Famous Tire Enterprises Invested 220 Million to Expand Production Capacity
According to foreign media, Prometeon, a well-known tire group, announced to invest 30 million euros (about 220 million yuan) in its tire factory in Alexandria, Egypt, in order to meet the market demand.
On December 11, 2022, PTG issued a statement on its capacity upgrading. In this statement, the technical upgrading of Egyptian factories and the increase of "Series 02" tire production capacity were mentioned. According to Stefano Ziliani, CEO and General Manager of Prometeon Tyre Egypt, the upgraded plant can achieve an annual production capacity of 1.1 million tires.
According to the 2021 Global Tire Report released by foreign media, the factory's annual capacity before upgrading was 850000 tires. Ziliani also said that thanks to the upgrade, the factory could provide more jobs - the number of employees increased from 1200 to 2000.
"Our goal in 2023 will focus on meeting the needs of the Egyptian market by launching innovative tires in Egypt this year: giving priority to efficiency, safety and product quality." The upgrade was launched in the first half of 2022 and is part of PTG's series of investments in production facilities in Türkiye, Egypt and Italy.
In a recent statement, the tire manufacturer said that these investments were funded by a sustainability related loan of 350 million euros (2.547 billion yuan) obtained by the end of 2021. In addition, as part of the plan, the tire manufacturer also approved the capacity increase in Türkiye at the end of 2021.
Previously, the tire group invested 40 million euros in Türkiye's Kocaeli factory and upgraded the equipment in Türkiye. The investment of hundreds of millions of yuan can also help the factory to increase its output to more than 1.8 million pieces per year.
According to public information, PTG also used 25 million euros of its loans for its R&D facilities in Türkiye, Italy and Egypt.
PTG said that the term of the multi-currency revolving credit mechanism was three years and could be extended for another year. The Italian manufacturer aims to complete the investment by 2025 and achieve the goals of sustainability training, waste reduction and supply chain control through the second party audit.
In October 2015, Sinochem acquired Pirelli, and then Pirelli divided its tire business. Prometeon is a spin-off company of Pirelli's tire industry department, responsible for the production and sales of a variety of truck passenger tyres and agricultural tyres. It is reported that Prometeon owns dozens of invention patents and the right to use the product integration technology process and mechanical proprietary technology process of Pirelli Industrial Tire, and the product quality has been highly praised by users.
At present, PTG can provide tire products to more than 3000 customers around the world. Its channel network covers tire wholesalers, retail chains, tire dealers and large fleets, and it has achieved supporting business cooperation with world-famous automobile enterprises such as Benz, Ford and Volkswagen.
