Latest news with #KumhoTire
Korea Herald
16-07-2025
- Automotive
- Korea Herald
Kumho Tire union slams relocation, delays recovery plan
Korea's second-largest tire manufacturer, Kumho Tire, is facing a labor dispute over its yet-to-be-announced recovery plan following a major fire at its Gwangju plant in May, raising concerns over when the company will restore full production capacity in the city. On Wednesday, the Kumho Tire chapter of the Korea Confederation of Trade Unions announced it would stage a protest in front of the company's Seoul office on Thursday, criticizing management for reportedly seeking to scale down domestic production as part of its post-fire recovery plan. 'The union found that Double Star — Kumho Tire's largest shareholder, based in China — is planning to build a new plant in Korea with an annual capacity of 3.5 million tires, which is smaller than the current Gwangju facility, while fast-tracking a new 6 million-unit plant in Europe,' the union said. 'We began talks over the plan on June 30 and have protested since, but the company has shown no signs of changing it.' Since the 76-hour fire broke out on May 17, severely damaging the Gwangju No. 2 plant, Kumho has yet to present a clear recovery plan. Operations at both the damaged facility and the adjacent, unaffected No. 1 plant have remained suspended. This has fueled speculation about the company's future production plans — whether it will restore the Gwangju plant, relocate to Hampyeong in South Jeolla Province, or shift production overseas. Separately, Kumho Tire has been considering its first European plant to strengthen its presence in the region, which accounts for around 25 percent of its total revenue. Poland, Serbia and Portugal were shortlisted as candidate sites a month before the Gwangju fire. The union is demanding that the company prioritize restoring the Gwangju plant's original annual capacity of 12 million tires before pushing forward with overseas expansion. In regulatory filings, however, Kumho Tire said no decisions had been made regarding a potential relocation to Hampyeong or a new European facility. 'The recovery road map is under discussion with the labor union and is expected to be announced within July once it is finalized,' a company official said. As differences persist between the company and the union over the recovery road map, the announcement, initially planned for early July, is expected to be further delayed, likely slowing the overall recovery process as well. Meanwhile, the suspension of production at the Gwangju plants, which account for 20 percent of Kumho Tire's total global output, is expected to affect the company's performance starting in the second half of 2025, as domestic inventory runs low, according to Daishin Securities.
Yahoo
14-07-2025
- Automotive
- Yahoo
KUMHO TIRE U.S.A. EXPANDS CONSUMER PRESENCE WITH PARTICIPATION AT UPCOMING 2025 JEEP EVENTS
Kumho Tire will leverage its participation to drive consumer awareness for the brand's light truck product lineup and reinforce its commitment to "Performance Without Compromise" ATLANTA, July 14, 2025 /PRNewswire/ -- Kumho Tire U.S.A., one of the world's leading tire manufacturers, announced today participation in select Jeep events this summer to drive consumer awareness of the brand's superior offerings in the light truck tire space and reinforce its commitment to "Performance Without Compromise." Kumho Tire will participate at two events: Toledo Jeep Fest in Ohio (Aug. 1-3) and the Great Smoky Mountain Jeep Club Invasion in Pigeon Forge, Tenn. (Aug. 21-23). As part of its presence, Kumho Tire will showcase and educate consumers on their superior light truck tires, which lead the market in providing quality, performance, and an industry-leading warranty. "KUMHO offers outstanding products for light truck enthusiasts that speak to our 'performance without compromise' commitment," said Ed Cho, CEO Kumho Tire U.S.A. "We are excited to participate in several Jeep events this summer to directly communicate with consumers that Kumho Tire always goes with you, wherever you go." The participation in Jeep events is part of KUMHO's aggressive integrated marketing activities to highlight the global manufacturer's commitment to product development and a performance-oriented approach to deliver tires that exceed or are on par with competitive offerings. During the events, consumers will be able to touch, feel and learn more about the outstanding performance of the Kumho Tire lineup, including the Road Venture AT52 line, and ask questions to on-site Kumho Tire ambassadors who also will be giving away a variety of items. Designed for pickup trucks, SUVs, and 4x4s, the Kumho Tire Road Venture AT52 combines on-road comfort with superior off-road performance for rugged terrain including rocky and muddy trails. The award-winning tire features a sawtooth-shaped shoulder biter design for off-road traction, as well as a five-length pitch block arrangement that ensures comfortable and quiet driving on regular roads. For more information on the full product lineup of Kumho Tire U.S.A., visit About KUMHO TIRE Co. Tire, one of the world's largest tire manufacturers, has more than 60 years of history of pioneering innovative approaches to developing tires and is dedicated to providing exceptional driving experiences to consumers around the world. Headquartered in Atlanta, Georgia, Kumho Tire U.S.A. is the US sales, marketing, product development, and distribution arm of Kumho Tire Co. Inc. For more information on Kumho Tire U.S.A., Inc., and its products, please visit Follow Kumho Tire on Facebook Instagram and on X @KumhoTireUSA. View original content to download multimedia: SOURCE Kumho Tire USA Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
20-05-2025
- Automotive
- Yahoo
Kumho tyre plant in Gwangju destroyed by fire
South Korean tyre manufacturer Kumho Tire Company Ltd has suspended operations at its main manufacturing complex in the south-western city of Gwangju, following a fire that destroyed major sections of one of the plants. The facility produced high-margin, premium tyres under the Ecsta sports brand. Deliveries to major automakers are expected to be disrupted as a result, with local reports suggesting that the fire destroyed around 60% of the production lines at one of the two main plants. A spokesperson confirmed that the company will likely need to revise down its 2025 revenue target, having previously forecast a 10% increase in global revenues to KRW 5 trillion (US$ 3.6 billion) for this year. The company's share price plunged 8% on the first day of trading immediately following the fire. The Gwangju plant had a production capacity of 12 million tyres per year, or 20% of the company's global capacity. The facility was considered outdated, however, and it remains unclear whether the company will rebuild the plant at its existing location, particularly given the recent hike in import tariffs in the US. According to local reports, the company had been looking to relocate the Gwangju operations to a new site in nearby Hampyeong, but with little progress made so far. The company recently announced it plans to complete construction of a new tyre plant in Europe in the next two years, to supply German automakers including Volkswagen group, Mercedes-Benz and BMW. "Kumho tyre plant in Gwangju destroyed by fire" was originally created and published by Just Auto, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Free Malaysia Today
19-05-2025
- Automotive
- Free Malaysia Today
Kumho Tire shares skid after weekend fire disrupts production
Fire authorities had extinguished 90% to 95% of the fire, but the blaze destroyed a majority of the western part of the Kumho Tire factory in Gwangju. (EPA Images pic) SEOUL : Shares of Kumho Tire, South Korea's No 2 tyre maker, slumped 8% today after a massive fire suspended operations at its factory in Gwangju on Saturday, threatening to disrupt supplies to global automakers. Fire authorities had extinguished 90% to 95% of the fire, but the blaze destroyed a majority of the western part of the factory in the southwestern city, media reports said. A Kumho Tire spokeswoman told Reuters that it may have to revise down its target of raising its revenue by 10% to ₩5 trillion Korean (US$3.58 billion) this year due to the fire. 'The company, which has for years been trying to move its outdated factory in Gwangju, had not yet decided whether to rebuild the facilities,' the spokeswoman said. 'The factory complex in Gwangju has a capacity to produce 12 million tyres a year, accounting for nearly 20% of Kumho's global production capacity,' she said. The company's customers include Hyundai Motor, Volkswagen Group and Mercedes-Benz. 'Kumho Tire is seeking to increase production at other factories to make up for lost output, though the scope for expansion may be limited as the plants at home and abroad were running at full capacity,' the company said.
CNA
19-05-2025
- Automotive
- CNA
Kumho Tire shares skid after weekend fire disrupts production
SEOUL :Shares of Kumho Tire, South Korea's No.2 tire maker, slumped 8 per cent on Monday after a massive fire suspended operations at its factory in Gwangju on Saturday, threatening to disrupt supplies to global automakers. Fire authorities had extinguished 90 per cent to 95 per cent of the fire, but the blaze destroyed a majority of the western part of the factory in the southwestern city, media reports said. A Kumho Tire spokesperson told Reuters that it may have to revise down its target of raising its revenue by 10 per cent to 5 trillion Korean won ($3.58 billion) this year due to the fire. The company, which has for years been trying to move its outdated factory in Gwangju, had not yet decided whether to rebuild the facilities, the spokesperson said. The factory complex in Gwangju has a capacity to produce 12 million tires a year, accounting for nearly 20 per cent of Kumho's global production capacity, she said. The company's customers include Hyundai Motor, Volkswagen Group and Mercedes-Benz. Kumho Tire is seeking to increase production at other factories to make up for lost output, though the scope for expansion may be limited as the plants at home and abroad were running at full capacity, the company said. ($1 = 1,398.1100 won)
