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.  

AZuR partner NEW LIFE has secured official recognition for its educational initiative, NEW LIFE macht Schule (NEW LIFE Makes School), following its inclusion in the national ESD (Education for Sustainable Development) actor index curated by the Federal Ministry of Education and Research and the German UNESCO Commission. This distinction positions the programme among Germany's prominent contributors to Education for Sustainable Development, underscoring its role in cultivating responsible environmental stewardship among younger generations.

Through a complimentary educational offering, the initiative bridges theory and practice by introducing students and trainees to the mechanics of circular economy models, resource efficiency and sustainable corporate conduct. Using tangible examples from mechanical tyre recycling, the programme illustrates how secondary raw materials directly support climate action and resource preservation while also highlighting the commercial and societal advantages inherent in circular systems.

Educators are equipped with an array of no-cost tools, including digital learning modules, project blueprints and vocational case studies tailored for trades such as landscaping, roofing, carpentry, administrative services and soon agriculture. The curriculum prioritises circular economy principles, secondary material flows, climate protection and judicious resource usage, with the aim of nurturing systemic thinking and empowering learners to devise and implement sustainable strategies in their future professions.

For AZuR, this achievement reinforces the conviction that educational institutions play a pivotal role in driving the transition to a circular economy. The recognition not only elevates the profile of NEW LIFE macht Schule among schools and educational bodies but also strengthens AZuR's ongoing commitment to advancing tyre circularity awareness in collaboration with the initiative.

Bridgestone has expanded its long-term strategy of cultivating skilled professionals within the automotive aftermarket, with the fourth iteration of its development course drawing to a successful close. The programme, which unfolded over three intensive days, reaffirmed the manufacturer’s broader mission to fortify customer partnerships through hands-on education rather than passive instruction.

The latest cohort brought together a dozen delegates from major retail chains and wholesale operations, including Merityre, Tanvic Tyres, ETS and GT Wholesale. Known as the Bridgestone Champions initiative, the course has steadily matured into a flagship offering that transforms external partners into internal advocates, a role that participants are expected to carry forward within their home organisations long after the final session.

A dual-focused syllabus drove the experience, beginning with soft-skills development in areas such as retail marketing, telephone protocols, in-person sales negotiation and client relationship cultivation. The second half pivoted towards hard technical competencies, with considerable time devoted to the evolving ecosystem of mobility, including electric drivetrains and next-generation diagnostic methodologies. The final day relocated to the Delphi Academy in Warwick, a premier IMI-accredited facility, where delegates engaged with advanced hybrid systems and cutting-edge testing equipment under the guidance of sector specialists.

Senior Trade Marketing Manager for the North Region, Mark Fereday, positioned the curriculum as a forward-looking investment, stressing that the goal extends well beyond product familiarity. He pointed to the Warwick visit as a critical moment that exposed attendees to expertise rarely available in conventional retail settings while emphasising that ongoing upskilling remains non-negotiable as vehicle architectures grow more complex. Merityre’s Dan Mould characterised the week as exceptionally constructive, confirming that internal knowledge-sharing sessions are already being planned to elevate his team’s service standards. Similarly, ETS reception staff member Joanne Harrod noted that the technical insights gained would directly inform her daily customer consultations, enabling more precise tyre and service recommendations tailored to individual motoring habits.

Beyond the formal curriculum, the gathering fostered unexpected levels of peer-to-peer exchange, with competitors setting aside commercial rivalries to discuss operational challenges and successful tactics. Bridgestone has already confirmed that two further editions will run in the third and fourth quarters of 2026, maintaining the same structure and ensuring that a broader cross-section of the retail network can participate before the year ends.

Fereday said, “What always stands out is the collaboration. Despite representing different networks and businesses, there is a real willingness among everyone to learn from one another and share ideas. That spirit of togetherness is one of the reasons the programme has been such a success over the past four years.”

Apollo Tyres has expanded its premiumisation strategy with the inauguration of a super-premium branded retail outlet in Jaipur. The flagship location, situated at Bhagwati Motors Nokha Pvt Ltd on New Sanganer Road in the Mansarovar Area, was officially opened by Rajesh Dahiya, the company’s Vice President and Business Head.

This retail concept transcends the traditional tyre store model by integrating high-end products, expert advisory services and digital technology with a community-centric atmosphere for car enthusiasts. Patrons can benefit from tailored tyre selections aligned with their specific vehicle and driving habits, alongside conveniences such as online scheduling, rapid installation and upscale waiting lounges.

Notable features include curated product ranges and service bundles designed for luxury and performance vehicles, alongside dedicated spaces for automotive hobbyists to participate in brand-driven events. This Jaipur facility represents the second such venture following a similar launch in Bengaluru, with Apollo Tyres planning to establish three to four additional outlets in other major cities shortly.

This new format underscores Apollo Tyres’ commitment to redefining customer engagement in the mobility sector, shifting focus from mere product sales to personalised, experience-oriented interactions. The initiative strengthens the company’s foothold in the premium mobility segment while reinforcing its ongoing journey toward elevated brand positioning across India.

Rajesh Dahiya, Vice President and Business Head, Apollo Tyres Ltd, said, "The expectation of today’s customers extend well beyond the product itself. With this new retail format, we are creating a premium destination that combines expert advice, convenience and personalised service while building stronger engagement with the automotive community."

Triangle Tyre has secured a position on the 2026 China Auto New Supply Chain Top 100 list, released in Shanghai on 2 July alongside the Global Automotive Supply Chain Enterprise Competitiveness Analysis Report. The recognition highlights the manufacturer's sustained growth and strong overall capabilities within the domestic automotive sector.

The annual ranking evaluates companies based on business results, technological advancement, global support networks and sustainability efforts. Triangle Tyre's repeated inclusion signals industry acknowledgment of its competitive edge and international reach, reinforcing its commitment to long-term quality development.

Innovation remains central to the company's operations, supported by domestic and United States-based research centres. The firm holds 1,322 patents and has contributed to 155 national standards and 15 international standards. Research spending reached RMB 465 million (approximately USD 68.70 million) in 2025, marking a 7.62 percent increase from the prior year.

Key technological advances include an electromagnetic induction curing process that cuts energy use per unit by over 70 percent, backed by multiple patents including two from United States. The company has also introduced adhesion protection for giant OTR tyres and launched the e-Travel series for new energy vehicles, emphasising range, low noise and safety.

Triangle Tyre supplies over 60 domestic manufacturers and collaborates with global names like Caterpillar and Volvo. Shipments for new energy vehicle tyres rose nearly 40 percent in 2025, while OTR tyre volumes grew more than 20 percent. Exports reach over 180 countries, with overseas production projects currently advancing.

Sustainability achievements include national Green Factory status and energy efficiency recognition from the Ministry of Industry and Information Technology. The company earned an EcoVadis Gold Medal with a score of 81, ranking among the top five percent worldwide. Triangle Tyre continues to integrate renewable materials and reduce emissions while strengthening ESG practices to boost future competitiveness.