QINGDAO, China—Shandong New Continent Tire, a fully owned subsidiary of China's passenger car tire and carbon black maker Shandong Yinbao Tyre Group, signed a contract with Qingdao local authorities in August to build a new conveyor belt plant.
To be located at Xinhe Eco-Chemical Park in Qingdao, the plant has a total area of about 2.2 million square feet and an earmarked investment of $176 million.
The production unit has planned capacity of 1.1 billion square feet per year of high tenacity belt, and will become "the world's largest conveyor belt plant," according to local authorities. The plant will sell to dozens of overseas markets such as Europe and North America and expects to generate $366 million in annual sales when online.
SNC already has facilities at its base city of nearby Linyi that have been making passenger car tires under the labels of Comforser and Roadcruza since 2012.
Parent company, Yinbao, also has another subsidiary Delun Rubber with an ongoing passenger car tire project in Chuzhou Anhui.