Jiji Press reports that Japanese tire makers are poised to boost their production capacities in China to keep pace with the rapidly expanding market.
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Bridgestone Corp. plans to launch a new plant in the eastern city of Wuxi in September and will also triple the monthly output capacity of an existing plant for truck and bus tyres in Shenyang, northeastern China, to 90,000 units.
The moves will cost Bridgestone a total of around 20 billion yen.
The report also said that Yokohama Rubber Co. is due to double the annual production capacity of its passenger car tyre plant in Hangzhou, Zhejiang Province, to 1.4 million units by the end of this year.
Sumitomo Rubber Industries Ltd., meanwhile, will launch production in Changshu, Jiangsu Province, in April, hoping to supply products to not only the Chinese market but also Japan and the rest of Asia.
Demand for passenger vehicle tyres in China grew to around 60 million units in 2003 and is expected to show an annual rise of 20 pct in the future, Jiji Press said. Demand for truck and bus tires, which came to some 80 million units last year, is forecast to grow even faster at over 40 pct.
Some industry analysts see China’s tyre market equalling Japan’s by 2008.
