Kenya’s Sameer transferring machinery to India

Wednesday 31st May 2017 | 0 Comments

The Sameer Africa tyre plant in Nairobi, Kenya is being dismantled, with equipment being relocated to India, according to local news reports. This follows the cessation of production back in September 2016 following an announcement last June that that plant would close due to high competition from cheap imported tyres. The company did not specify if the equipment was being sold or used to establish manufacturing in India.

At the time of the closure announcement last year, company executives said manufacturing would transfer to China and/or India, and expand its retail footprint in Kenya, Uganda and Tanzania.

Sameer, which makes Yana brand tyres made losses of $6.3 million in 2015. For the year ended 31 December 2016 the firm reported losses of $8.4 million – based on closure costs.

In a statement the tyre maker said: “The company’s full-year results therefore reflect this significant decision. This cost is a one-off cost and is not expected to recur in future.”

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Category: International News