Dynamic Design Selected as Top Supplier for Key Kumho Tire Molds... Indonesian Plant Impact Accelerates

Dynamic Design has proven its global supply competitiveness by being selected as the No. 1 supplier for key product groups at major plants in Kumho Tire's tire mold supplier selection bid.

On June 5, Dynamic Design announced that both its Korean headquarters and Chinese subsidiary were chosen as the top supplier for core product groups in Kumho Tire's recent tire mold supplier selection bid. This result reflects a comprehensive evaluation of key factors, including quality competitiveness, supply stability, technological capabilities, and responsiveness to delivery schedules. The outcome is seen as renewed recognition from Kumho Tire, a long-term partner, of Dynamic Design's supply capabilities.

In particular, the company explained that its selection as the top supplier for the Vietnam plant was largely influenced by the role of its Indonesian production base. PT. DYNAMIC DESIGN INDONESIA, the Indonesian subsidiary of Dynamic Design, recently obtained both quality and plant approval from Kumho Tire, laying the foundation to use Indonesian production volumes to supply the Vietnam plant.

The company stated that, beyond simple technological competitiveness, it has now been recognized for its price competitiveness and supply flexibility by leveraging its global production bases. The Indonesian production base, with its relatively low cost structure, is expected to serve as a key hub for expanding global orders in the future.

Investments to accommodate increased orders have also continued. On May 27, Dynamic Design executed a paid-in capital increase of approximately 3,007,600,000 won for its Indonesian subsidiary. This capital injection, aimed at securing operating funds, allowed the company to maintain a 99.96% equity stake. The funds will be used to respond to increasing production volumes and to strengthen operational foundations going forward.

With this supplier selection and capital increase, the company has effectively established a global four-axis supply system connecting Korea, China, Romania in Europe, and Indonesia. Notably, the Indonesian subsidiary is expected to contribute to improved profitability, leveraging competitive advantages in labor costs and production expenses.

The company is also showing signs of performance improvement. On a consolidated basis, first-quarter sales this year amounted to approximately 27 billion won, with operating profit reaching about 1.12 billion won, successfully turning a profit from an operating loss in the same period last year. Market observers believe that whether the Indonesian subsidiary fully enters mass production will be a key variable for future performance improvement.

A company official stated, "Being selected as the No. 1 supplier this time is the result of once again being recognized by our client for our quality competitiveness, technological capabilities, and supply stability," adding, "With the Indonesian production base and global supply system, we are now able to respond more efficiently to the diverse needs of our clients."

The official further added, "We plan to enhance customer satisfaction and strengthen our global market competitiveness through continuous quality innovation and improvements in production efficiency."

Dynamic Design is said to be accelerating its expansion in the global tire mold market by solidifying its position as a key supplier to Kumho Tire, leveraging its Indonesian production base and global supply network.

This content was produced with the assistance of AI translation services.