Hankook Tire to triple Chinese plants' capacity

SEOUL, South Korea (Jan. 14)—Hankook Tire Mfg. Co. Inc. will invest $250 million in its two Chinese factories by 2010, tripling annual production capacity to about 20 million units in a bid to boost sales in China to $580 million. To solidify its presence in China, Hankook also plans to set up distribution centers in six major cities and establish sports promotion and advertising programs. The first phase of the investment project will inject $100 million by 2004 when Chinese sales should reach $300 million. The second phase would occur in 2004-2010, helping to push sales to $580 million. Hankook's plants in China are: Hankook Tire Jiaxing Co. Ltd. in Jiaxing, and Jiangsu Hanook Tire Co. Ltd. in Jiangsu. Combined output last year was 6.3 million tires, good for a 2.5-percent market share.