US Kumho Plant Delayed But Still Going Ahead

Following October’s report that construction work on Kumho’s Georgia, US factory was being delayed due to the global economic downturn and reduced automotive industry output, media sources continue to indicate a postponement, but not a cancellation, of the factory’s completion.

On December 2 Reuters published comments from an anonymous Kumho official, who told the news agency “we are considering postponing the completion of the plant, given the global recession and the shakeup in the auto industry.” The Georgia based Macon Telegraph states a more definite timeframe for the plant’s completion, and reports that plans have been “pushed back about 9 to 12 months.” At a meeting of the Macon-Bibb Country Industrial Authority on December 1, attorney Kevin Brown said the company has committed to concluding the bond transactions with the authority before the end of year. “The good news is they are still coming,” Brown said.