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April 08, 2013 02:00 AM

Toyo forms tire subsidiary in Thailand

European Rubber Journal Report
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    OSAKA, Japan—Toyo Tire & Rubber Co. Ltd has established a tire sales subsidiary in Thailand as part of the company's Asia growth strategy for its tire business unit.

    The company, called Toyo Tire (Thailand) Co. Ltd, will be headquartered in Bangkok and will employ 11.

    Toyo said the car market in the southeast Asia region has grown rapidly in recent years, similar to the Chinese market, propelled by construction of new plants and the development of manufacturing facilities by the world's major car makers. Toyo said Thailand is Southeast Asia's largest car marker. In February, the volume of cars sold grew by more than 40 percent over the previous year, the company said.

    Toyo has sold its tires through local distributors but has established a local sales subsidiary in order to capture a greater share of the demand in Thailand, the company said.

    The subsidiary will sell tires imported from Japan, along with tires supplied by Toyo Tire Malaysia Sdn Bhd, Toyo's new tire plant in Malaysia, scheduled for completion in May.

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