Supply and demand of neutral bearish rubber fell sharply

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March, natural rubber continued unilateral decline in the trend continued to continue unilateral decline, and continue to hit a new low, but then encounter, stabilized stabilized, and returned to a technical rebound, which reflects the supply and demand of natural rubber market The relationship is reversed from the background and the essence of the reversal.

Prospects and Strategy Suggestions

Looking forward to April trend, by the international and domestic aspects of the neutral factors of the neutral intertwined effect, in the surrounding Tokyo City, Singapore rubber market both down the trend of deep down, Hujiao market outlook will continue the formation of the original deep down Of the trend, while subject to the global macroeconomic and financial situation neutral factors, although the short-term may fall sharply, but the medium-term may return to the low regional concussion trend, the operation should be short-term low-absorbing high-throwing.

Read the source article at Global Rubber Markets News

Jim Cramer – 6 things causing the market’s spring slowdown

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For Jim Cramer, Thursday’s big bank earnings reports could not be more important to this ailing market. For over 36 years, the stock market has edged up, resulting in overall higher prices and an eight-year streak of bullish sentiment. “But every big move, every move that had really any impact, always had the banks as one of the major leadership groups,” the “Mad Money” host said.

 

Read the source article at cnbc.com

U.S. auto sales fall 1.6% in March as industry starts to stall after 7 years of growth

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Automakers sold 1.56 million new cars and trucks in March, a 1.6% decline compared with the same month a year ago. U.S. auto industry sales fell short of expectations in March as car sales continued to plummet, raising concerns about rising incentives and bloated inventory even though the pace of new car sales remains robust from a historical standpoint. Automakers sold 1.56 million new cars and trucks in March, a 1.6% decline compared with the same month a year ago.

Read the source article at Detroit Free Press

Pirelli finishes 2016 on a high note

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Milan, Italy – Pirelli managed year-on-year revenue-growth of 1.6%, to €6.0 billion, for the full financial year 2016, the Italian tire-maker announced 31 March.

Earnings (EBITDA before non-recurring items) grew 2.4% to €1.18 billion, driven by “solid organic growth”. This was backed by a strong performance at its premium tire segment which Pirelli said now accounts for 64% of consumer tire sales.

Read the source article at European Rubber Journal

Hankook Tire reports on what’s driving tire purchasing habits

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According to the Hankook Tire Gauge Index, there are several factors that influence a driver’s choice of tires as 38% of Americans purchase the same tires that were already on the vehicle, while the remaining 62% of Americans are evenly split on choosing the best price (31%) and the dealer recommended product (31%). 

The importance of tire price is further reflected by participation in discount programs as half (55%) of drivers have taken advantage of a rebate when buying new tires. Further, one-in-10 Americans have purchased tires through a rebate only to store them for future use.

MEASURING YOUR MILES

Opinions are varied as to when to replace tires. Fifty-nine percent of Americans believe new tires should last over 25,000 miles, while 41% believe new tires last less than that, according to the Gauge. This contrast might arise from how drivers determine they need new tires, as 65% of drivers only purchase new tires when the tread looks worn. While the eye test can help indicate if you do need to replace your tires, utilizing the Tread Wear Indicator on the bottom of the grooves can more accurately measure the tread depth and determine if you actually need new tires. 

 

Read the source article at Traction News

The US Farm Tire Market 2017, Rising Demand of Wide-Section Tires and Growing Demand of Eco-Friendly Tires

The report “The US Farm Tire Market: Industry Analysis & Outlook (2017-2021)” analyzes the development of this market. The major trends, growth drivers as well as issues being faced by the market are discussed in detail in this report. The four major players: Compagnie Générale des Établissements Michelin SCA, Goodyear Tire & Rubber Company, Inc., Yokohama Rubber Co., Ltd. and Titan International, Inc., are being profiled along with their key financials and strategies for growth. The report contains a comprehensive analysis of the US farm tire market, with the focus on different farm tire segments.

Read the source article at SBWire

Goodyear Tire & Rubber Co (GT) Cut to Neutral at Goldman Sachs Group Inc

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Tweet Goodyear Tire & Rubber Co (NASDAQ:GT) was downgraded by Goldman Sachs Group Inc from a “buy” rating to a “neutral” rating in a research note issued on Thursday. They currently have a $33.00 target price on the stock. Goldman Sachs Group Inc’s price objective indicates a potential downside of 8.81% from the company’s previous close. The analysts noted that the move was a valuation call. Other equities analysts also recently issued reports about the company.

Read the source article at American Banking News

HF tops global tire & rubber machinery rankings

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London – HF Group (Harburg – Freudenberger AG) has retained its status as the world largest tire & rubber machinery maker, according to the findings of the ERJMachinery Survey 2017.

Despite a 5% fall in sales, German-based HF, which includes Farrel Ltd and Pomini Rubber & Plastics extended its lead in the global ranking by sales, published annually by European Rubber Journal magazine.

VMI leapfrogged into second slot on the table just by holding business at prior-year levels….

Read the source article at European Rubber Journal

One vote altered final ITC antidumping decision

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WASHINGTON — The shift of one vote caused the International Trade Commission (ITC) to make a final determination that the U.S. truck and bus tire manufacturing industry is not being materially injured because of imports from China.

The ITC made a negative determination on material injury against the U.S. truck and bus tire industry Feb. 22 on a 3-2 vote. A year earlier, the commission made an affirmative preliminary determination by a 3-2 vote.

The ITC made its final report available to the public on March 22.

ITC Vice Chairman David S. Johanson voted with Chairman Rhonda K. Schmidtlein and Commissioner Irving A. Williamson in the preliminary determination in favor of a finding of material injury. At that time, however, Mr. Johanson filed his separate views.

In his preliminary views, Mr. Johanson agreed with most of the findings of Ms. Schmidtlein and Mr. Williamson. He found that Chinese imports increased in both absolute terms and relative to U.S. consumption and production during the 2013-2015 period of investigation.

During the period, he said, Chinese imports captured 5.1 percentage points of market share from the domestic industry.

Mr. Johanson also found that imports from other countries, though gaining in U.S. market share, gained less than Chinese imports.

“In 31 of 37 quarterly comparisons between the prices of imports from China and Canada, the prices of imports from Canada were higher than those from China,” he wrote. “The prices of imports from Canada were even higher than U.S.-produced tires in nearly half of the quarterly comparisons.”

Considering data on capital investments in the domestic industry, Mr. Johanson said he found it unlikely that the domestic industry would perform as well in the near term as it did during the period of investigation.

“Nevertheless, given the domestic industry’s performance throughout the period, I do not find that the domestic industry is currently in a vulnerable state,” he said.

In the final determination, Mr. Johanson voted with Commissioners Meredith M. Broadbent and F. Scott Kieff, who repeated their negative findings on material injury.

“The domestic industry was able to increase output, employment and profitability levels during the period of investigation,” said the majority opinion in the final ITC report.

“While the domestic industry lost market share during a time of rising demand, we have found that the decline of market share was due to capacity limitations and very high capacity utilization, rather than to the subject imports,” the document said.

“We further found that the increased volume of low-priced subject imports had no significant price effects and coincided with significant improvement in the domestic industry’s condition,” it said.

In their dissenting views, Ms. Schmidtlein and Mr. Williamson wrote, “We find that a significant volume of subject imports from China has undersold the domestic like product, significantly depressed U.S. prices and caused material injury to the domestic industry.”

Ms. Schmidtlein and Mr. Williamson discounted evidence that the domestic industry’s performance improved during the period of investigation.

“The U.S. industry was profitable, and profits grew over the period, but the overall increase was modest considering the significant increase in demand over the investigation period and the opportunity to benefit from lower costs,” they wrote.

The United Steelworkers union petitioned the ITC for antidumping and countervailing duty relief against Chinese truck and bus tire imports in January 2016. Commissioner Dean A. Pinkert did not participate in the investigation. Shortly after the final vote was taken, Mr. Pinkert announced his return to private law practice.

 

According to the ITC, there are seven truck and bus tire plants in the U.S., employing 6,629.

The apparent dollar value of truck and bus tire consumption in 2015 was $6.1 billion, the ITC said.

Chinese imports accounted for $1.2 billion of that total, with $1.3 billion coming from other countries including Canada, Japan and Thailand.

China continued last year as the No. 1 source of imported truck/bus tires, despite shipments falling 14.4 percent, to 7.63 million units. Overall imports were off as well, by 3.8 percent to 13.9 million units. 

Thailand’s truck/bus tire exports to the U.S. jumped 98.7 percent to 1.82 million units, making that nation the No. 2 source of imported truck tires last year.

Canada, Japan and South Korea were third through fifth on the list, with South Korea’s exports to the U.S. growing 85.1 percent to 421,239 units.

Read the source article at Tire Business

Industry report: OE tire market to grow 5.5% to 2021

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Pune, India – The global market for original equipment (OE) tires is projected to grow at a CAGR of 5.48% from 2016 to 2021, to reach a value of $30.26 billion (€28 billion), according to a report by Indian research group MarketsandMarkets.

The demand, said the report, is driven by demand for improved fuel economy, low rolling resistance tires, eco-friendly and smart tires.

Read the source article at European Rubber Journal