Bridgestone to Expand OTR, Steel Cord Output with £188 milion Investment

Bridgestone Corporation has announced plans to invest 24 billion yen (£188 million; 211.7 million euros, US$296 million) in expanding production capacity of its Kitakyushu Plant. According to the company, Bridgestone is making the move to address “the continuing increases in global demand for large and ultra-large off-the-road radial tyres used on construction and mining vehicles.” Bridgestone will also expand production of the steel cord used in large and ultra-large OTR tyres manufactured at its Saga Plant. Post expansion production is scheduled to begin from January 2013. Production capacity at the Kitakyushu Plant is scheduled to increase to 130 tons per day when the expansion is completed in the second half of 2013.

Due to increasing global demand for mineral resources, requirements for OTR tyres are expected to continue in the medium-to-long term. “Because of the growth we saw in the market, Bridgestone initiated a second phase expansion of production capacity at the Kitakyushu Plant in April 2010, following on from its start-up of operations at the plant in June of 2009. Bridgestone is now implementing a third phase expansion of production in order to meet the growing needs of its customers,” the company said in a statement.

In addition to meeting the global needs of Bridgestone’s customers, the Kitakyushu plant will reportedly be the environmental model for future Bridgestone factories by incorporating designs and construction methods that minimize the plant’s impact on the environment. The plant will help conserve energy by using solar panels, making use of natural light in the factory thereby limiting the need for electric lighting and reducing paper consumption by using an electronic paper product developed by Bridgestone.

Key facts about the Kitakyushu Plant
Location:  2-2-2, Hibiki-cho, Wakamatsu-ku, Kitakyushu City, Fukuoka Prefecture
Products produced:  large and ultra-large off-the-road radial tires for construction and mining vehicles
Plant director:  Akio Oobayashi
Start of production:  June 2009
Number of employees:  253 (as of June 2010)
Production capacity (volume of new rubber):  Approximately 80 tons/day*
    (*scheduled capacity by second half of 2012)

Key facts about the Saga Plant
Location:  2100, Tsutsumi, Kamimine-cho, Miyaki-gun, Saga Prefecture
Products produced:  Steel cord
Plant director:  Yoshiaki Yamada
Start of production:  March 1982
Number of employees:  470 (as of June 2010)
Production capacity:  Approximately 240 tons/day (as of June 2010)

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