Yokohama opens new passenger tyre plant in Hangzhou to boost capacity under rapid-build plan
Yokohama Rubber has officially opened a new passenger car tyre manufacturing plant in Hangzhou, China, marking a major step in its global production expansion strategy. The plant opening was celebrated with a formal ceremony attended by company executives and local representatives. Tire Review
This facility is the first to be completed under Yokohama’s “1-year plant” challenge, a core initiative of its medium-term management plan Yokohama Transformation 2026 (YX2026). The aim of this strategy is to build efficient, high-quality tyre factories within a compressed timeline of just 12 months, combining rapid construction with cost-efficiency. Construction began in December 2024 and production kicked off in November 2025, one month ahead of schedule under the plan’s aggressive targets.
The Hangzhou plant will produce up to nine million tyres annually once fully operational, an increase of about three million units compared with the older facility it replaces. The focus will be on delivering high-value tyres, including larger inch sizes and tyres tailored for new energy vehicles (NEVs) such as electric cars. Full-scale production is expected by the second quarter of 2026.
Yokohama’s strategy under YX2026 goes beyond speed of construction. The company is aiming to strengthen its position in key regional markets by tailoring product lines like the ADVAN and GEOLANDAR ranges, winter tyres, and larger diameter products to meet local demand. This aligns with broader trends that see Chinese tyre buyers increasingly prioritising performance, EV-ready specifications, and premium offerings.
The new plant also aligns with environmental and regulatory goals in Hangzhou, as it replaces an older facility at the request of local authorities to meet updated environmental standards. Tire Review
Editor’s View
For the tyre industry, Yokohama’s new Hangzhou plant highlights a critical trend: capacity growth geared toward electrification and premium tyres. As passenger car markets shift rapidly toward EVs and larger wheel sizes, tyre makers need localized, flexible production to stay competitive. Yokohama’s focus on EV-relevant products and larger inch tyres reflects this shift.
With China being the world’s largest passenger car and EV market, this plant gives Yokohama a stronger local footprint and faster supply chain responsiveness, which in turn pressures other tyre makers to boost their own capacity and product relevance. For the broader tyre ecosystem, this means increased competition but also potential collaboration on technology and supply networks that support the next generation of electric and performance vehicles.
