TOKYO—Nexen Tire Corp. has established a sales subsidiary in Japan to handle its growing replacement tire business there, and to reinforce its OE supply relationships with Japanese automobile manufacturers.
The company, Nexen Tire Japan Inc., is a 51/49 joint venture with Toyota Tsusho Corp., the trading arm of Japan's Toyota Group that is involved mainly in exporting cars and automotive parts.
The two companies began discussing a cooperation in June 2015, Nexen said, and those talks progressed into signing of the shareholders' agreement to establish the venture.
Nexen Tire Japan begins its sales of Nexen-brand products this month with CEO Ryu Nishimura at the helm of the new company.
Nexen Tire aims to bolster Nexen Tire's brand awareness and boost its sales in the Japanese market by leveraging Toyota Tsusho's brand awareness and distribution network,