MOSCOW (Dec. 19, 2011) — Russia's CJSC Sibur Holding has transferred ownership of a tire plant in Kirov, Russia, to the Pirelli Tyre S.p.A.-Russian Technologies State Corp. joint venture, as outlined in agreements the firms signed creating the venture.
The 68-year-old Kirov plant, formerly operated by Russia's Amtel Holdings, has annual capacity for 7 million car and light truck tires, Pirelli said earlier this year, which should translate into annual sales of about $430 million by 2012.
Pirelli has committed to invest about $135 million in the plant to upgrade the mixing room and finishing area and improve the quality control system.
In 2012, Pirelli expects the Kirov plant will produce 6.5 million units, in mixed brands. Pirelli said earlier the plant's output will be 60 percent Pirelli-brand tires by 2015.