Sumitomo Rubber Industries Pledges R1.7bn Investment to Expand Dunlop's KwaZulu-Natal Plant

Sumitomo Rubber Industries (SRI), the Japanese tyre manufacturing titan, has announced a comprehensive investment strategy towards the expansion of local tyre production in South Africa. Encouraging the trajectory of growth within the country's automotive industry, the substantial investment commitment of R1.7 billion by SRI will be channelled into the provision of high-end plant machinery and equipment at the Ladysmith manufacturing plant owned by Dunlop Tyres SA. This plant is located in the manufacturing hub of KwaZulu-Natal (KZN).

Sumitomo Rubber South Africa (SRSA) is the local affiliate representing the global operations of SRI and was responsible for the formal declaration of the planned investment on Monday. The boost in production capacity is expected to majorly impact the local automotive segment, providing an enhanced product mix and greater efficiencies in passenger car tyre production.

SRSA CEO, Lubin Ozoux, expressed the company's commitment towards achieving industry superiority in passenger car radial production whilst ensuring adherence to the Original Equipment (OE) specifications. The upgraded plant is built to accommodate a larger variety of product sets that not only meet but outperform OE specifications. At the heart of the production improvement strategy is a shared emphasis on maintaining safety standards for all South African consumers.

The significant investment is not only focused on production enhancement but also on sustainability practices. Ozoux outlined the planned addition of the equipment at the plant will play a crucial role in lowering production waste by an impressive 60% and substantially reducing overall power consumption.

On the heels of this announcement, Minister of Trade, Industry, and Competition Ebrahim Patel lauded the planned expansion, recognising it as a vital stimulant for South Africa's local automotive industry. The increased plant output is expected to foster growth in job opportunities and overall production levels in the region.