Goodyear adds 50% capacity at China tire plant

Goodyear has broken ground on a $485 million expansion of its Pulandian, Dalian, tire factory, which—when completed in 2020—is expected to increase the plant’s annual capacity by about 5 million tires.

Goodyear said the expansion will enable it to meet growing demand for premium, large-rim-diameter consumer tires in China and the Asia Pacific region. By 2020, tires with rim diameters of 17 inches or greater are anticipated to account for nearly 60 percent of the tire maker’s replacement tire sales volume in China.

“This investment in our Pulandian factory speaks to our long-term strategy of pursuing sustainable growth in the Asia Pacific region and increasing Goodyear’s presence in high-value segments of the global tire market that are growing at rates above the total industry where we can capture the value of our brand,” Richard Kramer, Goodyear chairman, president and CEO, said in a statement.

Kramer took part in a groundbreaking ceremony with Lu Lin, deputy mayor of Dalian.

“The city of Dalian has been supportive of our developments here, and we look forward to continuing this fruitful partnership.”

Goodyear first began manufacturing tires in Dalian in 1994 when it acquired majority control of the then Dalian General Rubber Factory. The company moved production to the current factory in 2012 and opened its new China Development Center on the Pulandian campus last year in order to increase the speed and efficiency of tire development for China-based auto manufacturers.

While Goodyear does not release figures, Rubber & Plastics News estimated in this year's Global Tire Report that the plant has 1,900 employees and has a current capacity of 31,000 units per day. The plant manufactures auto, light truck and truck/bus radial tires.