23 Apr 2025
Bidders took part in tendering process for construction of €480m tire manufacturing facility
Milan, Italy – Pirelli & C. SpA has progressed its tire manufacturing joint venture project in Saudi Arabia with a tender process that ended earlier this month.
Saudi Public Investment Fund (PIF) and Pirelli tendered the contract to build the $550 million (€480 million) tire plant in the King Abdullah Economic City (KAEC), said a 6 March announcement by the Italian Trade Agency
The tender notice was issued in December last year with a bid submission deadline of 10 April, ITA added.
UK-based firm Jones Lang LaSalle (JLL) has been named as the project consultant.
Set for operation in 2026, the plant will have a capacity to produce 3.5 million units of passenger car tires per annum, some under the Pirelli brand.
It will also manufacture and market tires under a new local brand targeting the domestic and regional markets.
The project was tendered by the Mena Tire Co., a joint venture between PIF (75%) and Pirelli (25%).
The plant will be located within the King Salman Automotive Cluster of KAEC, which was officially launched on 6 Feb by the Saudi crown prince Mohammed Bin Salman.
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