JK Tyre & Industries, one of the leading tyre makers in the country, expects a strong pickup in demand for FY2025–26. The company, in addition to strategic capacity expansions, is upbeat about attaining growth across both domestic and international markets, despite prevailing global uncertainties.

It may be recollected that the tyre major had announced a CAPEX towards capacity expansion of INR 14 billion last year, which will see an additional INR 2.5 3 billion earmarked for maintenance capex. The board-approved capex will be directed primarily towards expanding truck and bus radial capacity, with production slated to begin in early 2025. Notably, the company plans to roll out all-steel light truck radials from July and commence passenger vehicle radial production by September 2025, targeting a 15–20 percent capacity increase over the next six to 12 months.

In a post-earnings call, Anshuman Singhania, MD, JK Tyre & Industries, said, “We anticipate robust demand across OEM and replacement markets in FY2026, driven by a recovery in sentiment and product launches. In the OE segment, we expect mid-single-digit growth in truck tyre demand, recovering from last year’s muted performance amid general elections. Stronger single-digit growth in the passenger vehicle segment, buoyed by a pipeline of new model launches. High single-digit growth in the two-wheeler and three-wheeler segment. And mid-single-digit growth in the tractor category, underpinned by forecasts of a normal monsoon. Replacement demand trends are also encouraging.”

Export business

Even as United States export tariffs remain a challenge, with a 25 percent duty on truck and passenger radials and 10 percent on other categories, Singhania stated that JK Tyre has managed a 4 percent QoQ rise in exports. The company continues to target key international markets including North America, the Middle East, Latin America and Europe.

Meanwhile, the company’s Mexico-based Cornell facility remains a vital export hub and is undergoing expansion to support future demand.

JK Tyre is also making strategic long-term investments to secure raw material supply. Out of 200,000 hectares identified in the Northeast for natural rubber cultivation, about 70,000–75,000 hectares have already been developed. On the cost front, Singhania stated that raw material prices declined by 2–2.5 percent in the last quarter and are expected to stabilise moving forward.

Financial Performance

In Q4 FY2025, the company reported revenue of INR 37.8 billion, EBITDA of INR 3.84 billion, EBITDA margin of INR 10.2 percent and profit after tax of INR 1 billion.

Singhania also explained that despite a challenging year on the back of muted growth in truck segment, which constitutes a large chunk of the company’s OE business, along with high raw material prices and inventory costs, it was able to reduce its net debt of INR 40 billion, down from INR 43 billion in December 2024. However, there was a marginal uptick compared to March 2024 due to increased working capital requirements stemming from raw material and inventory costs. JK Tyre continues to maintain a healthy balance sheet, with debt-to-equity and debt-to-EBITDA ratios within manageable levels — currently at 2.2, which going forward the company aims to bring down to a targeted corridor of 1.5–1.8.

Inorganic Growth and Global Watch

Responding to a query on the company’s plans for inorganic growth, Singhania reiterated its intent to pursue inorganic growth opportunities. Having previously expanded through acquisitions, the company is now actively scanning global opportunities, particularly in Europe and the United States, where plant shutdowns and cost pressures may create strategic openings.

In Southeast Asia and China, market allocations are already in place, though timelines for activity vary by region.

Despite global headwinds, Singhania remains optimistic about overall demand. "We do not see any structural shifts that could dampen industry momentum," noting that key sectors such as cement, mining and steel remain aligned with long-term growth outlook.

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Evonik, a global speciality chemicals company, has outlined a three-year strategy to sharpen its focus and accelerate growth, assigning distinct roles across its business portfolio and setting specific tasks for its major German sites. Targeted growth projects are also intended to improve the group's geostrategic balance. To fund these investments, the company is relying on its Evonik Tailor Made restructuring programme to further reduce its cost base. The plan involves cutting 3,200 jobs worldwide, with roughly 2,150 of those losses falling in Germany.

At the annual strategy meeting, the executive and supervisory boards reviewed plans through 2030. Interim CEO Claus Rettig said the industry faces a structural and economic crisis, and Evonik will use this polycrisis to reshape old structures and improve its positioning. Many parts of the business are still growing, so efforts will concentrate on strengths, future topics and lucrative markets, with better cost positions creating room to manoeuvre.

Transformation will proceed at every level. Healthcare and biotechnology projects in Canada and Slovakia, worth several hundred million euros, will strengthen the portfolio, while business units are aligned by role as growth drivers or cash generators. A new business line, Designed Polymer Solutions, bundles growth areas in aerospace, automotive and gas separation, including biogas and hydrogen. Asia and America offer strong opportunities, and further investments there are under review. Each of the six major German sites will receive a clear profile, with implementation starting shortly.

Evonik is also exiting activities with no internal prospects. Rettig said long-term leadership requires leading in what the company does, and volatility demands flexible responses. Closures of smaller sites fit this approach, and divestments of C4 chemicals and infrastructure are progressing as planned. Tailor Made's second phase begins in 2027 and runs to 2029. Measures will be finalised by late 2026, including unfilled vacancies, early retirements and voluntary severance departures. Chief Human Resources Officer Thomas Wessel said Evonik has long lived social responsibility and maintained intensive dialogue with employee representatives, and this transformation will be completed together.

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Continental recently showcased its new TerrainContact A/T2 tyre during a five-day driving event in Iceland, held from 14 to 18 September 2026. Journalists and invited customers tested the tyre across winding roads, rugged highlands, glaciers and volcanic terrain.

Starting at Þingvellir, the group travelled through Iceland's Western Highlands and the Kaldidalur valley, where gravel routes highlighted the tyre's blend of on-road comfort and off-road traction. The TerrainContact A/T2 targets pickup and SUV owners who mainly drive on pavement but require extra grip when conditions change.

Compared with its predecessor, the tyre offers better wet braking and snow traction while preserving a quiet ride and off-road ability. A new tread compound boosts wet performance, greater tread depth aids snow grip, and optimised zig-zag grooves and traction teeth add control on loose or snowy surfaces. It carries the Three-Peak Mountain Snowflake symbol and is engineered with electric vehicles in mind.

Okan Sen, National Marketing Manager, Continental Tire Canada, said, “The TerrainContact A/T2, as one of the best-balanced performance all-terrain tyres in the market, was developed for drivers who want the freedom to explore without compromising their everyday driving experience. Iceland was the perfect setting to bring that versatility to life, giving attendees the opportunity to experience the tire across the kind of changing terrain it was designed to handle.”

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A new Oxford Economics study commissioned by Tyres Europe underscores the tyre sector's vital economic and social contribution, arriving as Brussels shapes its Industrial Accelerator Act to reinforce European industrial competitiveness. The report, titled ‘The Critical Importance of the EU Tyre Industry’, makes the case that EU industrial policy ought to encompass the finished products sustaining Europe's economy and essential services, rather than focusing solely on raw materials and technologies.

Through the lens of tyres, the research maps the relationships between European manufacturing capacity, reliance on external sources and the smooth operation of mobility, freight and public services. It concludes that EU-produced tyres potentially enabled freight, agriculture and passenger transport, directly yielding EUR 1.5 trillion in GDP – 9 percent of the EU's total – and providing work for 30.5 million people, 13 percent of EU employment.

The study further reveals exposure on both sides of the tyre value chain. Imported intermediate inputs constitute 11.9 percent of EU tyre production value, exceeding the EU economy average of 7 percent, while natural rubber supplies depend wholly on imports. In 2024, imported tyres made up 40 percent of newly fitted tyres across the EU, a proportion that continues to climb.

Adam McCarthy, Secretary General, Tyres Europe, said, “Economic resilience depends not only on access to materials but also on retaining the capacity to transform them into safe, advanced products in Europe. The Industrial Accelerator Act is an opportunity to recognise strategically-important finished products and support competitive manufacturing in Europe. A strong EU tyre manufacturing base reduces reliance on external suppliers and helps build a more resilient, competitive automotive value chain.”

Pete Collings, Managing Director, Oxford Economics, said, “Europe’s tyre industry is far more than a manufacturing sector: it is a critical enabler of mobility, trade and wider economic activity. Our analysis shows that EU-produced tyres support hundreds of billions of euros in GDP and millions of jobs across key customer sectors, while the industry itself depends on complex global supply chains. The findings underline the economic value of maintaining a strong European tyre manufacturing base.”

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The J&K Bank presents JK Tyre Rally of Himalayas 2026, a premier Cross Country Rally, was flagged off from Manali on 26 September. Organised by Himalayan Xtreme Motorsports and Adventure X Fusion Tribe, the sixth edition achieved a significant milestone by entering the Zanskar region for the first time. The ceremonial start occurred at 5:00 PM at Dev Lok, 15th Mile, near Span Resort, Manali. Bhuvneshwar Gaur, MLA Manali, served as Chief Guest, joined by V P S. Jasrotia, Deputy General Manager of Jammu & Kashmir Bank, as Guest of Honour alongside JK Tyre officials. The rally is supported by J&K Bank as Presenting Sponsor, JK Tyre as Title Sponsor, Ladakh Tourism as Official Sponsor and Impulse and Liqui Moly as Partners.

The competition features 140 participants across Moto, Extreme and TSD categories over five days in the formidable Himalayas. The route traverses Kaza, Jispa, Padum and Pensi La before concluding in Padum, Zanskar, on 30 September. The Moto category includes 80 riders, among them one female rider. The Extreme category comprises 35 participants, including two female drivers and five Army teams. The TSD category has 24 competitors, four of whom are female, testing precision, timing and navigation. This diverse field includes professionals, private entrants, women and Army teams.

This edition serves as a tribute to Hari Singh, the legendary Gypsy King and five-time National Rally Champion, whose legacy inspires competitors. The event's defining feature is its inaugural entry into Zanskar, introducing high-altitude terrain, remote landscapes, long competitive sections and shifting Himalayan conditions. From Kaza, competitors progress to Jispa and into Zanskar, tackling Padum and Pensi La before returning to Padum. Preparation, navigation, endurance and reliability become critical. Since its 2021 inception, the rally has grown into a demanding platform testing riders and drivers against Himalayan challenges.

JK Tyre, synonymous with Indian motorsport, continues its legacy rooted in rallying, embodying endurance and adventure. For J&K Bank, supporting the event reflects nearly nine decades of commitment to regional development and showcases tourism potential. The Department of Tourism, UT Ladakh, partners as a sponsor to position Zanskar as a premier adventure tourism destination, highlighting landscapes, heritage and driving routes to national and international audiences.

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