Sailun starts production at Cambodia car tire plant

Svay Rieng, Cambodia – Sailun started up its passenger car tire facility in Cambodia on 18 Nov, the Chinese tire maker said in an announcement.

The plant, the construction on which began in March this year, rolled out its first tire on 1 Nov and started ‘full operation’ less than three weeks later. 

The factory was originally planned to manufacture 5 million units of passenger car tire, but in June Sailun doubled its investment in the project to €292 million and raised the designed annual capacity to 9 million units.

In a statement to ERJ, Sailun said it sped up construction at the site due to “changes in market conditions and operational goals."

Located in the Qilu Special Economic Zone in Svay Rieng city, in southeastern Cambodia, the facility is managed by Sailun’s fully-owned subsidiary Cart Tire.

The Cambodia facility is the tire maker's second production plant overseas, in addition to one factory in Vietnam. 

The plant is expected to generate €47 million average net profit annually on €276 million average sales.