Kumho has officially opened its newest tire plant in Nanjing, China. The company invested $100 million in the facility, which encompasses some 90,000 square feet.
“Kumho Tires is already the No. 1 passenger car tire maker in China, and this state-of-the-art plant gives us an important foothold in its fast-growing truck and bus tire market,” says President and CEO Sae-chul Oh.
“China has enormous growth potential and is a key part of our strategy to become one of the top five global tire makers,” observes Oh.
China’s truck and bus tire market is expected to grow at between 25 and 30 percent each year. The plant, specifically designed to produce truck and bus tires, will have an annual capacity of more than 300,000 units.
This marks Kumho’s fourth tire plant in China; it has three other facilities in Nanjing, Tianjin and Changchun. In addition, the company established an R&D center in Tianjin in 2006, which includes laboratories for chemical analysis and performance tests.
“Long-term business strategies for (the company) in China include reinforcing positive product perception and brand image while enhancing competitiveness in distribution by diversifying sales channels,” says B.C. Kim, head of Kumho’s Chinese subsidiary. “With the completion of the plant, (the company) will achieve operational efficiency and create products that are suited to Chinese local tastes.”
For more information, visit www.kumhotireusa.com.
