Nexen Tire expands global footprint with new hubs
Nexen Tire has established new a branch office and subsidiaries in major strategic markets, including Europe, Latin America, and the Middle East.
This expansion is said to be a strategic move to strengthen competitiveness in markets with growing tyre demand.
With about 85 per cent of its sales overseas, Nexen Tire says it has focused on key regions such as Europe and the United States.
Building on this foundation, the company expanded capacity at its second plant in Žatec, Czech Republic, to reinforce stable supply to core markets while creating room for new growth.
To further capitalise on this momentum, Nexen Tire says it is establishing localised operations tailored to regional distribution and customer needs, improving both efficiency and engagement.
Europe, which accounts for 40 per cent of total sales, will see a new branch office in Bucharest, the capital of Romania, to reinforce Nexen Tire’s presence in Southeastern Europe.
Romania posted a record-high GDP in 2024, reflecting continued economic growth and increasing tyre demand across Eastern Europe. The new branch will oversee distribution in nine countries, including Serbia, Bulgaria, and Kosovo, to increase sales competitiveness in the region.
The company will also expand in Latin America with a new subsidiary in Mexico, which will serve as the hub of an independent business unit, shifting from oversight under U.S. operations. This move reflects strong regional growth, as Mexico recorded its highest-ever vehicle registrations in 2024 and there is steady tyre demand.
From Mexico, Nexen Tire plans to increase sales and marketing in countries such as Honduras, Guatemala, Costa Rica, and El Salvador to expand its footprint in the region.
In the Middle East, Nexen Tire plans to build on its Dubai branch office (2009) and Egypt subsidiary (2023) by establishing a subsidiary in Saudi Arabia. The Saudi market is expected to grow rapidly due to rising income levels, increase in female drivers, infrastructure development, and shorter replacement cycles in extreme climates.
The planned subsidiary will cover neighbouring markets such as Qatar, Bahrain, and Yemen, while strengthening partnerships with local distributors. Nexen Tire will also enhance brand building through sports marketing, including sponsorship of Al Nasr SC in the UAE.
Beyond these regions, Nexen Tire also recently opened new branches in Spain and Poland. In Australia, the company expanded its distribution network along the Eastern Seaboard, resulting in more than a threefold increase in sales in 2024 compared to the previous year.
“A key focus of our global strategy is to build localised operating systems that respond precisely to the distribution structures and customer needs of each region,” said John Bosco (Hyeon Suk) Kim, CEO of Nexen Tire. “With these localisation-driven distribution strategies, we will continue to drive sustainable growth in global markets.”