Japanese tire maker Bridgestone will construct a new passenger car radial tire manufacturing facility in Russia.
The plant will be located in the Zavolzhye Industrial Zone in Ulyanovsk Oblast, Russia and will be managed by the Bridgestone Tire Manufacturing C.I.S (BMCIS), a tire making joint venture between the Bridgestone and Mitsubishi.
According to the company, demand for tires, in Russia, is expected to increase in the future and the new plant will support it to meet the demand growth.
Both the companies will invest about RUB12.5bn ($398m) for the construction of the plant, in which Bridgestone will own 90% stake and Mitsubishi will have the remaining 10% share.
The plant is scheduled to begin its operations in the first half of 2016 and is expected to achieve production capacity of about 12,000 units per day by the second half of 2018.
Additionally, Mitsubishi will have 20% share in the Bridgestone C.I.S (BSCIS), a sales company established by Bridgestone in Moscow with an investment of RUB600.5m ($19m).
