Yokohama invests additional P3.5B for Clark operations
CLARK FREEPORT — Yokohama Rubber Co., Ltd. (YRC) is set to invest a substantial 3.5 billion pesos (about ¥8.4 billion) in its Clarkbased tire plant, Yokohama Tire Philippines, Inc. ( YTPl ) .
The expansion was announced during a meeting between Clark Development Corporation (CDC) and YTPI officials on January 25, 2024.
The project will boost daily tire output to 32,500, adding 1,800 tires per day.
CDC President and CEO Agnes Devanadera expressed optimism for the venture.
She underscored Clark's reputation as a preferred investment destination.
"CDC remains steadfast in its commitment to ease of doing business conducive to growth and innovation. Our collective efforts have solidified Clark's standing as a premier investment destination. Moreover, we welcome YTPI's decision to expand within our vibrant Freeport," Devanadera said. The plan includes a new production line for 21- and 22inch tires, per YRC's recent news release.
“Expansion work is set to commence in the second quarter of 2024, and the new lines are expected to be fully operational from the second quarter of 2026, when YTPI marks its 30th founding anniversary,” according to YRC’s news r el ease.
As of December 31, 2023, CDC's Investment Promotions Division reported that YTPI ranks as the second-highest exporter with US $387.43 million and stands among the top six employers, employing 3,901 individuals in this
Freeport. Since its establishment in April 1996, YTPl produces 13–20-inch tires for global export, with the majority shipped to Europe, North America, and the ASEAN region for use as replacement tires.
The expansion aims to enhance YRC’s responsiveness to global tire demand, strengthening YTPl's earnings through increased production of high-valueadded, large-sized tires, the YRC’s stated.
YRC’s consumer tire business focuses on boosting sales of high-value-added Yokohama tires, including the ADVAN and Geolandar brands, by strengthening tire development, production, supply, and sales operations in each region.