Nexen Breaks Ground in Czech Republic
Nexen Tire Corp. is taking another step forward in the European market with the groundbreaking of its new plant in Zatec, Czech Republic.
Nexen plans for the plant to be operational by 2018 and then to gradually increase its annual production capacity to more than 12 million units. It is expected that the new plant will create more than 1,000 jobs in the region.
“The new plant in the Czech Republic is our second manufacturing facility outside Korea, after the one in Qingdao, China," says Nexen Chairman Kang Byung-Joong. "It will serve as significant momentum for the company to make another leap forward. I think it will provide a great opportunity to become a global top player amongst the world’s tire manufacturers by strengthening our presence in the European market.”
The construction of the new plant in Zatec will help meet the growing demands of the European market, the tire company says, and ensure a stable supply of original equipment (OE) tires for global car manufacturers, including Volkswagen, Renault, Skoda, SEAT, and others.
The Czech Republic serves as a bridge to the Eastern European market, which has been emerging as a promising market for the rest of Europe, and the country also provides easy access to the biggest European markets, such as Germany, France, and the UK.
In addition, Zatec, where the new plant is located, features many favorable attributes, including a large stable workforce. Currently, there are approximately 30 car manufacturers within a 400 km radius of Zatec.
Nexen Tire has been supplying OE tires for various European car manufacturers’ models, including Fiat’s 500X and Ducato, Renault’s Twingo and Volkswagen’s Caddy. The company also executes various marketing activities in order to strengthen its brand awareness and increase sales in the European market, such as signing an official sponsorship with Manchester City Football Club and participating in the IAA Frankfurt Motor Show 2015.
The company invested more than 829 million euros to build the plant on 650,000 square meters of land in Zatec.
For more information, please visit http://www.nexentire.com.