call Centre Commits to 24/7 service ........................... 28
conti corner
General Grabber MT conquers Africa! .................................................. 24
Grabber MT launched at Rust de Winter ............................................... 25
Industry news
Fast start for Tyrexpo Africa 2014 as exhibitors from all sectors
sign up for Johannesburg show ............................................................. 30
Tyrecor secures distribution rights to Mitas ........................................... 30
Talking Tyres
Brand Equity: Changing mindsets ......................................................... 33
Goodyear news
Goodyear Plant Investments Ensure Quality Products .......................... 36
Goodyear Eagles give sporty new Ford its wings ................................... 36
Goodyear Gears Up for 2013 Truck Racing Season .............................. 37
Tyre of Choice for Rhino Protection ...................................................... 37
World news
Triangle becoming global player ............................................................ 39
Bridgestone wins patent rights lawsuit – In China ................................. 39
New investors looking at buying stake in Pirelli holder ......................... 39
Schaeffler ending Conti investment agreement ..................................... 39
competition, subscription, Website ........................................ 40
Front Cover: www.istockphoto.com
editor
Technical consultant
reproduction
Printing
Distribution
Advertising
Liana Shaw
Wray Shaw
Diane van Noort
TYPO
– Colour Printing Specialists
Prestige Bulk Mailers
Liana Shaw
Publishers
Sky Publications cc
PO Box 702
Douglasdale, 2165
Tel: (011) 658 0011
Fax: (011) 658 0010
Cell: 082 851 6777
E-mail: satreads@mweb.co.za
Website: www.satreads.co.za
A note from
the editor
Amidst prolonged concerns on the part
of the local industry over the rising influx
of imports and their long-term effects to
their business, importers of reputable
tyre brands are equally concerned over
what they describe as regular onslaughts
to their businesses on the part of
government and local industry.
Are importers being subjected to unfair
business practices? In this edition, we examine some of the pressing issues
surrounding the importation of foreign brands into South Africa, particularly
the recent scrapping of the rebate on herringbone tread tyres, which
has sent the agricultural sector into a tailspin. Precisely what prompted
this, or who, remains a subject of hot debate, as our story on page 9 will
illustrate. Interestingly too and according to multiple import companies, in
some cases, locally produced tyres are now cheaper than imported makes,
thereby posing new challenges for the importers who have traditionally
competed in this market on price.
We could not substantiate this claim at this time, but a number of dealers
we spoke with did confirm that some local makes and sizes were currently
selling at more favourable prices than many imported makes, which is
surprising, to say the least.
Staying with imports, we also bring you an exclusive interview with the man
at the helm of Michelin Tyre Company SA, Andre Bonnet, who outlines their
ambitious plans for the company and also talks about the release of some
exciting new products in the domestic market, among them the Michelin
XWorks (complete with Accidental Damage Guarantee!) and the Michelin
Primacy 3 for the passenger market. *To stand a chance to win a set of the
new Michelin Primacy 3 tyres, turn to our competition page (page 40).
Also in this issue, we announce the sale of Apollo’s Ladysmith plant to
Sumitomo Rubber Industries, a turn of events that has sent shock waves
throughout the industry. Details of this transaction and its long-term effects
to Apollo SA remain sketchy, but we will provide further information as and
when it becomes available.
Don’t forget to stay in touch via our International Tyre Portal – www.
satreads.com – which features fresh stories relating to the local and
international tyre sector daily!
Stay warm….till we meet again in the Spring.

O n e - o n - O n e • 3
ANDre BONNET
on Michelin’s
Big Plans
for the
SA Market
Dutch-born and raised Andre Bonnet, assumed
responsibility for Michelin Tyre Company South Africa in
2010 in his capacity as Managing Director. In that time,
the Michelin brand has continued to secure a growing
presence in the domestic market, and this despite the
premium nature of the company’s products in a costconscious
market. An exclusive interview with the man at
the helm recently revealed some key strategies that are
heralding a fresh approach to Michelin’s South African
operation. Andre Bonnet explains…..

4 • One-on-One
We believe that Michelin SA has adopted a fresh approach to the way it
conducts business in this market. Would you care to elaborate on this?
What about availability? Can we deliver the required volumes to our
customers at the required times?
In keeping with the Michelin Group’s global philosophy, Michelin SA is set
to adopt a South African approach to its domestic business via a growing
number of home-grown personnel which have been identified and suitably
groomed to assume responsibility for key functions within the company.
Simply put, Michelin Tyre Co SA wants to be viewed as a local company,
not a European one. Up until last year, senior positions were mostly
occupied by expatriates but this is rapidly changing with the appointment
of carefully selected individuals from the local market that are actively
being prepared to take up some of these key positions.
Is this with the aim of them eventually taking over the reins of the
company?
That is correct. We realise that this is a long term process, but our
aspiration is to nurture talented individuals to the level where they are
suitably equipped to run the company. Together with the Human Resources
Department, these candidates are currently being developed to not only fill
specific openings, but also with a view to sustainable career paths.
A somewhat unique but refreshing strategy for a global tyre
manufacturer to take?
Michelin Tyre Company has ambitious goals for the future – all of which
are publicly known – and in order to achieve these objectives, we will
be focusing heavily on emerging markets such as South Africa. Michelin
Tyres SA is here, not only to stay, but to grow.
What would you estimate your current market share in SA to be?
To be quite frank, it doesn’t interest me. Our focus is not on numbers
but rather on preserving the quality of the product. For this reason, we
have appointed two senior field engineers whose primary function is to
uphold and protect the Michelin name in the marketplace.
The popular Chinese saying ‘when a tiger dies, what is left behind is his
skin, but when a man dies what is left is his name, so take care of your
name’ instantly springs to mind. We want to take care of our name in
the marketplace.
What other initiatives are in place to ensure that you achieve this?
We are constantly asking ourselves: can we deliver the required
levels of service around the quality of the product? If not, where can
we improve? Are our deliveries and invoicing systems up to scratch?
We have elevated our service offering from being the ‘worst supplier’
in the eyes of one of our important customers, to being their ‘best
supplier’ in the space of two years, simply by paying attention to the
basics and our willingness to operate in a transparent manner. We
are not perfect, and we must be able to admit to our mistakes whilst
informing the customer as to how we plan on rectifying any legitimate
concerns they may have.
From our end, we have reinforced our supply chain team and initiated
training programmes aimed at improving internal communication. Also
in our favour, is that we now operate via a Head office that is much
closer to us in Dubai.
In 2010 the customer in question was compelled to operate on
excessively high stock levels due to our inability to supply. Today, I am
happy to report that he is working on a lower inventory. These are the
kinds of partnerships we are looking to develop with our customers.
Business has to be sustainable, for both parties concerned.
Are you still actively promoting the BFGoodrich brand?
Although the Michelin brand is our priority, BFGoodrich remains an
integral brand for us and this will become ever clearer during the latter
patter of 2013 when we introduce new initiatives aimed directly at our
BFGoodrich customers in this market.
Speaking of customers what is your view on the multi-alliance culture
that exists in our market?
The culture you speak of is not in keeping with our philosophy. In my
opinion, there is too much prostitution evident in our market! We are
looking to trade with the type of customer who reflects the quality of
our product and provides the service that runs alongside the Michelin
brand. In this sense, we expect our dealers to make a stand against the
multi-alliance trend.
To assist them in making the right choice we are busy with a number of
exciting initiatives this year, among them, the opening of our dedicated
Michelin Truck Service Centres explicitly aimed at enhancing our
offering to the commercial sector.
Tell us more about these service centres. How many will be launched
this year?
There are four shops in the pipeline – with all sporting new signage and

6 • One-on-One
Michelin standard operating procedures which are set globally - with the
first one in Villiersdorp, scheduled to open on 14 June.
drivers will be sent to the location requested where one driver will drive
home the car of the BibAssist member.
Our value proposal for these selected dealers is to assist them in
boosting profit margins via a strong emphasis on health and safety
issues, a dedicated product range (Kormoran), plus a mobile service
vehicle flaunting the Michelin corporate identity.
And later this year we are launching the new 750R16 HD (heavy duty)
tyre that again, has been expressly designed for our unique road
conditions, to service the light truck and delivery van segment of the
market.
This exciting new development is a culmination of Michelin’s Commercial
Policy. Unlike the passenger market which depends on regular brand
awareness, product warranties and the like, the commercial segment
requires a great deal more effort and attention. And unlike the 7.4
million odd motorists who we are unlikely to ever meet, the commercial
market offers the opportunity for greater interaction with our end-users,
something we want to capitalise on.
Dedicated Michelin service teams and vehicles to render assistance to
A and B transport fleets have been established, their aim being to travel
around the country, providing a weekend service when the majority of
vehicles are on site.
Aside from providing maintenance and technical assistance, their role is
also to educate the customer on how to derive a favourable CPK out of
our tyres, by following the Michelin principles that include maximising
the life of the original tyre, regrooving and retreading with Recamic
tread.
That some fleets are achieving a mileage of one million kilometres is
testament that Michelin’s cradle-to-grave philosophy works, if followed
correctly. That is our value proposition.
Are you planning to launch any new products this year?
In January of this year we introduced the new XWorks tyre, designed
specifically for tough road conditions such as construction sites. The
new tyre, which has been developed expressly for emerging markets,
comes with a six-month Accidental Damage Guarantee, such is our
confidence in the XWorks.
Rumour has it that Michelin will also be moving premises this year?
That is correct. In December 2013, we will be moving to Clear Water
Office Park, Atlas Road, in Boksburg. We have outgrown our present
premises and as our lease expires in February 2014, this will be the
perfect time to engineer a move of this kind.
Added to this, our warehouse in Alrode is also becoming cramped and
we are looking to expand on that level as well. If all goes well, we hope
to build our own warehouse premises designed according to Michelin
global specifications.
How do you see Michelin SA fitting into the global picture for the
Michelin Group?
Between the years 2010-2015, the Michelin Group has committed to
a capital expenditure spend of 2billion Euros a year, monies that will
be used to increase capacity by way of a new passenger and light
truck plant in Brazil, followed by the establishment of the biggest truck
plant Michelin has ever built in Chennai, India. Expansion is also being
planned for the Lexington plant in the USA to boost earthmover tyre
production. In total, by the year 2015, Michelin hopes to invest in the
region of 1.8 and 2.2 billion Euros in capital expenditure.
Suffice it to say the Michelin Group, which includes the South African
facility, is financially strong and ready for the future.
At the end of April we launched the Michelin Primacy 3 tyre, Safety to
the Power of 3 which delivers excellence in wet and dry braking as well
as excellence in cornering in the wet. The Michelin Primacy 3 comes
with BibAssist which comprises Roadside Assistance, (assistance in the
event of a flat tyre, mechanical breakdown etc.), Michelin Concierge
Service (your very own personal assistant that can assist with finding
any product or service at a location convenient to the member), and
DriveMe, which is a personalised driver service for people wishing to go
out and enjoy a few drinks and return home safely. A vehicle with two

Michelin Advertorial • 7
All-Terrain Michelin X Works
now with Damage Guarantee
Michelin’s X Works, the allterrain
truck tyre that is
robust on site and long lasting
on road, now offers you an
exclusive guarantee against
accidental damage*.
*For each Michelin X Works purchased from
January 1 to December 31, 2013, Michelin is
offering you an Accidental Damage Guarantee*
covering the first six months’ use, from date
of purchase
With the Accidental Damage Guarantee*,
Michelin reimburses you with a new tyre if it
is accidentally damaged in the first six months
of use. So you can enjoy the durability and
safety of your new Michelin X Works tyres with
complete peace of mind.
This new range of tyre is available in two patterns,
XZY for all positions and XDY for the drive axles,
and come in sizes 315/80 R 22.5 and 12 R 22.5
(12R22.5 available in August 2013).
The Michelin X Works embodies the Michelin
Total Performance developed by the Michelin
Group, which consists of simultaneously
improving all areas of performance, regardless
of the type of tyre or range. For truck tyres, the
benefits fall into three categories: enhanced
safety, greater cost-effectiveness and increased
environmental protection.
safer
Designed for use on roads as well as in and
around worksites, the tyre delivers heightened
resistance to cuts and scrapes and superior load
carrying capacity while at the same time being
cost-effective on the road. To meet the need
for tyres that are safe and reliable, the Michelin
X works range features a tread design that
reduces the risk of stones lodging in grooves
and ensures that water, and mud, is effectively
evacuated when driving on wet/muddy roads.
More cost-effective
Because of its robustness, the Michelin X Works
provides enhanced resistance to cuts and
scrapes. Its architecture has been optimised
for challenging conditions of use, while the
sidewalls have extra protection to reduce the
risk of lateral damage.
The Michelin X Works is also designed to be long
lasting. Its optimised contact patch distributes wear
more evenly, which means greater total mileage.
An Improved environmental Footprint
Like all new Michelin truck tyres, the X Works can
be retreaded. Improved durability means the rate
of retreadability is greatly increased. The Michelin
X Works casing is designed to be used more than
once. Michelin recommends that when the tyre
has a remaining tread of +-3mm you send the
casing in to be retreaded with Recamic.
Accidental Damage Guarantee
When tyres are used both on and off road, the
risk of accidental damage increases considerably.
Tyres used on worksites and quarries, as well as on
roads, are subject to the most extreme conditions.
Tyre incidents can have major economic
repercussions for customers. The Michelin X
Works and its accidental damage guarantee
will thus address an issue that is very
important for customers.
The new Michelin X Works truck tyre comes in two
sizes and is available at all leading commercial tyre
outlets throughout South Africa. To find out more,
visit www.michelin-xworks.co.za.
* terms and conditions of the Accidental Damage
Guarantee at www.michelin-xworks.co.za

• Excellent mileage and retreadability
• Delivers competitive cpk
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• Tread design for your application
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• DOT and E-Mark approved
• Approved by DTI SA
Official SA Distributor of Hanksugi Tires

Focus on Tyre Imports • 9
IMPORTS
– HAVE THE TABLES TURNED?
Close on 50% of the current tyre consumption
in South Africa is made up of imported makes,
a staggering statistic that is deeply indicative
of the rising popularity of foreign made tyres
over the last few years. Price is the primary
reason for the rise in import figures, with
low cost producers from emerging countries
continuing to target our market with products
that are often of questionable quality;
availability is another, especially as it is not
economically viable for local tyre plants to
comprehensively cater to the diverse needs of
the market by way of application and tyre size.
So, not all imports entering our market potentially pose a risk to the
consumer. The local four manufacturers – Bridgestone, Goodyear, Apollo
and Continental – are all compelled to import tyres on a frequent basis
to supplement their product range. Plus, SA’s status as a global player
demands that the SA consumer has access to the world’s leading tyre
brands from Europe, USA, and the Far East.
With that said, the rise of ‘dubious’ operators who are dumping low cost
tyres in the market, whilst also attempting to evade paying the required
import duties, is posing a significant threat to the local manufacturing
industry as well as to the reputable importers, not to mention the end user.
For over a decade, local tyre companies have been campaigning for playing
fields to be levelled, something which they claim can only be achieved by
clamping down on questionable low cost products and the illicit practices
that accompany them. This they have done by eliciting assistance from
relevant government bodies such as the DTI (Department of Trade and
Industry), the NRCS (National Regulator for Compulsory Specifications)
and ITAC (International Trade Administration Commission for South Africa).
And according to the import segment of the market, their efforts have not
been in vain. Local representatives of some of the world’s leading tyre
makers are alleging that although price may have once played a significant
role in securing a presence for foreign tyres in this market, this is no longer
case. They further suggest that the tables have turned with respect to the
market dynamic, so much so, that imported tyres are now receiving the
‘short end of the stick’, so to speak.
“I never thought I’d see the day when imported passenger tyres would sell
for more than some locally produced makes, but this is precisely what is
taking place,” said Charl de Villiers, MD of Tyrecor. I continuously circulate
amongst dealers comparing pricing from local and imported brands for the
various segments, and this new development is alarming.” His concerns are
being echoed by opposition companies such as Tubestone and CFP Tyres.
“It is becoming increasingly more difficult for us to compete against the
local makes,” they confirmed.
But Julio Fava, Executive Manager Export, OE and Agri for Bridgestone SA
disagreed: “Local products remain more expensive than imports, it’s only
the differential that has reduced.”
“We are extremely surprised to hear of these rumours,” echoed Riaz
Haffejee, CEO, Apollo Tyres SA, “since this is contrary to our experience.”
The price issue aside, importers are faced with their own unique set of
trading challenges. Currently in the spotlight is the sudden withdrawal of
the agricultural rebate applicable to tyres entering the country under the
Tariff Heading 4011.61 This rebate was apparently set in place some years
ago to assist the agricultural sector that is compelled to import herringbone

10 • Focus on Waste Tyres
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Focus on Tyre Imports • 11
tread tyres since many sizes in this category are not
being locally produced, and the local companies
cannot effectively meet growing demand.
As of May of this year, the rebate in question was
scrapped, allegedly with no warning, under instruction
by SARS, the administrator. What pre-empted this
development has been the source of major contention
and finger-pointing with no one party seemingly
willing to take responsibility.
Our investigations into the matter first led us to NRCS,
the alleged instigator of the withdrawal process by
way of a special application made to ITAC, which Dries
van Tonder, Subject Specialist for NRCS categorically
denied. He had this to say, by way of explanation:
“NRCS is merely the National Regulator, there to
❝
It is becoming
increasingly more
difficult for us to
compete against the
local makes
Trade Administration Act, 2002, administered by
ITAC. Whilst SARS administers the goods imported
in terms of the Schedules to the Customs and Excise
Act, 1964, the levels of rebates or ordinary customs
duties and any other conditions that may also apply
are determined by ITAC in terms of trade policy.
“The rebate item for herringbone tread tyres as well as
the rebate item for racing car tyres required approval
from NRCS, so by law, NRCS was the responsible
entity to approve the tyres imported under the
respective rebate items.
He added: “The deletion of rebate item
460.07/4011.61 for herringbone tread tyres and the
amendment of rebate item 460.07/4011.10 for racing
car tyres were published in the Government Gazette
ensure that any passenger or commercial tyre entering our borders is of of 15 March 2013 to give effect to the request by the Minister of Trade
an acceptable quality as laid out by the Standards in place. As herringbone and Industry to implement the recommendations made by the International
tyres (traditionally used on tractors and other slow moving vehicles), do not Trade Administration Commission in Report No. 423. ITAC also gave notice
pose a danger to the consumer, they are not bound by the homologation of its intentions to review the said rebate items through Notice No. 570 of
process, and therefore do not require inspection.
2012, published in the Government Gazette of 20 July 2012.”
❞
“Therefore, inspecting containers of herringbone tyres at port sites for
the purpose of financial rebates, was not only depleting our manpower
resources, it was creating such a backlog that we were unable to effectively
meet our responsibility towards the passenger and commercial tyre sector.
But despite the publishing of this Notice, it appears the import sector was
unaware of ITAC’s intention to cancel this agricultural rebate, claiming that
unlike the SATMC, which was approached for comment, they were not
afforded the same opportunity.
NRCS indicated that we do not wish to be involved with the inspection
of herringbone and sporting tyres as well as the subsequent issuing of a
rebate certificate. Never did we indicate or question the reason for the
rebate or the cancellation of the rebate.”
Dr. Etienne Human of the SATMC confirmed that the SATMC had in fact
been approached for comment, but the controversy deepens further with
Bridgestone SA and Apollo Tyres apparently the only local manufacturers
in the know. When approached for comment, Bridgestone admitted that
Upon instruction from SARS that the rebate had fallen away, we sent out the
relevant correspondence, informing the industry that we would no longer
be performing inspections for the sake of rebates.”
The mystery deepens further with the subsequent unearthing of a
document dated 30 January 2013 that was submitted to ITAC that clearly
states that the review follows a notice by the NRCS that it would no longer
issue certificates for the purpose of the relevant rebate provisions. *
As for NRCS’s reference to SARS, Adrian Lackay, Media spokesperson
for SARS had this to say: “Rebates and ordinary customs duties are
governed by trade policy that falls within the ambit of the International

12 • Focus on Tyre Imports
they were part of the discussions as a member of the SATMC, and were
therefore aware of the outcome of ITAC approving the application by NRCS,
whereas Goodyear claimed they knew nothing about it.
“We were neither consulted, informed nor pre-warned about the
cancellation of the rebate on imported herringbone design agricultural
tyres smaller than 36” rim diameter,” said Dustine Gascoyne, Goodyear
Marketing Director.
racing fraternity takes control
Whilst the debate around who was or should have been consulted prior
to this decision being taken rages on, the racing fraternity appears to have
achieved the impossible, and is seemingly the only market segment to still
enjoy rebates under this controversial Tarriff Heading.
In an attempt to rescue the situation, they formed their own Inspection
Committee to take over this function, and as a consequence, and with no
assistance required by NRCS, the rebate on racing tyres imported into
South Africa remains in place.
Precisely how they were able to achieve this, and reasons as to why the
agricultural sector was denied the same courtesy, is also open to debate.
Robin Houghton, ATS, explained: “Bear in mind that the volumes of racing
tyres imported into the country, along with the number of importers,
are very small, and as such, administering these tyres is a relatively easy
procedure. I believe this is why the racing sector has been granted leave to
self-govern in this matter, that, plus the fact that the process is controlled
by Motor Sport South Africa (MSA), which is an internationally recognised
body responsible for controlling the sporting events in the country where
tyres imported specifically for motorsport purposes would be used.”
But once importers of agricultural tyres became aware of a potential
problem around inspections and suggested establishing a similar selfregulated,
self-funded Technical Committee for the same purpose, their
suggestion was allegedly shot down.
Said de Villiers: “We offered to contribute towards the cost of future
inspections so that manpower resources can be increased, but our
suggestion was shot down for fear that it would lead to traders abusing
the system.”
Notwithstanding, industry players claim this is already the case. They allege
that the numbers of imported racing tyres currently on record are so vast,
that dubious operators have obviously found a way to evade paying duties
by classifying passenger tyres under racing tyres.
Said Haffejee: “Under invoicing by unscrupulous importers at values well
below raw material prices is the major hurdle in competing on a level
playing field.”
Added Kruger: “Dubious tyre importers will always be there and due to
the import duties in place, they will continue seeking new ways and means
to evade payment. I believe that if duties were to be abolished, this would
automatically level the playing fields, and that these dubious operators
would automatically disappear.”
“The availability of ‘unknown’ brands is increasing and this is driven by
two factors,” suggested Bridgestone’s Fava, “one being the pricing of
these products and secondly, the willingness of the consumer to buy a
cheap product at least once. The effect on our business is a diminishing
market with great pressure on the production cost and the feasibility of
local production. The current economic climate also contributes to the
consumer looking for cheaper product and this product may not be the
best value for money product, but simply cheap.”
Are importers being unfairly targeted?
So, what of this perception that tyre importers are being unfairly targeted?
Said de Villiers: “As importers we are experiencing increasing pressure
from government in the form of poorly executed campaigns to rid the
industry of ‘dubious importers’ who under-declare values and use wrong
tariff headings with rebates when importing tyres. In September last year
SARS began stopping containers without giving us detailed reasons for the

O n e - o n - O n e • 1 3

14 • Focus on Tyre Imports
stops, incurring huge losses for us. We tried to engage
with SARS on the matter but were unsuccessful.”
Added Alida Mouton of CFP Tyres: “We believe that
pressure from the local manufacturers was the reason
behind these stops by Customs which not only
delayed arrival times but incurred additional costs
resulting in loss of sales and higher prices.”
Pieter Kruger of Tubestone concurred: “The new tyre
companies tried to slow down imports by presenting
SARS with a document stating that imported tyres
were being under-declared, but SARS never took into
consideration aspects such as weight, compound,
tread depth etc. We were hammered with storage and
demurrage bills. The situation was totally ridiculous.”
❝
Clearance times are
unacceptably long and
often exacerbated by
labour unrest and poor
weather conditions
Where to from here?
Amidst turbulent market conditions, the local
tyre producers are struggling to compete in a
price-conscious market. For them, the scrapping
of the agricultural rebate on sizes that are locally
produced will bring some relief, but like their
import counterparts, they will be equally affected
by their inability to claim for a rebate on sizes not
produced locally. At this point in time, only bias ply
herringbone tyres up to a certain size are locally
made whilst Radial Tractor,Radial Row Crop, Radial
Implement, Floatation (Bias as well as Radial),
Forestry (Bias as well as Radial) are fully imported.
For the import sector, the trading platform is
particularly challenging they say, given the Rand/
Dollar exchange rate, and now the cessation of the
But local manufacturers argued that they too experience their fair share of agricultural rebate on which so many had come to rely.
frustrations when it comes to importing tyres they require to supplement
their range.
At least where the agricultural rebate is concerned and according to
Johan Pienaar of Agri SA, all is not lost. “Scrapping the agricultural
Said Gascoyne: “Port efficiency with respect to container unloading is a rebate will place the sector under immense pressure and will severely
problem, especially in the Port of Durban, which is very congested. We hamper our ability to remain competitive, especially under the current
have also experienced similar problems with the Port of Port Elizabeth.”
pressures of wage negotiations. We are in negotiations with ITAC and
believe there is a chance for the agricultural rebate to be re-instated
Apollo’s Haffejee, agreed: “Clearance times are unacceptably long and should we be able to demonstrate the ability to regulate and police this
often exacerbated by labour unrest and poor weather conditions.”
matter ourselves.”
❞
And as for allegations that local producers could well be lowering their prices
in order to dispose of excess stock to augment poor export performance to
Europe, this too, is pure speculation, according to the local four.
“The farming community is dependent on all the assistance it can get,
and costs related to the scrapping of the rebate are already being passed
on to the end user on the part of the tyre importers with potentially dire
consequences,” he said.
The agricultural sector, along with reputable importers, who have been
compelled to up their prices, remain hopeful that a long-term solution
can and will be reached, failing which there appears to be little, if any,
recourse for the import segment of the industry.
*Despite multiple attempts to elicit comment from ITAC, we were
unsuccessful.
Disclaimer:
The views and opinions expressed in this article are not necessarily those of the
Publisher, Editor or any staff member of SA TREADS magazine. Sky Publications
can accept no responsibility for the veracity of claims made by contributors or
participants to this story.

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Manufacturing • 17
NEW COOPER MULTI TERRAIN TYRE AVAILABLE IN SOUTHERN AFRICA
Cooper Tyres South Africa announces the introduction of a multi terrain through their paces from sand, mud, gravel and tar and they are more
tyre for the Southern African market, suitable for fitment to SUV’s with than adequate for this environment. They are, by far, the best tyres we
19” – the Cooper Zeon LTZ.
have had fitted to the Disco 4 to date.”
“We have had a large number of SUV and 4x4 vehicle owners requesting
a 19” all terrain tyre for SUV vehicles that is rugged enough to cope
with the challenging Southern African conditions” says Jenny Soons,
Marketing Director of Cooper Tyres South Africa. Jenny continued, “the
Cooper Zeon LTZ has been proven in both America and Australia, and
we put the tyres to the test by fitting the 19” Zeon LTZ to Kingsley
Holgate’s Landrover Discovery 4.”
Kingsley Holgate renowned South African explorer, humanitarian and
author fitted the 19” LTZ tyres to his Landrover Discovery 4 for the
90 day, 3 country expedition to track, research and document the
Lubombo Mountain Range northern Kruger National Park to the Ghost
Mountain in Mkuze, Northern KwaZulu Natal. “The expedition is all
about rhino protection,” says Kingsley, “we have to stop the killing of
our rhinos – we all have to do our bit.”
Kingsley had this to say about the tyres, “We put the Cooper LTZ tyres
The LTZ is a hybrid 4x4 / SUV tyre with a 50% on road and 50% off
road capability. It has a modern pattern design with a combination of
lateral grooves and functionally patterned tread elements to provide
dependable multi terrain performance. The optimized pitch sequence
helps provide even tread wear and low tread related noise. The scalloped
shoulder lugs provide traction off road particularly in soft surfaces like
mud and sand.
Manufactured in America the Cooper LTZ follows the Cooper Tire
Company’s aftermarket tyre building strategy of developing strong,
high mileage 4x4 and SUV tyres. Cooper Tires is a world leader in the
research and development of modern tyre technology. Today, Cooper
is the ninth largest tyre manufacturer in the world.
Cooper tyres are available at over 100 dealers in Southern Africa.
For further information visit www.coopertyres.co.za or email
info@coopertyres.co.za.

18 • Manufacturing
WIn A seT oF MIchelIn PrIMAcy 3 Tyres!
Innovation is the name of the game for iconic tyre maker Michelin, shop for breakdowns, and
whose latest tyre promises motorists “Safety to the power of 3.” Michelin other fantastic benefits like
Primacy 3 tyres are now available at Tiger Wheel & Tyre stores nationwide one night’s accommodation
and when you buy two or more tyres you’ll get a 3 year membership or a rental vehicle for a day,
to BibAssist free of charge, a programme as remarkable as the tyres when you break down more than 100km from your destination.
themselves.
Drive Me gives members the option to drink and not drive. Call BibAssist
Based on independent tests, Michelin Primacy 3’s three key safety at least one hour in advance and a vehicle with two drivers will be sent
characteristics are: excellence in dry braking; excellence in wet braking; to meet and drive you and up to three passengers home, in your own
and excellence in cornering in the wet.
vehicle. The service allows for six free bookings per year and is available
within a 50km radius of city centres in Johannesburg, Pretoria, Cape
The tyre owes its superior braking and cornering performance to new Town, Durban, East London, Port Elizabeth and George with new areas
auto-blocking sipes – the slits in the tread blocks – that keeps the treadsurface
in contact with the road and a special tread rubber compound
being added everyday
and tread pattern that optimise grip and reduce braking distance in all Michelin Concierge Desk is like having a free personal assistant. Need a
conditions.
restaurant booking, concert tickets, accommodation, pool repairs, petsitting
or more? Call BibAssist, speak to a concierge and they’ll get back
These proven abilities are reason enough to make motorists head straight to you promptly with the information and up to three quotes.
for their nearest Tiger Wheel & Tyre, but throw in a free, three-year
membership to BibAssist and the desire to own Michelin Primacy 3 tyres Best of all is the ease with which your membership to BibAssist is
is quite irresistible.
activated. Simply buy two or more Michelin Primacy 3 tyres from Tiger
Wheel & Tyre and the store will automatically register your membership.
BibAssist is the name for three exclusive, additional services that are
free to motorists who buy two or more Michelin Primacy 3 tyres from For more information on the innovative new Michelin Primacy 3 tyres and
Tiger Wheel & Tyre. These include Roadside Assistance; Drive Me; and complete details as well as the terms and conditions of BibAssist, visit
Michelin Concierge Desk.
your nearest Tiger Wheel & Tyre store or go to the website www.twt.to.
Roadside Assistance offers emergency roadside assistance for mechanical
and electrical breakdowns; flat tyres; flat batteries; keys locked in the
vehicle; 10 litres of fuel when you run out, twice a year; towing to a repair
Alternatively, turn to our Competition page (page 40), answer the easy
question and enter online or via fax to stand a chance to win a set of
Michelin Primacy 3 tyres!
DuNloP AWARDING A JAGuAR XF AT ToP GEAR!
Dunlop will be awarding one lucky customer a luxury Jaguar XF at the The Top Gear Festival will be held at the Moses Mabhida Stadium, Durban,
Top Gear Festival in Durban (15 – 16 June 2013) – South Africa’s most following popular demand with an incredible line-up of cars and driving
explosive motoring festival.
talent.
Dunlop tyres are specified and fitted by Jaguar as Original Equipment on
selected vehicle models. As a result of this long-standing professional
relationship, Dunlop and their Dunlop Zone partners collaborated with
Jaguar to give customers the opportunity to win a spectacular prize.
Customers purchasing Dunlop tyres through participating Dunlop Zone
stores until the 28th of April 2013 will stand the chance of being selected
as one of the five finalists who will enjoy an all-expenses-paid trip to the Top
Gear Festival. One winner will be drawn, live, at the Dunlop stand during the
course of the festival and will get to drive off in their very own luxury Jaguar
XF worth over R500 000!
The festival promises an action-packed show presented by Clarkson,
May and Hammond and featuring the iconic Stig as well as local
personalities, international stunt drivers and a whole host of Top Gear’s
trademark special effects. The Street Circuit will also be back - only
this time it’s bigger and better! Visitors will be able to see stunts, races,
motoring challenges and some of the world’s greatest cars on the
streets of Durban.
In amongst the Top Gear festivities, Dunlop will be in the thick of it with
giveaways and activities, not to mention the live draw for the Jaguar XF.
www.dunlopzone.com

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