Hankook Tire has announced that it plans to produce 10 million tyres annually in Hungary, doubling its output in Europe over the next two years.

The company will invest EUR230m in the Dunaujvaros plant and employ a further 700 workers, taking the total workforce to over 1,900.

The project will include adding capacity for run-flat tyres and will allow the plant to accommodate new European Union labelling requirements, which must be put in place by 2012.