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Danish tyre industry tried to obstruct Danish transport companies

Danish tyre industry tried to obstruct Danish transport companies

Prohibition of preventive sealing of tyres taken out of new guidelines after critical questions from DSV

Just before Christmas 2017 it was found that the Danish Road Safety Agency, in its new guidelines for trailer MOT, put a ban on all preventive sealing of tyres, which in the recent years have gained widespread popularity. The Danish Transport Agency had apparently introduced the ban due to safety problems in the use of preventive sealing, which was a mysterious conclusion for several transport companies as they had seen the opposite effects and saw major operational savings and a really improved security situation.

Public, accessible documents of the case showed that it was the Danish tyre industry that had pressured to get the ban in the new guidelines, but without documenting evidence of the existence of a security problem. On the contrary, convincing data was available which documented improved safety, environmental benefits and major operational savings when using Ultra-Seal the preventative tyre sealant product, which in recent years has attracted more and more satisfied users among (Danish) transport companies.

It was with great enthusiasm that DSV a few years ago became aware of Ultra-Seal which exists since 1969 in the United States and is widely used by the US transport industry and by the US Army. After completing a series of highly successful long-term Ultra-Seal tests, DSV decided to start using the product on its entire trailer fleet and acquired the rights to sell Ultra-Seal on the European market, where a lot of Danish and International transport companies now also have major benefits of the use of Ultra-Seal.

Ultra-Seal is a preventive tyre sealant liquid that protects the tyres from leaks, punctures and blowouts. DSV has documented that the use of Ultra-Seal has a number of positive effects, including improved safety in connection with punctures and blowouts, and significant benefits for the environment and economy. DSV's data on the use of Ultra-Seal showed 75% fewer tyre problems after equipping tyres with Ultra-Seal, and major environmental and economic gains in the form of 40% longer tyre life with total operating savings of 1 Million Euro per year. On top, Ultra-Seal gives up to 5% less fuel consumption. In addition to the prospect of losing these significant benefits, if it became illegal to use Ultra-Seal in the future in Denmark, the company was at the potential risk that thousands of trailers of which the tyres had been inserted with the Ultra-Seal product, would no longer be able to meet the new guidelines which would mean massive additional costs and severe problems in serving the company's customers if the trailers would have to be adjusted.

DSV therefore acted quickly and took a number of contacts both to the Danish Transport Agency and to several political key persons in the Ministry of Transport and the Parliament, which showed great responsiveness to the problems faced by the company. One of the people involved was the Liberal’s party transport spokesman Kristian Pihl Lorentzen, who was very critical about the new rules, which primarily meant a deterioration of the Danish transport industry's competitiveness. "We are very interested in a strong Danish transport industry, and of course we should not introduce rules that make Danish companies inferior to their foreign competitors," says Kristian Pihl Lorentzen. "As a transport politician, it is important that we are in close dialogue with the area's stakeholders, and I personally attach great importance to pay attention when a company like DSV addresses such issue. Especially in a case that was so obviously unfounded as this" he emphasizes.

As a result of DSV's rapid action, it managed to retract the prohibition of preventive sealing from the guidelines without causing any negative consequences for the transport industry.

The result has pleased Flemming Steiness, Director of DSV Equipment, who at the same time is extremely critical of the tyre industry's approaches in this case. "We have experienced a great deal of cooperation both from the Danish Road Safety Agency and from the political system in this case, which, luckily, has succeeded in resolving this very quickly," he says. "But I find it highly problematic in what way the tyre industry tries to protect their own market by questioning the safety of a product such as Ultra-Seal, which, in fact, improves tyre safety, solely because it naturally limits the demand for new tyres, because the tyres last longer and, moreover, can easily be recycled at the end. These are methods that we cannot accept in any way and, in reality, are doing harm to the business when they try to increase the demand for new tyres at the expense of both the environment and Danish companies' competitiveness" Flemming Steiness continues.

“The strangest thing is that we have always wanted a good dialogue with the tyre industry, in which we have an interest and close cooperation with. We have therefore repeatedly invited them to a round-table discussion including sharing our experience with Ultra-Seal but they have refused to meet with us, probably because they knew that they had a weak case. In the future, we will keep an even more watchful eye on them and be even more open about our own data and experiences, "concludes Flemming Steiness.

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The Danish Road Safety Agency retracts amended guidelines on Trailer MOT in Denmark

The Danish Road Safety Agency retracts amended guidelines on Trailer MOT in Denmark

Tyre sealants are allowed in Danish registered trailers with immediate effect.

Amended guidelines for MOT (Synsvejledning) were presented on 1 January 2018, with the addition of a paragraph prohibiting the use of tyre sealants. Initiated by the Danish Tyre Association, this amendment has been studied further over the past 7 weeks by the Director and members of the Danish Parliament Transport Executive Board.

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After receiving critical questions about the amendment, the Danish Road Safety Agency undertook a more thorough investigation and concluded that the change to the guidelines was wrong. On 21 February 2018, the Danish Parliament Transport Executive Board and the Minister of Transport therefore decided that the guidelines should revert back to the original version with immediate effect. Tyre sealants are not mentioned in these initial guidelines and may therefore be used in Danish registered trailers.

DSV’s fleet currently has over 7000 trailers with Ultra-Seal in their tyres and it will continue to put Ultra-Seal in the tyres of its entire trailer fleet. DSV has seen a massive reduction in punctures, blowouts and breakdowns in tyres filled with Ultra-Seal, which means a significant improvement to road safety. Furthermore, its tyres last about 35% longer due to better tyre pressure and therefore less tyre wear because of Ultra-Seal.

Final and binding court decision again in favour of Ultra-Seal against the BRV

FINAL AND BINDING COURT DECISION AGAIN IN FAVOUR OF ULTRA-SEAL AGAINST THE BRV

Ultra-Seal wins another court case against German tyre association BundesReifenVerband, it has expanded its reach by signing a new distributorship with GTO Piese de Schimb SRL for distribution of the product in Romania, Bulgaria and Moldavia, and Ultra-Seal investigates new disturbance by the Danish tyre association in Denmark.

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Outcome on latest German court case

After 3 courts’ decisions in favour of Ultra-Seal on several court cases against the BRV in Germany, Ultra-Seal recently collected another positive outcome in an oral hearing at the Regional Court (Landgericht) of Cologne about erroneous allegations by the BRV on environment and the collection of tyre casings (file no. 33 O 153/17).

The oral hearing was conducted by the BRV, based on a preliminary injunction issued by the Regional Court regarding wrong allegations by the BRV on environment and the collection of tyre casings (communicated by Ultra-Seal on 30/10/2017). In this oral hearing, the court informed Ultra-Seal and BRV that they were still convinced BRV’s statements were illegal even after review of the arguments and facts provided in BRV’s objection.

BRV accepted the court’s decision being final and equal to a main action decision, and therefore lost the opportunity to go into higher appeal. Ultra-Seal on their behalf let go an outstanding penalty that the BRV potentially had to pay because the organisation did not hold themselves to an earlier decision of the court.

The BundesReifenVerband is not allowed to uphold the statements anymore on both the product being environmentally unfriendly, and the wrongful accusations on possible tyre casing collection problems when tyres contain Ultra-Seal. If BRV does not obey the decision of the court and continues sending out any such statements as prohibited by the court, a penalty up to €250,000.00 as stipulated by German law can be imposed on BRV.

New distributor

Ultra-Seal has come to an agreement with GTO Piese de Schimb SRL for the distributorship rights for the sale of Ultra-Seal in Romania, Bulgaria and Moldavia.
GTO Piese de Schimb SRL has over 20 years of transport-related industry experience and focuses on reselling parts and spare parts to end-users in Romania. The Romanian company’s headquarters is based in Bucharest, with 7 subsidiaries throughout Romania.

GTO Piese de Schimb is a subsidiary of GTO Truck and Trailer parts in Holland. With its headquarters based in Heerlen, the Group in The Netherlands has over 140 employees and had a turnover of 80 Million euros in 2017. The GTO Group specializes in selling DAF trucks, spare parts for trucks and trailers and OE parts of, amongst others, BPW, SAF, DAF, HELLA and Textar. The Group also has a network of professional workshops for truck and trailer repair.

Change in Danish legislation on trailer MOT regarding tyre sealants non-legally based?

On 1 January 2018 new Danish guidelines on trailer MOT were published with an added paragraph about tyre sealants. After research and preparation for appeal, the first conclusion is that the modified guidelines, which are not law, have been changed based on a one-sided argument regarding tyre sealants without consultation of that specific business segment. In addition, the extensive statutory instrument regulating MOTs has not been changed with respect to this new paragraph.

Ultra-Seal and its lawyers are investigating the change, initiated by the Danish tyre association, and are confident to have it changed back to the initial guidelines which do not state anything about tyre sealants.

“At least leads and customers are realizing more and more what the political agenda is concerning the cases that are filed against Ultra-Seal, as our business is growing fast in Germany and Denmark” according to the company. Carla van Santvoort, Business Development Manager of Ultra-Seal further states: “The fact that parties with other interests are trying so hard to keep us off their local markets, makes people realise how good our product is in its working. If it would not work as it intends to, tyre associations wouldn’t be so worried by it. We keep on defending our product against every party that creates disturbance. We owe that to all our loyal users and want to show the world that currently accepted tyre-life is not something that you should settle for.”

Ultra-seal requests every user that is facing difficulties with its MOT in Denmark to report it to the company, as they are investigating the non-legality of it.

Ultra-Seal further expands its reach with new large OEM customers Schmitz Cargobull and Kögel, and Danish and Belgian distributors Europart and Eurotyre

Ultra-Seal further expands its reach with new large OEM customers Schmitz Cargobull and Kögel, and Danish and Belgian distributors Europart and Eurotyre

Schmitz Cargobull and Kögel Trailer GmbH & Co. KG started filling tyres with Ultra-Seal from the factory

Ultra-Seal is systematically acquiring full European network coverage by contracting Europart Denmark and Eurotyre Belgium for the distributorship rights for the sale of Ultra-Seal. Furthermore, Schmitz Cargobull and Kögel were also added to the customer base, to provide end-users with tyres filled with Ultra-Seal on their new trailers, enabling them to benefit from maximum tyre wear reduction, fewer punctures and optimum tyre pressure.

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Schmitz Cargobull
In January 2017, DSV Road issued a gigantic order of 3000 new trailers for 2017-2018, to Schmitz Cargobull. DSV requested Ultra-Seal in addition to the standard factory trailer specifications at Schmitz Cargobull. All 3000 new trailers that will leave the Schmitz Cargobull premises in the next 2 years will be equipped with Ultra-Sealtreated Westlake tyres, since Westlake has given its official approval to use Ultra-Seal in its tyre brand.

Kögel Trailer GmbH & Co. KG
Kögel has also started ordering the Ultra-Seal products to serve its customers’ needs. ICTS and Amco Logistics, amongst others, are requesting that Kögel equip their new vehicles with Ultra-Seal-treated tyres. Amco Logistics is one of the first English customers that started using Ultra-Seal. With 180 employees and facilities in Newbury, Felixstowe and headquarters in Dervy, Amco Logistics focuses on transport for predominantly automotive, rail and exhibitions throughout Europe.

Europart Denmark
Ultra-Seal has come to an agreement with Europart Denmark for the resale of Ultra-Seal to end-users. With 75 employees, Europart Denmark is the largest parts and spare parts dealer of Denmark, with its Danish headquarters in Kolding.

Eurotyre Belgium
The Belgian tyre specialist group Eurotyre will start offering Ultra-Seal to its customers throughout its network in Belgium and in the south of Holland. The international group of independent tyre service centres offers tyres for every vehicle and provides numerous services for breakdown, maintenance, repair and professional advice. The entire Eurotyre organisation consists of 69 tyre centres throughout Belgium and the Netherlands, and completes its truck network with 40 regular tyre centres specialised in tourism vehicles.

The Transport Fair in Herning (DK) and the CV Show in Birmingham (UK)
Ultra-Seal will be present at the Herning Transport Fair (Denmark) from 23 to 25 March 2017, in cooperation with Europart Denmark, at the Europart stand in Hall L, stand 9230. Together with Trans UK Equipment Management Limited, distributor for Ultra-Seal and Kögel, both companies will be present at the largest transport fair of the United Kingdom, the CV Show in Birmingham. The CV Show will take place from 25 to 27 April 2017, and Ultra-Seal can be found at stand 3F102.

Product Benefits
‘The ultimate tyre life extender’ is a preventative tyre sealant liquid which was invented to protect tyres from leaks, punctures and blowouts. It seals most punctures as they happen, it ensures heat reduction, extends tyre life by keeping the air pressure in the tyre, minimises tyre wear and reduces fuel consumption. It remains effective for the complete life of the tyre, without having to undergo extra maintenance. Ultra-Seal is environmentally friendly and provides the driver with an extra safety factor.

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