Like many other sectors, India’s tyre industry is undergoing a massive digital transformation. Companies like CEAT have been at the forefront of this shift, adopting state-of-the-art technology.

The company was recently included in the World Economic Forum’s Global Lighthouse Network due to its impactful digital transformation using Fourth Industrial Revolution (4IR) technology.

The leading tyre manufacturer has also planned to extend its technological advancements to its Nagpur plant. “CEAT’s vision for a smart factory dates back to 2015, when it commissioned its Nagpur plant. The groundwork, however, was laid earlier at Halol, where barcode tagging was introduced for traceability and error-proofing. While Nagpur became the first facility to implement a manufacturing execution system (MES), deeper analytics and machine learning capabilities were not yet in focus between 2015 and 2020,” revealed Jayasankar Kuruppal, Sr Vice President –Manufacturing, during an exclusive interview with Tyre Trends.

As Halol expanded and exports to Europe surged by the early 2020s, CEAT had to rethink its manufacturing strategy, shifting from a high-volume, low-variant model to a high-variant, low-volume approach. Once limited to 60-70 stock-keeping units (SKUs), the company's passenger car segment expanded nearly fivefold to meet European demand, requiring a complete overhaul of production workflows. 

At the same time, the adoption of silica-based compounds, which is critical for wet grip and rolling resistance, posed new challenges. These materials inherently increased cycle times, impacting capacity utilisation. While Halol was not initially designed for high-silica production, the company’s Chennai plant incorporated necessary corrections. However, tighter OEM specifications and European market requirements led to higher scrap and yield losses. 

Recognising the limitations of conventional manufacturing, CEAT turned to 4IR technology to optimise its processes. The 4IR technology refers to the advanced digital and automation-driven technologies transforming industries today. It builds on the Third Industrial Revolution by integrating AI, IoT, big data and robotics to enhance efficiency and decision-making.

“The digital transformation began at the Halol plant, expanded to Chennai and is now planned for Nagpur. Between 2020 and 2022, CEAT developed and deployed over 80 digital use cases, earning its first Lighthouse Factory designation. This data-driven manufacturing approach is now being systematically rolled out across its entire production network,” added Kuruppal.

Intelligent factories

4IR plays a crucial role in tyre manufacturing and recycling by enhancing predictive maintenance through IoT sensors, increasing energy efficiency via AI, production optimisations and advancing smart tyres with real-time monitoring.

On the other hand, an intelligent or smart factory in tyre manufacturing is defined by two core pillars, namely automation and digital intelligence. Traditionally, the tyre industry has been labour-intensive, but the shift towards smart factories is transforming operations through seamless machine-to-machine communication, real-time data sharing and AI-driven decision-making. 

The first layer of an intelligent factory is pure automation. This includes automated machines for tyre handling, programmable logic controllers for managing machine operations and automated warehousing systems to ensure smooth flow.

“For a plant to be truly smart, data must move seamlessly across all these systems, creating a connected ecosystem. This integration extends to ERP systems and advanced AI/ML-powered analytics, optimising throughput and efficiency,” said Kuruppal.   

The next stage is where operations run end-to-end with minimal human intervention. CEAT has already implemented elements of this, particularly through curing-to-dispatch automation, where tyres move untouched from uniformity testing to segregation, grading, storage, retrieval and final dispatch. It also has AI-driven IoT integrations that enhance energy efficiency, yield optimisation and first-time-right accuracy across all processes.

“The fusion of AI, IoT and automation is enabling tyre manufacturers to move from traditional manual-heavy processes to a digitally orchestrated, high-efficiency production model,” quipped Kuruppal.

CEAT’s production capacity spans multiple plants, each specialising in different tyre categories. The Chennai and Halol plants both produce 20,000 passenger car tyres daily. The Nagpur plant, India’s largest two-wheeler tyre manufacturing facility under one roof, with a capacity of close to 78,000 two-wheeler tyres daily.

Digital implementation

Curing operations in CEAT’s passenger car and truck tyre segments are almost entirely automated. While the curing medium remains unchanged, continuing with a combination of steam and nitrogen across Halol, Chennai and other facilities, the company is also exploring radical new processes, though still in the proof-of-concept stage. 

One key digital use case implemented in Chennai focused on reducing steam consumption through real-time process monitoring. Traditionally, mould heating followed fixed time cycles (e.g. 120 or 150 minutes). CEAT optimised heating based on actual temperature data, cutting steam consumption by almost 30 percent by integrating sensors and applying a machine-learning model.

The manufacturer has invested approximately INR 450-500 million in capital expenditure across its three factories to implement automation and digital transformation initiatives. On the operational expenditure side, CEAT spends INR 60-70 million annually on software licenses, infrastructure upgrades, sensors and scanners to sustain these smart factory systems.

Adopting smart manufacturing technologies has led to significant cost reductions for CEAT. Factory conversion costs at Chennai and Halol have decreased by 20-30 percent, driven by lower energy consumption, improved yield, higher manpower productivity and throughput enhancements.

Lead times from order placement to tyre dispatch have been cut by 50-55 percent, significantly improving supply chain efficiency. Additionally, material wastage has been reduced with process scrap, both component-level and finished product waste, dropping by 25-30 percent, resulting in substantial raw material savings.

Alluding to how difficult was it to implement such extensive digital changes, the executive explained, “From an infrastructure standpoint, Chennai had a clear advantage over Halol since the latter was commissioned in 2010 and 2015, when network and digital infrastructure were not as advanced. Unlike Chennai, Halol still does not have a fully integrated MES, making digital transformation more complex.”

“However, the approach to smart manufacturing differed at both plants. At Halol, the primary focus was on efficiency improvements. In contrast, Chennai underwent a more comprehensive transformation, covering the entire manufacturing chain from design and production to dispatch and supply chain optimisation. The goal at Chennai was to reduce overall turnaround time, significantly cutting the cycle from customer order receipt to final dispatch,” he added.

While Chennai benefited from a stronger digital foundation, CEAT did not merely replicate Halol’s use cases but developed new ones tailored to Chennai’s specific needs, further driving end-to-end operational efficiency.

Commenting on the challenges surrounding this paradigm shift, the executive noted, “Integrating legacy systems with Industry 4.0 technologies posed a significant challenge as ensuring compatibility between older manufacturing infrastructure and new automation, IoT and AI-driven solutions required meticulous planning and phased implementation.”

“Another critical hurdle was maintaining data quality and governance, necessitating robust validation processes, data lineage tracking and an accountability framework to enhance data integrity and reliability,” he added.

Answering whether such transformation is possible on OTR production lines, he said, “Unlike passenger or two-wheeler tyres, OTR tyres have a longer cycle time and high levels of customisation, making digital automation less complex but highly specific. While digital transformation is feasible, CEAT plans to prioritise full automation at Nagpur in the next 18–24 months, before shifting focus to digitalisation in OTR production.”

Workforce re-alignment

CEAT is reshaping its workforce strategy to align with its digital transformation, ensuring that shop floor employees are equipped and actively involved in adopting new technologies. 

It has digitised over 100 operator touchpoints to secure operator buy-in. The programme simplifies shop floor tasks through digital tools, MES integration and real-time dashboards, allowing operators to make decisions independently and reducing reliance on supervisors. Every operator has undergone basic digital awareness training to facilitate this transition. 

A key move was the introduction of business translators, who are frontline supervisors with strong technical acumen. They bridge shop floor pain points with digital solutions. Working alongside data engineers and scientists, these individuals co-develop AI-driven use cases, such as reducing setup time in mixing processes to improve efficiency. 

The company also strengthened its talent pipeline, hiring computer science graduates, a rarity in the tyre sector just a few years ago.  It has pioneered hiring female operators in the tyre industry, beginning in Halol in 2009.

“Today, 24–30 percent of shop floor employees in Chennai and Nagpur are women. While digitalisation isn’t the primary driver of this shift, automation has made traditionally labour-intensive jobs more accessible. The company also enforces pro-women policies, including home pick-ups and drop-offs, designated rest areas, female security and an internal support forum (V Power) to address workplace concerns,” informed Kuruppal.   

When asked whether digitisation will lead to a cut in vacancies, Kuruppal stated, “Contrary to fears that digitalisation reduces shop floor jobs, we find ourselves grappling with the bigger challenge of talent attraction. Post-pandemic, fewer young workers are willing to pursue manufacturing roles, with many opting for finance, retail and IT-driven careers instead. This trend is evident across major tyre-producing states like Tamil Nadu, Maharashtra and Gujarat.” 

“While automation and AI reduce physical strain and deskill certain operations, a fully manless tyre plant remains economically impractical in the near term. However, with rising labour costs and shrinking workforce interest, a fully automated future – perhaps within 15–20 years – isn’t off the table,” he added.

Sustainability through digitisation

CEAT is driving sustainability through digital transformation, reducing energy and water consumption while lowering its carbon footprint. Energy efficiency measures have led to a 15 percent reduction in power consumption at Halol and 25 percent at Chennai.

Renewable energy accounts for 40 percent of the company’s power mix, cutting Scope 1 and Scope 2 carbon emissions by nearly 30 percent. Water usage has been reduced by 30-35 percent over the past three years through steam optimisation, with future plans to eliminate steam in curing.

In green material adoption, integrating silica-based compounds in tyre manufacturing has required process adjustments as it increases cycle time. CEAT collaborates with equipment manufacturers to enhance efficiency. It has upgraded mixers to improve silica processing and support its shift towards sustainable materials.

Commenting on future plans to implement digital solutions, Kuruppal said, “We plan to integrate virtual and mixed reality into the manufacturing processes to enhance equipment maintenance and reduce mean time to service. We are also exploring AI-driven process optimisation, as these models will auto-correct processes in real-time, enhancing product consistency and accelerating decision-making. These technologies will also help identify and eliminate bottlenecks in manufacturing and planning, ensuring a more agile and efficient production flow.”

“The company is looking into GenAI to address complex operational challenges. AI-driven predictive maintenance will improve equipment reliability by forecasting potential failures before they occur. Additionally, GenAI will optimise supply chain and production planning, ensuring better resource allocation and efficiency,” he added.  

Pirelli has launched the fifth generation of its iconic P Zero ultra-high-performance (UHP) tyre, the flagship model of the P Zero range.

Thanks to enhanced handling, as demonstrated by track tests on both dry and wet roads, and shorter stopping distances, the P Zero has two main advantages: superior performance and safety. The European wet grip label has given the new tyre an ‘A’ rating since its introduction. In order to improve cornering grip, the contact patch and grooves were updated as part of the development approach, which concentrated on the tread design and tyre structure. To guarantee constant performance over the course of the tyre's life cycle, a more balanced contact patch enhances both braking performance and wear rate. New designs with contrasting marks on the sidewall make the new P Zero visually stand out as well.

With more than 50 models now on the market, the fifth-generation P Zero tyre is available in sizes ranging from 18 to 23 inches. Together with the other P Zero family tyres, these offer comprehensive coverage for the premium and prestige market in all application types. The majority of the new lineup includes Pirelli's specialties, such as Elect, a technology package for electric and plug-in hybrid cars that uses solutions made especially to manage high torque and cut down on noise, increasing range by up to 10 percent because of decreased rolling resistance.

UHP products in the P Zero series are made for a variety of applications, such as track racing, electric vehicles and winter driving. Every driving demand is met by other members of the extended family in addition to this most recent P Zero. These include the P Zero R, which is made to optimise driving pleasure and sporting performance for high-performance cars and SUVs, and the P Zero E, which combines e-mobility and safety (as evidenced by the triple ‘A’ rating on the European tyre label) with a reduced environmental impact (thanks to the use of more than 55 percent natural or recycled materials). Pirelli's P Zero Trofeo RS, which is also approved for road usage, is designed for track driving. The range also includes the P Zero Winter 2 for wet or snowy surfaces.

KraussMaffei Extrusion successfully concluded the KraussMaffei TecDays ‘World of Extrusion’ in Laatzen near Hannover, Germany, with a focus on topics such as pipe & profile, recycling and circular economy.

The three-day event was held from 25 to 27 March and was graced by around 300 visitors from 44 countries. The event provided participants with an ideal platform to exchange ideas on innovations and sustainable solutions in the field of extrusion. Apart from high-profile keynote speeches from industry and research partners and live demonstrations at the state-of-the-art Technology Centre, the event saw the world premiere of the new PVC multi-layer pipe head and a new machine concept for upcycling post-consumer plastic waste.

Extrusion of pipes and profiles was the main topic of the event's first section. Prominent keynote addresses from KraussMaffei Extrusion partners and specialists, including Borealis, Baerlocher, Omya, Plastics Europe and Georg Fischer, offered intriguing perspectives on global extrusion industry difficulties and future trends. The business offered cost-effective and environmentally friendly answers to the urgent problems facing the plastics sector. The ‘Smart Factories’ concept was introduced by Kabelwerk Eupen as a vision of the automated and digitally transformed factory of the future.

A live demonstration of the new PVC multi-layer pipe head, which creates three-layer pipes from virgin material and foamed core, was the focus of the first section. Spider wires and other such weak areas are avoided by the creative distribution method. The new pipe head adds to increased sustainability because of its material versatility, which includes processing recycled materials. Visitors also saw live demonstrations of PVC granulation and PE-PA pipe manufacture.

A novel machine design for the regulated upcycling of post-consumer plastic waste into premium automobile compounds was unveiled during the event's second section, which concentrated on recycling and the circular economy. Accurate, repeatable colours were guaranteed by the groundbreaking ColorAdjust technology. Additionally, a live demonstration of the scalable and energy-efficient manufacture of food-grade rPET granulates was conducted.

The TecDays offered in-depth explanations of several recycling procedures in addition to live demonstrations. The most recent advancements in the circular economy were discussed, along with mechanical, solvent-based and chemical approaches. Prominent research institutes including IKV Aachen and IKK Hannover, as well as industry partners PureCycle Technology, Veolia, Lober, Polymetrix and Exxon Mobil, provided insightful presentations on recent advancements and trends. Innovative technologies including artificial intelligence (AI) in compound production, smart sensors for inline quality monitoring and solutions for cable compounds in an electrified future were included to the programme.

A special event was held in the evening for celebrating 100 years of partnership with Kabelwerk Eupen AG.

Orion S.A., a global speciality chemicals company, has appointed Reciend Group as its distributor of speciality carbon black product lines in Peru. Reciend has been Orion's distributor and agent in Colombia for over 20 years.

Eduardo Belisle, Technical Business Manager, Orion, said, “We know the same dedication and technical work that transformed the Colombian market will be the key factors to drive the evolution for the coatings and plastics market in Peru. We look forward to supporting Reciend on this new journey.”

Highlighting that the collaboration is a strategic milestone that strengthens his company’s mission of bringing specialised solutions to Andean markets, Alejandro Mejía, Chief Strategy Officer of Reciend, said, “It is an excellent opportunity to create even more value for our customers and principals through our talented team, committed to delivering high-performance solutions to industrial markets – such as coatings, plastics, printing systems and battery applications – where we have strong expertise and a broad ingredients portfolio. After decades of working with Orion’s carbon blacks, we’ve established a solid foundation, and now the expansion of our collaboration into Peru enables us to replicate that success in this important and growing market.”

Apollo Tyres, one of the leading tyre manufacturers in the country, has appointed Rajeev Kumar Sinha as its new Chief Manufacturing Officer. He also joins the company’s Global Executive Committee.

Sinha is expected to further strengthen the company’s global footprint by driving the manufacturing agenda, including strategy and planning, performance optimisation, plant management, integrated manufacturing services (IMS), corporate industrial engineering (IE) and deployment of Advanced Manufacturing Systems, including AI/ML solutions.

He comes with three decades of experience, having worked in multiple senior roles with multinationals such as Cipla, Glenmark and PepsiCo, among others.

In his last stint, he was Cipla’s Global Chief Manufacturing Officer and member of the Management Council and Non-Executive Director in select group Companies.

Neeraj Kanwar, Vice-Chairman and MD, Apollo Tyres, said, “Rajeev is a global manufacturing leader who comes with over 35-years of rich experience in operations and supply chain domain across diverse industries such as chemical, FMCG, foods & beverages and pharmaceuticals. He will play a critical role not only in our growth journey, but also in maintaining our competitive advantage. He joins us as a key member of the Global Executive Committee.”

Based out of Gurugram, India he will report to Neeraj Kanwar. 

Rajeev Kumar Sinha, said, “I am delighted to join this dynamic and growing organisation, and excited by the possibilities the future holds for Apollo Tyres. I look forward to steering innovations, especially pertaining to AI/ML solutions, and Industry 4.0 and 5.0, driving the manufacturing agenda of the organisation.”