International tire brand suddenly suspends business in China
Recently, Nokian Tyres of Finland announced that it had re-planned its global business strategy.
The company's sales business in China had to be temporarily suspended due to capacity constraints. Nokian Tyres Trading (Shanghai) Co., Ltd. has suspended its sales and operation activities in China.
Nokian Tyres said on the official website that the production capacity problem was caused by the international situation. The Russia-Ukraine conflict may be the key factor for its suspension of business.
As an enterprise famous for its winter tyres, Nokian Tyres once attached great importance to Russian factories. In 2021, the factory has 1600 employees and an annual output of more than 17 million tires. The products produced here once accounted for 80% of the total production capacity of Nokian passenger tyres.
In the growth strategy of Nokian Tyres, the Russian factory undertakes an important production task. However, with the outbreak of the Russia-Ukraine conflict, the factory was urgently sold at the end of 2022.
In order to make up for a large capacity gap, Nokian Tyres immediately announced that it was preparing to build a new factory in Romania.
It is reported that the earliest production date of this plant will also be the second half of 2024.
