Cooper Tire Receives Approval for Chinese Joint Venture

Cooper Tire & Rubber Co., the second-largest U.S. tire maker, said yesterday that it has received government approvals for its majority stake in a passenger and truck tire company in China as well as a 25% stake in a steel-cord factory.

The decision is part of Cooper Tire's plan to reduce production costs and boost sales. In February 2004, they said they planned to have low-priced tires produced in Asia. Much of their U.S. production is in performance tires. 

The latest investments, totaling $70 million, were announced in Oct. 2005. The deal is expected to be closed in early Jan. 2006.