Cooper Tire & Rubber Co.
) has partnered with Michigan-based automotive startup Elio
Motors, Inc. by signing a letter of intent. Per the deal, Cooper
Tire will supply tires equipped with its low rolling resistance
technology for Elio Motors' ultra-high mileage Elio car.
Elio has a unique design with three wheels and features a
three-cylinder, 55-horsepower, fuel-injected engine. The car
weighs around 1,200 pounds and has a seating capacity for
The vehicle is scheduled to come in the market in the later
part of next year and costs about $6,800. Elio intends to use
vehicle components manufactured in North America for the car.
Thus, Cooper Tire will manufacture all the tires to be supplied
to Elio Motors in one of its U.S. plants. The car will also be
manufactured in Shreveport, La.
Elio Motors is targeting a mileage of 84 miles per gallon,
which will put Elio in the ultra-high mileage category. Cooper
Tire's low rolling resistance technology will help the company
achieve this mileage.
Ohio-based Cooper Tire manufactures and markets tires and
related products. The company has more than 60 manufacturing,
sales, distribution, technical and design facilities located in
11 countries. Cooper Tire, one of the 350 large companies in
America, is the ninth largest tire company in the world.
Cooper Tire currently carries a Zacks Rank #4 (Sell). Some
stocks that are worth considering in the same industry include
Goodyear Tire & Rubber Company
). While Continental AG carries a Zacks Rank #1 (Strong Buy),
Goodyear and Bridgestone hold a Zacks Rank #2 (Buy).
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