CHONGQING, China (May 19, 2011) — Hankook Tire Co. Ltd. has broken ground on its $954 million car and truck tire plant in Chongqing, which should start producing tires by August 2012 and hit full capacity by year-end 2015.
The 5.7 million-sq.-ft. plant, Hankook's third in China, is designed to produce 30,000 passenger and 4,500 radial truck tires a day at full capacity. Hankook indicated the plant, in Chongqing's Liangjiang industrial area, would employ 3,700 at full capacity.
Hankook Vice Chairman/CEO Seung Hwa Suh, CMO Hyun Shick Cho and Ki Yeul Huh, COO of Hankook Tire China) attended the ground-breaking along with 180 government officials from Chongqing Municipal Committee, Chongqing Municipal People´s Congress, Chongqing Municipal government, Chongqing Municipal Political Consultation Conference and Liangjiang New Area.
Hankook is building the plant in the “Automobile City” section of Chongqing's Yufu Industrial Park, a 74-acre site dedicated to vehicles and vehicle components, Hankook said.
“The new plant will help Hankook Tire blend into western China, and further consolidate and expand the advantage in China market,” Mr. Suh said at the ceremony. “We appreciate the great support from Chongqing Municipal government and the Liangjiang New Area administration committee.”
Hankook has been making tires in China since 1997 and today enjoys a 20-percent market share in passenger tires, Mr. Suh said.
Hankook's other plants in China are for passenger tires in Jiaxing, Zhejiang Province, and car, truck and farm tires in Huaian, Jiangsu Province.