Apollo Tyre inaugurated its 6th global tyre manufacturing unit in Hungary

Apollo Tyres has inaugurated its 6th global tyre manufacturing unit, and the second one in Hungary, Europe. Located in Gyöngyöshalász, which is less than 100 km from the capital, Budapest, this is the company's first Greenfield facility outside India. This plant is expected to maintain best practices of tyre manufacturing in the world, with the help of its state of the art, highly automated and IT driven systems and robotics.

Apollo Tyres is one of the leading tyre manufacturers in India with its product portfolio spread across tubeless and tube type tyres for cars, SUVs, trucks, buses, etc.

Apollo Tyres is investing 475 million euro (nearly 3,460 crore) in its first green field manufacturing facility. Under phase 1 of the project, the plant will have capacity to manufacture 5.5 million passenger car tyres and 765,000 truck radial tyres a year. This investment is one of the largest in Hungary at present. It is expected that there will be 50% automation in this plant, and more importantly, the plant would allow Apollo to increase its connect with car makers in Europe. As of now, the company supplies mainly to the replacement market in Europe under the Verdestein brand. Apollo had acquired the Verdestein brand in 2009.


India has also invested in this plant. The total investments by India in Hungary are approximately $2 billion, which has created around 10000 jobs. India was the largest Greenfield investor into Hungary in 2014.

Apollo Tyres has about 25% market share in tyre for commercial vehicles. This segment contributes about 60% of total revenues for the company. Tyres for cars, SUVs, off highway vehicles, and more recently for two wheelers, contribute rest of the revenues.

The Hungarian government has supported the investment with a grant of HUF 16 billion. The plant, which is Apollo’s second in Europe, will put out two million tyres a year once it reaches full capacity in the fall of 2018.