Pirelli & C. SpA, a tire maker based in Italy, Thursday said its China sales jumped 40% year on year in the first half thanks to the booming auto market in the country, sources reported.

The company also attributed its first-half success to its second plant in the country. The plant began production in late 2007 and produces tires for passenger vehicles.

Despite strong sales in China, the tire maker has suspended plans to invest US$100 million to build a new plant in China to expand its production capacity due to weak global demand, according to sources.

The plan had been to expand its production capacity to 11 million tires by 2011. Its production capacity in its Chinese plants was about 5 million at the end of 2008.

Pirelli has invested more than RMB 2 billion in China since 2005. It makes tires for both trucks and passenger vehicles in the country.

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