Goodyear Tire & Rubber Company, based in Akron, Ohio and Sumitomo Rubber Industries (SRI), based in Japan, ended a 16-year-old global tire alliance.
Goodyear filed for arbitration in January 2014 in an effort to end the alliance. This agreement allowed the companies to avoid arbitration.
As part of the agreement, SRI acquired Goodyear's 75% stake in Goodyear Dunlop Tires North America and Goodyear’s 25% stake in Dunlop Goodyear Tires, which focuses on the original equipment market in Japan.
Goodyear acquired SRI’s 25% stake in Goodyear Dunlop Tires Europe and SRI’s 75% stake in Nippon Goodyear.
SRI also received rights to sell Dunlop tires to Japanese vehicle manufacturers in North America and exclusive rights to sell Dunlop tires in Russia, Turkey and certain African countries which were non-exclusive under the previous agreement. SRI also has exclusive rights to sell Dunlop tires in the Japanese replacement and original equipment markets.
Goodyear retained exclusive rights to sell Dunlop tires to non-Japanese vehicle manufacturers in North America in the consumer and commercial replacement markets and exclusive rights to sell Dunlop tires in replacement and original equipment commercial, consumer, motorcycle and racing markets in European countries served exclusively by the former 16-year-old global tire alliance. Goodyear also received exclusive rights to sell Goodyear tires in Japanese replacement and original equipment markets.