WUXI, China (Feb. 21, 2017) — Truck tire specialist Jiangsu General Science Technology Co. Ltd. (JGST) is planning to add passenger tires to its portfolio, according to a filing in February.
The $23.5 million capacity expansion originally was for 6 million motorcycle and bicycle tires a year, but that capacity now will be radial passenger tires, as the "company's portfolio can no longer meet the market demand," the filing said.
The new project is scheduled to be completed before year-end and generate about $116 million in annual sales when in operation.
"Our new project targets mid- to high-end markets," the company's board secretary Bian Yabo said. Our experience in truck and bus tire will help [the passenger car tire project] in aspects such as sales network, talent and research."
Over the first nine months of 2016 it reported a 4-percent rise in net profit to $22.5 million, while sales grew 3 percent to $411 million.
The Wuxi, Jiangsu-based company is represented in North America by Statewide Tires Inc. of West Covina, Calif. The company's brands are TBB and GS.
This story first appeared on the website of European Rubber Journal, a London-based sister publication of Tire Business.