Bridgestone to Expand Capacity at Two Asian Facilities

According to a statement released by Bridgestone on August 22, the company’s subsidiary Bridgestone India Private Limited (BSID) has taken the decision to expand production capacity at its passenger car and light truck radial plant in the city of Indore. This expansion is deemed necessary to meet burgeoning demand fuelled by a booming domestic market. The Japanese tyre major also stated that its Indonesian subsidiary, P.T. Bridgestone Tire Indonesia (BSIN), will increase production capacity at its passenger car and light truck radial facility in Karawang, east of Jakarta. This planned expansion comes in response to growing demand, primarily from export markets.

The Indore plant began volume production in 1998, manufacturing passenger car and light truck radials for the domestic market, and with vehicle ownership in India skyrocketing during the subsequent nine years BSID forecasts a continued strong demand for its tyres, particularly in larger diameter rim sizes. To accommodate this domestic market appetite for Bridgestone tyres BSID has opted to invest 6 billion yen (£26.4 million) expanding production capacity at its Indore plant from its current 4,500 tyres per day up to 15,000 daily by 2010.

BSIN’s Karawang plant started production in 1999, supplying both the Indonesian and overseas markets with passenger car and light truck radials. The planned capacity expansion will be largely directed at the facility’s high performance tyre lines, and will, according to Bridgestone, strengthen its position as the Bridgestone Group’s supply source of strategic product. Approximately ¥15.5 billion (£68.2 million) will be spent on the project, with daily production capacity projected to increase by 8,400 tyres to a total of 27,000 units by 2010.