TOKYO (May 12)--Yokohama Rubber Co. Ltd., seeking to meet rising global tyre demand, will add passenger car and light truck tyre capacity in the coming 18 months at a new factory adjacent to its existing truck tyre plant near Bangkok, Thailand.
Yokohama has budgeted $109 million for the project, which will install 1.4 million units of annual capacity in a first-phase operation, with particular emphasis on tyres for sport-utility vehicles and light trucks.
The new plant--to be built on a 2.08 million-sq.-ft. (193 000 m2) plot of land adjacent to the recently commissioned Yokohama Tire Manufacturing (Thailand) Co. Ltd. truck tyre plant--will be designed to allow for second- and third-phase expansion, if demand permits, Yokohama said.
The $50 million truck tyre plant came on stream in April with an annual capacity of 350,000 units; this will double to 700 000 units by 2007, Yokohama said.
The new plant is part of Yokohama's overall effort to boost production capacity in Japan, the Philippines and Thailand.
Press release from Yokohama