Dunlop Aircraft to Expand With New Retreading Facility in China
Birmingham-based Dunlop Aircraft Tyres has signed a Memorandum of Understanding with Hong Kong Aircraft Engineering Company Limited (HAECO) and Taikoo (Xiamen) Aircraft Engineering Company Limited (TAECO) to establish a tyre retreading facility in Jinjiang, Fujian Province, China. It is intended that a joint venture will be formed with Dunlop Aircraft Tyres as the majority partner and the new facility to be operational in early 2009.
The new follows AAC Capital Partners’ (formerly the private equity business of ABN Amro) acquisition of 74.6 per cent of Dunlop Aircraft Tyres in May this year. The most recent announcement shows that predictions that the expansion in China would come to fruition 12 – 18 months after the sale are right on track. However, at the time of the sale of 74.6 per cent of Dunlop Aircraft Tyres in May, there were also suggestions of expansion in the US. No mention of the progress of these plans has yet been made.