In a momentous collaboration, the Public Investment Fund (PIF) and Pirelli Tyre S.P.A have unveiled their shared vision to establish a cutting-edge tire manufacturing facility in the heart of Saudi Arabia. This groundbreaking project represents a substantial financial commitment, with an investment reaching approximately USD 533.15 million. The manufacturing plant is set to spring into action in 2026, promising a transformative impact in the vibrant city of Riyadh, Saudi Arabia’s capital.
Within this pioneering partnership, Public Investment Fund (PIF) takes the lead with a 75% stake, while Pirelli assumes a vital role as a strategic technology partner, retaining the remaining 25%. Pirelli’s involvement is set to be a cornerstone of the project’s success, offering invaluable technical and commercial support to facilitate its development. The project revolves around the construction of a state-of-the-art Tyre Manufacturing Facility, poised to boast an impressive annual production capacity of 3.5 million tire units. Beyond the evident economic benefits, this endeavor underlines an unwavering commitment to environmental sustainability, echoing the global call for eco-conscious manufacturing practices.
Anticipated to roll off the production line in 2026, this advanced plant will be a hub for crafting top-tier tires, proudly emblazoned with the distinguished Pirelli brand, and tailored for passenger vehicles. Not stopping there, the facility will also venture into new territory by producing and promoting tires under a fresh local brand, meticulously designed to cater to the distinctive preferences of both the domestic and regional markets. This holistic approach reflects a profound understanding of the diverse needs and tastes of Saudi and regional consumers, ensuring a diverse range of tire options and heightened market adaptability.
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