LAS VEGAS (Dec. 2, 2002) — Taiwanese tire maker Federal Corp., buoyed by 38-percent growth in North America this year, has rounded out its product offerings for the North American market, adding the Couragia light truck/sport-utility vehicle and Formoza FD1 touring tire lines.
The new products augment a product range that already is selling well in North America. Federal's sales in the U.S. through September were up 38 percent over the first nine months of 2001, contributing measurably to a 22.5-percent jump in global sales to $76.9 million, said Jamie Ma, president of Federal. About three-fourths of Federal's sales are generated in markets outside of Taiwan and China, where the firm's plants are located.
Federal said the Formoza line was designed with two wide circumferential grooves to maximize water evacuation for enhanced wet weather performance. The duo-directional tire is available both H- and V-rated in 30 sizes, ranging from 165/45R15 to 235/60R16, the company said.
The line debuted in Taiwan earlier this year and is now available to U.S. dealers despite the West Coast dock lockout, Mr. Ma said. Federal rerouted some shipments to Vancouver, British Columbia, and to Houston to circumvent the West Coast dock lockout.
The Couragia LT/SUV line is available in only a limited number of sizes now, Federal said, but the size range will be filled out between now and the third quarter of 2003. In addition, Federal has expanded its SS-595 high performance range to include 20-inch diameter sizes.
To keep pace with the rising sales, Federal is expanding its Jiangxi Federal Tire venture in China. The firm's annual capacity should hit 6 million units by year-end 2003, up from 4.8 million currently, Mr. Ma said.
Federal also may set up a research and development center in China.