New Car Industry Slides Further into Recession, While Replacement Tyres Business Shows Signs of Growth
By Oliver Hall
Bad news continues to batter the already beleaguered car industry as official figures reveal a further slump in UK car and commercial vehicle production for last month.
However, the replacement tyres industry is being earmarked for positive growth. As more people hold on to their old cars, they are investing in new tyres to keep them roadworthy and in good shape.
The Society of Motor Manufacturers and Traders (SMMT) said that a total of 61,404 cars were manufactured in January 2009 - a 58.7% drop on the January 2008 figure.
Meanwhile, CV production saw a 59.9% fall on the January 2008 figure, totalling just 8,351.
However, Shoshi Arakawa, President of Bridgestone tyres, has just stated: ‘I think the secondary market (for replacement tyres) may start showing signs of recovery in the second half.’
Etyres, the UK’s largest online tyres company, is also seeing a sharp rise in demand for tyres as consumers are hanging on to their cars for longer and turning to the internet to seek better deals.
etyres operates a mobile fitting service which rules out the need for expensive premises and means lower operating costs translate into cheaper prices for customers. Etyres can provide premium brand tyres for up to 40% less than the traditional high street depots.
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