(Yicai Global) Oct. 9 -- Shandong Linglong Tire will sign a cooperation agreement with well-known local tire dealer Sunset to jack up the market share of its tires in Brazil and Paraguay.

The company plans to sign the contract with Sunset in Sao Paulo, Brazil on Oct. 12, the tire maker headquartered in China's eastern Shandong province announced yesterday.

Sunset, based in Ciudad del Este, Paraguay, will buy over USD300 million in products from Linglong  from next year to 2021, and the amount Sunset imports into Brazil and Paraguay from Linglong eachyear must exceed 10 percent of the total number of its tires bought from China, per the agreement.

Sunset also pledges to open at least 30 stores selling Linglong tires and 60 Linglong-branded tire outlets in major cities in Brazil and Paraguay, including their capitals, within the next three years, with at least five outlets selling the company's tires and 20 Linglong marquee stores added per year and to promote the company's products in the two countries.

The parties will subsequently negotiate details on sharing the cost of opening stores and means of settlement, the announcement added.

Editor: Ben Armour