NOKIAN, Finland—Nokian Tyres' outgoing CEO Ari Lehtoranta said he will present his proposal for a third production plant to the company's board before the end of the year.
“As for the third factory, we are progressing and we are putting forward a proposal to the board in this quarter,” said Lehtoranata who is stepping down from his position at the end of the year. “Whether the board will be able to make an immediate decision or leave the final decision to be reviewed by my successor, I cannot guarantee.”
The proposal will be presented to the next board meeting which will be in December.
Earlier this year, Lehtoranta confirmed that two locations, east Europe or North America, were being studied for the plant. During the Reifen tire show in May, he noted that the Nokian also was looking into the option of a partnership.
Regardless of the final decision, Lehtoranta said the new plant should have a capacity of 5 million passenger car tires annually, and its location will be announced by the fourth quarter of this financial year.