Report: Gajah Tunggal to Expand Production Plant
Indonesian news sources are reporting that Indonesia's largest tyre manufacturer, PT Gajah Tunggal Tbk, is planning to set up a new tyre plant lift production capacity from 30,000 tyres per day to 45,000. According to one blogger, the company also is preparing to build a new motorcycle tyre plant in a bid to almost triple its production capacity in this sector from 37,000 to 105,000 tyres per day.
Referring to forthcoming financial reports, due to be released sometime in the next fortnight, Gajah Tunggal estimates it will experience a 10 – 20 per cent increase in tyre sales volumes in the first quarter of 2010 compared to the same period last year. The local Insider Stories website said production capacity is currently 35,000 radial tyres per day. Furthermore, as of September 2009, the plant’s car tyre utilization rate reached was said to have been 57 per cent. Production capacity of motorcycle tyres is reportedly 60,000 units per day with a utilization rate of 78 per cent. The plant’s bias tyre manufacturing capability is reported as 12,000 units per day.