Northern Ontario Business - Industry awareness eases tire shortage

By HEIDI ULRICHSEN

Back in 2002, tire manufacturers had large stockpiles of industrial tires waiting to be sold.

With the beginning of a boom in the mining and construction industries, their inventory suddenly began to disappear faster than tires could be produced. This was the beginning of the tire shortage, which is still a problem worldwide.

Sudbury resident Gary Foley, co-owner of Royal Tire, said the tire shortage has been a big challenge for his business.

However, the situation has improved.

Royal Tire co-owner Gary Foley advises managers in the mining, forestry, construction and trucking industries to take better care of their tires, so machinery is never out of commission. “There still is a tire shortage, but it's getting a little better,” he said. “It's in no small part because we've been able to raise awareness among industry that they need to take care of their tires.”

Royal Tire, which has locations across northeastern Ontario, supplies Goodyear tires for the mining, construction, forestry and trucking industries. It also sells light car and truck tires.

At the beginning of the tire shortage, Foley thought certain pieces of industrial equipment were going to be put out of commission simply because the right tire couldn't be found.

Thanks to the co-operation of industry, which has managed to reduce the number of tires it wears out, this hasn't happened.

Tire manufacturers have also increased their production to some extent, although they don't want to increase it too much, just in case there's a sudden downturn in the economy, he said.

Foley said he advises the mining industry to maintain underground roadbeds and ramps, so tires don't become damaged as quickly, and makes similar suggestions to other industries. Off-the-road tires can cost anywhere from $2,000 to $40,000 each, depending on their size.

Choosing the right tire for the right application can also reduce premature tire failure, he said.

“When equipment is being purchased, we're involved in the initial tire selection,” said Foley.

“You can even narrow down the tire selection based on the site it's going to. You can tell whether it will be doing long haul or short haul work. Picking the right tire can mean the difference of getting 1,000 hours or 3,000 hours out of a tire.”

Keeping tires properly inflated can also increase their lifespan. In applications where the tire pressure isn't being checked regularly, tires are often inflated with nitrogen, he said.

Nitrogen is a cooler-running product, and because the molecules are thicker than air, they don't leak out of tires as quickly, he said.

Once a tire does wear out, they can be sent for retreading or repair at Goodyear's retreading plant in North Bay.

The retread business has grown so much over the past few years that the plant is moving into a new, 80,000 square foot facility in October 2008, said Foley. Tires can be retreaded up to three times after they come off the assembly line, he said.

Industries send their old tires to the retread plant, the old rubber is buffed off, new rubber is applied, and it is put through a mold. It comes out looking almost exactly the same as a new tire, Foley said.

“In Northern Ontario, we've always believed in retreading to achieve the lowest possible cost-per-hour,” Foley said.

“Retreaded tires cost approximately half the price of a new tire, and in some cases are guaranteed to achieve 80 to 100 per cent the life of a new tire.”