Kumho Tire has successfully forged a groundbreaking technology export deal with Saudi Arabia’s Black Arrow Tire Company (Blatco), reinforcing its influence in the Middle East’s tire production technology sector. Concluded on the last day of February, this partnership has set the stage for a long-term technological collaboration spanning two decades, underscoring a solid commitment to stimulate technological advancements and joint prosperity in tire manufacturing.
Blatco stands to benefit from Kumho Tire’s technical acumen, owing to the support from Saudi Arabia’s Vision 2030 policies. With intentions to establish a formidable tire production facility that spans 85,000 square meters in the Western Industrial Zone by 2027, Blatco is poised to enhance its mobility services market share. The plant is strategically planned to cater to the local market demands while also reaching out to various markets across the Middle East.
The President of Kumho Tire, Jung Il-taek, has spotlighted the strategic significance of this technological transfer. The agreement is a testament to Kumho Tire’s innovation leadership in tire production. Il-taek is optimistic about the comprehensive growth opportunities this partnership with Blatco signifies, particularly in terms of production and sales within the region. This alliance is a key part of Kumho Tire’s strategy to utilize strategic partnerships and advanced technology to thrive in the evolving Middle Eastern marketplace.
Blatco’s CEO, Adel Al Masood, has articulated the company’s commitment to product innovation and quality, aligning with Kumho Tire’s legacy of technological leadership. The shared aim is to exceed industry standards and set new precedents in tire manufacturing with high-quality, technologically advanced products.
This technology export agreement is a continuation of Kumho Tire’s previous engagement with the Saudi market, which began with a Memorandum of Understanding signed during the 2022 Korea-Saudi Smart Innovative Growth Forum. The MOU was a precursor to the current joint venture in tire manufacturing, reinforcing Kumho Tire’s ongoing dedication to collaborative initiatives within Saudi Arabia.
The alliance between Kumho Tire and Blatco represents a strategic, future-focused endeavor. By sharing its technological expertise, Kumho Tire intends to stimulate expansion in the thriving Middle Eastern tire industry, in harmony with the wider economic policies and objectives. This partnership promises a long-standing and fruitful relationship, potentially shaping the future of tire manufacturing in the Middle East.