Korean tire manufacturer Nexen Tire opened its first factory in Europe with 800 people this week in the Triangle industrial zone near Czech city Žatec. Nexen will gradually invest up to 1 billion USD and will employ 1,300 people after the investment is completed. The plant includes a development technology center.
By the end of this year, the company, which has the promised investment incentive from the Czech Government, plans to export up to three million tires.
The production capacity after the completion of the plant is expected to be 11 million tires per year.
The Czech Republic has a strategic location for Nexen because the largest customers have a new factory in Germany, France or the UK. However, the company is worried about local low unemployment, which can make it difficult to recruit employes.
Source: ČIA NEWS
Prepared by the team of CzechTrade / CzechInvest Israel