Apollo Tyres to set up Euro 500-m plant in Europe.

Apollo Tyres, which has in the recent past increased its footprint in Europe, is planning to set up a plant in eastern Europe to manufacture passenger car tyres and heavy commercial vehicle tyres.

The exact location of the factory is yet to be decided, Vice-Chairman and Managing Director Neeraj Kanwar told reporters here.

The facility, expected to be completed by 2018 at an investment of around €500 million (around Rs. 4,100 crore), will roll out an estimated 55 lakh car tyres and 6.75 lakh truck tyres, he added.

'We have had good sales growth in Europe,' Kanwar said.

Apollo already has a R&D centre for passenger car and SUV tyres in Europe and there was a lot of attention to research.

In order to increase its market presence and visibility in European countries, Apollo had recently entered into a tie-up with Manchester United football club.

While 60 per cent of Apollo tyres are consumed within the country, the rest are marketed abroad, mainly in Europe.

It has a plant in South Africa and another in the Netherlands. The company is also focussing on South-East Asian countries.


HBL