South China Tire & Rubber to Expand Tyre Production
Tyre & Accessories has learnt that Guangzhou South China Tire & Rubber Company (SCTR) is planning to build a new factory in July 2004. The move comes as part of the company’s plans to increase production of its popular Wanli tyres. At the moment the company produces around 4.85 million tyres of which two-thirds are radial tyres. The expansion will see production levels increase by
One party that will benefit from SCTR’s expansion plans is large-scale distribution company, Deldo. The Belgian distributors already purchase between 1.3 and 1.4 million tyres from Wanli. “We could sell more of these tyres, but the Chinese source is already at capacity,” said Deldo general manager, Jos Delcroix. The Chinese company’s expansion plans come in response to this kind of demand. In terms of tyres sales, the new factory’s increase in volume could equate to between three and four million tyre sales for Deldo over the coming four years.
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