However, as is evident now, we were caught unawares. Mutated strain of the virus took India in its stride as we were yet to work out a robust vaccination strategy. To curb the spread and manage the health emergency getting out of control in view of paucity of beds, oxygen and ventilators, a large number of states-imposed lockdowns and other restrictions which continue till date. 

As is normal under such circumstances, the economy bears the brunt and that is what seems to have happened. The fragile economic recovery seen in the second half of FY21 seems to have gone derailed. Consumer confidence has hit a new low as shown in a recent survey. Different rating agencies and multilateral organizations have downwardly revised the growth projections for the current fiscal year. From a bullish 11-13% growth (in view of base effect), the projections are now for growths in single digits only.

Needless to say, the pitch for economic revival is queered.  But, curiously, as Covid infections come off from the peak levels and the recovery rates go up, a new kind of confidence is building up. The infection rates are coming down with as much alacrity as they had peaked.

Certainly, there is no room for any complacency as premonitions of a third wave have already been made. However, the vaccination strategy to inoculate a large number of Indians by the end of the year holds much hope. It has been observed that those countries that have already inoculated over 50% of their population have witnessed much less morbidity and mortality rates.

What also holds out hope are a range of high frequency indicators which show the resilience of the Indian economy and the entrepreneurship that shines through whenever an opportunity is provided. The economic growth in the fourth quarter of last fiscal has been better than expected. From a contraction of 24.4% and 7.4% in the first and second quarters, the economy turned around in the third one with 0.5% growth and ended the year with 1.6% growth in Q4.

There are a range of other indicators too. Industrial performance measured by IIP grew by 22.3 percent in March. Merchandise exports grew by 197 percent in April. The output of eight core infrastructure sectors grew by robust 7% in March. Manufacturing PMI has remained at a high of over 55 in March and April. GST revenue collection set a new record of Rs. 1.4 lakh crore in April.

If the tyre  production data for FY21, as released recently, is anything to go by, Tyre Industry will continue to put the wheels of economy in motion against all odds. No doubt, Tyre Industry's overall numbers are down in FY21. However when looked closely, there is ample evidence that points to the resilience  in the sector. Truck & Bus (T&B) tyre production, the bellwether of economy has turned in better performance in FY21 over FY20. And this despite the fact that April’20 was a washout in view of nationwide lockdown. Both T&B and Passenger Car tyre production touched significantly higher figures in March this year with T&B tyre production crossing 20 lakh numbers, a historic high.

FY21 will also go down as a landmark year when Radial Truck & Bus tyre production equalled that of Bias tyre production. Tyre exports from India have charted an upward trajectory in the second half of previous fiscal as the stability was achieved in the exports markets.

Forecast of a normal monsoon (third in a row) and the upcoming festive season can provide much-needed impetus to the economy if vaccination drive accelerates and Covid appropriate measures are followed strictly.

No doubt, the situation is still in a flux, and it is too nascent to gauge the true impact of the second wave on economic growth.  But ramping up the vaccination drive and inoculating the entire adult population as early as possible will help.

And there is a major shift again in the vaccination policy. As this column gets on the editor’s desk, the federal government has decided to provide free coronavirus vaccines to states for inoculation of all above the age of 18.

FY 21 could not live up to the expectations that most Indians had. Hope the next year will. (TT)

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Van den Ban Autobanden has announced the passing of its founder, Arie van den Ban, with deep sorrow. He was a familiar and respected figure both inside and outside the organisation.

Establishing the company in 1968, Arie van den Ban used vision, entrepreneurship and determination to transform it into an international tyre wholesaler and distributor serving global customers. The company looks back with great respect and gratitude on his profound contributions.

The company statement read: “For many, both within and beyond the company, Arie was a familiar and respected figure. His influence on the organisation and the people around him will be felt for years to come. We look back with great respect and gratitude on everything he has meant to Van den Ban Autobanden.”

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Nokian Tyres has once again secured a position on the Financial Times’ Europe’s Climate Leaders list, maintaining a perfect record since the ranking first launched in 2021. The annual recognition, compiled jointly by the Financial Times and research firm Statista, evaluates data from approximately 3,000 European companies. Being featured highlights the Finnish tyre manufacturer’s measurable advancements in cutting greenhouse gas emissions.

Out of 600 companies selected across all industries for their five-year emission reduction progress, Nokian Tyres placed 29th overall. Within the automobiles and components sector, only one other firm joined it in the top 100, and Nokian Tyres emerged as the highest-ranking tyre manufacturer on the entire list. The company’s strong performance underscores its leadership within its specific industry segment.

ductions in both absolute greenhouse gas emissions and emissions intensity, alongside broader climate commitments and collaboration with external sustainability assessors such as CDP and the Science Based Targets initiative. These combined criteria determine the final order of Europe’s most climate-progressive companies.

Susanna Tusa, VP – Public Affairs and Sustainability, Nokian Tyres, said, “From using mostly renewable energy to building the world’s first full‑scale zero‑CO₂‑emissions tyre factory, our climate actions help pave the way for more sustainable mobility. We want to offer drivers safe, high‑quality tyres that are made with continuously lower environmental impact as we continue moving towards net‑zero greenhouse gas emissions. This ranking by the Financial Times is a great recognition of our work.”

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Indian tyre exports reached a record INR 273.12 billion in FY2025-26, rising 9 per cent from INR 250.57 billion in the previous financial year, according to data released by the Ministry of Commerce.

The increase marks the second consecutive year of 9 percent growth in tyre exports, highlighting the industry's ability to sustain overseas demand despite geopolitical uncertainty and slower global economic growth.

The United States remained the largest export market for Indian tyres, accounting for 15 percent of total export value at INR 40.82 billion during FY2025-26. However, its share declined from 17 per cent a year earlier after the US administration increased tariffs on Indian tyre imports from 25 per cent to 50 per cent in August 2025.

The higher tariffs reduced the competitiveness of Indian tyres against products from countries benefiting from lower trade barriers. In February 2026, the US reduced tariffs on most Indian goods from 50 per cent to 18 per cent, providing some relief to exporters.

Arun Mammen, chairman of the Automotive Tyre Manufacturers Association, said the industry had delivered strong export performance despite disruption to global supply chains, higher logistics costs and trade uncertainty across key markets.

Through market diversification, cost optimisation and policy support, Indian tyre manufacturers-maintained export momentum during the year.

After the US, the leading export destinations for Indian tyres were Germany, which accounted for 7 percent of exports, followed by Italy and Brazil at 5 per cent each, and France at 4 percent. Indian tyres are now exported to more than 170 countries.

"The tyre industry has exhibited remarkable resilience and growth in the post-pandemic period. Over the last four to five years, tyre manufacturers have invested approximately INR 300 billion across greenfield and brownfield projects, reflecting strong confidence in India's long-term economic prospects and its emergence as a global manufacturing hub" added Mammen.

India's tyre industry has an estimated annual turnover of about INR 1 trillion, with exports accounting for more than one-quarter of total industry turnover.

The industry said geopolitical developments, including the West Asia crisis, continued to pose challenges through supply chain disruption, higher energy costs and inflationary pressure. However, manufacturers remain optimistic about long-term export prospects, supported by trade agreements and deeper integration into global value chains.

"As global supply chains continue to evolve, India is increasingly being recognised as a reliable sourcing destination for high-quality tyres. Supported by technological advancements, sustainability initiatives and favourable trade engagements, the Indian tyre industry is well positioned to strengthen its role in global markets in the years ahead," added Mammen.

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NEXEN TIRE has introduced its latest ultra-high-performance tyre, the N’FERA Primus UX, following a domestic launch in Korea on 1 June. The tyre is now entering the Asia-Pacific and Middle East markets, signalling the company’s full push into the global replacement tire sector.

Built under the One Universal Fit strategy, the N’FERA Primus UX delivers a 20 percent gain in tread wear performance compared to its predecessor. It is engineered for electric vehicles, internal combustion engine cars and SUVs alike and carries NEXEN TIRE’s proprietary EV ROOT certification mark to guarantee balanced performance across powertrain types.

Performance enhancements include strengthened reinforcement for improved high-speed stability, an expanded contact patch for better driving control and an optimised tread block design that reduces road noise. The tyre also features a new advanced-material compound that lowers energy loss to extend tread life. An aerodynamic sidewall design cuts air resistance, boosting fuel economy for ICE vehicles and maximising range for EVs.

Development relied on NEXEN TIRE’s AI and virtual simulation capabilities, including an AI-powered performance prediction system and a high-dynamic driving simulator. This marked the first time such simulation tools were used in the domestic automotive industry, allowing the company to mathematically model real-world driving conditions and accelerate measurement while raising development efficiency.

John Bosco (Hyeon Suk) Kim, CEO, NEXEN TIRE, said, "The N'FERA Primus UX is designed to deliver optimal performance regardless of vehicle type, in line with the demands of the EV era. Moving forward, we will continue to strengthen our global product lineup based on our 'One Universal Fit' strategy to expand our presence in international markets."

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