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October 27, 2015 02:00 AM

Cheng Shin Rubber plans tire, tube plant in India

Tire Business Report
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    GUJARAT, India—Taiwan's Cheng Shin Rubber Co. Ltd. is planning to build a plant in India to make tires and tubes for two-wheelers, with production expected to begin in early 2017.

    Cheng Shin is budgeting $400 million for the plant, where it is planning a capacity of 20,000 tires and tubes daily. The plant will be built in the Sanand Industrial Estate near Ahmedabad in India's Gujarat Province.

    Cheng Shin Chairman Tsai-Jen Lo met recently with Gujarat Chief Minister Anandiben Patel in Gujarat to cement plans for the plant, according to local media reports.

    Cheng Shin, the No. 9 tire maker worldwide with 2014 sales of $4.44 billion, has secured a 106-acre plot of land for the plant in the industrial estate, where it will employ about 2,000 at full capacity.

    The plant will be Cheng Shin's first in India and 11th overall. The Taipei, Taiwan-based tire company, also known as Maxxis International, has plants in China, Taiwan, Thailand and Vietnam.

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