Yokohama Rubber has unveiled plans for a cutting-edge facility dedicated to producing passenger car tires in Mexico, marking a pivotal move to boost its supply capabilities across North America. With an investment of $380 million (around ¥52.1 billion), the project targets an impressive annual production capacity of 5 million tires.
Construction is slated to commence in the second quarter of 2024, with operations expected to go live in the first quarter of 2027. Spanning over 610,000 square meters in Coahuila, this location was carefully chosen for its scalability, ensuring Yokohama’s readiness to meet future market demands.
The establishment in Coahuila, strategically positioned near key railway lines and expressways, underscores Yokohama Rubber’s dedication to a principle of localized production meeting localized demand—a critical approach to swiftly catering to the North American market’s burgeoning tire demand.
This move aligns with Yokohama Rubber’s forward-looking consumer tire strategy within its Yokohama Transformation 2026 (YX2026) medium-term management plan. The strategy focuses on enhancing the sales mix with high-value-added products, spotlighting the premium ADVAN brand, GEOLANDAR tires for SUVs and pickup trucks, specialized winter tires, and models exceeding 18 inches in diameter.
Additionally, the company reaffirms its commitment to regional market-specific ‘Product and Regional Strategies,’ concentrating on the ideation, production, and distribution of tires designed to match distinct regional preferences and trends.
The new tire manufacturing facility in Mexico marks a pivotal advancement in Yokohama Rubber’s ambition to adapt and thrive within the competitive tire industry landscape. This expansion not only aims to solidify Yokohama Rubber’s position as a leader in tire innovation and customer service but also reflects its strategic foresight in navigating the complexities of global market demands.
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