Bridgestone Picks Hungary For Tire Plant

When publishing its first half results in Tokyo on Monday, Bridgestone said it intends to build a plant that will produce radial tires for passenger cars and small commercial vehicles. Production will start in 2008, and the firm plans to reach an output of 8,000 units by mid-2009.

With the Hungarian plant, Bridgestone increases the number of its productions units to 51. The Japanese tiremaker runs production facilities in 24 countries around the globe. The company said the plant in Hungary will be built in response to growing consumer demand for passenger car tires.

The company’s spokesman said the plant in Hungary will produce high-performance tires with low sidewalls, for which demand is rapidly growing in Europe. The plant also will increase Bridgestone’s supply capacities in the region. The plant in Hungary will be Bridgestone’s second plant in Central Europe. The other facility is located in Poznan, Poland.

The company’s spokesman added that the investment in Hungary is an increment on top of the company’s ¥227 billion planned investment in 2003-2007.