Hogan Lovells advises Middle East Tire Company on strategic agreement to advance tire manufacturing in Saudi Arabia

Press releases | 25 February 2026

Riyadh, 25 February 2026 - Global law firm Hogan Lovells has advised the Middle East Tire Company (MTC), the joint venture between the Public Investment Fund and Pirelli, on a significant strategic agreement supporting the development of large‑scale tire manufacturing in Saudi Arabia.

The agreement underpins plans for a new facility with an anticipated annual production capacity of approximately 3.5 million tires. It forms part of Saudi Arabia’s broader strategy to build a localized automotive manufacturing ecosystem and secure domestic supply of critical raw materials, including butadiene rubber and carbon black for tire production.

A key aspect of the project is its alignment with the development of the King Salman Automotive Cluster (KAEC), which is emerging as a central hub for automotive manufacturing and supply chain integration. The initiative strengthens downstream industrial capabilities and supports reliable domestic sourcing of essential materials for the growing automotive sector in Saudi Arabia.

The Hogan Lovells team advising on the transaction included Riyadh Office Manging Partner Turki Alsheikh, partner Jeremy Brittenden, senior associates Hassan Hassaan and Jennifer Crust.