WEIFANG, Shandong—Sailun Group Co. Ltd. started up its new radial tire plant in Weifang, Shandong province on June 27.
Located in the city's Zhucheng Economic Development Zone, the plant is able to make 6 million units of passenger car tires and 1.5 million units of truck and bus tires each year, the company said.
The facility formerly was owned by bankrupt tire manufacturer Anchi Tyres. Sailun paid $31 million to acquire Anchi's assets in January.
Sailun said it invested $111 million to upgrade the facility into a smart factory. It completed the project two months ahead of schedule.
The new plant has created 1,380 new jobs, and will be able to generate $21 million in annual net profit on $303 million in sales when in full operation, the company said.
Passenger car tires made at the plant will sell to China's domestic market, while truck and bus tires will target South America (Brazil and Columbia) and Southeast Asia (Thailand, Malaysia and Vietnam,) Sailun said.