Kumho Tire Co. Inc.’s largest tire factory in South Korea was the site of a massive fire, and production at the plant was suspended due to the fire that broke out Saturday morning, according to Reuters.
A spokesperson told Reuters that the plant has the capacity to produce 12 million tires a year — which accounts for almost 20% of the company’s global capacity.
In an investors statement, Kumho said, "We are currently investigating the cirumstances of the accident and the extent of the damage, and our company, including executives, is working to minimize losses through prompt accident recovery and restoration."
It was not immediately known when production could resume at the factory.
"The direct and indirect losses due to the above fire are currently being confirmed. At this point, we are making every effort to recover from the accident and determine the cause, and at the same time, we will shorten the recovery period to minimize losses due to disruption in the operation of the process."
The plant, in Gwangju, produces passenger, TBR and aviation tires, according to Kumho. It is one of eight plants located in four countries. Kumho operates one factory in the U.S. — in Macon, Ga., which manufactures passenger tires.
Kumho had plans to expand its annual production capacity to 65 million units in 2025 — up from the 62.4 million units of capacity it had in 2023.
