Triangle to start up new tire plant; nine-month sales down

Weihai, Shandong – Triangle expects to start up a new 4 million unit/year production facility for passenger car tires at its existing Huayang plant in Weihai, Shandong province by the yearend, the company told ERJ.

This project – phase two of the plant – began construction in 2017. Phase one with another 4 million unit per year passenger car tire capacity came on stream in 2016 and is running at full utilisation, said the company.

Phases one and two have €360 million (2.8 billion yuan) total investment, according to Triangle’s 2018 interim report.

The Huayang factory originally also had planned capacity for truck and bus tires as well as aviation tires. Such projects haven’t been scheduled yet, said the company.

Over the first nine months of 2018 Triangle reported an 8% year-on-year decline in revenue to €707 million, said its Q3 report. Net profit during the period dropped 11% to €42 million.

The third quarter alone saw sales of 4.3 million tires, generating €236 million revenue.