TOKYO (May 12, 2005) — Yokohama Rubber Co. Ltd., seeking to meet rising global tire demand, will add passenger car and light truck tire capacity in the coming 18 months at its existing truck tire plant near Bangkok, Thailand.
Yokohama has budgeted $109 million for the project, which will install 1.4 million units of annual capacity in a first-phase operation, with particular emphasis on tires for sport-utility vehicles and light trucks.
The new plant—to be built on a 2.08 million-sq.-ft. plot of land adjacent to the recently commissioned Yokohama Tire Manufacturing (Thailand) Co. Ltd. truck tire plant—will be designed to allow for second- and third-phase expansions if demand permits, Yokohama said.
The $50 million truck tire plant came on stream in April with an annual capacity of 350,000 units; this will double to 700,000 units by 2007, Yokohama said.
The new plant is part of Yokohama's overall effort to boost production capacity in Japan, the Philippines and Thailand.