Sales reach 2.6 times their previous level in two years: Nexen Tire Corporation builds a distribution network linking eastern and western Australia

[Financial News] Nexen Tire Corporation is accelerating its push into the Australian market by opening a new logistics center in Perth, the largest city in western Australia. The company is extending its supply network westward from its concentration in eastern cities such as Sydney, Melbourne and Brisbane, setting out to build a distribution base that effectively covers the whole country. With revenue at its Australian subsidiary growing to 2.6 times its level in just two years, the strategy is to sustain that growth by expanding investment in logistics and branding at the same time.
Nexen Tire Corporation said on the 7th that it had expanded its logistics infrastructure in Australia by opening a new logistics center in Perth, Western Australia.
The Perth logistics center is Nexen Tire Corporation's fourth logistics hub in Australia, following those in Sydney, Melbourne and Brisbane. By extending its supply network—which had been built around major eastern cities—to the west, the company has taken another step toward establishing a nationwide distribution network.
Given Australia's vast landmass and the long distances between regions, how efficiently local inventory is distributed is directly linked to sales competitiveness. Nexen Tire Corporation plans to use its Perth hub to shorten product delivery times in western Australia and respond more flexibly to changes in market demand.
The expansion of the distribution network is driven by rapid growth in the local market. Revenue at Nexen Tire Corporation's Australian subsidiary rose by at least 50% in the first half of this year compared with the same period a year earlier. Compared with the first half of 2024, it had grown to 2.6 times its previous level in two years.
Alongside expanding its logistics infrastructure, Nexen Tire Corporation will step up local brand marketing to increase consumer touchpoints.
The company plans to officially introduce “store branding”—applying Nexen Tire Corporation's brand identity at partner stores—in Australia and expand the number of participating locations. The approach is to create a consistent brand experience for consumers by unifying store signs, interiors and product display areas around purple, Nexen Tire Corporation's signature color.
Sports marketing will also continue. Nexen Tire Corporation has officially sponsored Sydney FC in Australia's A-League since the 2024–25 season and plans to continue its sponsorship in the 2026–27 season, which kicks off on the 16th.
Nexen Tire Corporation will also draw on the technical expertise it has developed supplying original equipment (OE) tires to global automakers to expand in the Australian market. The company supplies OE tires to global premium automakers including Porsche, Mercedes-Benz, BMW and Audi.
Nexen Tire Corporation plans to build brand awareness in the local market by expanding its Australian distribution network and consumer touchpoints at the same time.
A Nexen Tire Corporation representative said, “With the opening of this logistics center, we have established a foundation for reliably supplying products beyond the east coast to western Australia as well,” adding, “We will continue to strengthen our distribution network expansion and brand marketing together and steadily broaden our presence in the Australian market.”
[email protected] Kim Dong-ho Reporter