Yokohama Rubber Co. Ltd. achieved sales of $1.6 billion during the first quarter of 2024, a 91% year-over-year increase.
The Tokyo, Japan-based company also generated $159 million in business profit during 1Q 2024, a 102.6% jump from the same period in 2023.
Both were record-high first quarter numbers for Yokohama, which reports that its tire profit margin rose “sharply” during the first three months of the year.
“Fiscal performance in Yokohama Rubber’s Tires segment benefited from the May 2023 acquisition of Trelleborg Wheel Systems Holding AB, which now operates as Y-TWS (Yokohama-TWS); from declines in raw material costs and logistics expenses; and from the weakening of the yen against other principal currencies,” according to Yokohama officials.
New plant plans
During the first quarter, Yokohama announced plans to build a new consumer and light truck tire plant to serve the North American market.
The plant will be located in Saltillo, Mexico, and will represent an initial capital investment of $380 million.
Construction on the 150-acre site is scheduled to begin during the second quarter of 2024.
Tire production is expected to start in early 2027, with a planned annual production of five million tires.
“This is a clear signal that Yokohama is committed to the North American market,” said Jeff Barna, Yokohama Tire Corp. (YTC) president and CEO, at the time of the announcement.
“The increased production capabilities will supplement existing global capacity for tires destined for our region."
Yokohama’s other North America zone consumer tire plant is located in Salem, Va.
The company also has a medium truck tire plant in West Point, Miss., and two specialty tire plants in North America – one in Charles City, Iowa, and another in Spartanburg, S.C.
New Geolandar
Last week, YTC announced a major expansion of its popular Geolandar light truck tire line with the addition of the all-terrain Geolandar A/T4 G018.
The new tire, which replaces the Geolandar A/T G015, is engineered for trucks, SUVs and CUVs.
It goes on sale in the United States on July 1 and will be available in over 100 sizes, fitting wheels ranging from 15 inches to 22 inches in diameter.
The Geolandar A/T4 G018 is 3-Peak Mountain Snowflake-certified and has a dual-sidewall design, among other features.
