EU levy on Chinese tyres fuels UK retread market
Demand for retreaded tyres is soaring after the European Commission introduced a levy on tyres imported from China in May.
Bridgestone is scaling up production at its Bulldog retread factory in Lincolnshire by 25% to meet the increased demand.
The anti-dumping regulation, which started on 7 May, introduced a charge of between €52.85 (£46.76) and €82.17 per tyre for all Chinese imports of new, retreaded and rubber tyres.
The effect of the anti-dumping legislation has been immediate, according to Bridgestone truck and bus product manager Terry Salter. He said: “There has been a direct and positive reaction among our network of Bandag [Bridgestone’s retread brand]dealers.
“Four franchisees have started recruiting additional staff to support an increase in production.”
Bridgestone is also ramping up is investment programme to meet the increased demand with the purchase of a new tyre pressure chamber at the Lincolnshire factory.
Salter said that Bridgestone’s strategy to maintain investment in retread technology and its Bandag network in the face of stiff competition from Chinese tyre manufacturers in recent years had paid off.
He said: “Throughout the very difficult climate, Bridgestone has stayed committed to its retread proposition and franchised Bandag network of retread factories.”