Apollo Tyres lays foundation stone for Hungary plant

Apollo Tyres, which aims to be one of the world’s biggest tyre companies, has laid the foundation stone for its first European greenfield plant in Gyöngyöshalász, Hungary.

This facility, which will start production in early 2017, will manufacture both Apollo and Vredestein- branded tyres and will cater to the entire European market. Apollo Tyres acquired Vredestein in 2009.

The foundation ceremony was conducted by Viktor Orbán, Hungary’s prime minister and Onkar S Kanwar, chairman of Apollo Tyres, along with Neeraj Kanwar, VC and managing director, Apollo Tyres, and Hungarian government officials.

Onkar S Kanwar, chairman, Apollo Tyres, said, ”With the new capacity in Hungary, we will be able to further increase our focus on the European market.”

The new facility will  have a capacity to manufacture 5.5 million passenger car and light truck (PCLT) tyres and 675,000 heavy commercial vehicle (HCV) tyres per annum on completion. It will complement Apollo Tyres’ existing facility in the Netherlands, bringing in both Apollo and Vredestein tyres to the European market. Apollo spent close to Euro 500 million (Rs 3,500 crore) to set up the plant.  

Apollo Tyres has already begun recruiting for the new factory and has signed scholarship programmes with close to 90 technicians who will be contracted as employees from July 1. In the second half of the year, 150 technicians will be hired along with qualified engineers, to join Apollo’s team.

The Indian major has four manufacturing units in India, three in southern Africa and one in the Netherlands. The combined production capacity of all facilities put together is 1,700 tonnes per day.