Shandong Haohua Tire to set up tyre plant in Hambantota

China will build a tyre plant in Sri Lanka’s Hambantota port that will export nine million tyres in its first phase.

The Board of Investment of Sri Lanka signed an agreement with world-leading Chinese tyre manufacturer, Shandong Haohua Tire Co. Ltd., to set up a project to manufacture tyres for the export market.

Prime Minister Mahinda Rajapaksa & Chinese Ambassador to Sri Lanka, Qi Zhenhong and Shandong HaohuaWang Keqiang joined the signing ceremony online.

This high profile project has been qualified under the provisions of the ‘Strategic Development Act’ with an envisaged Foreign Direct Investment of $ 300 million.

Exports are expected to commence within three years.