Pirelli inaugurates expansion at Romanian plant

ERJ staff report (TB)

Slatina, Romania -- Pirelli Tyre SpA has inaugurated the first stage of a five-year expansion of its Slatina tyre factory that will enlarge the 5-year-old plant's annual capacity more than 40 percent by 2014.

The euro 160 million expansion project, disclosed in 2009, will push annual capacity at the plant in southern Romania to 10 million units by 2014, making it the firm's largest car tyre plant, Pirelli said. The project will enlarge the plant's size 9.4 percent to 175 000 m² and create 300 new jobs.

Romanian Prime Minister Emil Boc inaugurated the extension yesterday, accompanied by Pirelli & C. S.p.A. Chairman Marco Tronchetti Provera and Mario Cospito, the Italian ambassador in Bucharest.

The tyre capacity expansion is part of a euro 300 million investment Pirelli approved in 2009 for its Romanian operation, which also includes production of steel tyre cord in Slatina and anti-particulate filters for diesel engines at a plant in Bumbesti Jiu-Gorj.

The Romanian government contributed funding valued at about euro 28 million, Pirelli said.

The Slatina plant is equipped with Pirelli´s most advanced non-robotic production technology for the production of premium tyres, including high-performance, ultra-high-performance, run-flat, SUV, winter and UHP winter. Employment is expected to grow to 2,700.

The inauguration ceremony provided a backdrop for Mr. Tronchetti Provera to underscore the Romanian government's contributions to Pirelli's success, including a partnership with the University of Craiova in the area of technological innovation and projects for the dissemination of Italian culture in Slatina and dedicated to children from different social backgrounds.

“Romania…is a key country for Pirelli's worldwide growth,” said Giuseppe Cangelosi, director general of Pirelli Tyres Romania. “The car tyre and steelcord factories in Slatina constitute a point of strength in the group's industrial strategy.”

Other dignitaries present at the ceremony included: Romanian's secretary of state for finances, Bogdan Dargoi; secretary of state for the economy, Karoly Borbely; regional prefect Olt Leonid Moisiu; Slatina Mayor Darius Valcov; Pirelli Tyre CEO Francesco Gori; director of operations Giovanni Pomati; and Mr. Cangelosi.

From Tire Business (A Crain publication)

Press release from Pirelli