RIO DE JANEIRO (June 16, 2004) – Soc. Michelin Ltda. will invest $98 million in the next two years to expand annual capacity at its truck tire plant in Rio's Campo Grande district and its steel cord plant in Itatiaia.
The Brazilian unit of Group Michelin has budgeted $74 million to boost truck tire output 40 percent at the 23-year-old Campo Grande plant to 1.6 million units a year. The remainder will be invested in steel cord capacity at Itatiaia, which also is the site of a car tire plant equipped with Michelin's C3M automated production system.
Both plants also have retread capacity.
Together, the two projects will create about 500 new jobs, Michelin said.
The expansions are intended to make Michelin do Brasil more self-sufficient, cutting down on the need to import and eventually to give the unit sufficient capacity to support exporting as well.