PIROT, Serbia (Sept. 15, 2010)—Michelin's Tigar Tyres D.O.O. subsidiary in Serbia plans to expand annual car and light truck tire capacity at its Pirot plant 23 percent by 2012 to 8 million units, according to information from the Serbian Ministry of Economy and Regional Development.
Michelin/Tigar will invest nearly $21 million over the coming year and a half to boost capacity, the ministry said. The project will create 220 jobs, boosting employment at the plant to about 2,300.
The Serbian government will contribute about $1.1 million in employment incentives toward the project, the ministry said.
Michelin has owned a stake in Tigar since 2002 and took 100-percent control of the company in 2008. Before that, Tigar participated in a technical cooperative agreement for nearly 30 years with the former BF. Goodrich Co. Michelin acquired the tire operations of BFG when it acquired Uniroyal-Goodrich Tire Co. in 1989, the combined tire businesses of BFG and Uniroyal Inc.
Tigar also makes motorcycle and industrial tires at the 75-year-old plant.