Goodyear plans to divest off-road tire business

Goodyear executives suggested that the company will divest its off-road equipment tire business as part of its Goodyear Forward plan that calls for $1 billion in cuts.

According to Modern Tire Dealer, Goodyear has “determined to actively pursue strategic alternatives for its chemical business, the Dunlop brand, and the off-the-road equipment tire business.” The plan would bring in more than $2 billion, it suggests.

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Christina Zamarro, CFO, said Goodyear has two standalone production facilities for OTR tires—one in Japan and another in the U.S.—which would be “more severable” than other assets. Rich Kramer, president/CEO, said that in the OTR tire market, Goodyear’s competitors have much larger scale, and that ramping up to that size would require "significant" investment, which Zamarro said would not be achievable in the near future.

The article referenced in this story originally ran as “Goodyear ‘Pursues Alternatives’ for OTR, Dunlop, Chemical Unit” on ModernTireDealer.com, an Endeavor Business Media sibling site.