MAKING TYRES IN N.Z.

Press, Volume LXXXII, Issue 24914, 29 June 1946, Page 8

MAKING TYRES IN N.Z.

RESTRICTED MARKETS MENTIONED

“ The Press ” Special Service AUCKLAND, June 28. •One criticism of the establishment or proposed establishment of at least three tyre factories in New Zealand was expressed by Mr E. T. .Foot, representative of the Goodyear Tyre and Rubber Company, of Akron, Ohio, when he arrived at Auckland on the Monterey. Emphasising that he was voicing his own opinions and not those of hi£ compan. , Mr Foot said it was difficult to see how three or more tyre factories could find sufficient markets in New Zealand.

“Either there will be overproduction, once the tyre shortage is alleviated, or there will be controlled production, which will probably be very uneconomical The New Zealand market is a very limited one and the field for export is not very great, confined to the islands near the Dominion,” Mr Foot said. “Australia, and India both produce large quantities of tyres and New Zealand cannot hope to compete with them in the export market.” Mr Foot, who will make a brief tour of New Zealand for his company, said the, Dunlop factory in New Zealand by arrangement, to manufacture Goodyear tyres, as well as Dunlop tyres. He considered it would be dangerous to establish any more tyre factories, in view of the coming elections, which might change the Government’s policy regarding local industry. An indication that the tyre position was slowly being improved, was given by Mr Foot. Tyre factories in the United States were in full production of tyres for private motorists. It was difficult, he said, to estimate when the world-wide shortage would be overcome. as the rubber supply was uncertain. It had been hoped to obtain large supplies from the East Indies but, because of recent trouble there, the amount obtained had been very small. The synthetic industries were doing their best, but their future was uncertain because of the cost of production.