Federal invests in production increase

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Federal Corp. is investing $30 million in its Jiang Xi, China, facility in order to double the plant's capacity to five million units a year by the end of 2005.

"Most of the investment will go towards the purchasing of curing, tire building, uniformity checking equipment and mixers," say Federal officials.

Federal says it is increasing the size of tires made at the facility, which produces Federal and Hero brand ultra-high performance, light truck and SUV tires.

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