Nizhnekamskshina Plans Radial SUV Tyre Production - Tire Review Magazine

Nizhnekamskshina Plans Radial SUV Tyre Production

(Clacton, U.K./Tyres & Accessories) Nizhnekamskshina, Russia’s largest tiremaker, has announced that it will increase capital expenditure by 14.9% to 880 million rubles ($17.6 million) in 2006.

The company will invest in plant upgrades and in new capacity, including the production of radial tyres for SUVs and light trucks.

CentreInvest analysts quoted company CEO Radik Ilyasov as saying sales will increase sales by 24.8 per cent to 18 billion rubles (£360 million) in 2006 and increase output volume by 1.2% to 12 million tyres. “While we view the news positively, we believe it will not affect Nizhnekamskshina’s margins, whose pricing policy has long been determined by controlling shareholder, Tatneft,” the analysts commented.

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