Pirelli Opens First Tyre Plant In China
Pirelli executives Marco Tronchetti Provera and Francesco Gori have attended the opening ceremony of the company’s first tyre plant in China. The joint venture facility is split 60:40 between Pirelli and the Yinhe Group (Roadone Tyres) respectively, with the Italians planning to gradually increase their share in the coming years. The new plant’s is about half a million radial truck tyres, a number that will soon be raised to 1.2 million tyres per year. The tyres produced in the new truck tyre factory will be sold in China, South East Asia and Australia.
Pirelli is aiming to obtain a 3 per cent share of the Chinese market by the end of 2006, with plans to outperform the general market growth rate in the years after. By the end of 2006 Pirelli will have invested US$180 million in China.
In addition to the truck tyre factory, Pirelli plans to build a passenger car tyre production plant on an adjoining site. The two plants will operate independently. For more information on the opening see the forthcoming issue of Tyres & Accessories.