Toyo Gets Chinese Tyre Manufacturing Authorization
Toyo Tire & Rubber Co., Ltd. has obtained local government authorization for its wholly-owned subsidiary in Zhangjiagang City, Jiangsu Province, China to proceed with manufacturing passenger and light truck tyres. The company announced its decision to establish Toyo Tires Zhangjiagang Co., Ltd., on 28 January 2010. Operations are expected to commence by the end of 2011. Initial production capacity during the first phase will be 2 million passenger car/light truck tyres a year.
And all this comes by virtue of US$98 million of investment (including paid-in capital of US$50 million) from Toyo. According to the company, the new manufacturing facility is expected to meet the growing demand for tyres generated by the rapid growth in automobile use in China. The company was formally established on 19 April 2010. It is expected to employ around 500 people.