The auto industry is constantly changing. Companies must adapt to shifting consumer demands, stricter environmental regulations, and increasing competition.
The rise of electric vehicles, automation, and new manufacturing technologies has reshaped the market.
At the same time, supply chain disruptions and rising material costs have forced businesses to rethink their strategies.
Many manufacturers are restructuring, selling off divisions, and focusing on their core products to stay competitive.
The tire industry is no exception, with major companies making strategic moves to adjust to market conditions.
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Sold to Japan
Goodyear has agreed to sell the Dunlop brand to Japan’s Sumitomo Rubber Industries for $701 million. The deal includes Dunlop’s trademarks in Europe, North America, and Oceania, according to Reuters.
Even with the sale, Goodyear will continue selling Dunlop-branded passenger car tires in Europe until at least December 31, 2025, according to Boosted.
During this period, the company will pay a licensing fee to Sumitomo Rubber for the use of the Dunlop name. Goodyear has also agreed to supply Dunlop tires to Sumitomo in Europe for the next five years.
Goodyear has secured long-term rights to use the Dunlop brand for truck tires in Europe. The company will pay a licensing fee for each tire sold under the Dunlop name.
This sale is part of Goodyear’s strategy to simplify its business and cut costs. In 2023, the company announced plans to reduce its operations.
This included selling Dunlop, its Off-the-Road division, and its chemicals business. The goal was to generate more than $2 billion through asset sales.
As part of these efforts, Goodyear sold its Off-the-Road tire business last year to the Japanese company Yokohama Rubber for $905 million.
Tire manufacturers have faced increasing competition from lower-cost Chinese brands. At the same time, governments are introducing stricter environmental regulations.
In the European Union, particle pollution from tires has been added to the updated Euro 7 emissions standard for passenger vehicles.
