Linglong Tyres To Set Up Factory In Kenya

Linglong Tyres, a leading Chinese tire manufacturing company, has announced plans to establish a factory in Kenya to serve the African market.

The announcement was made by President William Ruto on Friday, January 16, 2025, after meeting with the company’s Chairman, Wang Feng.

“Kenya continues to position itself as a premier destination for foreign investment, offering a range of attractive incentives designed to encourage investor confidence,” Ruto said.

He further emphasized that the government remains committed to enhancing these incentives to maintain a competitive and investor-friendly environment.

Linglong Tyres, originally founded as Zhaoyuan Tire Manufacturing & Repairing Plant in 1975, has developed into one of the major tire manufacturers globally.

The company operates five manufacturing plants across China, including in Zhaoyuan, Dezhou, Liuzhou, Jingmen, and Changchun.

The company expanded internationally in 2014, opening its first overseas plant in Chonburi, Thailand, followed by the addition of a truck and bus tire factory in 2015.

In March 2019, Linglong began construction of a second overseas manufacturing facility in Zrenjanin.

Linglong Tyres has also been a prominent sponsor of Chelsea F.C. since September 2024.

This announcement comes just hours after CMC Motors Group, a key player in East Africa’s automotive sector, revealed the gradual closure of its operations in Kenya, Uganda, and Tanzania, citing economic challenges.

CMC Motors has been in the region for over 40 years and provided significant support to the agricultural sector.

In a statement released on Friday, January 17, 2024, the company explained that the decision was made after a thorough evaluation of the business in response to ongoing market challenges.

These include economic pressure, currency depreciation, and rising operational costs.

“This decision follows a thorough evalauation of the business in light of sustained market challenges, including economic pressure, currency depreciation, and rising operational cost,” the statement reads.

Also Read: CMC Motors Group Shuts Down Operations In East Africa

CMC Motors Group has been a key player in supporting East Africa’s agricultural sector by providing quality services, mechanization solutions, and consistent support to its customers.

Despite restructuring efforts and a transformation program initiated in 2023, the company stated that the current market conditions have made it unsustainable to continue operations.

The company assured that it would fully comply with local regulations and distribution agreements during the wind-down process.

Additionally, CMC Motors emphasized its commitment to supporting employees during this transition and ensuring a smooth closure of its operations. “The company is committed to supporting its employees during this transition and will ensure a smooth and orderly wind-down in adherence to all relevant agreements and regulations.”