Trelleborg invests in the US to create global position for agricultural tires
ET | Source:Trelleborg AB
Trelleborg has, through its business area Trelleborg Wheel Systems, decided to
invest in a production facility for agricultural tires in the U.S., thereby
creating a platform for local presence and growth in North America, and a global
position in the market. The investment forms part of Trelleborg’s strategy to
strengthen positions in attractive and profitable market segments.
“North America is the largest agricultural market in the world and it is highly
attractive for us. The market for extra-large agricultural tires, where
Trelleborg is a market leader, is growing in the region. Although we already
sell our products in the U.S. and Canada, local production offers considerably
more favorable conditions, thus enhancing our competitiveness. An expanded
presence in North America is central to our growth strategy,” says Maurizio
Vischi, President of the Trelleborg Wheel Systems business area.
The production will be located in an existing Trelleborg facility in
Spartanburg, South Carolina, U.S. Trelleborg will invest a total of
approximately SEK 325 M during 2014-2018, mainly in production equipment. The
investment for this year is within the previously announced framework for
capital expenditures for 2014. It is estimated that production will be able to
gradually commence as of the second half of 2015.
“We are already a leading global supplier of premium tires for agricultural
machines and we now intend to consolidate this position through production in
North America, with proximity to both existing global customers as well as a
potential expanded customer base. We are building up specialty production of
agricultural tires in a modern facility in a prime location, and we are also
capitalizing on existing partnership agreements with major original equipment
manufacturers and distributors, facilitating the transfer of technology from one
part of the world to another,” concludes Maurizio Vischi.
Trelleborg Wheel Systems currently carries out production of agricultural tires
in Europe and Asia. The business area also develops, produces and distributes
tires for forklift trucks and other material handling vehicles.
For further information, please contact:
Media: Vice President Media Relations Karin Larsson, 46 (0)410 67094, 46 (0)733
Investors/analysts: Vice President IR Christofer Sjögren, 46 (0)410 67068, 46
(0)708 665140, email@example.com
Trelleborg is a world leader in engineered polymer solutions that seal, damp and
protect critical applications in demanding environments. Its innovative
engineered solutions accelerate performance for customers in a sustainable way.
The Trelleborg Group has annual sales of about SEK 21 billion in over 40
countries. The Group comprises five business areas: Trelleborg Coated Systems,
Trelleborg Industrial Solutions, Trelleborg Offshore & Construction, Trelleborg
Sealing Solutions and Trelleborg Wheel Systems. In addition, Trelleborg owns 50
percent of TrelleborgVibracoustic, a global leader within antivibration
solutions for light and heavy vehicles, with annual sales of approximately SEK
15 billion in about 20 countries. The Trelleborg share has been listed on the
Stock Exchange since 1964 and is listed on NASDAQ OMX Stockholm, Large Cap.
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