Sailun launched a plant in Indonesia

Chinese Sailun has officially started tire production at its new plant in Demak (Central Java, Indonesia). Construction began on September 17, 2024, and on May 28, 2025, the first passenger car tire was produced at the facility. Outside of China, the company already has plants in Vietnam and Cambodia, and a production site is currently being built in Mexico.

Sailun has invested around $250 million in its Indonesian project. The plant's designed capacity is 3.6 million passenger car tires and 37,000 tons of off-the-road tires per year.

In recent years, Chinese tire manufacturers have been actively localizing production in various countries, and Indonesia is attractive to investors for a number of factors, such as access to local natural rubber, low labor costs, and a developing automotive market in the country. In December last year, the Chinese company ZC Rubber launched a tire plant in Indonesia.

According to Sailun, the first Indonesian-made tire embodies the company's latest developments and has been optimized for use in the hot and humid conditions of Southeast Asia. The tire's features include low rolling resistance, which provides fuel savings; an improved tread pattern design, which, according to the manufacturer, increases traction by 15% on wet roads, enhancing safety during the rainy season; and high stability at high speeds. The tire meets the EU label standards with an "A" rating for energy efficiency and wet grip.