In a move to meet growing global tyre demand, The Yokohama Rubber Co., Ltd. has announced a major expansion of its production capacity at Yokohama Tyre Philippines, Inc. (YTPI), the company's key passenger car tyre manufacturing and sales subsidiary in the Philippines. The expansion, estimated at around 3.5 billion pesos (approximately ¥8.4 billion), is set to increase the daily output capacity by 1,800 tyres, reaching a total of 32,500 tyres per day.
This ambitious project not only aims to enhance the current production capabilities but also introduces a new production line. This line will allow YTPI to produce larger tyre sizes, including 21- and 22-inch tyres, marking a significant expansion in YTPI's size lineup. The initiative is a strategic move to align with the increasing demand for larger, high-value tyres in the global market.
YTPI, operational since April 1996, has primarily focused on exporting YOKOHAMA tyres worldwide, with a significant portion of its production catering to the European, North American, and ASEAN regions as replacement tyres. A portion of its output is also dedicated to supplying original equipment for new cars in North America and Asia. This expansion is expected to enhance YTPI's contribution to Yokohama Rubber's global supply chain, bolstering its ability to respond swiftly to the anticipated surge in global tyre demand.
The expansion work is scheduled to commence in the second quarter of 2024, with the new production lines anticipated to be fully operational by the second quarter of 2026, coinciding with YTPI's 30th anniversary. This development is part of Yokohama Rubber's broader strategy to increase sales of its high-value-added YOKOHAMA tyres, including the flagship ADVAN brand, the GEOLANDAR brand for SUVs and pickup trucks, winter tyres, and tyres larger than 18 inches.
Yokohama Rubber's move to enhance its production and development facilities aligns with its goal to fortify its market position by offering a diverse range of tyres tailored to specific regional demands. This expansion not only signifies YTPI's growth but also underscores Yokohama Rubber’s commitment to evolving its consumer tyre business to meet the dynamic needs of the global market.
