Marangoni ends new tyre production

Marangoni S.p.A. has ceased production of new car and van tyres. It appears that the news broke when it did not resume production following the factory’s annual summer break. The closure action at the plant in Anagni will see 400 employees made redundant.

The Marangoni and Stunner brands were familiar to the Irish tyre trade but more  recently   Marangoni is better known as a retreader (including OTR retreads) and supplier of retreading equipment and materials.

The company got involved in new tyre manufacturing back in 1988. It took over the plant in Anagni, which was a Ceat plant.

Marangoni said: “Despite the huge investments of financial and technical resources (up to €45 million since 2005) made in recent years in support of production and employment, the establishment of Anagni was unable to counter the economic dynamics of structural and market, including the increasingly popular competition of cheap tyres from non-European countries, and macroeconomic related to the global crisis.

The company also pointed out the economic maladies it faces in Europe, with demand for car tires down 13 percent there last year, including a 26-percent drop in Italy.”

Marangoni reported new tyre sales in 2011, represented 43 per cent of the group’s sales. Marangoni did not quantify its losses from the business but added: “Employees affected by the closing would, according to the company, receive unemployment benefits and Marangoni said it would be willing to “assess possible solutions with relevant organisations and parties in managing this difficult period.”

The company also said it will fulfill existing orders from available stocks. And that it will concentrate on developing its activities in the retreading and machinery and systems areas for tyre production.