SHIYAN, China—Qingdao Doublestar Co. has plans to relocate its subsidiary, Doublestar Dongfeng Tire, within Shiyan and upgrade it into a smart factory.
The new plant, with planned annual capacity of 1.5 million unit truck and bus tires and 5 million unit passenger car tires, will be relocated to Zhangwan District Industrial Park in the same city. The new site has 3.23 million square feet.
Doublestar is planning a $237 million investment into the new plant, and expects it to generate $22.3 million annual profit on $475.2 million revenue when on stream, according to a statment released in December. Construction of the project will take 18 months.
The firm also said it plans to set up a smart plant for scrap rubber recycling at the new site, according to the Shiyan government website.
In February, Doublestar said that the old facilities have a total net worth of $28.5 million.