Saudi Arabia's First Tire Plant Is Expected to Begin Construction in 2024

Saudi Arabia's first tire factory is about to start construction, media reported recently.

The site for the new plant is the city of Yanbu, one of Saudi Arabia's main industrial bases. The plant plans to invest 1.4 billion euros. Its designed annual capacity is 15 million car and truck tires.

The project will be confirmed in the fourth quarter of 2023 and no later than the first quarter of next year. Construction will begin in mid-2024. Tire World has learned that the project is sponsored by Saudi Blatco.

In January 2022, the company signed a memorandum of understanding with Kumho Tire.

The two sides plan to reach technical cooperation to produce some Kumho Tires at the new plant. The person in charge of Saudi Blatco recently said that the details of the cooperation are still in the negotiation stage.

The contract with Kumho has not yet been signed, but it is expected to be completed by the end of this year.

Data show that Saudi tire market demand, about 25.36 billion yuan.

The country imports a significant amount of tyres from China, followed by Japanese tyres.

(Information was gathered from http://www.tireworld.com)