$575 Million Bridgestone Tire Factory in Vietnam image

Hai Phong, a northern port city in Vietnam, has accepted the construction of a $575 million tire factory, which is to be built by a subsidiary of Japan’s Bridgestone Corp.

It is said that the tire plant would be the biggest FDI (foreign direct investment) project in the city until now.

Yazaki Susumu, general director of Bridgestone Tyre Manufacturing Viet Nam, declared that the plant will have a production capacity of 24,700 units per year and that it will start in the first half of 2014. The tires will be eco-friendly and will lead to fuel savings.

“Once the products are launched, they all will be exported to Japan, Europe and the US with a made-in-Viet Nam label. The project will create 1,900 jobs,” he said.

Other four firms invested already in the Hai Phong IZ: Shin-Etsu (rare earth magnet production), SIC (LAS production), RK Engineering (steel tank production) and Nakashima (propeller production).

The company declared that the location was chosed due to its strategic location, lucrative tax incentives and access to a port. In 2011 the company made functional a waste water treatment plant, with a capacity of 2,500cu.m per day.