The Yokohama Rubber Co., Ltd., headquartered in Hiratsuka, Japan, has announced plans to establish a new manufacturing plant dedicated to passenger car tires in Mexico.
This strategic development is aimed at enhancing the company's production capabilities and rapidly responding to the growing demand within the region.
Yokohama Rubber's decision to invest US$380 million (approximately ¥52.1 billion) in the construction of a state-of-the-art tire manufacturing facility underscores its commitment to the North American automotive sector.
With an impressive annual production target of 5 million tires, the plant marks a pivotal step in the company's expansion strategy. Slated to commence construction in the second quarter of 2024, with production kicking off in the early months of 2027, the facility is poised to significantly impact the local and regional tire markets.
Situated in the Alianza Industrial Park, Saltillo, Coahuila, Mexico, the plant will occupy around 610,000 square meters, offering ample room for future growth and expansion. Its strategic location, with access to major railway lines and expressways, ensures efficient distribution channels across North America, aligning with Yokohama Rubber's principle of 'local production for local demand.
'The establishment of the new plant is a cornerstone of Yokohama Rubber's latest three-year medium-term management plan, Yokohama Transformation 2026 (YX2026).
The plan emphasizes the enhancement of high-value-added tire sales, including the global flagship ADVAN brand, GEOLANDAR tires for SUVs and pickup trucks, winter tires, and sizes 18 inches and larger. By focusing on products and regional strategies that cater to specific market trends, Yokohama Rubber aims to fortify its development, supply, and sales framework, ensuring a tailored approach to each market's needs.
The investment in Mexico is a testament to Yokohama Rubber's forward-thinking approach and its dedication to meeting the anticipated surge in tire demand within North America. This move not only reinforces Yokohama's commitment to quality and innovation but also highlights its strategy to become a more agile and responsive player in the global tire industry.
