BIRMINGHAM, England — Dunlop Aircraft Tyres Ltd. (DATL) is evaluating the possibility of opening a plant in Indoneisa for aircraft tires.
Indonesia is being considered as a potential investment location due to its access to natural rubber and growing aviation industry, a spokesman for the Birmingham-based tire maker said. He declined to give details of the plan, saying the company was considering its options and involved in ongoing negotiations with partners.
Indonesian press reported in November that DATL was planning to build retreading and production plants for aircraft tires in Karawang, West Java province.
Set for operation in 18 months, the $70 million unit is to be built with local partner P.T. Rubberman Indonesia Bekasi, local press quoted the country's minister of industry Agus Gumiwang Kartasasmita as saying.
Rubberman, according to reports, is a local retread tire company with more than 25 facilities throughout the country.
In 2017, P.T. Rubberman Tire Aviation and another Indonesian tire maker PT Ciharas Avia partnered to produce retreaded aircraft tires for domestic demand, local press reported at the time.
As part of that deal, PT Rubberman was reportedly assigned to develop large aircraft tires — for Airbus and Boeing aircraft — and to supply 40,000 units per year for national airline Garuda Indonesia.
DATL operates a new tire plant in Birmingham and retread facilities in Mocksville, N.C., and Jinjiang, China, with approximately 570 employees. It's owned by rivate equity firm Liberty Hall Capital Partners L.P.