Hankook to close 1st plant AKRON—Hankook Tire Manufacturing Co. Ltd. expects to close its original tire plant in Seoul, South Korea, in June 2000, and relocate the production to its factory in Kumsan, where an expansion project is under way.
The 48-year-old Youngdeungpo facility in Seoul employs about 700 and can produce about 4 million bias-ply tires a year. The city has grown up around the plant, which originally was built on the outskirts of Seoul, but now sits near the center of town. As a result, the value of the land has grown and is worth as much as $200 million, a Hankook official said.
Once the plant is closed, Hankook intends to sell the property to fund the expansions of the Kumsan plant, which went on stream in 1997. Hankook plans to spend $150 million to boost the plant's capacity from 18,000 passenger and light light truck radials per day to 26,000 units per day, to include radial and bias-ply truck and bus tires.
Trelleborg's focus: rubber
TRELLEBORG, Sweden—Trelleborg A.B. plans to divest the bulk of its building materials and steel distribution businesses over the next three years and reinvest the proceeds in its industrial rubber operations, including agricultural and industrial solid tire production.
The refocusing, annouced at the end of April, coincides with the arrival of Fredrick Arp as chairman. Mr. Arp had most recently spent four years as president and CEO of Swedish packing company PLM, but prior to that had been executive vice president of Trelleborg and president of its tire division, which includes the Trelleborg, Monarch and Bergougnan brands.