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AUTO INDUSTRY
Tyre plants at standstill as strike enters second day
 
31st August 2010
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Production at South Africa’s four major tyre manufacturers – Apollo Tyres (which owned Dunlop), Goodyear, Continental and Bridgestone Firestone – were at a standstill on Tuesday as a strike by the National Union of Metalworkers of South Africa (Numsa) and Solidarity entered its second day.

New Tyre Manufacturing Employers Association (NTMEA) chairperson Basil Smith said that the strike could affect the availability of certain product ranges first, with the possibility that general tyre stockpiles could run dry if the strike dragged on for a prolonged period of time.

Smith said negotiations between NTMEA, Numsa and Solidarity were continuing, but that it was unlikely to be resolved on Tuesday.

Numsa and Solidarity wanted a 10% wage increase, with NTMEA offering 8,5%.

Vehicle manufacturers in mid-August reached a wage agreement with Numsa following a crippling eight-day strike, which cost the industry 17 000 vehicles in lost production.

The tyre strike, as well as strike set to start at other component manufacturers on Wednesday, could again disrupt vehicle production.

Edited by: Creamer Media Reporter
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