Global tyre manufacturers have committed significant funds to expanding their operations over the past 12 months, according to new research.
Tyre Business has released a report which shows that tyre firms have pledged to spend around $10 billion (£6.2 billion) to increase production capacity over the past year – a record for a single year.
This has largely been driven by the ambitious plans of Italian tyre manufacturer Pirelli and French giant Michelin.
Pirelli's expansion plans are based across the world, with the firm planning projects worth nearly $600 million (£373 million) in Asia, Europe and the Americas.
The firm is set to invest in its car and light truck tyre plant in Silao, Mexico, as well as a number of its Russian facilities and its plant in Merlo, Argentina.
Meanwhile, Michelin has committed around $1.46 billion to build a new car and truck tyre plant in the Chinese city of Shenyang, which is set to be completed in 2014.
The group is also planning to expand production capacity at its South Carolina and Indian plants, as well as its Serbian and French operations.
Posted by Danielle Barge