Apollo Tyres Sees Delay in Start of Production in Hungary

India's Apollo Tyres sees production at a plant it is building in Hungary starting later than expected due to delays in acquiring land and regulatory permits, Reuters reported on July 31st 2008, citing a spokeswoman for the company. The plant was to have started production in June 2009. Now, because of regulatory delays, production will start in June 2010 at the earliest, Kankana Das told Reuters.

When announcing the project in January, Apollo said it would spend about EUR 300 million to build the plant which will have an annual capacity of 7 million tires. The government said it would provide EUR 27 million in subsidies, including training subsidies and other support, for the project, which will create 1,500 new jobs.

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