$115 mln investment plan in tire plant in Turkey unveiled

$115 mln investment plan in tire plant in Turkey unveiled

$115 mln investment plan in tire plant in Turkey unveiled

Prometeon, one of the top industrial tire manufacturers in the world, has announced its plan to invest $115 million in its plant in Turkey until 2020.

“The annual tire production capacity at the Turkish plant will increase by 75 percent by 2020 and export to foreign markets will almost double from current levels and make an important contribution to the trade balance of the country,” said a statement from the Chinese-owned company, which operates under the license of the Italian giant Pirelli, on Nov. 6.

At a press briefing in Istanbul, Prometeon’s Chief Operating Officer Gregorio Borgo said Turkey is the management base of the group’s offices in 75 countries in the Middle East, Russia and Central Asia region.

“Almost one third of Prometeon Tyre Group’s annual turnover is realized in the region managed by our Turkey office and more than 50 percent of the tyres that we manufacture in Turkey are exported,” he said.

Prometeon’s production plant in Turkey’s northwestern province of Kocaeli, one of the four plants of the company globally, has been operating under the Pirelli brand since 1960. Currently, it has an annual capacity of 1 million units and exports worth $125 million.

“We will further strengthen the position of Turkey as one of the largest suppliers of Europe in the industrial tyre group,” said Alp Günvaran, the CEO of Prometeon in Turkey.

The fresh investment of the company is expected to add 150 to the 2,000 employees of its staff in the country directly.

After more than 45 percent of Pirelli’s shares were bought by ChemChina in an acquisition in 2015, the company’s industrial and passenger car tire production units were separated. The plant in Kocaeli was acquired by Prometeon in 2017.

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