Major Japanese tire and rubber maker Yokohama Rubber Co. will inject 11 billion yen ($105 million) into its plants and other facilities in India in 2020 to increase output and sales of tires for industrial use.
Yokohama Rubber will invest in the facilities of Alliance Tire Group K.K., its wholly owned subsidiary producing "off-highway tires" for industrial vehicles, and agricultural and construction machinery, hoping to increase the subsidiary's sales to 110 billion yen by 2025, a 55 percent increase from 2019, according to the company.
The investment will focus on Alliance Tire Group's Indian plants, a Yokohama Rubber spokesman told NNA on Thursday, adding that the money will be used "to introduce new machines as well as to update, repair, and replace the existing ones."
Alliance Tire Group, previously a Dutch company, was acquired by Yokohama Rubber in 2016. The subsidiary, which currently has two plants in India and one in Israel, sells around 40 percent of its production to North America and another 40 percent to Europe.
Yokohama Rubber has another subsidiary in India producing tires for passenger cars. (NNA/Kyodo)
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