Kieran’s Our City, Our Town,

Cork Independent, 28 August 2014

“Technical Memories (Part 86) – Dunlops of the 1960s

“It is obvious that Cork in general and Dunlops and Fords, in particular do not fully share the views of a depressed future for our car-building industry. A very high percentage of Dunlop’s business is supplying original equipment to the assembly industry. All but a tiny fraction of the new vehicles have their wheels shod by tyres made in Cork. In any trading arrangement, which envisages completed cars being imported here with tyres already fitted of course, the consequences must be very serious for Dunlop” (journalist, Irish Press, 15 November, 1965, p.6).

With a £2m capital outlay for expansion revealed by the Irish Dunlop Company in early November 1965, two new giant industrial blocks were to be built in Dublin and Cork. The new office block at Cork comprised 48,000 square feet, spanning across six storeys and sitting on 130 piles into the Centre Park Road swamp. The new and modern-marketed building was to dominate the Marina Estate soaring over the one storey factory units. Irish materials were used in its construction. The Dunlops space was designed so that a computer centre, Cork’s first commercial computer, could occupy the whole of the ground floor. The proposed research staff were to be recruited from Irish universities, and were to begin work in Dunlop’s central division, located near Fort Dunlop, Birmingham. Initially 12 Irish university graduates were to be employed, but when the full programme developed, this figure was to increase to 30 graduates and ten assistants, who were to be located in the research laboratories part of the new administration block at the Marina. The Cork research centre was to carry out basic research for the central organisation.

In 1965, it was stated that the company’s payroll amounted to over £2m per year and total wages and salaries paid out in the previous 30 years exceeded £20 million. Payments by way of taxation, excise duty and local rates, in 1965 had reached a record level of nearly £900,000 (Irish Press, 12 November 1965, p.8). The Dunlops plan unveiled in November 1965 came 24 hours prior, T.J. Brennan, Managing Director of Fords, announced his company’s intention of spending £1 ½ million on major extensions to their assembly capacity (see previous articles).

The policy of the Irish Dunlop Company had always been to purchase its requirements of materials from Irish sources where practicable. On items such as textiles, packing materials and fuel and power, the company paid out almost £1m in 1965 to other Irish producers. The company hoped to increase its tyre exports to over 100,000 tyres – more than double the quantity for 1964. The firm in Cork was to amass a production area of 250,000 square feet and 125,000 square feet of storage. The firm had also just taken over the Irish Rubber Products factory at Waterford.

Fast forward to September 1967 and during a tour of the 17-acre Dunlops Plant at the Marina to journalists, E J Power, General Manager, expressed confidence in the future of the plant. He commented that if the Cork factory was to continue at maximum employment, which ran to more than 2,000 people, they would have to secure increased productivity. This would occur pending an improvement in the Irish economy, and an increase in exports, particularly to Britain where, where he added the motor industry was passing through a poor period. He explained that the Irish tyre market amounted to about one million tyres a year being exported to 58 countries. This was worth £6 ½ m to Dunlops and up to July 1966, Dunlops had 80 per cent of that market. Since then, imported tyres had cut into their business. Power to journalists noted of a large decline: “no one could have foreseen a few years ago, the slackening in world trade and consequently foreign tyre manufacturers had to get rid of their surpluses. Because our tyre market was small any influx of imports was bound to leave its effects…it will be necessary for us to rationalise still further over the next year, particularly in our non-tyre products but we will try and spread this and cushion it as humanly possible”. 

A press conference by Mr William Bailey, Director of European Operations, in early February 1969 and as reported by the Irish Independent (6 February 1969) commented Dunlops had 103 factories worldwide and 20 research units in five continents. In Europe, Mr Bailey pointed out that these were located in Britain, Ireland, France and Germany and, together employed nearly 40,000 people. Referring to the future growth of the market, he detailed that tyres were a growth industry throughout the world and that demand was growing at about 8 per cent per annum and Europe, as one of the major growth areas, accounts for about one-third of the world sales of car tyres and a quarter of truck tyre sales. Domestic European demand in 1967 was 100 million car tyres with probability of expansion by double by 1980.  His operations were planning to invest £40m into the European branches. He announced that a new tyre compounding department was to be built, costing over £1million, and that this would be in operation at Fort Dunlop in Birmingham.  

To be continued…

Caption:

757a. Map of Dunlops plant, Centre Park Road, Cork, 1960 before expansion (source: Claire Hackett).