ZC Rubber Breaks Ground on Third Overseas Manufacturing Facility in Mexico

On August 6, ZC Rubber officially commenced the construction of its third overseas manufacturing facility in Saltillo, Mexico. This pivotal development is a significant stride in the company's global expansion strategy, aimed at meeting the increasing demands of tire markets in North America and Latin America.

ZC Rubber Breaks Ground on Third Overseas Manufacturing Facility in Mexico
ZC Rubber Breaks Ground on Third Overseas Manufacturing Facility in Mexico
August 8, 2024

The groundbreaking ceremony was a grand affair attended by over 250 distinguished guests. Among them were Wei Dong, Counselor of the Chinese Embassy in Mexico; Blas José Flores González, Chief of Staff of the State Government; Luis Eduardo Olivares Martinez, Minister of Economy of Coahuila; Mario Mata Quintero, Representative of the Mayor of Saltillo; Maria del Mar Treviño, Local Councillor of Coahuila; César H. Cantú García, Representative of the Alianza Industrial Park; and Haoyu Shen and Zhiqiang Jiang, Vice Presidents of ZC Rubber Group. Leaders from original equipment (OE) manufacturers, distributors, suppliers, construction contractors, and various departments of the Group also graced the event.

Strategic Location and Investment

The new factory is strategically situated in the Alianza Industrial Park, just 250 kilometers from the U.S.-Mexico border. Representing an investment of over $500 million USD, the facility spans approximately 600,000 square meters. The first phase of the project is scheduled to begin production by the end of 2025, with an annual capacity of 13.5 million Passenger Car Radial (PCR) tires and 50,000 tons of Off-the-Road (OTR) products. This will significantly benefit the North American and Latin American markets by providing customers with more efficient and high-quality products and services.

Advanced Manufacturing and Logistics

The construction of the factory will integrate modern design with digital production, leveraging next-generation information technology to establish a highly automated, flexible, and energy-efficient large-scale tire production base. Additionally, the facility will house a North American warehouse center, greatly enhancing logistics efficiency and service capabilities. This center will serve as a key distribution hub, ensuring that ZC Rubber can deliver products swiftly and reliably to customers across the Americas, thereby strengthening the company’s supply chain and customer service.

Comments from ZC Rubber Leadership

The new factory in Mexico is expected to significantly enhance ZC Rubber's market presence and operational efficiency in North and Latin America. The company is optimistic that this expansion will foster closer relationships with its partners and drive mutual growth and success.

“We believe that with the operation of the new factory, ZC Rubber's competitiveness in the Americas market will be further enhanced,” stated Haoyu Shen, Vice President of ZC Rubber. “We look forward to working closely with our partners to embrace the vast prospects of the Americas market and achieve mutual benefit and win-win results.”

Future Prospects

The Mexico factory represents more than just a new facility; it is a milestone in ZC Rubber's global strategy and a testament to the endless possibilities of the future. From this base, ZC Rubber tires will journey across North America, Latin America, and the world, continuing the company's legacy of excellence in quality and innovation.

With this strategic expansion, ZC Rubber reaffirms its commitment to meeting global market demands and enhancing its service capabilities, paving the way for a brighter future in the tire industry.