YTPI president Seiji Andrei Takai told Clark Development Corp. (CDC) president Emmanuel Y. Angeles of their plan to boost production by 25 percent, infusing ¥2 billion (more than $16.6 million).
Angeles was informed that the expansion program of Yokohama will commence this month, increasing production from two million tires a year to 2.5 million.
According to Yokohama, the step-up production of 16-inch and large high-performance car tires and of recreational vehicle tires was due to the growing demand in the international market.
The Clark tire firm is currently manufacturing passenger tires of 13 to 16 inches. By yearend, 16 inches and larger models and recreational vehicle tires should account for about 30 percent of production. The upgrade will entail the construction of new facilities on that company’s current property.
Yokohama in Clark was established in April 1996, with full production peak being reached in January 1998 and has been profitable since.
The new facilities will also feature highly efficient production lines that simply categorize models and sizes. About 90 percent of its production is exported to Europe, the Middle East, and other ASEAN nations. The remaining production is supplied for the aftermarket and Japanese automakers in the country.
Takai also said that Yokohama has about 560 workers inside the zone.
Angeles said the Yokohama expansion program is a manifestation of continued progress and the investor’s confidence in the sound business policies being implemented inside the zone.
More companies are expected to expand operations this year such as the biggest air cargo delivery United Parcel Service (UPS), Cyber Teleservices Inc., Luen Thai Philippines (LNT Phils.) and several manufacturing firms due to the improved operations generated last year, Angeles stressed.