Driven by strong sales of high-performance tires for SUVs and light trucks in the North American market, Sumitomo Rubber has decided to invest in increasing production capacity for passenger car tires and light truck tires at our factory in the United States.
With a planned investment of 96 Million USD, this capacity increase will see the factory’s daily maximum output in these tire categories increase from the current 6,500 tires per day to 12,000 tires per day by the end of 2023. At the same time, in response to increasing sales of truck and bus tires in North America, the company have also decided to invest 26 Million USD (Approx. 2.7 Billion JPY*) to increase production capacity in these categories at their USA Factory from the current 1,750 tires per day to 2,300 tires per day by the end of 2024.
In total, an investment of up to 122 Million USD will be allocated in order to augment production capacity and improve overall productivity at the group’s factory in the United States over the coming years.
The Sumitomo Rubber Group has continued to steadily expand sales of the FALKEN Wildpeak Series and other high-performance tires in the North American market under the FALKEN brand. The company’s decision to invest in augmenting production capacity at their USA Factory is not only in response to strong sales, but also reflects of their great confidence in the factory, which has made enormous progress in improving productivity over the past few years.
In addition to augmenting production capacity at their United States factory, the Sumitomo Rubber Group is also investing in updating production equipment at their factories in Thailand and Miyazaki (Japan) in order to shift toward increased overall production of tires for SUVs and light trucks. With this shift, these two factories will support the push to increase sales of SUV and light truck tires in North America by producing 4,150 of these tires per day by the end of 2023 (Thailand) and 1,600 of these tires per day by the end of 2024 (Miyazaki).