Sailun Group's manufacturing plant in Semarang, Indonesia, spans 23 hectares. It produces passenger car radial (pcr), truck and bus radial (tbr), off-the-road (otr) tires, and inner tubes. This facility is Sailun's third in Southeast Asia, following those in Vietnam and Cambodia, marking the company's strategy to expand capacity and strengthen its regional supply chain.

The event space for the launch of Sailun's first plant in Indonesia. Photo: Sailun Group

According to Sailun, the plant is capable of producing a full range of tire types, serving the domestic market and gradually moving towards exports. The company views Indonesia as a significant market, with a population exceeding 280 million and annual oto sales of approximately 1 million units, making it a key destination for many major automakers.

A representative from Sailun Group stated, "Owning a local factory helps Sailun shorten supply times, optimize logistics costs, and enhance its ability to meet technical standards and delivery schedules for partners." In addition to supplying automakers, the company also targets the replacement tire segment, as demand for genuine replacement tires is projected to rise with the growth of the oto market.

Mr. Xie Xiaohong – chief executive officer of Sailun Group, shared the group's development strategy at the inauguration ceremony of the Indonesian plant. Photo: Sailun Group

In Indonesia, the off-the-road (otr) tire market also shows promise, driven by the developing mining and construction industries. This segment is a key strength for Sailun within its global development strategy.

Sailun regards Vietnam as a foundational market in its expansion strategy, serving as a production hub and an original equipment (OE) supplier for companies such as VinFast. This also provides a basis for the company to expand its cooperation and development model in Indonesia and the broader region.

During the inauguration ceremony, Sailun Group also honored distributors who made the largest sales contributions in the region. Photo: Sailun Group

A company representative stated, "The inauguration of the Semarang plant not only boosts Sailun's production capacity but also completes its network presence in Southeast Asia, moving towards the goal of becoming one of the region's leading and influential tire brands in the coming period."

Quang Anh