JAPANESE tyre maker Bridgestone will increase the production capacity at two of its Chinese radial passenger tyre plants in Tianjin and Wuxi to meet the demand for tyres in China, which is expected to grow in the medium to long-term.
Under the current schedule, the Tianjin plant will begin production at its increased capacity in July 2012. With an investment of 1,054 million yuan, the plant’s capacity will be boosted by 8,800 tyres/day, enabling it to produce a total of 25,300 tyres/day.
The Wuxi plant will begin production at its increased capacity in May 2012. With an investment of 563 million yuan, the plant’s capacity will be boosted by 4,100 tyres/day, enabling it to produce a total of 16,300 tyres/day. In related news, Michelin, Double Coin Holdings and Shanghai Huayi will set up a joint venture in China to produce and market Warrior brand-passenger car and light truck tyres for the local market.
The new company will be owned 40% by Michelin and 60% by its Chinese partners, with Michelin
to contribute EUR75 million in investment capital. It will operate a plant in Wuwei, Anhui Province,
with an investment of EUR390 million and a capacity of 15 million car and light truck tyres.
Present in China since 1988, French tyre maker Michelin currently employs more than 6,000 people in the country and has four industrial sites producing passenger car/truck tyres (three in Shanghai and one in Shenyang).
Last year, it launched a US$1,350 million expansion exercise in Shenyang. The new unit will have
twice the production capacity and will mainly produce Michelin tyres, with capacity eventually reaching
10 million passenger cars and small truck tyres, 1.8 million truck and bus tyres and 300,000 retreads for
trucks and buses.(PRA)
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