Skip to main content
Sister Publication Links
  • Automotive News
  • Rubber News
  • European Rubber Journal
Subscribe
  • Login
  • Register
  • Subscribe
  • Current Issue
  • HUMANITARIAN
  • News
    • TIRE MAKERS
    • COMMERCIAL TIRE
    • GOVERNMENT & LAW
    • MERGERS & ACQUISITIONS
    • BEST PLACES TO WORK
    • OBITUARIES
    • OPINION
    • MID YEAR REPORT
    • SERVICE ZONE
  • ADAS
  • Data
    • DATA STORE
  • Custom
    • SPONSORED CONTENT
  • Resources
    • Events
    • DIRECTORY
    • CLASSIFIEDS
    • SHOP FLOOR
    • AWARDS
    • ASK THE EXPERT
    • LIVESTREAMS
    • WEBINARS
    • SEMA LIVESTREAMS
    • RUBBER NEWS EVENTS
    • BALANCING
    • DEMOUNTING
    • SAFETY
    • TIRE REPAIR
    • TPMS
    • TRAINING
    • VEHICLE LIFTING
    • WHEEL TORQUE
    • Best Places to Work
  • ADVERTISE
  • DIGITAL EDITION
MENU
Breadcrumb
  1. Home
  2. News
January 06, 2022 02:12 PM

Bridgestone to sell, phase out $1.25B in non-tire businesses

Bruce Davis
  • Tweet
  • Share
  • Share
  • Email
  • More
    Print
    Bridgestone Revamp
    Bridgestone image

    In the past few months, Bridgestone Corp. has made a series of moves aimed at creating a more tire-focused enterprise in the future.

    TOKYO — Bridgestone Corp. is on a mission to revamp itself, carrying out a series of divestments or plant closures in recent weeks in its synthetic rubber and non-tire rubber businesses that represent as much as $1.25 billion in annual sales.

    The moves are part of Bridgestone's ongoing restructuring plan — outlined in the company's Bridgestone 3.0 business plan published in early 2021 — that will result in a more tire-focused enterprise in the coming years.

    The Tokyo-based company's restructuring effort will involve four stages that include both investments and divestitures that ultimately should yield fixed-cost savings of about $480 million by year-end 2023.

    In the past few months, Bridgestone has reached deals to sell its anti-vibration business, exit the tennis goods business and sell a synthetic rubber business in China and marked three diversified chemical products plants for sale.

    More specifically, the company:

    • Sold Bridgestone (Huizhou) Synthetic Rubber Co. (BSRC), a synthetic rubber business with one production plant in Huizhou, China, and $61 million in annual sales, to Taipei, Taiwan-based materials and chemicals supplier LCY Corp.;
    • Agreed to sell its anti-vibration components business to China's Anhui Zhonding Holding Group. The unit comprises eight plants in five countries and an R&D complex in Japan, and generates over $500 million in annual sales;
    • Agreed to sell its chemical products solutions business, which collectively generated roughly $500 million in annual revenue, to Endeavour United (EU) II Investment Business Ltd Partnership.

    In addition, Bridgestone, the world's No. 2 tire maker according to Tire Business' annual ranking of tire companies worldwide, also plans to phase out its conveyor belting business — a unit with two plants, in Japan and Thailand, and an R&D complex in Japan, which generates $100 million in annual sales — and its activities in the tennis sector (balls and rackets).

    These latest moves come eight months after Bridgestone sold it Firestone Building Products subsidiary, a $1.8 billion per year business whose sale netted Bridgestone $3.4 billion that it intends to use to rebuild its earning power as it transitions to sustainable solutions company.

    At the same time, Bridgestone made a couple of strategic investments and budgeted more than $235 million toward enhancements of tire operations in Brazil, Japan and the U.S.

    Among the investments is Otraco International Pty. Ltd., an Australia-based off-the-road (OTR) tire management specialist enterprise that offers a portfolio of OTR tire management solutions that track tires across the full lifecycle.

    On the tire manufacturing side, Bridgestone has earmarked $140 million to modernize and expand capacity of car and light truck tires by 20% at a plant in Camacari, Brazil, and $94 million to upgrade production capabilities at an OTR tire plant in Shimonoseki, Japan.
    Bridgestone also plans to expand testing capabilities at its Americas Technology Center, adding a new test track that will feature several vehicle dynamics courses, including a long straightaway to assess lane change performance; a noise, vibration and harshness course to test ride comfort and road noise; and a wet- and dry-weather handling course.

    Related Article
    Bridgestone closing China truck/bus tire factory
    Bridgestone completes acquisition of OTR tire management specialist Otraco
    Letter
    to the
    Editor

    Do you have an opinion about this story? Do you have some thoughts you'd like to share with our readers? Tire Business would love to hear from you. Email your letter to Editor Don Detore at [email protected].

    Most Popular
    1
    Turbo Wholesale acquires Tire Wholesalers Inc.
    2
    Goodyear to halve capacity at Fulda plant, cut jobs
    3
    Triangle strengthens U.S. distribution capacity
    4
    VIP Tires acquires Marshfield Tire in Massachusetts
    5
    TBC, Mavis complete deal for NTB, Tire Kingdom stores
    SIGN UP FOR NEWSLETTERS
    EMAIL ADDRESS

    Please enter a valid email address.

    Please enter your email address.

    Please verify captcha.

    Please select at least one newsletter to subscribe.

    Newsletter Center

    Staying current is easy with Tire Business delivered straight to your inbox.

    SUBSCRIBE TODAY

    Subscribe to Tire Business

    SUBSCRIBE
    Connect with Us
    • Facebook
    • LinkedIn
    • Twitter
    • Instagram
    • RSS

    Our Mission

    Tire Business is an award-winning publication dedicated to providing the latest news, data and insights into the tire and automotive service industries.

    Reader Services
    • Staff
    • About Us
    • Site Map
    • Industry Sites
    • Order Reprints
    • Customer Service: 877-320-1716
    Partner Sites
    • Rubber News
    • European Rubber Journal
    • Automotive News
    • Plastics News
    • Urethanes Technology
    RESOURCES
    • Advertise
    • Privacy Policy
    • Privacy Request
    • Terms of Service
    • Media Guide
    • Editorial Calendar
    • Classified Rates
    • Digital Edition
    • Careers
    • Ad Choices Ad Choices
    Copyright © 1996-2023. Crain Communications, Inc. All Rights Reserved.
    • HUMANITARIAN
    • News
      • TIRE MAKERS
      • COMMERCIAL TIRE
      • GOVERNMENT & LAW
      • MERGERS & ACQUISITIONS
      • BEST PLACES TO WORK
      • OBITUARIES
      • OPINION
      • MID YEAR REPORT
      • SERVICE ZONE
    • ADAS
    • Data
      • DATA STORE
    • Custom
      • SPONSORED CONTENT
    • Resources
      • Events
        • ASK THE EXPERT
        • LIVESTREAMS
        • WEBINARS
        • SEMA LIVESTREAMS
        • RUBBER NEWS EVENTS
      • DIRECTORY
      • CLASSIFIEDS
      • SHOP FLOOR
        • BALANCING
        • DEMOUNTING
        • SAFETY
        • TIRE REPAIR
        • TPMS
        • TRAINING
        • VEHICLE LIFTING
        • WHEEL TORQUE
      • AWARDS
        • Best Places to Work
    • ADVERTISE
    • DIGITAL EDITION