Kumho Tire is assessing the full impact of a large fire that broke out at its Gwangju plant in South Korea on 17 May 2025. The fire, which began in the facility’s rubber refining area, spread quickly due to the presence of flammable materials and caused major damage to the company’s second main production building.
With over 400 workers evacuated and three individuals injured, including one requiring spinal surgery, the immediate human cost was limited. However, the operational impact is significant. The Gwangju facility accounts for around 20% of Kumho’s global tyre output, producing approximately 12 million tyres annually, including premium products for electric vehicles and SUVs.
Emergency services managed to contain the fire by Sunday, with full extinguishing efforts continuing into Monday. Initial reports indicate that 50–60% of the second plant was destroyed, and more than 70% may be beyond repair.
Due to safety concerns, only firefighters are currently permitted on site. Kumho Tire confirmed that it is too early to determine the exact cause or the total value of the damage. Preliminary information points to a spark from an industrial oven igniting rubber stored in the west refining section.
While the first plant at the Gwangju site was unaffected and may reopen after inspection, Kumho is taking steps to shift production to other facilities, including its Gokseong and Hampyeong plants, and possibly international sites.
The fire is likely to impact Kumho’s performance in 2025, especially as the Gwangju site specialised in high-margin tyres for EVs and luxury vehicles. Prolonged disruption may also affect key OEM relationships, though no immediate supply shortages to Hyundai, Kia, or others have been reported.
Competitors such as Hankook Tire and Nexen Tire could see indirect benefits if automakers adjust sourcing strategies in response.
Local authorities responded by distributing 10,000 protective masks to residents due to heavy black smoke. Environmental monitoring is underway to assess risks from hazardous chemicals released in the fire.
Kumho Tire has pledged full cooperation with fire authorities and will begin a detailed investigation and damage assessment as soon as the site is declared safe. The company has also indicated it may consider demolishing and rebuilding the second plant, depending on the outcome of the investigation.
While this is the second major fire at a major tyre manufacturing plant in the last year, following an incident at Goodyear’s Debica facility in 2024, industry experts have not identified a broader pattern or systemic issue linking the events.
Tyre News Media will continue to monitor updsates.
Tagged with: Kumho Tire, Gwangju plant fire, tyre factory fire, EV tyres, premium tyres, South Korea tyre industry, tyre production disruption, OEM supply chain
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