WESTERN-BUILT PLANTS IN RUMANIA TO BOOST EUROPEAN SATELLITE OUTPUT OF TIRES

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP79T01003A001500130003-8
• Release Decision: RIPPUB
• Original Classification: C
• Document Page Count: 7
• Document Creation Date: November 16, 2016
• Document Release Date: April 27, 2000
• Sequence Number: 3
• Publication Date: February 4, 1963
• Content Type: BRIEF

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CONFIDENTIAL
Current Support Brief
WESTERN-BUILT PLANTS IN RUMANIA
TO BOOST EUROPEAN SATELLITE OUTPUT OF TIRES
CIA/RR CB 63-13
4 February 1963
CENTRAL INTELLIGENCE AGENCY
Office of Research and Reports
CONFIDENTIAL
GROUP 1
Excluded from automatic
downgrading and
declassification
0013000
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WARNING
This material contains information affecting
the National Defense of the United States
within the meaning of the espionage laws,
Title 18, USC, Sees. 793 and 794, the trans-
mission or revelation of which in any manner
to an unauthorized person is prohibited by law.
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WESTERN-BUILT PLANTS IN RUMANIA
TO BOOST EUROPEAN SATELLITE OUTPUT OF TIRES
The Bucharest radio on 12 December 1962 announced that the re-
cently commissioned Danubiana Tire Plant at Popesti-Leordeni, a
suburb of Bucharest, has already produced more than 100, 000 tires.
This new plant, considerably larger than Rumania's only other tire
plant, the formerly American-owned Victoria Tire Plant at Floresti,
has an annual production capacity of about 1 million tires. 1 / The
additional capacity represents a major contribution to the planned
increase in production of tires in the European Satellites from about
6. 8 million in 1961 to about 10. 7 million in 1965 (see the table). Not
mentioned in the announcement is the fact that the new plant was built
with British equipment and technical assistance. This plant is a good
illustration of the contribution being made by Western firms to the
fulfillment of Bloc plans for the expansion and the modernization of
the rubber and chemical industries.
2. Significance of Western Aid
The successful operation of the Danubiana Tire Plant will alter
significantly the tire supply situation in Rumania. In 1961 the Rumanian
output of motor vehicle tires, presumably all from the Victoria Tire
Plant, was only 386, 000. In addition Rumania imported 301, 300 tires
during 1961. 2/ With full production from the Danubiana Tire Plant,
Rumania will have enough tires from its two plants to cover domestic
needs for most types of tires and, in fact, should be able to export a
significant quantity. Inasmuch as the combined capacity of the two
plants is to be about 1. 4 million tires, the 1965 goal for production of
1. 1 million tires 3/ should not be difficult to attain.
The Danubiana Tire Plant is the result of a contract for 7. 5 mil-
lion pounds sterling (about US $21 million) concluded in June 1959
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between Rumania and Rustyfa, Ltd. , of the UK. During construction
the British work force was reported to be 25 to 50 persons. 4/ This
work force will have to remain at the plant for 6 months during initial
operations to train Rumanian personnel. The tire plant is completely
mechanized, and the operations of some sections are directed through
electronic remote control systems. 5/
Western equipment and technical assistance also are playing a
major part in Rumania's plans to become self-sufficient in production
of tire cord. A plant to produce "relon" (nylon) tire cord is being
built at Savinesti with West German help, 6/ and Rumania has nego-
tiated with both West German and British companies to obtain an in-
stallation for production of rayon tire cord. 7/ Rumanian goals for
production of tire cord in 1965 call for 400 metric tons (mt) of "relon"
(nylon) cord 8/ and 9, 000 mt of rayon tire cord (including cord web). 9/
Moreover, Western assistance has been sought to help complete the
Soviet-aided synthetic rubber plant at Onesti-Borzesti. This plant is to
have an annual capacity of 50, 000 mt of a type of styrene-butadiene rub-
ber produced at a low temperature. The plant, part of a larger chemical
complex being financed and equipped by the USSR, was to have been com-
pleted in 1962. 10/ The plant did not go into production on schedule, how-
ever, and West German technicians were reported to be installing West
German equipment there in 1962. 11 /
3. Criticism of Excessive Dependence on Western Aid
In contrast to the wide publicity given to Soviet aid during Khrushchev's
visit to Onesti-Borzesti in 1962, 12/ the Rumanian press does not mention
the West German aid being received at this combine. The large-scale
assistance from the West in building up the Rumanian chemical industry
here and elsewhere, however, has not gone unnoticed. At a Party plenum
in November 1962, Rumanian Party officials criticized the Ministry of
the Petroleum and Chemical Industry for relying too heavily on Western
firms for plant and equipment. 13/
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C -O-N-F-I-D-E -N-T -I-A-L
Table
European Satellites: Production of Motor Vehicle Tires
in 1961 and Plans for 1965
Thousand Tires
Country
1961 1965 Plans
Albania 0 N.A.
Bulgaria 2511. J450 , /
Czechoslovakia 1,442 1,828 J
East Germany 2,450 b 3,750
Hungary 385 J 625 J
Poland 1,926 2,920
Rumania 386 1,100
6,81.3 10,673
a. Not including motorcycle tires.
b. Truck and automobile tires only.
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C -O-N-F -I-D-E -N -T -I-A-L
25X1A
Analyst:
Sources:
1. FBIS, Daily Report (USSR and East Europe), no 248, 21 Dec 62,
p. JJ 5. OFF USE.
2. Rumania, Anuarul Statistic al R.P.R. 1962 (Statistical Yearbook
of the Rumanian Peoples Republic, 1962), p. 152-157, 361-362.
U.
3. FBIS, Daily Report (USSR and East Europe), no 104, 27 May 60,
p. JJ 6. OFF USE.
4. State, Bucharest. Dsp 151, 19 Feb 62, p. 2. C.
5. Rumania. Rumanian Foreign Trade, no 11, 1962, p. 35-37. U.
25X1A 6. State, Bucharest. Airgram A-41, 23 Aug 62, p. 4-5. OFF USE.
7.
8. JPRS. 6995, Selected Economic Translations on Eastern Europe
(390)), 29 Mar 61, p. 60. U.
9. FBIS, Daily Report (USSR and East Europe), no 104, 27 May 60,
p. JJ 15. OFF USE.
JPRS. 9027, Selected Economic Translations on Eastern Europe
(344), 7 Apr 61, p. 104. U.
10. JPRS. 14145, Summary of the Rumanian Provincial Press (180),
18 Jun 62, p. 8. U.
11. State, Bucharest. Airgram A-41, 23 Aug 62, p. 2-3.
OFF USE.
12. Gt Brit, BBC. Summary of World Broadcasts, pt 2, Eastern
Europe, 22 Jun 62, p. EE/976/C/1. U.
13. State, Bucharest. Airgram A-149, 27 Dec 62, p. 1-2. C.
C-O-N-F-I-D-E-N-T-I-A-L
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CONFIDENTIAL
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