Chinese tire maker Aulice to build €90m plant in Tanzania

Beijing – Chinese truck & off-road tire maker Hubei Aulice Tyre is planning to build a greenfield tire manufacturing plant in Tanzania, the company announced 15 Aug.

The new factory, with a proposed name of Baha Tyre Ltd, will have a capacity to produce 1.2 million units of all-steel radial truck tires, said the company in a statement.

To be based in Tanzania’s Kibaha District, Pwani region, the project is estimated to cost Yuan700 million (€88 million), of which Yuan500 million will be borrowed from banks.

Aulice did not provide a project timeline in its announcement.

The facility will be Aulice’s first overseas wholly-owned subsidiary, in addition to the company’s existing units in Huangshi, Hubei and Xianning.

The two units have a combined capacity to produce 12,000 units of truck tires and 2,500 units of off-road tires per day, according to Aulice’s website.

Destined mainly for Southeast Asia, South America, North America and Africa, the tires go to market under the brands of Aulice, Vanlustone and Aosowing.

The new facility in Tanzania, according to Aulice, will help optimise the company's strategic layout, improve its competitiveness and support the company's rapid expansion.