South Korea ’s Kumho Asiana Group, which has businesses ranging from airlines to property, plans to invest an additional US$100 million in tire manufacturing in Vietnam.
Kumho Tires Vietnam will expand its tire plant in the southern province of Binh Duong to increase annual capacity from 3.15 million to 5 million units.
The company, among the world’s top 10 tire makers, built the plant five years ago at a cost of $200 million. It now accounts for 40 percent of Vietnam’s tire exports.
Korea Times quoted Kumho Asiana chairman Park Sam-koo as saying the group plans to strengthen its presence in Vietnam where it also has interests in construction, airlines, and others.
Vietnam is a significant target market, he said.
South Korea has been the fourth biggest investor in Vietnam in the past 25 years with a total of $25.73 billion.
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