VORONEZH, Russia — Pirelli Tyre S.p.A. is considering expanding production capacity at the tire plant in Voronezh it acquired in 2010 if "market dynamics are positive," Pirelli said recently.
An investment in increasing capacity wouldn't happen before 2020, the company stressed in correspondence with European Rubber Journal, a sister publication of Tire Business.
The Voronezh governor's website reported on June 26 that Pirelli President Marco Tronchetti Provera had paid a visit to the region, where he said the plant was likely to double its capacity to 4 million tires a year.
Pirelli took over JSC "Voronezh Tire Plant" as part of a joint venture with state corporation Rostek in 2012 and has since invested more than $125 million in modernization of the 70-year-old plant.
The plant produces premium segment passenger tires in rim diameters ranging from 16 to 21 inches, for both the Russian replacement and OE markets and for export to markets in East and West Europe.
Pirelli invested $220 million over three years to upgrade the plants in Voronezh and Kirov, Russia, that it acquired in 2010.
Separately Russian news website Realnoe Vremya reported recently that officials from Pirelli had met with Albert Shigabutdinov, director general of TAIF, parent company of synthetic rubber producer PJSC Nizhnekamskneftekhim, to discuss the possibility of increasing the scale of their supply agreement.
Shahrzad Pourriahi is a reporter with European Rubber Journal, a United Kingdom-based sister publication of Tire Business.