Pirelli to invest as much as $500 million in Argentina plant

Article by Christian A., on October 15, 2011

Italian tire manufacturer Pirelli intends to invest as much as $500 million in the construction of a new factory in Argentina, according to company and government officials. Pirelli will spend $300 million through 2014 to erect the radial truck tire plant, with an additional $200 million reserved for increasing capacity in case market situations are positive, a company spokesperson disclosed.

The investment in Latin America's No. 3 market was a part of an industrial strategy revealed by the company late last year, the spokesman said. However, the venture was presented to government authorities on Thursday.

The action to increase production in Argentina is part of Pirelli's strategy to grow into fast-emerging markets. The company, which currently has a facility near Buenos Aires, is forecasting a 40 percent increase in its revenues in Argentina to $500 million this year.

Initially, the new radial truck tire plant would generate 700,000 units per year, with the second stage potentially rising to 1.4 million units. Pirelli stands No.89 on the Automotive News Europe list of the most notable 100 international suppliers with global original-equipment automotive components sales of $1.3 billion in 2010.

Topics: pirelli, investment

If you liked the article, share on:

Comments

Recommended

Imagine a sports car morphing into an SUV. Chevrolet initially revealed the FNR Concept at the previous Shanghai Auto Show in 2015. For this year, Chevy once again graces the...
by - April 22, 2017
From the moment FCA kicked off with its 3-month-long ad campaign until the day it unveiled the new Dodge Challenger SRT Demon, folks have been guessing what the exact figures...
by - April 22, 2017
Some people may think Audi Sport is a new company but it is in fact the motorsport division of Audi combined with the best of what Quattro GmbH can offer....
by - April 21, 2017
It is not a big secret that premium customers in China have a strong penchant for luxury cars with a spacious interior. In particular, premium customers in China purchase luxury...
by - April 21, 2017
Chinese automaker Chery did not leave a good impression last time they were in Australia - due to its cheap design. But this year, Chery showcases its new Tiggo Sport...
by - April 21, 2017
Facebook

Youtube Channel

Tip Us
Do you have a tip for us?
Did you film an important event?
Contact us
Newsletter
Subscribe to our newsletter!
Subscribe
Galleries