Press Release Europe’s winter tyre market is booming – but consumers are concerned about tyre markings Demand increasing further; obligation to change to winter tyres about to be introduced in France and Luxembourg, too Tyre markings unclear to consumers Legal regulations differ widely throughout Europe Winter tyre range becoming increasingly diverse Hanover, march 2012. The European winter tyre market continues to grow, with the industry to supply around 80 million to tyre dealers and car dealerships last year – more than ever before. Attributing this solely to drivers’ growing awareness of safety overlooks the fact that lawmakers are increasingly making it mandatory for citizens to change over to safe winter tyres. In Scandinavia – with the exception of Denmark – this has been set in stone for some time now. Such obligations exist in the Baltic states as well, while Germany and Austria prescribe the use of winter tyres in “wintery conditions”. France and Luxembourg will introduce legal regulations this year, and even in Mediterranean Italy, local governments have made winter tyres compulsory in northern regions. All this means dynamic growth in the winter tyre trend throughout Europe. last year, around 18 million more tyres were sold in Europe than in 2007, the year before the economic and financial crisis. In contrast, 2011 has seen the summer tyre segment return to 2007 levels for the first time. The specialist market for the cold season is therefore above-average growth. In 2010, the industry sold a total of 224 million passenger car tyres in Europe; last year, market researchers at Continental expect this figure to hit 236 million. At 80 million, winter tyres already make up more than one third of this total, increasing by six million year on year. 1 Consumers are converting even without winter tyre laws Germany is traditionally the “heavyweight” among the European sales markets. last year, dealers from Flensburg in the north to Freilassing in the south alone ordered around 35 million – one and a half million more than in the previous boom year of 2010. Almost 90% of motorists in this country change their tyres. But even citizens in countries yet to introduce general tyre changeover obligations want to drive safely. For this reason, around 8.6 million winter tyres were sold 2011 in Italy, which has around 37 million registered passenger cars, while five million were sold in France, which has some 31 million cars. Continental’s market researchers have identified growth here as well, which they attribute to the fact that consumers are increasingly well informed and feel the need for greater safety. Uncertainty regarding winter tyre markings Despite ever increasing regulations regarding winter tyres, there are still no fixed, Europewide or even national specifications regarding a winter tyre’s performance. The problem is that the oft-quoted M+S marking is not linked to a performance certificate. And since it indicates tyres that are designed for driving on “Mud and Snow”, this marking can be applied equally to winter and off-road tyres. However, 4x4 off-road tyres are not suitable for driving on typical winter roads, which means that consumers who use this traditional lettering as a guide may not have winter tyres on their car. A survey conducted in October 2011 on www.motortalk.de, Europe’s leading online community, clearly illustrated this uncertainty. When asked whether they felt sufficiently informed about legal regulations for winter tyres, 47% of participants responded with either “No” or “To some extent”. Most were also unclear on the legal specifications regarding winter tyre markings: 77% of those surveyed were not correctly informed, with just 23% knowing that the M+S marking alone is currently sufficient in Germany. Many were also unsure of the safety benefits of winter tyres. A total of 38% believed that winter tyres reduced braking distances on snow by 20% or 30% – they actually reduce braking by more than 40%, although 62% did know the correct answer. In fact, the difference is as high as about 100% – when braking on snow, winter tyres halve braking distances compared with summer tyres. 2 Legal regulations for winter tyres inconsistent in Europe The snowflake symbol, which originated in Canada, would help redress uncertainties regarding tyre markings – even if it does envisage a comparison between an “aspiring” winter tyre and a standard reference tyre. In Europe, however, only the small country of Bosnia and Herzegovina stipulates that its around 450,000 vehicle owners must use winter tyres with M+S and snowflake markings. The other European countries with winter tyre obligations use a mixture of M+S markings, “wintery road conditions” as well as time frames in which winter tyres have to be fitted. For example, the Austrian authorities prescribe the use of tyres with M+S markings and a tread depth of at least four millimetres from November 1 to April 15 in winter road conditions. If there is no snow or ice, even summer tyres with tread depths worn down to 1.6 millimetres are sufficient, even if temperatures dip well below zero. For those determined to do without winter tyres, the legislative body states that they can bypass this obligation by attaching snow chains to their summer tyres. However, experts have criticised the fact that on icy stretches such as junctions or before bends, as well as on roads that are completely iced over, this combination extends braking distances considerably compared with winter tyres. Winter tyre range is becoming increasingly diverse The range of winter tyres available is becoming increasingly unclear for end consumers. There are no longer any “all-rounders” who can at least supply tyres for passenger cars and vans under one roof, because experts also differentiate between tyres for passenger cars, vans and trucks. And even here there are big differences: For passenger cars, a distinction must now be made between tyres for compact, mid-range, luxury, sports and 4x4 vehicles, such are the hugely diverse requirements regarding vehicle usage, handling, horsepower, weight and drive type. But even these varying winter tyre models can only win over customers in specific regions at best. This is why different types are offered in Central and Northern Europe. While winter tyres for Central Europe are produced with a – comparatively – harder compound to safeguard mileage and driving properties throughout the whole of late autumn and winter at the prevailing temperatures in Germany, Austria and Switzerland, leading manufacturers such as Continental look to the “Nordic” models in Scandinavia and 3 Russia – winter tyres with a softer compound or with spikes that provide maximum grip on the usually icy roads found in the far north. As with the Central European winter tyres, they are produced for all segments (compact series, mid-range and luxury segment, sports cars and 4x4 vehicles). Continental also manufactures winter tyres for special uses such as on bicycles. And the Hanover-based company even offers two solutions for trucks: The standard tyre, which has a high-traction pattern for the drive axle, and the special all-round winter tyre. While the standard solution provides sufficient grip for loaded vehicles travelling on winter motorways and trunk roads without extreme gradients, the all-round winter tyres for trucks and buses maintain good grip even when empty vehicles have to travel to Scandinavia. There, however, transportation companies traditionally fit spiked tyres on all wheels – although once they have done so, the trucks cannot even leave the ferry from Stockholm once it reaches Germany, as spikes were banned from the roads here back in the 1970s. Continental Corporation With sales of €30.5 billion in 2011, Continental is among the leading automotive suppliers worldwide. As a supplier of brake systems, systems and components for powertrains and chassis, instrumentation, infotainment solutions, vehicle electronics, tires and technical elastomer products, Continental contributes to enhanced driving safety and global climate protection. Continental is also an expert partner in networked automobile communication. Continental currently has approximately 164,000 employees in 46 countries. www.continental-corporation.com Tire Division The Tire division includes the Passenger and Light Truck, the Commercial Vehicle Tire and the Industrial Tire business units, as well as the Two-Wheel Tire activities. As one of the world’s leading tire manufacturers with more than 41,000 employees, the division achieved cumulative sales of more than €8.8 billion in 2011. The Tire division currently has 22 production and development locations worldwide. The broad product range and continuous investments in R&D make a major contribution to cost-effective and ecologically efficient mobility. Passenger and Light Truck Tires Continental is one of the leading manufacturers of passenger and light truck tires in Europe and the world’s fourth largest passenger tire manufacturer in the original equipment and replacement market. The product development focus of the Continental premium brand is to optimize all safety-relevant characteristics, while simultaneously minimizing rolling resistance. www.continental-reifen.de Commercial Vehicle Tires The Commercial Vehicle Tire business unit had sales of more than €1.8 billion in 2011, making it one of the largest manufacturers of truck, bus and industrial tires worldwide. www.continental-truck-tires.com 4 Sponsorship Continental’s Tire division is an official sponsor of the German DFB Cup, the UEFA EURO 2012 TM in Poland and the Ukraine, and the 2014 FIFA World Cup in Brazil. www.ContiSoccerWorld.de Contact: Alexander Bahlmann Head of PR, Passenger/Light Truck Tires Continental AG Tire Division Büttnerstraße 25, 30165 Hanover, Germany Tel.: +49 (0) 511 938 2615 Fax: +49 (0) 511 938 2455 alexander.bahlmann@conti.de www.continental-reifen.de Media Database www.mediacenter.continental-corporation.com 5 Klaus Engelhart Press Spokesman Passenger and Light Truck/Two-Wheel Tires Germany/Austria/Switzerland Continental AG Tire Division Büttnerstraße 25, 30165 Hanover, Germany Tel.: +49 (0) 511 938 2285 Fax: +49 (0) 511 938 2455 klaus.engelhart@conti.de