Hankook on Track to Achieve Planned European Market Growth
During the second quarter of 2010 Hankook Tire’s sales in Europe put the tyre maker in a good position to achieve its growth goals within the region. Year-on-year growth in the three months to June 30 was 17.8 per cent, with sales of products from its Dunaújváros plant in Hungary increasing 20.3 per cent year-on-year following a 17 per cent year-on-year growth in the first quarter.
In its 2009 annual report, the Korean tyre maker stated it was setting “aggressive” performance targets for Europe this year: “We aim to increase replacement tyre sales by 15 per cent year on year,” Hankook declared. “Reaching this target would boost our share of the European market to around 5.5 per cent.” The company noted that the second stage of expansion at the Dunaújváros facility will be completed by 2012 and will then serve as the foundation for expanding sales within the region. Last year Hankook sold approximately 21 million tyres in Europe – 30 per cent of its global 70 million unit total – giving the tyre maker a five per cent European market share.
In addition to increased output from its factory in Hungary, Hankook says it will continue to bolster its distribution channels in “major Western European countries” and upgrade its channel structure over the mid to long term. The tyre maker will continue to “build a foundation” for retail sales in Eastern Europe and the CIS, with particular attention focused upon the Polish and Hungarian markets.