Pirelli: set to invest over 1 billion dollars in the US
(Il Sole 24 Ore Radiocor) - Pirelli is preparing to invest over 1 billion dollars in the US. Specifically, as previously reported, the investment is intended to boost production at the plant in Rome, Georgia. “The Board of Directors,” reads a statement from the group, “has been informed of a multi-year investment plan for the United States amounting to between approximately 1 and 1.2 billion dollars, which had already been considered during the previous term of office.” The investment will be included on the agenda of a forthcoming board meeting for approval and will enable an increase in production capacity in the United States, including the development of Cyber Tyre technology. Indeed, thanks to changes to its governance structure established by the Golden Power Decree, Pirelli has been able to agree with the Bureau of Industry and Security (BIS) of the US Department of Commerce on broad terms that allow for the introduction of Cyber Tyre onto the US market. The expansion plan will support growth in the High Value segment in North America and strengthen the ‘local-for-local’ strategy in that market too, as is already the case in China and Europe. The investment plan “is expected to form an integral part of the next Business Plan and will not affect the 2026 targets”, explains Pirelli in the statement. “The project, which will be rolled out over several financial years, will not alter the company’s investment profile, maintaining the usual ratio of capital expenditure (capex) to revenue at around 7 per cent.”
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