Construction of South Korean tire manufacturer Nexen Tire’s new plant in Žatec will commence in fall 2015. This was reported by the Office of the Government of the Czech Republic. The company stated that it will start operating in 2018. The chairman of the board of directors of Nexen Tire, Kang Byung-Joong, said that the plant in Korea’s Changnyeong, which was also visited by PM Bohuslav Sobotka (ČSSD) during his business trip, sets the bar for the one that should be built in Žatec. More than 1,000 jobs will be created in the region. Annual production should gradually increase to 12 million units. In June 2014 Nexen Tire signed with the Czech government an agreement according to which it will invest roughly EUR 829m into the plant.