China tire cord maker advances plant talks with Romanian government

Bucharest — Chinese steel tire cord producer Shoujia Technology has secured high-level support from the Romanian government for its planned European manufacturing project, the group has announced.

The Chinese group presented updates on project progress, “phased achievements" and "long-term development plans,” during a meeting with Romanian deputy prime minister Michael-Dragos Anastasiu, said a 27 March social media post.

According to Shoujia, Romanian authorities responded positively, “clearly stating their commitment to providing solid policy guarantees and ample resource support to facilitate the project's efficient implementation.”

Discussions focused on key requirements including the implementation of preferential policies and the rollout of supporting infrastructure.

Shoujia said the Romanian authorities agreed to assign “high priority” to such issues and help coordinate their delivery.

The latest meeting builds on Shoujia’s earlier move to assess Romania as a potential base for a “high-end steel cord production” facility, part of a broader overseas expansion strategy. (ERJ report)

As previously reported by ERJ, the Chinese group has been evaluating locations in Eastern Europe, holding discussions with local authorities on labour, infrastructure and industrial support.

Shoujia, a subsidiary of Hong Kong-listed Shougang Holding, is a leading Chinese producer of steel cord for radial tires.

The group has been expanding internationally, with exports accounting for nearly 40% of sales in recent years and a target to exceed 50%.

The Romania project is expected to support the company’s efforts to optimise its global production footprint and strengthen its position in the European market.