Toyo Tire & Rubber Co. Ltd. says it will be manufacturing and supplying high-performance plastic CV joint boots in Thailand.
The company’s goal with the move is the global growth and expansion of its Diver-Tech Business Segment for auto components.
With the rapid expansion of the automobile market in Asia, car makers are ramping up production in the region, and production volume is expected to continue increasing, particularly in Thailand. At the same time, in order to boost their price competitiveness in this market, car manufacturers are also aggressively implementing a policy of procuring parts locally.
Against the backdrop of this business environment, Toyo Tires has already planned to begin sales of anti-vibration rubber for automobiles at Toyo Rubber Chemical Products (Thailand) Ltd. (TCT), which was established in December 2011. Now the company has decided to begin manufacturing and supplying high-performance plastic CV joint boots used for automobile driveshaft joints.
The company will boost its capital investment in TCT and establish a manufacturing base for plastic CV joint boots in Amata Nakorn Industrial Estate in an effort to optimally supply products to automobile and driveshaft manufacturers in Thailand.
Toyo Tires says it will aim to further boost the profitability of its Diver-Tech Business Segment through flexible and effective use of the company’s management resources as well as strategic business expansion efforts in growth markets.