TOKYO—Yokohama Rubber Co. Ltd. has established Yokohama Motorsports International Co. as a wholly owned subsidiary.

Tetsuya Kuze, a director and corporate officer of Yokohama Rubber, will serve as president of the new firm, which will be based in Tokyo and employ 20.

The operation will plan, develop, design and supply racing tires, assuming responsibility for negotiating and contracting with race organizers and teams, Yokohama said.