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#518 Luo Jye $3.75B

Random fact: His second son and two sons-in-law co-manage company.

Overview

Luo is the founder of Cheng Shin Rubber Industry, the world's largest maker of bicycle tires. The Changhua, Taiwan-based company had revenue of TW$117 billion ($3.6 billion) in 2016. It produces tires and inner tubes for bicycles, motorcycles, cars, trucks and agricultural equipment, and sells them across Asia, North America and Europe.

As of July 28, 2017:
Last change +$44.1M (+1.2%)
YTD change +$219M (+6.2%)
Industry Consumer
Biggest asset 2105 TT Equity
Citizenship Taiwan
Age 0
Wealth Self-made
View net worth over:   Max 1 year 1 quarter 1 month 1 week

Relative Value

Luo Jye's net worth of $3.75B can buy ...

0
troy ounces of gold
0
barrels of crude oil

... and is equivalent to ...

0%
of the GDP of the United States
0%
of the total wealth of the 500 richest people in the world
0%
of the top 100 U.S. college endowments
0%
of the top 200 U.S. executives’ total awarded compensation
0%
of U.S. existing home sales
0
times the median U.S. household income

Latest News

Net Worth Summary

Cash
Private asset
Public asset
Misc. liabilities
Confidence rating:

The majority of Luo's wealth is derived from his family's 40 percent ownership of Cheng Shin Rubber Industry, the world's largest maker of bicycle tires, according to its website in May 2017. Cheng Shin markets its tires and tubes in Taiwan, and also exports them to North America and Europe. Luo's credited with the entire fortune because he's the company founder and family patriarch.

The value of his cash holdings is based on an analysis of calculated dividends, market performance and taxes.

Jennifer Lo, a spokeswoman for Cheng Shin, confirmed Luo's shareholding in the company.

Biography

Birthdate:
Family: Married, 4 children

Luo was born to a peasant family in the town of Changhua in central Taiwan. After finishing elementary school, he sold preserved fruits in his neighborhood before joining a tire shop as an apprentice. There, Luo learned how to refurbish used bicycle tires, a necessary skill as Taiwan faced a shortage of basic materials after World War II.

Luo co-founded a tire company in 1951. He expanded production to motorcycle tires, adopting the new trademark, Cheng Shin, in the same year. His business benefited from the industrialization process in Taiwan and the rest of Asia.

Cheng Shin teamed with Japan's Toyo Tire & Rubber, helping make it the first Taiwanese company to export passenger car tires, in 1982. Cheng Shin also became one of the first Taiwanese businesses to set up a factory in China.

Three second-generation family members have senior roles in the business. Luo's second son, Lo Tsai-Jen, replaced him as company chairman in June 2014. Chen Jung-Hua and Chen Hsiu-Hsiung, two sons-in-law of Luo's, run Cheng Shin's operations in Taiwan, China and Southeast Asia.

Milestones
  • 1925 Luo is born in Changhua, Taiwan.
  • 1951 Co-founds a factory to make bicycle tires, the predecessor of Cheng Shin.
  • 1969 Changes name of company to Cheng Shin.
  • 1982 Forms a joint venture with Japan's Toyo Tire & Rubber to manufacture car tires.
  • 1988 Diversifies business by investing in a securities company in Taiwan.
  • 1990 Cheng Shin sets up a subsidiary in the U.S.
  • 1991 Opens an office in Germany. Later moves to the Netherlands.
  • 2005 Thailand manufacturing units start operations.
  • 2006 Son Lo Tsai-Jen becomes vice chairman. Son-in-law Chen Jung-hua is president.
  • 2014 Younger son Tsai-Jen Lo takes over as chairman of Cheng Shin.