Linglong still mulling locations for third overseas plant

London – Shandong Linglong Tire Co. (Linglong) has provided an update on its plans for further expansion following the official launch of production at its €1-billion tire plant in Zrenjanin, Serbia.

At the event on 13 Sept, chairman Wang Feng said Linglong was actively pursuing plans to establish a third overseas facility, with a location in Mexico among the options being considered.

In a 21 Oct statement about these comments, a Linglong spokesman wrote that “Mexico is one of the options (next to Brazil and Morocco),” while also emphasising that “nothing is fixed yet.”

Under its ambitious ‘7+5’ strategy, the tire maker aims 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.

The group also operates a tire plant in Chonburi, Thailand as well as the newly started plant 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)

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

Group-wide, Linglong aims to achieve annual production of 160 million tires and sales of over RMB80 billion (€10 billion): placing it among the global top five tire manufacturers by 2030.