MANILA, Philippines — Japanese company Yokohama Rubber Co. Ltd. (YRC) is set to spend P3.5 billion for the expansion of its tire plant in Clark, according to the Clark Development Corp. (CDC).
In a statement , CDC said the investment would boost daily tire output of YRC subsidiary Yokohama Tire Philippines Inc. (YTPI)’s tire plant to 32,500, adding 1,800 tires per day.
CDC said the expansion plans were announced during a recent meeting with YTPI officials.
Citing information from YRC, CDC shared that the expansion plan includes a new production line for 21 and 22-inch tires.
It added that expansion work is set to commence in the second quarter, with the new lines expected to be fully operational in the second quarter of 2026.
CDC president and CEO Agnes Devanadera expressed optimism about the company’s expansion, highlighting Clark’s reputation as a preferred investment destination.
“CDC remains steadfast in its commitment to ease of doing business conducive to growth and innovation. Our collective efforts have solidified Clark’s standing as a premier investment destination. Moreover, we welcome YTPI’s decision to expand within our freeport,” Devanadera said.
As of Dec. 31, 2023, CDC’s Investment Promotions Division said that YTPI ranks as the second-highest exporter with $387.43 million and stands among the top six employers, providing jobs to 3,901 individuals.
Since its establishment in April 1996, YTPI has been producing 13 and 20-inch tires for global export, with the majority shipped to Europe, North America and the ASEAN.
YRC said the expansion aims to enhance its responsiveness to global tire demand, strengthening YTPl’s earnings through increased production of high-value-added, large-sized tires.
The company said its consumer tire business is working to increase sales of high-value-added Yokohama tires, including the global flagship Advan brand, the Geolandar brand of tires for SUVs and pickup trucks, winter tires, and 18-inch and larger tires.
FROM: PHILSTAR.COM