Yokohama To Build New Off-Highway Tyre Plant in India

Published On 11-Sep-2020 18:51:46By TyreDekho Team

Construction for the new plant will start in the third quarter of 2020, and is scheduled to be completed in the first quarter of 2023

Yokohama To Build New Off-Highway Tyre Plant in India

The Yokohama Rubber Co., Ltd., announced on Friday that it will build a new plant in India’s Special Projects Zone, Atchutapuram Industrial Park, Visakhapatnam, Andhra Pradesh. It will expand production capacity of ATG (Alliance tyre Group), a Yokohama Rubber Group company engaged in the manufacturing and sale of off-highway tyres, such as those used on agricultural and other equipment, said the tyre maker in a release.

The new plant will have a daily production capacity of 55 tons (rubber weight), with planned capital investment totaling US$165 million. Construction will start in the third quarter of 2020, and the new plant is scheduled to come on line in the first quarter of 2023, added Yokohama.

ATG currently has two tyre plants in India—the Dahej Plant in the state of Gujarat and the Tirunelveli Plant in Tamil Nadu. The plants produce all three of ATG’s core off-highway tyre brands—the ALLIANCE, GALAXY and PRIMEX brands—which are used on agricultural, construction, industrial and forestry machinery.

The company says that with the global demand expanding, Yokohama Rubber launched a project to expand the capacity of its existing line at ATG’s Dahej plant in February 2018. Upon the project’s completion, capacity has been increased 1.6-fold. However, expectations for further increases in demand for ATG’s off-highway tyres led to the decision to build an entyrely new plant.

The Atchutapuram Industrial Park is located in the state of Andhra Pradesh in eastern India. It is also near the port of Visakhapatnam, which makes it an advantageous location for exporting finished products. The new plant’s site has a total area of about 320,000m2, which provides plenty of room for future expansion.

The new plant in India will expand the Yokohama Group’s global off-highway tyre production network to eight plants in four countries, including three in India, one in Israel, one in Vietnam, and three in Japan. Global off-highway tyre daily production capacity will increase to 480 tons (rubber weight). Going forward, the Group will continue to strengthen its global competitiveness in the off-highway tyre sector.

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