LONDON, June 24 (Reuters) - British tyre startup ENSO

said on Monday that it has signed a letter of interest with the

U.S. Export-Import Bank to build a $500 million U.S. plant that

when fully operational should be able to make 20 million tyres

for electric vehicles annually.

The company said that by 2027 the plant should employ 600

people and produce 5 million tyres annually, adding that

potential locations for the plant include Colorado, Nevada,

Texas, and Georgia, with "other states in consideration".

ENSO said it aims to recycle all of the tyres it produces in

the United States. The company did not provide a target date for

reaching full production.

"With strong regulatory support and a significant market

opportunity, we are committed to bringing our innovative,

low-emission, low-cost tyres to American consumers," ENSO CEO

Gunnlaugur Erlendsson said in a statement.

ENSO said technology partner Rockwell Automation ( ROK ) and

venture capital funds 8090 Industries and Galway Sustainable

Capital are also providing support for the new plant.

ENSO has developed tyres specifically for EVs, which can

increase their range by 10% and reduce particulate matter

emissions by 35%.

The company already sells tyres in Britain and will launch

U.S. sales this year.

When tyres make contact with the road, tiny particles are

abraded and emitted. The extra weight of EVs linked to their

batteries means they emit more particles, a problem that is

growing with the rising number of EVs on the road.

The European Union and the state of California have

announced rules designed to curb those tyre emissions.

The United States has also passed the Inflation Reduction

Act, which has minimum local production requirements for

automakers' EVs to qualify for government subsidies.

(Reporting By Nick Carey

Editing by Ros Russell)