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Pirelli: more premium tires in all segments

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Pirelli & Cie SpA recently shared its global vision for the company with investors. As part of its "industrial plan," the company updated its goals for next year and beyond.

Participating in the conference call, which was held in London, England, on Nov. 9, were Marco Tronchetti Provera, chairman and CEO; Maurizio Boiocchi, director of research and development; Mauro Sala, chief of managment control; and Francesco Gori, CEO of Pirelli Tyre SpA.

Here are some of the NAFTA highlights from Gori's presentation.

* Pirelli says it will focus on supplying premium consumer tires through the independent tire dealer channel.

* The company also says it will take a "selective approach to European OEM transplants" and reduce sales to the original equipment "mass market." The result will be an increase in the OE mix of tires versus replacement tires -- from 20% this year to 23% in 2015.

* Pirelli will continue to supply medium and heavy truck tires to Mexico, but not the United States or Canada.

* The new factory being built in Silao, Mexico, will have a production capacity of five million high and ultra-high performance tires for cars and light trucks by 2016.

In North America and globally, and at both the OE and replacement segments, Pirelli's strategy is clear: to focus on premium tires and markets. And the company expects double-digit growth along the way.

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