Apollo Tyres to set up car radial facility in Hungary

16 January 2008

Mumbai: Apollo Tyres has accepted an invitation by the Hungarian government for setting up a tyre manufacturing facility in that country.

The invitation was made by Hungarian prime minister Ferenc Gyurcsany to Onkar S Kanwar, chairman and managing director of Apollo Tyres Ltd, on the sidelines of the Partnership Summit 2008.

Gyurcsany met Kanwar this morning to discuss plans for setting up a manufacturing facility in Hungary. Kanwar said he accepted the invitation in principle, on behalf of the company, subject to approval by the board and regulatory clearances.

Apollo Tyres, he said, had been evaluating various options for a European manufacturing hub to service the European and North American markets. Hungary was one of the front runners from the beginning of the evaluation process, which began about nine months back.

The likely site of the project is in Gyongyos outside Budapest city, Hungary. Both parties have agreed to finalise plans early in the coming financial year.

"I am well aware of Apollo Tyres as a leading tyre manufacturer with a global expansion plan. We are very keen to have Apollo set up its first green field manufacturing unit, outside India, in Hungary. Apollo will bring to Hungary its world class manufacturing expertise, technology and people management skills," Gyursacy said at a media briefing.