The facility will produce as many as four million tyres annually by 2023.
Nokian Tyres has begun producing tyres for commercial sale at its North American factory in Dayton, Tennessee. The milestone took place on schedule, and the company plans to steadily increase volume throughout the year.
The factory will craft safe, sustainable products tailored to the needs of North American drivers, serving the company’s goal to double sales in the region between 2018 and 2023. Nokian Tyres made the first test tyre at the facility on July 1, 2019 and continues to certify a growing number of tyre models and sizes.
“The start of commercial production at the Dayton Factory is a significant milestone for our customers and employees,” said Nokian Tyres President and CEO Hille Korhonen. “We are eager to provide North American drivers with a larger volume of high-quality tyres as we grow our relationships with our partners.”
The 830,000-square foot complex is one of the most advanced tyre production facilities in the industry. It uses highly automated and sustainable processes, choice ingredients and a vibrant employee culture to craft premium all-season and all-weather tyres tailored to the needs of North American drivers.
Nokian Tyres will ultimately employ as many as 400 workers at the facility 40 miles north of Chattanooga. Currently, just over 100 team members work at the factory.
“The Dayton factory is a vital growth driver for us in North America, and we’re glad it remains on track to deliver premium value to our customers and drivers,” said Senior Vice President, Americas Mark Earl. “It will enable us to shorten delivery lead times, satisfy rising demand for our products and help the Southeast Tennessee community grow in the process.”
Nokian Tyres broke ground on the factory in September 2017. It is the company’s third global production facility, joining factories in Nokia, Finland and Vsevolozhsk, Russia. The company officially opened the world-class facility at a ceremony last October.
Founded and headquartered in Finland, Nokian Tyres invented the winter and all-weather tyres and continues to craft premium products in all major passenger segments, including the all-season tyre market. At the Dayton factory, the company aims to fill expanding North American demand and seize on opportunities in the all-season and all-weather segments. Nokian Tyres’ regional headquarters office in Nashville and its sales team throughout the continent is helping to organize that growth process.
The start of commercial production is one of several milestones Nokian Tyres will celebrate this year. Later in 2020, it will dedicate a solar-powered administration building that will feature offices, meeting spaces, employee wellness facilities and even a sauna. The company is also building a highly automated warehouse on the property that will be able to store as many as 600,000 tyres. The company is preparing to introduce new products for North American drivers in the coming months and years.
Nokian Tyres will maintain strict sustainability standards at the factory in order to minimize waste and emissions. Solar panels are being installed in the parking lot, and the company will recycle excess materials that result from production. The solar array in the car park will generate 3 megawatts of electricity to be utilised at the facility. Last September, the company was selected to the Dow Jones Sustainability Index for the third consecutive year. Only the top 10 percent of the most sustainable listed companies in the world are included in the index.
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