Yokohama reported a decline in the sales and business profits for its tyre segment for the first quarter, ending March 2020.

The company’s tyre business’ sales declined 12.71% to 87.410 billion yen in Q12020.  It reported a net loss of 503 million yen in Q12020.

The company said the downturn in business profit reflected a decline in unit sales volume, an increase in production costs associated with reduced production volume, and inventory-adjustment costs occasioned by a tyre recall in North America.

Both domestic and international markets saw a fall in sales. “That decline reflected production adjustments necessitated by a decline in Japanese demand associated with the novel coronavirus (COVID-19) outbreak and by suspended operation at vehicle plants in overseas markets,” said Yokohama.

Sales revenue also declined in replacement tyres. Sales of winter tyres in Japan were weak on account of warmer-than-usual winter temperatures at the outset of the year, and Japanese business in replacement tyres also suffered from the adverse effect of the COVID-19 outbreak on consumer spending. Business in replacement tyres was generally sluggish in overseas markets, too.
ATG, a part of Yokohama looking into agri, industrial and OTR tyres, also had a fall in sales and profits due low demand.

ATG’s sales stood at 15.54 billion yen in Q12020,  a fall of 17%, from 18.86 billion yen in Q12019. Profit fell by 22% to 1.78 billion yen in Q12020.

The massive business disruption caused by COVID-19 will necessitate revisions in the full-year fiscal projections that Yokohama issued in February 2020. However, the full extent of that disruption is impossible to determine at this time, and the company will therefore withhold for the time being the release of revised business projections and of proposed dividends. Yokohama will release its revised business projections and proposals for dividends as soon as management secures a firm grasp of the fiscal outlook.

Several measures are under way at Yokohama to maintain a sound financial position in the face of the COVID-19 challenge. Those measures include fortifying short-term liquidity through optimal fund raising, paring cash expenditures by deferring capital spending and trimming costs, and reducing compensation for directors, officers, associate officers, and managers.

Comments (0)

ADD COMMENT

Link Copied!

In a significant move to bolster its international profile, Linglong Tire has entered a global partnership with Chicago Bulls, the iconic NBA team. This alliance represents a strategic advancement in the company's global sports marketing, building upon previous high-profile sponsorships with Chelsea FC and Real Madrid. The primary objective is to substantially enhance brand recognition for its product lines, including Green Max, Atlas and Evoluxx, across the crucial North American market, with promotional activities also extending into Europe.

This marketing initiative is strategically aligned with the company's operational expansion, notably a new manufacturing facility under construction in Brazil, which is expected to optimise supply chains and support a drive for increased market share in the Americas. The collaboration has been designed to create meaningful fan engagement through co-developed activation strategies. These will include immersive experiences such as joint basketball camps and interactive tours, aiming to forge a powerful connection with a global community passionate about basketball and high-quality, innovative tyres.

Comments (0)

ADD COMMENT

Link Copied!

The Yokohama Rubber Co., Ltd. has confirmed a continued partnership that will see its US subsidiary, Yokohama Tire Corporation, provide ADVAN racing tyres for three Porsche one-make racing series in 2026. This multi-series agreement includes the Porsche Sprint Challenge North America by Yokohama, the Porsche Sprint Challenge USA West by Yokohama and the Porsche Endurance Challenge North America. All three are sanctioned by the United States Auto Club (USAC) and function as key developmental categories within the Porsche Motorsport Pyramid, featuring race-prepared vehicles such as the 911 GT3 Cup and the 718 Cayman GT4 RS Clubsport.

The upcoming 2026 season represents a significant milestone, marking the sixth consecutive year Yokohama has been the control tyre supplier for the North America and USA West series and the third straight year for the Endurance Challenge. The company will support the competitors with its ADVAN A005 for dry tracks and the ADVAN A006 for wet weather conditions across a combined schedule of numerous events. This ongoing involvement is a strategic initiative designed to bolster the profile and recognition of the ADVAN brand throughout the important North American market.

This commitment to one-make racing extends beyond the Porsche family. Yokohama Rubber is also the official control tyre supplier for the recently launched Mustang Cup, reinforcing its active role and investment in North American motorsport. Through these high-profile partnerships, Yokohama aims to enhance brand power by associating its ADVAN products with some of the most exciting and competitive racing series on the continent.

Comments (0)

ADD COMMENT

Link Copied!

Continental has demonstrated its role as a key partner for sustainable fleet management through its collaboration with Italian transport company Adami Trasporti. Since 2023, Continental has supplied its Conti Hybrid series tyres – Conti Hybrid HS5, Conti Hybrid HD5 and Conti Hybrid HT3 – to Adami's fleet, leading to significant reductions in the company's total operating costs and a marked improvement in its environmental performance. This partnership underscores how strategic tyre selection is central to modern logistics.

For Adami Trasporti, a family-owned business specialising in food transport for over four generations, operational integrity is paramount. The company operates a fleet of 200 modern tanks and tank containers for sensitive liquid goods like fruit juice, wine and cooking oil, requiring adherence to the highest hygiene standards and strict EU environmental regulations. To meet these demands, the Verona-based firm, with additional locations in Italy, Slovakia and Germany, invests heavily in technological innovations, from real-time data monitoring to modern vehicles designed for minimal emissions.

Within this comprehensive sustainability strategy, the choice of tyres has proven to be a critical factor. While tyres themselves account for a small fraction of direct operating costs, their influence on fuel consumption and CO2 emissions can affect up to 31 percent of a fleet's total costs. Continental is actively informing the logistics industry that a shift in focus from mere tyre mileage to rolling resistance is essential. Tyres with optimised rolling resistance, such as the Conti Hybrid models, serve as a direct lever for saving fuel, lowering costs and reducing a fleet's carbon footprint.

This aligns perfectly with Adami Trasporti’s concrete goals for greater sustainability. The company complements its use of Continental’s tyres with other forward-thinking initiatives, most notably the integration of LNG-powered vehicles that cut nitrogen oxide emissions by 70 percent. Through this multi-pronged approach, in which Continental’s tyre technology plays a fundamental role, Adami Trasporti positions itself as an industry pioneer. Together, the companies are actively contributing to lower CO2 emissions across the European transport sector.

Stefano Adami, owner at Adami Trasporti, said, “With the rolling resistance-optimised tyres, we are reducing our CO2 emissions, saving fuel and benefiting from high mileage at the same time. The fuel savings of one and a half to two percent are crucial for us, as consumption has a direct impact on our operating costs. The service and support offerings increase operational reliability of our vehicles and enable us to offer consistent and punctual services throughout Europe.”

Comments (0)

ADD COMMENT

Link Copied!

Metso has introduced its largest split geared ring model, the SCDH4500, a significant innovation designed to transform thickener maintenance in the mining sector. This new model directly confronts the difficulties of traditional full slew bearing replacements through its advanced two-piece split design.

By enabling installation to be completed up to 50 percent faster and minimising the extent of system disassembly required, the solution substantially reduces operational downtime. Furthermore, it enhances worksite safety by removing the necessity for large cranes and the associated risks of suspended loads. The resulting benefits for customers include considerable cost savings from lower labour and equipment hire expenses, as well as a reduction in lost production.

This product launch is a key component of Metso's wider strategy to enhance its thickener portfolio and bolster its aftermarket services. The SCDH4500 is engineered for seamless integration with existing SCD drive geometries, ensuring compatibility and dependable performance in even the most demanding applications. The company’s comprehensive thickening and clarifying portfolio is built on advanced engineering and a focus on sustainable outcomes, which support improved water recovery, lower chemical usage and safer operations.

Andrew McIntosh, Product Director, Thickening Services, Metso, said, “The innovative two-piece split design allows faster installation without requiring extensive system disassembly. This not only minimises operational disruptions but also enhances safety by eliminating the need for large cranes and suspended loads. Additionally, the SCDH4500 seamlessly integrates with existing SCD drive geometries, ensuring reliability in high-torque applications.”

Comments (0)

ADD COMMENT

Link Copied!