Tire Strategy

Tire Strategy

Allocate More Resources to Winning Business with Automakers Worlwide

In appealing to automakers, we will strive to assert leadership in fuelsaving technology and in other technologies to serve the automakers’environmental, safety, and performance needs. We are counting on that effort to help us secure technological approvals from more automakers and to win fitments on more vehicles worldwide.
Our business in the original equipment sector has consisted mainly of deliveries to Japanese automakers, supplemented by fitments on premium European and US vehicle models. Recently, we have broadened our original equipment business with the start of deliveries to Changa n Automobile, one of the Chinese Big Five automakers.
We are working to increase the overseas percentage of our original equipment business while expanding that business overall. Overseas deliveries accounted for about one-third of our business with automakers in 2014, and we aim to increase that share to more than half by 2017 and to around 70% by 2020.

Doubling the Overseas Share of Our OE Business

=Overseas=Japan

Examples of factory fitments

  • Porsche
  • Jeep
  • Mercedes-Benz
  • Lexus
  • Audi
  • Changan
  • Chrysler

The ADVAN Sport V105, a popular tire for premium-car fitments
The ADVAN Sport V105, a popular tire for premium-car fitments

Strengthen Our Presence in Our Principal Markets

Authoritative projections place global tire demand in 2017 at 1,987 mil-lion tires. The largest markets are China, Europe, and North America and we are therefore working to expand our presence in all of those markets. We have an especially strong position, meanwhile, in the Japanese and Russian markets, and we are working to expand our presence further in those markets.
Our approach in our principal markets includes establishing and ex-panding local production capabilities, upgrading our distribution chan-nels, and fortifying our marketing. We continue working to build strong global brands and to cultivate Yokohama aficionados worldwide.
We have earmarked ¥120.0 billion for investment in expanding tire production capacity during the three years of Phase IV. That investment will increase our annual production capacity to 89 million tires by 2020 year-end, from the 74 million planned for 2017 year-end and from 68 million at 2014 year-end. Most of the expansion will be to serve demand locally in our principal markets. And a lot of the new capacity will come on line after the completion of Phase IV.
Expansion projects are under way at our Philippine and Thai tire plants and at our Suzhou passenger car tire plant in China. And we are considering new plants and plant expansions in North America, Russia, Europe, and China.

Projected global tire demand in 2017: 1,987 million tires
Projected global tire demand in 2017: 1,987 million tires Projected global tire demand in 2017: 1,987 million tires Global brand building to foster Yokohama aficionados

Our Production Capacity

年間生産能力推移

New Plants and Plant Expansions

Under consideration

North America, Russia, Europe, China

Plant expansion under way

Philippines, Thailand, China (Suzhou)

Expand Business in Commercial Tires

The completion of our truck and bus tire plant in Mississippi in the latter half of 2015 will further localize our production in a principal market. In off-the-road tires, we are asserting a high-value-added presence in radial tires at the large end of the size spectrum. That includes developing 57-inch tires to supplement our 49- and 51-inch offerings.

Truck and bus tire plant under construction in Mississippi Truck and bus tire plant under construction in Mississippi
Truck and bus tire plant under construction in Mississippi

Yokohama 51-inch radial tires on a dump truck Yokohama 51-inch radial tires on a dump truck
Yokohama 51-inch radial tires on a dump truck

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