By John Horner
May 9, 2008 - 2,131 Views
The Wall Street Journal [sub] reports that Cooper Tires is (once again) in big trouble. Sales are down, costs are up, and the recalls just keep on coming. There's no way Cooper can continue as an independent tire company. The market is saturated with well-funded, technology-rich competitors with big brand names and major automaker OEM contracts. Cooper is a throwback from the golden era of US tire makers as the budget-priced, small-dealer-supported alternative to major brands. Other than Goodyear, all the rest of the US tire companies went bust and/or sold out to the Japanese and Europeans. Most tires today are sold in big chain stores, be they Wal-Mart or America's Tire… and Cooper isn't there. Kumho and Hankook of Korea have swooped in to take the bargain tire business while the likes of Michelin, Bridgestone, Goodyear, Pirelli, Dunlop (Sumitomo), Yokohama and Continental fight it out for market and mind share. Look for Cooper's joint ventures in China to turn around and swallow the company and the Cooper name to become another old American brand slapped on a Chinese product, like a Westinghouse toaster.
26 Responses to “ Cooper Tire Leaves Skid Marks ”
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May 9th, 2008 at 12:23 pm
That is too bad, as I am looking at Cooper ST’s or STT’s for my Jeep TJ later this year.
May 9th, 2008 at 12:30 pm
Cooper makes a decent tire at a decent price. I’m hoping to buy a set of H/Ts to replace the Long Trail T/As on my wife’s Jeep Grand Cherokee.
My mother has a set of Coopers on her Toyota Avalon, and they are at least as nice as the Mega-Buck Michelins they replaced. She saved $400 by going with the Coopers.
I hate seeing companies that make good products have difficulties.
May 9th, 2008 at 1:01 pm
Its funny that Edward mentioned it, I switched to Kumhos (after a poor experience with Cooper Cobras) and find the brand to be significantly better than its price tag implies. Overall, from race to touring rubber, I think they are just as good as the more expensive Goodyears.
May 9th, 2008 at 1:04 pm
Another proud American company being overrun by cheap foreign imports.
Apparently we are content to no longer manufacture anything of value, but will become a nation of expert fianciers (oh wait, the Bear Sterns bailout and credit crisis shows we are just as shallow and greedy about that too)
May 9th, 2008 at 1:04 pm
The company is called “Kumhos”? Don’t you think they should change the name of their company in this country, lest Don Imus get kicked off the air again?
May 9th, 2008 at 1:22 pm
“Kumho.” Singular.
I have ‘em on my FWD sedan. I think they haven’t got their quality control down yet — in my nearly new set of 4, one had a bubble and another shows signs of developing one. Lots of visible bands radiating out from the center, as if they can’t keep their sidewall-cord tension constant in the manufacturing process.
That rather large caveat aside, they perform just as well wet or dry as the Tripletreds and X-Ones for about 60% of the price. Hard to argue with that.
May 9th, 2008 at 2:43 pm
Maybe Cereberus would be interested in another company…
OK that was just mean, wasn’t it?
Mohawk used to compete with Cooper, now they’re swallowed up by a global entity (though still “out there” in the marketplace).
Seriously, perhaps Ford Motor Company could send a contract to Cooper for OEM tires, keeping a fellow American company afloat.
Goodness knows, their relationship with Firestone (which is owned by Bridgestone now, anyway) is permanently fractured.
May 9th, 2008 at 3:08 pm
Profit was down, but it was greater than zero, at $1.69 million, so they aren’t as near death as Horner implies (although somebody could buy them out at any time). In any case, the weak dollar should help them and any other company that still makes stuff in the United States.
May 9th, 2008 at 3:21 pm
Dunlop is now owned by Goodyear.
I’m going to buy Cooper tires for my car when I need tires. They are an ideal for all American consumers. An American product made by Americans sold by local businesses.
May 9th, 2008 at 4:11 pm
I’m not sure how my father got talked into putting Coopers on his motorhome…perhaps because of money (it came with Michelins), but he did.
2 of the 6 very new (less than 6 months old) Cooper tires separated on my parent’s motorhome, causing thousands of dollars in damage each time. Turns out they were well aware of the inferior tires they were selling and were quietly writing checks to people who inquired, but weren’t doing much else until threat of a class action suit.
My father went back to the more expensive Michelins, and has had troublefree operation from the last two sets.
I personally spoke with the weasels at Cooper HQ, and I’d be happy to see them go under.