Nokian opened a plant in Romania
On September 19, the Finnish Nokian Tyres held a grand opening of a passenger tire plant in Oradea, Romania. The facility operates without the use of fossil fuels, making it the world's first full-scale tire plant with zero carbon dioxide emissions. The project was launched two years ago, and commercial production is scheduled to start in early 2025.
The decision to build the plant in Romania was made after Nokian left Russia and sold its production complex in the Leningrad region to the company "Tatneft", which created the company Ikon Tyres in Vsevolozhsk.
The opening ceremony of the Nokian plant in Oradea was attended by representatives of the Romanian government and local authorities, as well as ambassadors of Finland and Romania, members of the Nokian board of directors, and about 200 guests.
According to Jukka Moisio, CEO and President of Nokian, "the new plant will expand our capabilities to meet demand in Central Europe and beyond, and will help us move towards our goal of increasing net sales to €2 billion per year". "Having a tire plant with zero CO2 emissions, we are ready to become industry leaders and set a new standard for environmentally friendly tire production", he added.
All the electricity used at the facility is generated without carbon dioxide emissions, and part of the energy is generated by solar power plants at the plant. In addition, as Adrian Kaczmarczyk, Senior Vice President for Production Efficiency at Nokian, explained, the steam required for vulcanization of tires is generated using electric boilers, i.e. without using traditional fossil fuels such as coal or gas. "The tire production process itself is also energy-efficient, as we use only the most modern technologies and equipment", he emphasized. "The plant in Oradea fully demonstrates our commitment to sustainable development".
The first Nokian tire produced in Romania was manufactured in July 2024, and the plant's design capacity is 6 million tires per year, but there are opportunities for expanding the facility in the future. Initially, the plant will produce tires for the Central European market, and the area of the complex, including a distribution center, is approximately 54 hectares.
Before choosing the city in northwest Romania, Nokian evaluated over 40 potential locations in several European countries, and the evaluation criteria included, for example, the availability of qualified workforce, business environment, infrastructure development, production costs, potential risks, etc.
"The work we have done in recent years has aimed to bring us closer to our customers and lay the foundation for future growth", said Susanna Tuoma, General Manager of Nokian's Romanian branch. "Now Oradea is our home, and we want to be a good neighbor and support the local community, regional economy, and each member of our team".
The total cost of the project is estimated at €650 million, making Nokian one of the largest foreign investors in Romania in recent years. As support, the company will receive government aid from the Romanian government in the amount of €100 million, as well as a loan of €150 million from the European Investment Bank.
The planned staff of the facility is 500 employees. It is expected that by the end of 2024, 300 people will be working at the plant, and in 2025, the recruitment of workers will continue.