Winter Tyres Europe
Winter Tyres Europe; great news for the tyre makers
Great news for the tyre industry in Europe.Subsequently, when Luxembourg announced that it would become law to fit Winter Tyres.Therefore, during the winter season.As a result, this was great news for the tyre companies. This means also that anyone travelling through the country should also be fitted with winter tyres.Consequently, we have been hammering on for years .About the extra safety and benefits that winter tyres bring.Thus,to our roads.In my opinion, this is a great move forward for the EU country.Moreover, and may encourage other European countries to go down the same road.
Other countries.For instance, are thinking about going down the road.Also, of winter tyres.These are Belgium,Turkey and Poland. More good news for tyre companies.Of course, is that the European Union.Are also considering the use of winter tyres.Throughout all the member states.Indeed, this will be a great boost to all tyre companies.Especially, in these days of recession and falling tyre sales.
Without doubt, this news lifted the share price.Of course, of the major tyre companies.Such as Michelin tyres and Continental tyres.Rising share prices between 30% and 45%. Another tyre company to benefit were Nokian tyres.Hence, a leading player in the winter tyre market.As a result, their shares rising 4% on the news.
Winter tyres also boost revenue
In general Winter Tyres.Therefore cost about 25% more than normal summer tyres. So this will give a boost to the tyre companies revenue.Adding as much as 2 billion Euros to turnover…
More great reading…
“Luxembourg slapped a 74-euro penalty on drivers.Hence, not complying with its snow-tire rule. Polish lawmakers have proposed a 500-zloty ($158) fine for drivers.Not using winter tires from November through March. Turkey and Belgium are mulling similar laws. Germany mandated winter tires two years ago. Winter tires have deeper treads than regular tires.As a result, for better grip and softer rubber.That performs better in cold temperatures but wears more quickly in the summer months. In Sweden, which started requiring winter tires in 1999, the tread must be at least 3 millimeters deep”… http://www.businessweek.com/news/2012-10-04/european-tiremakers-get-boost-from-new-winter-tire-rules
“The European Commission.Is considering a standard definition for winter tires throughout the region. The rules could be finalized next year. According,to Fazilet Cinaralp.Secretary general of the European Tyre and Rubber Manufacturers’ Association in Brussels. As soon as the definition has been clarified.Indeed,we’d like to see a broader mandate on winter tires fairly quickly,” Cinaralp said. “Countries such as Belgium, Denmark, France, Netherlands, Poland and the U.K. should have mandatory winter tires”…http://www.businessweek.com/news/2012-10-04/european-tiremakers-get-boost-from-new-winter-tire-rules
In my opinion. This will be great news for the whole tyre industry.Thus, creating an all year round industry.Accordingly, helping the smaller tyre companies to increase revenues…
Eric Roberts www.pellonautocentre.com