Nexen Tire Expands European Supply Capabilities with Automated Warehouse

Nexen Tire has further strengthened its European manufacturing and logistics network with the completion of a new automated high-bay warehouse at its production facility in Žatec, Czech Republic. The investment is designed to improve supply chain efficiency, increase storage capacity, and support the company's continued growth in the European market.

The newly commissioned warehouse adds significant storage capacity to the site, increasing the plant's total tire storage capability by approximately 57% to around 830,000 tires. Standing 51 meters high and covering more than 7,100 square meters, the facility is equipped with automated storage and retrieval systems as well as RFID-based inventory management technology. These systems enable real-time tracking of products and automate the movement of tires between production, storage, and shipping.

According to Nexen Tire, the expanded logistics infrastructure will help streamline warehouse operations while improving the speed and reliability of deliveries across Europe. By integrating automated processes into the company's manufacturing operations, the facility is expected to reduce handling times, optimize inventory management, and enhance overall operational efficiency.

The investment also reflects Nexen Tire's strategy of strengthening its European production footprint. The Žatec plant, which has become a key manufacturing hub for the company since entering operation, has been expanded in several phases to meet growing customer demand. The new warehouse complements previous investments aimed at increasing production capacity and ensuring that logistics capabilities keep pace with manufacturing output.

Nexen Tire said the project is about more than adding warehouse space. The company sees automation and digitalized logistics as essential elements of a resilient supply chain that can respond more effectively to seasonal demand fluctuations and changing market conditions. By enhancing storage and distribution capabilities, Nexen Tire aims to provide faster and more flexible service to customers throughout Europe while reinforcing its long-term competitiveness in the region.