Kumho breaks ground on TBR plant in China

Rancho Cucamonga, California - Kumho Tire Co. Inc. broke ground May 16 on its fourth tyre plant in China-a truck/bus radial (TBR) plant in Nanjing-slated for completion in the second half of 2008 at a cost of $90 million.

The plant will have annual capacity of 300 000 units.

Kumho said it plans to “aggressively pursue the Chinese tyre market by diversifying its export market strategy and expanding production to include TBR tyres.” TBR demand has grown as a result of city development in China, the firm added.

“We are very glad to build this bus and truck tyre factory at Nanjing, an important place for us to further our growth in the Chinese market,” said Park Sam-Koo, chief executive of Kumho Asiana Group, Kumho Tire's single largest shareholder. “From now on we will put forth more effort to activate interchanges between the two countries.”

Kumho is building a passenger tyre plant in Changchun due on stream this year that will have a capacity of 3.1 million tyres a year. The plant joins factories in Nanjing and Tianjin.

From Tire Business (A Crain publication)