Farmer And Quality-First: Approach Fuelling CEAT’S International Dreams

CEAT

As global demand for high-performance and sustainable speciality tyres rises, Indian manufacturers are stepping up, and CEAT is not behind. With a bold ambition to derive a quarter of its revenue from international markets, the company is leveraging deep farmer insights, advanced research and development capabilities and a quality-first mindset to penetrate competitive regions like Europe and North America. Its growing presence among global OEMs, automation-led manufacturing and entry into OTR segments signal a strategic evolution aimed at long-term global leadership.

The international tyre markets are getting ripe for Indian tyre makers. Every major tyre maker in the country is vying for a piece of share in European and American markets. While Europe has been predominantly the go-to market for Indian brands, recent expansions have led giants like CEAT explore speciality tyre markets in North and South America too. And the reason for a successful ride is its farmer and quality-first approach.

Speaking exclusively to Tyre Trends, Amit Tolani, Chief Executive at CEAT Specialty, said, “We’re aiming for 25 percent of our revenue to come from international markets. Currently, our key markets for exports include Europe, North America and Brazil in South America. Apart from these, South Africa and Australia round out our top five regions for off-highway tyres (OHT).”

CEAT has been steadily investing in capacity to ensure that it can meet demand across volumes and variety as it’s essential to have a complete product portfolio and sufficient production capacity to cater to these markets effectively.

“Our growth strategy for OHT revolves around completing the range, beyond agriculture and entering product white spaces where we have minimal offerings. This will help us deepen our presence in existing markets, enter new ones and diversify our portfolio further,” added Tolani.

However, the executive acknowledged that capturing the OHT tyre market in Europe is not an easy task considering its high competition. “In OHT, the first priority is to have a full-range product offering. We decided early on that we must become a one-stop shop. If our distributor or partner can’t find all their SKUs with us, they’ll look elsewhere. Today, we cover 70–80 percent of the SKU

range needed across major geographies. The remaining long tail is large in number and we’re actively working to close those gaps,” explained Tolani.

Differentiation is the next piece. CEAT’s quality-first approach has enabled it to enter international as well as local OEMs. Validating its tyres through OEMs is a rigorous process, but it gives customers and farmers confidence in product quality.

Europe is currently the larger market for the company as a cluster, but it’s growing rapidly in North America, especially in Canada, where it supplies to many OEMs and is present in the replacement market as well. In the US, it follows a multi-distribution strategy with good channel coverage.

EVOLVING DEMANDS

Tolani noted that there is an increasing demand for technologically advanced tyres in these markets due to changes in farm machinery. And to satiate it, CEAT offers increased flexion (IF) and very high flexion (VF) tyres. These tyres flex more, improving soil contact and resulting in higher farm productivity. Both technologies are designed to allow tyres to carry heavier loads at lower inflation pressures. VF offers greater flexibility than IF, translating into better soil protection and improved traction.

Citing an example of working closely with OEMs, Tolani said, “Farms in Brazil are often located on sloped terrain. One OEM there asked for tyres that wouldn’t skid on gradients and we developed custom sizes and tread designs to meet this specific need. We work closely with OEMs and end users to understand such requirements and develop tailored solutions. This farmer-first approach underpins our research and product development.”

The executive also noted a trend of de-premiumisation in agricultural tyres as farmers are moving away from traditional premium brands and leaning towards quality players like CEAT, especially as the performance gap has narrowed significantly.

“We now deliver nearly comparable performance at more accessible price points. So our value proposition, which is quality-first products at competitive prices, resonates well, particularly in uncertain market conditions with rising tariffs and volatility. Even in slowdown years, Indian brands like ours have grown in global markets. We believe this trend will continue and CEAT is well-positioned to benefit from it,” averred a confident Tolani.

The company’s penetration in these markets starts with an OE-first approach, wherein farmers see the tyres on OEM-fitted equipment, which builds trust in the brand. This naturally drives traction in the replacement market.

The tyre maker is also expanding country-wise and region-wise, ensuring it has a strong on-ground teams across Europe, North America and South America to deepen the market presence.

AUTOMATION AND SHARE

The world of tyre manufacturing is unequivocally leaning towards automation for reducing downtime and increasing production efficiency. Riding on these two pillars, global giants have reorganised internal processes, and Indian tyre makers, including CEAT, are not shy of such advancements.

“Our Ambernath plant has a high level of automation. Unlike traditional OHT plants that rely on heavy manual labour, our facility is run by highly trained women operators, which is proof of how advanced and safe our systems are. With just the push of a button, they can produce high-performance tyres,” said the executive.

He added, “Our plant is unique in that it supports highly flexible production. We can manufacture single units based on customer demand. That’s rare in this industry and is a significant competitive edge in meeting varied and low-volume speciality requirements.”

CEAT has dedicated vendor capacity for tyre moulds too. Since it serves a wide range of OEMs globally, turnaround time is critical. It works with trusted partners in India and abroad, who are aligned with its well-structured annual and monthly planning cycles. For complex or urgent requirements, it co-develops solutions with these partners.

Currently, CEAT has a combined manufacturing capacity of approximately 350 tonnes per day in the speciality segment.

Commenting on current market challenges in the segment, Tolani explained that serving OEMs requires agility as their specifications change quickly, especially if a particular vehicle model needs to be revised or discontinued. CEAT’s ability to handle smaller lot sizes and fast turnaround helps it stay ahead.

In the aftermarket, its biggest challenge is awareness. “Farmers in Eastern India, where rice is cultivated in flooded fields, need different tyres than those used in drier regions. We’ve developed tyres specifically for rice puddling and now the task is to educate the farmer on why this new design performs better than conventional options. We conduct field meets and demos to bridge that knowledge gap,” noted the executive.

He also divulged that selling speciality tyres is a different ballgame compared to passenger or commercial tyres. It’s highly consultative and requires deep technical knowledge. Some of CEAT’s international sales professionals have over 30 years of experience in the segment.

“We have a healthy mix of seasoned professionals, mid-career talent and freshers. We also deploy product specialists in key markets like Europe and North America, who train and support the front-line sales teams. Our research and development team are closely involved in this process as well,” contended Tolani.

EXPANSION PLANS

Currently, CEAT’s revenue split in the OHT segment is around 60 percent domestic and 40 percent international. It aims to increase the international share in the near future.

“We’re now expanding into construction and mining (OTR) tyres. This segment accounts for nearly 70 percent of the OHT market, while agriculture makes up the remaining 30 percent. The next big step for us is manufacturing all-steel radial OTR tyres,” said Tolani.

He added, “We’re upgrading our Ambernath plant to start production of these tyres. Testing will begin this year, followed by phased market entry. This expansion is critical not only to enter a new category but to become a one-stop shop for our channel partners.”

Sharing the reasons for entering the segment, Tolani said that being present across categories gives the company more share of wallet and with India’s ongoing infrastructure boom, there’s significant domestic demand as well. So, while exports remain a priority, the Indian market for OTR steel is also ripe with opportunity.

Over the next five years, CEAT aims to establish itself as a significant global player in agriculture, OTR and track segments. “We plan to increase our international footprint and continue building on our philosophy of innovation, speed and customer-centricity. With the planned acquisition of Camso, we will have access to global customers and product portfolio of construction OTR and tracks, thus accelerating our white space coverage,” quipped Tolani.

He also noted a trend of consolidation within the global tyre sector: “We’ve already seen large global groups acquiring speciality players. Material handling and solid tyres are also part of this trend. The real opportunity lies in how the segment evolves and premiums over time. That’s where differentiation and depth of capability will matter most.”

Backed by farmer insight, technological depth and a nimble, quality-first mindset, CEAT is redefining what it means to be a global Indian tyre brand. With bold moves into OTR and international markets, its speciality tyre journey is only just gaining traction. n

INNOVATIVE SOLUTIONS COMING UP NEXT!

CEAT is investing heavily in research and development for speciality tyres and has also achieved commendable feats. It currently manufactures the world’s largest agricultural tyre by size, claimed Tolani.

“We developed it for an OEM in Canada. We also make the world’s widest sprayer tyre. Developing them required significant engineering. We’re constantly working on new sizes, technologies like VF and IF, custom tread designs and machine-specific applications,” he contended.

The company’s approach to innovative solution is demand-led as it inculcates the needs of OEMs and farmers within the development scene and responds with highly specific, performance-driven innovation. Whether it’s anti-skid designs for Brazilian slopes or sprayer tyres with large footprints, its research and development team is geared towards meeting future agricultural demands.

Moreover, the company has an 80 percent sustainable agricultural tyre made from sustainable materials. It’s currently undergoing testing at Finland and will be officially launched at the upcoming Agritechnica exhibition. This is one of the major innovations the company is excited about.

“We’re also collaborating with our partners to develop intelligent tyres for port applications. These tyres will be equipped with embedded chips that enable real-time tracking of usage, wear patterns and operational hours, transforming them into smart, connected components of port machinery,” divulged Tolani.

In the past, CEAT has partnered with an Israeli start-up to develop cup-wheel and airless tyres. “There’s a lot of innovation happening in this space, especially because downtime is so critical for farmers. We often think of tyre downtime from the perspective of a car or truck owner, but when a farmer’s tractor stops in the middle of a field, it’s a major operational and emotional setback. We’re focused on reducing that risk through smarter and more resilient products,” contended Tolani.

The manufacturer is also seeing a shift in the industry towards electric tractors and machines, which require higher torque and frequent stop-start movement. That means specialised compounds and tyre designs, and it has developed a dedicated range to meet those needs as well.

Commenting on the company’s research and development strength, Tolani explained, “Most of our research and development happens in Mumbai, India, but we also have a strong global setup. We have a design and validation centre in Germany and a satellite design cell in Israel that contributes valuable inputs. In India, our core research and development is centred at our new research and development hub in Ambernath. Additionally, we utilise our research and development facilities in Chennai and Halol for materials, compounding and simulations.”

The executive also thinks that sustainable materials in speciality tyres is not just a trend but a necessity. He acknowledged that sustainable inputs are costly and require significant investment in research and development, but global warming is not a theoretical issue anymore. Consumers, especially in Europe, are becoming far more conscious.

“Sustainable materials in tyres may be expensive today, but with scale and progress, we expect cost normalisation. CEAT is committed to this journey and wants to give customers that choice,” Tolani concluded.

With a sharp focus on performance, precision and sustainability, CEAT is redefining the future of speciality tyres through customer-led innovation. Its global research and development network and strategic collaborations signal a long-term commitment to smarter, greener mobility solutions.

HF Group Announces EUR 20 Million Greenfield Investment In India

HF Group

India’s growing importance in the global tyre and rubber industry received a strong endorsement with HF Group announcing a EUR 20 million investment in a new state-of-the-art manufacturing facility in Bengaluru.

The announcement was made during the inauguration of HF India’s new Assembly Hall Unit II, a milestone that reflects the company’s long-term commitment to India and its confidence in the country’s manufacturing future.

The proposed greenfield facility will be developed on a 10-acre site near Bengaluru Airport and is scheduled for completion by 2028. Spread across nearly 20,000 sq. metres, the new factory will be almost four times larger than the current assembly operations and will incorporate digital manufacturing, automation, smart production systems, and advanced engineering capabilities.

The upcoming facility will focus on productivity, precision engineering, sustainability, and smart manufacturing while supporting both the Indian market and HF’s global operations. The investment underlines the company’s confidence in India as a major manufacturing hub for the global tyre and rubber industry.

Ian Wilson, Managing Director & Co-CEO, HF Group, said, “This is not the end of our investment in India. It is perhaps the end of the beginning. India is entering a take-off decade and the economy runs on tyres. We see tremendous opportunities for growth and are committed to investing in the future of the Indian market.”

With more than 175 years of global experience, HF Group has steadily strengthened its presence in India. The journey began in 1995 with the establishment of Indus to serve the growing rubber processing industry. The partnership with HF Mixing Group in 2011 brought global mixing technology expertise to India, while the complete acquisition of the Indian subsidiary in 2024 marked another important milestone in the company’s India strategy.

Today, HF India manufactures and supports a broad portfolio of mixing and rubber processing equipment, including intermeshing and tangential mixers, banbury technology, mills, curing presses, and aftermarket services. The company also offers process support, training, upgrades, inspections, and spare parts under its customer-centric philosophy of ‘Holding the Customer’s Hand.’

Emphasising the importance of customer partnerships, Wilson said, “We are not here simply to sell machinery. We want to hold our customers’ hands throughout the entire lifecycle of their equipment and support them through process optimisation, performance improvements and future growth.”

As HF embarks on its next chapter in India, the new facility represents not only an investment in manufacturing capacity but also a long-term commitment to localisation, technology and customer partnerships.

TBC Corporation Appoints Ron Harper As Chief Supply Chain Officer

TBC Corporation Appoints Ron Harper As Chief Supply Chain Officer

TBC Corporation (TBC), one of North America’s largest marketers of automotive replacement tyres through wholesale and franchise operations, has named Ron Harper as its new Chief Supply Chain Officer. He will report directly to President and CEO Don Byrd and assume responsibility for the company’s entire supply chain function.

Harper brings over 26 years of experience steering global supply chains for multi-billion-dollar enterprises. His most recent role was Executive Vice President of Supply Chain at PrimeSource Building Products, overseeing planning, inventory, repack operations, service metrics and analytics. He has also held senior logistics and strategy positions at Sonepar USA, Nordstrom, Samsung SEA, and JCPenney.

The new chief holds a master’s degree in supply chain management from the University of Denver and a bachelor’s in industrial management from Michigan Technological University. His appointment underscores TBC’s focus on strengthening operational efficiency and logistics performance.

Byrd said, “Ron’s depth of experience in building transformative supply chain solutions aligns with our deep commitment to providing customers with the high-level efficiency, product availability and agility they expect from TBC. As market needs change and demands fluctuate, TBC is continuing to respond by having a supply chain strategy that minimises disruptions and maximises efficiency to ensure the highest levels of customer support and satisfaction.”

Rubber Board Of India Appoints N Hari As New Chairman

Rubber Board Of India Appoints N Hari As New Chairman

The Rubber Board of India has announced the appointment of N Hari as its new Chairman, effective for a tenure of three years. Hailing from Pallikkathode in Kottayam, Kerala, Hari brings considerable experience to the leadership role, having previously served as a Board member representing small rubber growers from the state.

His initial term on the Board commenced on 28 June 2022 and spanned three years. During this period, he also held the position of Executive Committee Member from 7 October 2023 to 6 October 2024. This progression from membership to the executive committee and now to the chairmanship reflects his sustained engagement with the organisation.

His appointment is expected to steer the Board's initiatives in supporting the rubber sector, focusing on grower welfare and industry development across India.

Bridgestone Kheda Plant

The Indian automotive landscape is currently undergoing a seismic shift. Driven by the rapid rise of rural urbanisation, an aggressive government push for electrification and the development of world-class road infrastructure, the industry is witnessing a period of robust growth. With sales of both new and used vehicles touching record highs, the demand for high-quality tyres remains in a significant upswing.

At the helm of one of the market’s most prominent players is Rajarshi Moitra, Managing Director of Bridgestone India and Vice-Chairman, Automotive Tyre Manufacturers’ Association (ATMA).

In an interaction with Tyre Trends, Moitra discusses the company’s future-ready roadmap, from its substantial capacity expansions to a ‘sharp and deep’ strategic focus designed to maintain leadership in an increasingly premium and electrified market.

A BULLISH OUTLOOK ON THE SUBCONTINENT

While global economic indicators remain varied, Moitra is unequivocally optimistic about the local trajectory. “The Indian automotive industry is at an exceptionally positive juncture from a medium-to-long-term perspective,” he asserts.

This optimism is grounded in several structural tailwinds that suggest India is slated for very strong growth. Key among these factors is the sheer room for market expansion.

“Firstly, we are still significantly under-indexed in terms of car penetration, with only 50 cars per 1,000 people – well below even some smaller developing nations,” Moitra explains.

Furthermore, the geographical spread of wealth is changing. Bridgestone is observing massive growth in Tier 2, 3 and 4 towns, a phenomenon Moitra attributes to ‘rural urbanisation’.

Bridgestone India estimates a transformative half-decade ahead for the industry. “The number of affordable households – those capable of purchasing a car – will double in India over the next five year. When you couple this with the government’s massive capital outflow into road connectivity and the rise of e-commerce, it creates a very bullish environment for both passenger and commercial mobility,” Moitra says.

THE ‘SHARP AND DEEP’ STRATEGIC PILLAR

Despite India being the world’s largest two-wheeler market, Bridgestone is famously absent from that segment – and intends to stay that way for now. Moitra clarifies that the company’s philosophy is rooted in specialisation rather than horizontal expansion. “At Bridgestone, we believe in being ‘sharp and deep’ in our strategy,” he says.

Currently, Bridgestone India’s business split is heavily weighted towards the consumer segment, with 70 percent of sales coming from Passenger Car Radial (PCR), 25 percent from Truck and Bus Radial (TBR) and 5 percent from Off-the-Road (OTR) segment.

“We see enough headroom for growth within the passenger car segment across products, channels and customer experience, so we are focusing our resources on maintaining our leadership there,” Moitra notes, dismissing any near-term plans to enter the two-wheeler space.

Instead, the company is doubling down on ‘white spaces’ within the consumer car category, specifically targeting higher rim diameters and specialised compounds for Original Equipment Manufacturers (OEMs).

INVESTING IN CAPACITY AND LOCAL INTELLIGENCE

To support this growth, Bridgestone is moving aggressively on the manufacturing front. With current operations running at 90–95 percent capacity, the company is in the midst of a major investment cycle.

At present, the company’s Pune plant has a capacity to produce 4.01 million passenger car tyres and around 693,000 truck & bus radial tyres, while the Indore plant has a capacity to produce 7.11 million radial tyres for passenger cars and light trucks.

“Our last major investment was USD 85 million in October 2024, which is being ramped up in phases through 2029,” Moitra confirms. This capital is being used to scale volumes and enhance technical capabilities at the Indore factory.

The new investment is expected to further add 1.1 million tyre production capacity in Pune by CY2029, thus taking its total production capacity to around 11.1 million units in the country.

“Our strategy is two-fold: we want to be future-ready for market demand while simultaneously sweating our current assets to drive higher efficiency,” Moitra explains. Crucially, this expansion isn’t just about physical output; it’s about local autonomy. Moitra highlights that a ‘very large part’ of procurement is now local, decided by teams on the ground in India.

The launch of a Satellite Technology Centre in 2025 has further decentralised the company’s innovation engine. According to Moitra, this centre plays a pivotal role in increasing local leverage and technical presence, allowing the Indian arm to maintain a balance between local agility and global sourcing.

EVs AND PREMIUMISATION

As the Indian market matures, consumers are demanding larger wheel sizes – a trend Moitra says is led by OEMs. “We are seeing a clear market shift towards higher inches – for example, a car like the Maruti Suzuki Swift moving from 14-inch to 15-inch and others moving from 16-inch to 17-inch,” he observes.

Bridgestone’s ‘all-inch’ strategy covers the spectrum from 12 to 20 inches, but their brand strength is most potent in these premium, higher-diameter sizes.

This premiumisation dovetails with the transition to electric vehicles (EVs). Bridgestone has positioned itself with an ‘EV-ready’ portfolio, exemplified by the Turanza 6i. “It balances long-lasting durability and safety with low noise and comfort – essential for EVs,” says Moitra. To ensure they capture this nascent but fast-growing market, the company expanded the range from 36 sizes in 2024 to 72 sizes by 2025.

The OEM relationship remains the cornerstone of this technological foresight. “The OEM segment allows us to see ahead of the curve regarding future vehicle technologies,” Moitra explains.

At present, 35 percent of their consumer business is OE-based and Bridgestone is in active discussions with many of the newer automotive entrants arriving in India.

While Bridgestone is aggressively expanding its footprint in new tyre technology and premium consumer segments, it is taking a markedly more conservative approach towards the retreading sector in India. Despite the potential for material circularity, the company does not view retreading as a strategic priority for the immediate future.

Moitra clarifies that Bandag, Bridgestone’s global retreading arm, is not currently active in India, and there are no plans to introduce it in the near-term. This decision is driven largely by the unique and challenging dynamics of the local market, which is currently dominated by cold retreading.

He points out that a significant pricing challenge exists when ‘cold retreads versus biased tyres versus some of the cheaper tyres’ are compared, making the business case difficult to justify at this stage. Consequently, Bridgestone has opted to remain focused on its core segments for the next two to three years rather than entering the retreading space.

SUSTAINABILITY AND THE ‘INSTITUTION OF RESPECT’

Beyond the numbers, Bridgestone is attempting to build what Moitra calls an ‘institution of respect’. This involves a heavy commitment to environmental goals. The Pune plant already holds the distinction of being the first carbon-neutral facility in the Bridgestone group.

“Sustainability is a core agenda across our entire value chain,” Moitra explains, noting a public commitment to reduce the company’s carbon footprint by 50 percent by 2030, including Scope 3 emissions. This holistic approach ranges from manufacturing processes to material circularity in the tyres themselves.

Looking ahead, the goal is to protect a dominant market share – currently over 20 percent by volume and 23 percent by value in the passenger car aftermarket. To do this, Bridgestone plans to expand its physical reach by 30 percent over the next five years, building upon its current network of over 4,000 touchpoints.

As the company transitions its branding from the Olympics to Formula E, the focus remains clear: high performance and the next era of mobility. “It’s the perfect platform to showcase our technological edge,” Moitra concludes.