Maxxis Invests $500 Million in Plant Construction and Expansion

27 June 2014

Cheng Shin Rubber Ind. Co. Ltd. d/b/a/ Maxxis International is responding to increased demand for its products by investing over USD $500 million to build new plants in Indonesia and Taiwan and expand three existing plants in China.

The company has committed approximately USD $320 million to its new factory in West Java, Indonesia. Construction is scheduled to begin in 2015, and production of motorcycle and passenger radial tyres will begin in early 2016. The factory, which will serve the fast-growing Indonesian market, is the 11th worldwide for Maxxis.

Groundbreaking for a new factory in Douliu, Taiwan is planned for August of this year. Maxxis is investing approximately USD $100 million in the new project. The plant, which will produce automotive spare tyres and motorcycle tyres, will be Maxxis’ third in Taiwan’s Yuan Lin County.

Plants in Zhangzho, Xiamen and Chongqing, China are slated for expansion in projects which will be underway by the end of 2014. The expanded portion of the Zhangzho plant will produce tyres for motorcycles and bicycles. The Xiamen and Chongqing plant expansions will both produce PCR tyres.

Details regarding plant capacity and potential local employment for the various projects have not been announced.


The projects were revealed at the company’s annual shareholders’ meeting in Taipei, Taiwan, where the retirement of Maxxis founder Luo Chieh was also announced. Luo’s son, Luo Tsai Jen, has been appointed chairman of Maxxis International.

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