Goodyear sells tire reinforcement materials unit to Korean firm

Goodyear has sold its tire reinforcement wire manufacturing division to Korea's Hyosung Corp. for $50 million.

With plants in Asheboro, N.C. and Colmar-Berg, Luxembourg, the unit employs about 600 people.

Goodyear had previously sold its global tire fabric operations to Hyosung in 2006.

Goodyear and Hyosung, a multinational corporation with substantial tire reinforcement operations, will sign a multi-year supply agreement upon officially closing the wire division deal later this year.

“This transaction reinforces our focus on providing innovative consumer and commercial tires in targeted market segments,” says Richard J. Kramer, Goodyear’s chairman and CEO.

“Our wire plant associates manufacture outstanding products that have greatly contributed to the quality of Goodyear tires. We thank them for these contributions,” he adds.

Hyosung, headquartered in Seoul, South Korea, has produced tire reinforcements since 1968. It also has tire reinforcement operations in in Brazil, China, Luxembourg, Vietnam and the U.S.

For more information, visit www.goodyear.com.