German Tire Manufacturer to Enhance Production in Vietnam

February 2024

German tire brand Schwalbe recently announced the decision to centralize all tire and tube manufacturing operations in Vietnam in response to the tense conditions in the bicycle industry.

Instead of being able to rely on long-term commitments, orders are now almost exclusively placed ad-hoc. As a result, it is challenging to plan ahead to meet the demand from multiple production sites.

The company is strategically reorganizing its production and will concentrate all tire and tube manufacturing activities solely in Vietnam moving forward. The advanced facility in Vietnam provides volume and logistical benefits for its customers, thanks to consolidated production.

Previously, Schwalbe divided its tire and tube production between factories in Indonesia and Vietnam. However, it plans to maintain mold making, mixing operations, research and development, and administrative functions in Indonesia. Schwalbe emphasized that it retains the option to resume manufacturing in Indonesia in the future.

The CEO of Schwalbe commented that the firm is positioning itself optimally for the future by consolidating operations in Vietnam. Significant investments have been made there in recent years, with new factory infrastructure and machinery, providing top-notch production capabilities.

(Source: Plastics & Rubber Vietnam)

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