Yokohama Rubber to invest US $380M in Coahuila tire plant

Foreign investment in Mexico continues to arrive as tire manufacturer Yokohama Rubber announces a US $380 million investment to build a passenger car tire plant.

Yokohama Rubber’s announcement adds to recent investments in the automotive industry by Chinese tire manufacturer Sailun Jinyu Group and Canadian Magna International.

The new plant, located in the northern city of Saltillo, Coahuila, is expected to begin construction in Q2 of this year and production in Q1 of 2027, with an annual output of 5 million tires.

“This is a clear signal that Yokohama is committed to the North American market,” said Jeff Barna, president and CEO of Yokohama Tire Corporation, the company’s North American branch. “The increased production capabilities will supplement existing global capacity for tires destined for our region,” Barna added.

The new plant will reportedly have access to a major rail line and highway, enabling the timely supply of tires to customers across North America. It will be built on a 610,000-square-meter site, Alianza Industrial Park, and allow for future expansions.

Yokohama Rubber’s new three-year (2024 to 2026) medium-term management plan, Yokohama Transformation 2026, focuses on maximizing the sales of high-value-added tires by expanding the global sales of its flagship brands: Yokohama, Advan, and Geolandar (designed for pickup trucks).

A cityscape of Saltillo, Coahuila
Saltillo, Coahuila, is a popular destination for foreign manufacturing companies looking to establish operations in Mexico. (Sachavir/Wikimedia)

Additionally, the plan includes “Regional and Product Strategies” to enhance the development, supply, and sales of tires tailored to specific trends in each regional market.

Yokohama Tire Corporation is the North American manufacturing and marketing arm of The Yokohama Rubber Co., Ltd., based in Tokyo, Japan. The company has been a global manufacturing and sales leader in premium tires since 1917. It is one of the oldest companies in the automotive sector in Asia and is the result of a joint venture between Yokohama Cable Manufacturing and B.F. Goodrich.

With an extensive sales network throughout the U.S., the company’s product line includes tires for high-performance vehicles, light trucks, passenger cars, and commercial trucks and buses.

With reports from Milenio

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