Yuanxing Rubber Launches First Overseas Tyre Plant Project in Indonesia

Chinese tyre manufacturer Sichuan Yuanxing Rubber Co., Ltd. has officially launched the construction phase of its first tyre manufacturing facility outside China. The new plant will be built in the Batang Integrated Industrial Park (KITB) in Central Java, Indonesia, marking a significant milestone in the company's international growth strategy.

The project will occupy a site of approximately 405,000 square metres and will be developed in two phases. The first phase covers around 230,000 square metres, while the second phase will add approximately 130,000 square metres, subject to final planning approval. Construction is expected to take around 300 calendar days once work officially begins.

According to the company's construction tender, the new facility will include a rubber mixing workshop, radial tyre production building, calendering workshop, maintenance facilities, utility buildings, raw material warehouses and an automated finished goods warehouse.

Yuanxing Rubber is currently inviting experienced international contractors to participate in the project, with preference given to companies that have previously completed industrial projects in Indonesia.

The Indonesian factory will initially focus on the production of motorcycle tyres, supporting both the domestic Indonesian market and customers across Southeast Asia. Indonesia is one of the world's largest motorcycle markets, with more than 137 million motorcycles in operation, making local production strategically attractive for tyre manufacturers.

The investment represents Yuanxing Rubber's transition from an export-oriented business model to an international manufacturing strategy. By establishing production closer to customers, the company aims to shorten supply chains, reduce logistics costs and improve competitiveness in one of Asia's fastest-growing two-wheel vehicle markets.

Founded in 1996 and headquartered in Chengdu, Sichuan Province, Yuanxing Rubber has specialised in motorcycle and two-wheel tyres for more than three decades. The Indonesian project is expected to strengthen the company's global manufacturing footprint while supporting its long-term international expansion plans.

Original source: Sichuan Yuanxing Rubber construction tender (21 July 2026)