Goodyear
has cancelled plans to build a new tyre plant in Glorinha, Rio Grande do Sul state,
writes Rogério Louro Alves.

The company said that there isn’t enough demand from the Brazilian market
to justify a new plant at present.

Goodyear had previously signed an agreement with the government of Rio Grande
do Sul state to build the $US180 million plant which would have had a total
production capacity of 1.2 million tyres a year.

Goodyear already has two Brazilian tyre plants in Sâo Paulo city and
Americana, both in São Paulo state. The factories are both operating
below their production capacities at present.







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