ZC Rubber Invests US$500 Million in New Tire Facility in Coahuila

Leading global tire manufacturer ZC Rubber celebrated the groundbreaking ceremony on its third overseas manufacturing facility, located in Saltillo, Coahuila. The facility represented an investment of over US$500 million and is a crucial step in ZC Rubber’s global expansion strategy, underscoring its commitment to meeting the rising demand for tires in North and Latin America.

The facility will be strategically located in the Alianza Industrial Park, just 250km from the Mexico-US border. Spanning about 600,000m2, this state-of-the-art facility is set to become a major production hub in the Americas.

The first phase of the project, expected to be operational by the end of 2025, will have an annual production capacity of 13.5 million Passenger Car Radial (PCR) tires and 50,000 tons of Off-the-Road (OTR) products. This increased capacity will significantly benefit both the North and Latin American markets, providing customers with more efficient, high-quality products and services.

The construction of the Saltillo factory will incorporate cutting-edge design and digital production techniques, leveraging next-generation information technology to create a highly automated, flexible, and energy-efficient large-scale tire production base. This facility is designed to meet the rigorous demands of modern tire manufacturing, ensuring that ZC Rubber continues to lead in quality and innovation.

In addition to manufacturing, the facility will house a North American warehouse center, which will greatly enhance logistics efficiency and service capabilities. This center is set to become a key distribution hub, enabling ZC Rubber to deliver products more swiftly and reliably across the Americas, strengthening the company’s supply chain and customer service. The company anticipates that this expansion will foster closer relationships with its partners and drive mutual growth and success.

“We believe that with the operation of the new factory, ZC Rubber's competitiveness in the Americas market will be further enhanced,” says Haoyu Shen, Vice President, ZC Rubber. “We look forward to working closely with our partners to embrace the vast prospects of the Americas market and achieve mutual benefit and win-win results.