Hankook suspends operations at South Korea plant after fire

SEOUL, South Korea—Hankook Tire & Technology Co. Ltd. has suspended production of tires at its manufacturing facility in Daejeon, following a major fire that broke out at the South Korean plant on March 12.

In a March 13 stock market filing, Hankook said the fire-hit plant generates about 16.5 percent of its annual sales, amounting to over $765 million.

Last year, the South Korea-based tire manufacturer reported annual revenues of about $6.1 billion.

The fire, Hankook said, broke out at the curing process area, but local press quoting fire department officials report that it soon spread to a nearby storage area due to strong winds.

According to press reports, 210,000 units of tires were burned during the fire that lasted for 13 hours.

In its announcement, Hankook said it is currently examining the details of the accident and the direct and indirect losses due to the fire.

"We are working to minimize losses by promptly handling and recovering from the accident, (supported) by employees, management and executives," it said.

Hankook will disclose the expected date of resuming production and other changes as soon as the details are finalized.

In a brief statement to European Rubber Journal, Hankook confirmed that the fire has been put out and that 11 people had suffered from minor injuries due to "inhaling smoke."

"They have immediately been taken to hospital, sent home after (being) diagnosed that there have been no serious (health effects)," Hankook said.

The tire plant, it added, is "completely shut down at the moment."