BINH DUONG PROVINCE, Vietnam — South Korean industrial materials and chemicals supplier Kolon Industries Inc. has started production of polyester tire cord at plant it built in Vietnam's Binh Duong Province, north of Ho Chi Minh City.
The facility will have the annual capacity to produce 16,800 metric tons of polyester tire cord fabrics, bringing the group's overall production capacity to 93,800 tons globally, Kolon said in an blog post on Sept. 18.
The new plant, a two-hour drive north of Ho Chi Minh City, will supply to tire makers in the region including Hankook Tire Co. Ltd., Kumho Tire Co. Inc. and Nexen Tire Corp.
The Vietnam facility is Kolon's ninth overseas production base in addition to plants in China, Indonesia and Mexico.
The company, which also supplies to other leading tire makers, including Bridgestone Corp., Goodyear and Group Michelin, said the Vietnam base would provide additional capacity with "best technology and price competitiveness."
Kolon announced plans for the plant in 2016, saying it was budgeting $230 million for the project.