Linglong planning next move under global expansion strategy

Zrenjanin, Serbia – Shandong Linglong Tire Co. is actively pursuing plans to establish a third overseas facility with a location in Mexico among the options being explored.

That was among the key messages to emerge from a 13 Sept ceremony, led by Linglong chairman Wang Feng, to officially launch series production at the Chinese tire maker’s factory in Zrenjanin.

The first ever factory project by a Chinese tire maker in Europe, the Serbian plant has a design capacity to produce 12 million passenger car tires, 2.4 million commercial vehicle tires, 220,000 off-road tires and 100,000 retreaded tires.

Linglong has also recently announced plans to invest Yuan4.6 billion (€586 million) in the Zrenjanin plant, adding capacity for the manufacture of 1.1 million radial tires there by 2030. (ERJ report)

Production in North America would appear a logical next step in Linglong’s ambitious ‘7+5’ strategy to establish a global network of seven plants in China and five overseas units by 2030.

Linglong currently operates five plants in China – at Zhaoyuan, Dezhou, Liuzhou, Jingmen, Changchun – and has announced plans for facilities in Tongchuan and Lu'an City. It also operates a tire plant in Chonburi, Thailand as well as the newly started plant in Serbia.

At the launch event Zrenjanin, Wang highlighted the importance of partnerships with materials, equipment and technology suppliers in enabling Linglong to meet its ambitious goals.

Over many years, said the chairman, “we have jointly navigated through ever-changing market landscape from a foundation based on mutual trust."

By taking innovation "under our wings we are constantly overcoming countless obstacles [and achieving] mutual success, one after another."

Concluded Wang: “We are confident that, as long as we maintain our original ambition and persist in innovation, nothing can hinder our forward momentum.”

Linglong’s strategy is to achieve annual production of 160 million tires and sales of over RMB80 billion: placing it among the global top five tire manufacturers by 2030.

/ More details from the event in Zrenjanin to follow...