Sichuan Yuanxing Rubber recently formally completed the signing of the Indonesia factory project, with construction expected to start in 2027. This is the company's first overseas tire factory, marking a new phase in the globalization strategy of this Sichuan-based enterprise, which has深耕 the industry for three decades, now officially entering the "capacity going global" new stage of globalization strategy. The Indonesia factory will focus on two-wheeler tire production, with a key emphasis on motorcycle tire product lines, precisely seizing development opportunities in the world's third-largest two-wheeler market.
Yuanxing Rubber was founded in 1996, starting from a rubber and plastics factory in Dayi County, and has now grown into a leading enterprise in China's two-wheeler tire sector. The company's performance in 2025 was impressive, with output value reaching approximately 2.7 billion RMB from January to September, a year-on-year increase of 10%, and the full-year output value is expected to reach 3.6 billion RMB.
In terms of capacity expansion, Yuanxing Rubber has been making frequent moves in recent years. In 2025, a project with a total investment of 1.32 billion RMB and an annual production capacity of 10 million high-performance tires was successfully brought into full production. It is expected that by the end of 2026, the total annual tire production capacity of the entire plant will reach 148 million units. Leveraging its strong manufacturing capabilities, the company has built a robust customer base, supplying tires to motorcycle giants such as Honda, Yamaha, and Suzuki, as well as leading electric vehicle brands like Yadea and Aima, and exporting to over 40 countries and regions worldwide.
Yuanxing Rubber chose Indonesia as its first overseas destination based on precise analysis of the global industrial landscape. As the largest economy in ASEAN and also the world's third-largest two-wheeler market, motorcycles have become a primary mode of transportation for local residents. According to data from the Indonesian National Police Traffic Corps, as of 2025, the number of motorcycles in Indonesia exceeded 137 million units, accounting for 83.6% of all vehicles, with an average of about 2 motorcycles per household. In terms of sales, annual sales remained stable between 5.2 million and 6.3 million units from 2022 to 2024. Even in 2025, despite a slowdown in the overall automotive market, motorcycle sales remained stable with a slight increase, reaching 5.95 million units from January to November. The huge stock of vehicles and new market demand provide significant space for Yuanxing Rubber, which specializes in two-wheeler tires. Building a factory in Indonesia allows the company to stay close to the market, reduce logistics costs, and deeply integrate into the established manufacturing network of ASEAN.
This overseas expansion is not a simple replication of its two-wheeler business but also carries Yuanxing Rubber's strategic upgrade. In recent years, while consolidating its advantages in the two-wheeler tire market, the company has actively entered the passenger car tire (PCR) segment. In 2025, it invested 1.32 billion RMB to build a 4.0 smart factory that went into production, and launched a high-end PCR tire brand "Liyu," achieving a key extension from two-wheelers to four-wheelers. The Indonesia factory, focusing on two-wheeler tires, will effectively relieve capacity pressure from the domestic smart factory, allowing the domestic factory to concentrate on technology R&D and high-value-added PCR product production, forming a synergistic development pattern of "domestic focus on high-end, overseas radiating to regions," helping the company achieve high-quality development.
Sichuan Yuanxing Rubber recently formally completed the signing of the Indonesia factory project, with construction expected to start in 2027. This is the company's first overseas tire factory, marking a new phase in the globalization strategy of this Sichuan-based enterprise, which has深耕 the industry for three decades, now officially entering the "capacity going global" new stage of globalization strategy. The Indonesia factory will focus on two-wheeler tire production, with a key emphasis on motorcycle tire product lines, precisely seizing development opportunities in the world's third-largest two-wheeler market.
Yuanxing Rubber was founded in 1996, starting from a rubber and plastics factory in Dayi County, and has now grown into a leading enterprise in China's two-wheeler tire sector. The company's performance in 2025 was impressive, with output value reaching approximately 2.7 billion RMB from January to September, a year-on-year increase of 10%, and the full-year output value is expected to reach 3.6 billion RMB.
In terms of capacity expansion, Yuanxing Rubber has been making frequent moves in recent years. In 2025, a project with a total investment of 1.32 billion RMB and an annual production capacity of 10 million high-performance tires was successfully brought into full production. It is expected that by the end of 2026, the total annual tire production capacity of the entire plant will reach 148 million units. Leveraging its strong manufacturing capabilities, the company has built a robust customer base, supplying tires to motorcycle giants such as Honda, Yamaha, and Suzuki, as well as leading electric vehicle brands like Yadea and Aima, and exporting to over 40 countries and regions worldwide.
Yuanxing Rubber chose Indonesia as its first overseas destination based on precise analysis of the global industrial landscape. As the largest economy in ASEAN and also the world's third-largest two-wheeler market, motorcycles have become a primary mode of transportation for local residents. According to data from the Indonesian National Police Traffic Corps, as of 2025, the number of motorcycles in Indonesia exceeded 137 million units, accounting for 83.6% of all vehicles, with an average of about 2 motorcycles per household. In terms of sales, annual sales remained stable between 5.2 million and 6.3 million units from 2022 to 2024. Even in 2025, despite a slowdown in the overall automotive market, motorcycle sales remained stable with a slight increase, reaching 5.95 million units from January to November. The huge stock of vehicles and new market demand provide significant space for Yuanxing Rubber, which specializes in two-wheeler tires. Building a factory in Indonesia allows the company to stay close to the market, reduce logistics costs, and deeply integrate into the established manufacturing network of ASEAN.
This overseas expansion is not a simple replication of its two-wheeler business but also carries Yuanxing Rubber's strategic upgrade. In recent years, while consolidating its advantages in the two-wheeler tire market, the company has actively entered the passenger car tire (PCR) segment. In 2025, it invested 1.32 billion RMB to build a 4.0 smart factory that went into production, and launched a high-end PCR tire brand "Liyu," achieving a key extension from two-wheelers to four-wheelers. The Indonesia factory, focusing on two-wheeler tires, will effectively relieve capacity pressure from the domestic smart factory, allowing the domestic factory to concentrate on technology R&D and high-value-added PCR product production, forming a synergistic development pattern of "domestic focus on high-end, overseas radiating to regions," helping the company achieve high-quality development.