Saturday, October 5, 2013
Sumitomo Rubber Eyes 10% Brazilian Share With Local Plant
CURITIBA, southern Brazil (Nikkei)--Sumitomo Rubber Industries Ltd. (5110) seeks to lift its market share in Brazil from about 3% at present to at least 10% by 2020 with a new automotive tire factory there, its first production site in Central and South America.
The 500,000 sq. meter plant in Fazenda Rio Grande, in the state of Parana, opened Thursday with a 500-strong workforce slated to triple to 1,500 by 2015. It cost 750 million reais, or about 33 billion yen.
Sumitomo Rubber now exports tires to Brazil, the world's fourth-largest automobile market. By launching local production, it aims to swiftly meet rising demand as the country takes to the car.
The company plans to raise the new plant's capacity to 15,000 units a day by the end of 2015 -- a year sooner than the original timetable.
(The Nikkei, Oct. 5 morning edition)