Linglong, City Tyres sign deal as traders protest
Mr Wang Feng (R), the president and chief executive officer of Linglong and Mr Omar Mandela, the chairman Mandela Group shake hands after signing the deal in Kampala on Tuesday. PHOTO BY Stephen Otage
What you need to know:
Defiant. Traders insist they will still sell the tyres.
Kampala. The presence of counterfeit Linglong tyres on the Ugandan market has forced the Chinese Company to appoint City Tyres as its sole distributor in the country.
On Tuesday, Mr Wang Feng, the president and chief executive officer of Linglong, who was in Uganda, signed the partnership agreement with Mr Omar Mandela, the chairman Mandela Group, appointing its subsidiary City Tyres as their sole distributors.
“When our products leave the factory, we give a 100 percent warranty and if you buy them from City Tyres, the same warranty applies unlike when you buy the tyres from other people we do not know,” he said.
Mr Feng also said his company was forced to come and register the trademark in the country because it cannot afford to have its brand name abused here. According to the Uganda National Bureau of Standards (UNBS),there have been several cases of counterfeit tyres on the market. This has compromised some tyre brands including Linglong.
“We have good standards of manufacturing, storing and transportation. This partnership is to ensure that drivers are safe and comfortable. Our tyres are some of the safest on the Chinese market and they match global standards,” Feng added.
Mr Robert Kazoora, who has been contracted by City Tyres to inspect Linglong tyres at their facility, said tyres were instrumental in maintaining the stability of the vehicle on the road and it is always difficult to align and balance pressure on counterfeit tyres. The task is now being placed on Uganda Revenue Authority (URA) and UNBS officials to curb the rampant importation of counterfeit tyres. Tyres are also some of the most smuggled goods in the country, according to URA.
Traders protest
The signing of the partnership means that tyre dealers who want the Linglong brand will have to buy them from City Tyres. The Uganda Tyres Traders Association has already protested this, insisting that they will continue to sell the Linglong brand of tyres. In a letter drafted by the association lawyers, M/S Richard Mwebembezi Solicitors & Advocates, the traders insist that there is no law that prevents any Ugandan business from importing and selling Linglong tyres.
“The attempt to stop other businessmen in Uganda from the importation and sale of the said tyres is illegal and an act that promotes unfair competition,” the statement reads.
The association statement further points out that their members have been in the business of importing tyres and are always inspected by UNBS. Most Linglong tyre brands are imported from China and other distributors in United Arab Emirates.
“Our express instructions are to inform the public that there are other genuine businessmen in Uganda who sale and import genuine Linglong tyres other than City Tyres,” they added. They threatened to take legal steps against what they consider as uncompetitive business tendencies.
About city tyres
City Tyres is among the first one-stop shops in oil business in Kampala. It offers services such as motor vehicle servicing, sells oil and gas, and has lately opened restaurants and coffee shops in its outlets.
