LONDON-Group Michelin is planning to set up a tire plant near Moscow to serve the Russian market, according to information from the European Bank for Reconstruction and Development, which said it intends to provide up to $20 million in financing.
Michelin in April purchased an 81.5-acre site in the Moscow suburb of Davydovo for Michelin Russian Tyres Manufacturing Co. Production start-up is scheduled for mid-2003, Michelin said.
Initially, the new company will make passenger tires for the Russian market only, the EBRD said. Eventually it may export to neighboring countries considered part of the Commonwealth of Independent States. The company declined to say how large the plant will be.