Bridgestone, Chinese Tire Manufacturer Reach Settlement On Dispute Over Design Patent Infringement
Nashville, Tenn. (July 28, 2005) – Bridgestone Corporation, parent company of Bridgestone Americas Holding, Inc. (BSAH), today announced today that the company has agreed to resolve the legal procedures by a settlement over design patent infringed by Shandong Chengshan Tire Co., Ltd., a major Chinese tire manufacturer.
Bridgestone Group currently has three tire manufacturing plants in China, which supply tires to the Chinese market. Bridgestone had previously acquired a patent on the design of models R288 and M858, radial tires for trucks and buses, and these had already received high acclaim in the Chinese market for their durability and performance.
In November 2004, the company discussed continuously with Shandong Chengshan and requested to cease production of two models (Model names of Shandong Chengshan tires: CST66 and CST88) of radial tires for trucks and buses because those closely resembled the design of Bridgestone’s R288 and M858 tires. Bridgestone filed a design patent infringement complaint in China in January 2005 when Shandong Chengshan failed to comply.
The court proposed a settlement stipulating, among other things, that Shandong Chengshan cease production of the tires subject to the complaint. Shandong Chengshan assented to this and a final settlement was reached. The provisions of the agreement are as follows:
1) Shandong Chengshan ceases production and sale of CST66 and CST88 tires.
2) Shandong Chengshan modifies the molds for CST66 and CST88. Shandong Chengshan cooperates with Bridgestone Group to verify the modifications of molds.
Bridgestone Group protects the uniquely superior technology and designs acquired by research and development as intellectual property. The company actively uses the designs on a worldwide basis, while fully respecting the intellectual property of other companies, including those in China. Bridgestone’s unique, superior design capabilities were affirmed in the dispute and the company is pleased that Bridgestone products can be reliably provided to all customers.Bridgestone Group continues to emphasize intellectual property in operations and intends to rigorously pursue measures, including legal action against all acts of imitation.
About Bridgestone Corporation:
Bridgestone Corporation, headquartered in Tokyo, is the world's largest manufacturer of tires and other rubber products. Tires account for 80 percent of Bridgestone Group sales worldwide. The company also manufactures industrial rubber and chemical products, sporting goods, and other diversified products. It sells its tires and other products in more than 150 nations.
About Bridgestone Americas Holding, Inc.:
Nashville-based Bridgestone Americas Holding, Inc. (BSAH) is the U.S. subsidiary of the Bridgestone Corporation, the world’s largest tire and rubber company. BSAH and its subsidiaries develop, manufacture and market a wide range of Bridgestone, Firestone, Dayton and associate and private brand tires to address the needs of a broad range of customers, including consumers, automotive and commercial vehicle original equipment manufacturers and those in the agricultural, forestry and mining industries. The companies also produce air springs, roofing materials, synthetic rubber and industrial fibers and textiles and operate the world’s largest chain of automotive tire and service centers.