Yokohama Rubber has decided to increase production capacity at its new Visakhapatnam Plant, which is currently under construction. An additional investment of USD 171 million has been announced to extend the production area of the plant from 55 tons (rubber weight) to 123 tons.
Yokohama Rubber Seeks Commercial Growth in Off-Highway Tyre Market
In 2021 Yokohama Rubber took a big step to consolidate its off-highway tyre (OHT) market by having Alliance Tire Group (ATG), a Yokohama Group company specialise in OHT tyres to ensure a strong, integrated global OHT presence under the Yokohama name In India. Yokohama has been steadily building a presence with two plants – the Dahej Plant, in the state of Gujarat and the Tirunelveli Plant in Tamil Nadu already producing three OHT tyres for the company. The Alliance, Galaxy and Primex brands are used on agricultural, construction, industrial and forestry machinery. As the global OHT demand expands, Yokohama has taken heed and expanded production at the Dahej Plant, while planning the construction of the new Visakhapatnam Plant for the third quarter of 2020. The extension of the company’s third plant is being built on a site spanning 390,000m2, with an additionally acquired 70,000m2, as well as room for future extension in the future. The increase in size means the second stage of operations will be scheduled to start in the first quarter of 2024.
Yokohama Rubber’s medium-term management plan, Yokohama Transformation 2023（YX2023), includes a commercial tyre strategy that positions the Group’s OHT business as a future growth driver. The Group plans to expand its OHT business by capitalising on the strength of a multi-brand line-up that includes the Alliance, Galaxy, Primex, and Aichi brand OHTs to develop new markets and meet diverse customer needs. At the same time, the Group is increasing its OHT production capacity to further accelerate the strengthening of its competitiveness in the global OHT market.