Manufactured Capital

In fiscal 2022, the Sumitomo Rubber Group supplied 111.46 million tires to markets around the world. To support the global marketing of tires, we have secured four production bases in Japan and eight production bases in countries abroad, thereby developing an optimal production system encompassing a broad swath of regions. Today, the ratio of overseas production volume amounts to 63%. Although the utilization ratio of these production bases dropped significantly from 92% in fiscal 2019 to 76% in fiscal 2020 due to the COVID-19 pandemic, this ratio recovered to 88% in fiscal 2021. And, despite edging down to 84% in fiscal 2022, we expect that in fiscal 2023 the utilization ratio of our bases will increase to 90%.

In fiscal 2022, our capital expenditure totaled ¥68,012 million. Of this, we allocated ¥63,756 million to the Tire Business to promote the shift toward the production of advanced products via facility upgrades as well as to expand the production capacities of overseas factories and achieve carbon neutrality. Also, we allocated ¥2,622 million and ¥1,634 million to the Sports Business and the Industrial and Other Products Business, respectively, mainly for the development of sales structures in place at the former’s overseas bases and to enhance the latter’s overseas factories.

For fiscal 2023, our plans call for capital expenditure amounting to approximately ¥65,900 million, which comprises ¥62,900 million for the Tire Business, ¥1,800 million for the Sports Business and ¥1,200 million for the Industrial and Other Products Business.

For the status of capital expenditures undertaken by the Sumitomo Rubber Group, please also click on the following link.

A Message from the Executive Director in Charge of Finance