Cooper Tire acquires Krusevac plant to expand European production
Cooper Tire & Rubber Company has agreed to purchase the Krusevac tyre plant in Serbia, investing up to €50 million over three years to strengthen its European manufacturing base.
Cooper Tire & Rubber Company has signed an agreement to acquire the assets of an existing tyre factory in Krusevac, Serbia, aiming to boost its presence in European and Russian markets. The deal marks a strategic move to expand the company’s manufacturing footprint outside its established UK operations.
Located about 200 kilometres south of Belgrade, the Krusevac plant is intended to serve as an export base for both the European Union and Russia. Cooper will operate the facility through a new subsidiary, Cooper Tire Serbia, adding to its European network, which already includes a high-performance tyre plant in Melksham, England.
The company’s initial outlay is expected to be around €13 million, but Cooper has committed to investing more than €50 million in Serbia over the following three years. The Serbian government has agreed to provide up to €10 million in support if the company achieves certain operational and employment goals.
Job creation and production plans
Cooper Tire Serbia will start with 400 employees, with plans to grow the workforce to between 600 and 700 as production ramps up. The company targets an annual output of 3 million tyres within three years, positioning the plant as a key supplier for regional and export markets.
The Krusevac acquisition is part of Cooper’s broader strategy to support profitable growth through cost-effective manufacturing. The company cited the region’s competitive labour force and strong government support as major factors in the decision.
What it means for Cooper’s European operations
The new Serbian plant will complement Cooper’s existing operations in Melksham, providing increased flexibility and capacity for the company’s European business. The move is designed to strengthen Cooper’s ability to supply both established and emerging markets, particularly as demand for tyres rises in Eastern Europe and Russia.
