NEXEN TIRE Raises European Supply Capabilities with Automated Warehouse Expansion

NEXEN TIRE, a leading global tire manufacturer, has announced a new automated warehouse at its European manufacturing plant in Žatec, Czech Republic. The investment will increase storage capacity by an additional 300,000 tires. VCES provided the complete construction solution using the Design & Build method to its Korean partner.

Anthony DEBUSSCHERE, Deputy CEO of VCES, commented on the project: “I am very pleased to witness the successful completion of this outstanding project today. Preparatory and design works began in early 2024, and within just 10 months we successfully obtained the building permit. The subsequent construction phase continued until June 1, 2026, when we officially handed over the new warehouse facility to NEXEN TIRE for operation — one month ahead of schedule.”

The new warehouse is a fully automated logistics center spanning 7,104㎡ and standing 51 m high. It is equipped with advanced logistics technologies, including fully automated inbound and outbound handling systems and product tracking using RFID, making full-process management from production and storage to shipment more efficient while also improving accuracy.

NEXEN TIRE’s European entity will now have greater flexibility in responding to seasonal fluctuations in demand and be able to deliver its products more reliably and quickly, which will further enhance customer satisfaction throughout the region.

“This warehouse expansion does more than just increase storage capacity. It is a strategic investment that will strengthen our integrated production and logistics capabilities,” said John Bosco (Hyeon Suk) Kim, CEO of NEXEN TIRE. “By continuously enhancing the operational capabilities of our European plant, we will improve the trust of customers and further accelerate our growth in the European market.”

This strategic investment has increased storage capacity by approximately 57%, from 530,000 to 830,000 tires, and will support growing production volumes, improve logistics efficiency, and strengthen the company’s local supply capabilities.

“We are pleased to contribute to NEXEN TIRE’s continued growth in the European market. The finished-goods warehouse project has allowed us to further strengthen our long-standing partnership, which began with the first phase of the construction of the manufacturing plant in Žatec. On behalf of VCES and our parent company, Bouygues Construction, I would like to thank NEXEN TIRE for its trust and all our partners for their cooperation, without whom today’s success would not have been possible,” added Anthony DEBUSSCHERE.

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