CORRECTED – Pirelli to set up Mexico production base – paper

(Corrects lead to ‘multi-million’ from ‘multi-billion’)

LONDON, Oct 25 (BestGrowthStock) – Italian tyre maker Pirelli
(PECI.MI: ) is planning to announcee a multi-million dollar move
to set up a production base in Mexico, its chief executive was
quoted as saying on Monday.

In an interview with the Financial Times, Marco Tronchetti
Provera said he saw growth intensifying “thanks to new
investments in Mexico,” but declined to discuss investment
figures.

“For us it is more convenient to invest in Mexico because
there are many carmakers investing there,” he said, while lower
labour costs in the country were another factor.

He said the plan for the base, that will supply the North
American market, is not yet finalised.

“But in our picture it makes sense… to supply America from
within (a country that is part of the North American Free Trade
Agreement) instead of from Latin America,” he said.

(Reporting by Karolina Tagaris)

CORRECTED – Pirelli to set up Mexico production base – paper