Yokohama Rubber to add investment in new Indian plant
TOKYO, NNA - Yokohama Rubber Co. has said it will spend an additional $171 million on a plant under construction in India to boost its production capacity in anticipation of greater demand for industrial-use off-highway tires than initially forecast.
The plant in Visakhapatnam is scheduled to produce up to 55 tons daily in rubber weight in the initial phase of operation beginning in the first quarter of 2023 before raising the capacity to 123 tons with the additional investment in the next phase a year later.
Yokohama Rubber's local unit, Yokohama Off-Highway Tires, will run the new plant in the port city in eastern Andhra Pradesh state. It is located on a 390,000-square-meter site that includes an area newly acquired for possible future expansion.
The plant is Yokohama Rubber group's third in India for off-highway tires used for vehicles and other equipment in a wide range of industrial sectors, including agriculture, construction and forestry.
In January this year, Yokohama Rubber realigned its global off-highway tire business, with boosting production of its three main brands in India on its priority list.
Along with construction of the Visakhapatnam plant, which began in the third quarter of last year, the company is also increasing the capacity of its Dahej plant in Gujarat state. Its other plant is in Tirunelveli in Tamil Nadu state. (NNA/Kyodo)