Sumitomo Rubber boosting capacities at Brazil tyre plant
Sumitomo Rubber Industries, Ltd. is increasing production capacity for both consumer and truck tyres at its factory in Brazil. With an investment of 1.064 billion Real (£148.7 million), the company will boost capacity for passenger vehicle and light truck tyres from 18,000 to 23,000 tyres a day by April 2024. It will lift truck and bus tyre capacity from the current level of 1,000 tyres a day to 2,200 per day by April 2025. The tyre maker produces both the Falken and Dunlop brands at the Fazenda Rio Grande plant.
The Japanese firm started production at its car and light commercial tyre plant in Brazil in April 2013 and began making bus and truck tyres there in March 2019. Although Brazil’s tyre market contracted in 2020 due to the impact of the COVID-19 Pandemic, Sumitomo Rubber Industries expects market growth to exceed pre-pandemic levels in 2021 and anticipates that the tyre market will continue growing at a rate of two to three per cent per year thereafter.
“By augmenting production capacity at our factory in Brazil, the Sumitomo Rubber Group aims to further strengthen our tire sales business in the Brazilian market while simultaneously taking a major step forward in advancing the global expansion of our overall business,” states the company.