Linglong unveils plans for €800m tire factory in China

Zhaoyuan, China – Linglong Tire has unveiled plans for the construction of a new greenfield tire production facility in Tongchuan, in the central province of Shaanxi.

The Yuan60.6 billion (€778 million) project will have the annual capacity to produce 15.2 million units of high-performance radial tires and 500,000 sets of retreaded tires, Linglong announced in a securities announcement 10 June.

The move is part of the company's 2020 global expansion strategy which pursues a "6+6" layout — six plants in China, and six globally.

Linglong expects to start the preliminary procedures for building the plant in the second half of 2021 and to begin construction by April 2022.

To be located at the Dongjiahe Circular Economy Industrial Park, Tongchuan City, the project is to be completed in three phases by March 2028.

Once fully operational, the factory will manufacture 12 million sets of semi-steel radial tires and 3 million units all-steel radial tires per year.

In addition, it will produce 100,000 aircraft tires (including 60,000 retreaded tires), 100,000 speciality tires, 500,000 retreaded car tires and 1 million inner tubes and pads.

According Linglong, Tongchuan City was selected for the location of the plant due to ‘complete regional infrastructure’ and proximity to car makers and auto parts manufacturers.

The new plant will be Linglong’s sixth domestic production facility, in addition to the ones in Zhaoyuan, Dezhou, Liuzhou, Jingmen, and a fifth which is being constructed in Changchun City, in northeastern China. 

The company also operates an overseas plant in Thailand and is building an €800-million facility in Serbia.