In a stock exchange disclosure dated 23 January 2025, Linglong Tire confirmed the addition of Class II Value-Added Telecommunications Services to its business scope. This strategic move signals the company's commitment to embracing digital transformation, integrating technology-driven solutions to enhance its operations.
Linglong has already demonstrated a focus on digitalisation, having implemented a new retail system based on big data and cloud computing technology. The company has also forged partnerships with Tencent Cloud and Huazhi to develop a smart marketing platform, further solidifying its commitment to tech-driven services.
This shift is part of a broader transformation plan as Linglong transitions from a manufacturing-oriented enterprise to a service-oriented business. By expanding into digital services, the company aims to enhance customer engagement, streamline supply chain management, and optimise its sales channels.
Alongside its digital expansion, Linglong is ramping up its European manufacturing capabilities. The company’s Serbian factory, which began mass production in September 2024, has an annual capacity of 13.62 million high-performance radial tires. To build on this success, Linglong announced a Phase II expansion in August 2024, which will add 1.1 million high-performance radial tires annually.
The investment in the Serbian expansion stands at $645 million (approximately 4.62 billion yuan). Construction is set to commence in January 2025 and is expected to be completed by December 2030.
Linglong Tire's dual expansion—embracing digital solutions while strengthening its manufacturing presence—highlights its ambition to be at the forefront of the global tire industry. With a focus on technological innovation and production growth, the company is positioning itself as a leader in both traditional manufacturing and the evolving digital landscape.
By integrating advanced digital tools and reinforcing its European production base, Linglong is not only enhancing its competitiveness but also setting a new standard for the future of tire manufacturing.
What new business area is Linglong Tire entering?
The company is adding Class II Value-Added Telecommunications Services to its scope, marking a shift towards digital solutions.
Why is Linglong focusing on digital transformation?
Linglong aims to enhance its retail and marketing operations with big data, cloud computing, and smart marketing solutions in partnership with Tencent Cloud and Huazhi.
What is happening with Linglong’s European factory?
The Serbian plant, which started mass production in September 2024, will see a Phase II expansion, adding 1.1 million tires annually.
How much is Linglong investing in its European expansion?
The company is investing $645 million (4.62 billion yuan) in the Serbian expansion.
When will the expansion be completed?
Construction starts in January 2025 and is expected to be completed by December 2030.
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