Sailun marks commercial production at Indonesia tire plant

Central Java, Indonesia – Sailun Group has officially started commercial production at its greenfield tire plant in Demak, Central Java province, according to a company social media post.

The Chinese group said it hosted a ‘full-category product launch’ event on 18 Jan, attended by partners, to mark the official start-up of manufacturing.

The event showcased the group's product matrix covering PCR, TBR, OTR, inner tubes, and tire pads.

Sailun said the "mature manufacturing system and local supply chain capabilities" at its Indonesian factory will enable the group to achieve a "comprehensive supply of tire products."

The factory, it added, will "significantly improve" Sailun's delivery efficiency and service response level in the regional market.

Furthermore, it will "inject new momentum into Sailun's overall competitiveness in the Asian overseas market," the tire group concluded.

As previously reported by ERJ, the Indonesian tire plant represents a €230 million investment.

The unit has a capacity to produce 3 million passenger car radial tires, 600,000 truck and bus radial tires and 37 kilotonnes of “off-highway tire products.”