Tyres made from dandelion roots
The price of natural rubber may be low at present, but the oil used in tyre production remains expensive. Tyre companies have been looking at replacements for fossil fuel oil for a long time, but it’s only now we are likely to see tyres made with more sustainable rubbers. These new rubbers are being extracted from maize, soya and even dandelion plants.
One of the companies leading the development of alternative rubber sources is Continental. Peter Robb, Continental brand manager for the UK and Ireland, says: “New natural rubber, such as our dandelion root technology, offers the most potential for the biggest impact on tyre production in years. We are looking at ways to cultivate dandelions in sufficient quantity and reckon we will have tyres using this material in 2020.”
Robb also points out new types of natural rubber have clear environmental benefits as the crop can be grown close to the factory to lessen transport costs. It’s claimed by some companies developing these new rubbers that tyres made from alternative rubber could cut a vehicle’s CO2 emissions by 10g/km due to reduced rolling resistance. It should also be possible to make tyres with harder-wearing treads, improved fuel economy and less noise.
Airless and puncture resistant tyres
While material development is taking up a lot of tyre makers’ time at present, a completely airless tyre is still some way off. Bridgestone is working on its Airfree tyre, which uses a series of vanes to support the tread in place of pressurised air. However, the Airfree has a limited maximum load capacity of 410kg and maximum speed of 37mph.
Airfree uses a series of vanes inside the tyre in place of pressurised air.
Will tyre prices rise?
The good news for tyre pricing trends at present is that the cost of tyres is very stable. This is a result of relatively static prices for steel and oil, which are two of the main components needed to make a modern tyre.
Oil also has a large bearing on the cost of fuel and the delivery of tyres from the factory to the fitting depot.
The third component of a tyre is rubber, the one most of us automatically think of with tyres.
In recent months, the price of rubber has dropped in the global market to its lowest level in years and its main consumers, tyre companies and China, have been buying up as much as possible as a result.
Recently, natural rubber has dropped to between $1.91 and $2.14 in March, depending on which country it came from and when it was traded. In the same month in 2013, natural rubber cost anything from $2.50 to $3.30 even though prices were considered to be falling then.
While many of the countries that produce natural rubber, mainly Indonesia, Malaysia and Thailand, have been called on by the International Rubber Consortium to resist selling at the lower prices, supplier countries have continued to sell.
Even with increased demand from China as its car manufacturing output rises, prices are staying low and tyre companies are buying as much stock as they can.
What should fleets do?
An end to low prices for natural rubber may come when the dry winter season arrives in the main rubber producing countries.
More limited supply would push the price up, but Simon Tattersall, head of national accounts for ATS, says: “We’ve entered a period of calm after recent tyre price increases driven by raw materials costs. Prices should remain stable for tyres for the remainder of 2014, but it is difficult to predict further ahead than that.”
Tattersall believes fleet managers should follow the example of tyre companies and put the best deals possible in place now. He says: “While we have a relatively stable market, a clever fleet manager should be looking to review tyre contracts and put in place one that goes forward three years or even more to insulate them as much as possible from any price rises.”
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