Hankook Tires subsidiary PT Hankook Tires Indonesia plans to launch operations at its Indonesian plant in Lippo Cikarang, Bekasi, West Java, in the fourth quarter of this year.
The $353 million plant, built last year, is slated to produce some 30,000 tires by the end of this year, increasing its output to 4 million tires in 2013 and 6 million in 2014, according to Jae Bum Park, Hankook’s ASEAN and India marketing and sales vice president.
“The tires produced this year will be exported to the United States, but later next year, our products will be sold in other countries,” he said.
Of the total output, 10% will be allocated to the domestic market with the remainder sold overseas, particularly to ASEAN states, the Middle East and North America.
Hankook’s senior manager for plant management, Yong Seop Hyon, said the tiremaker would soon be continuing with the next phase of the facility’s construction in Bekasi as part of a total investment of $1.1 billion through 2018, when it aims to produce 16 million tires annually.