Michelin is turbocharged about India. The global tyre manufacturer has increased its investment in its Chennai plant to INR 6.86 billion, up from the INR 5.64 billion announced last September, as it prepares to manufacture premium passenger car tyres locally for the first time. The move comes as India’s automotive landscape undergoes a dramatic shift, with SUVs accounting for half of all new car sales and consumers increasingly willing to pay premium prices for safety and performance.

After more than a decade of producing only truck tyres in India and serving the passenger car segment through imports, Michelin is betting that the time is right to localise production. The company expects India’s premium passenger car tyre market to grow from 10-12 million units today to 17-18 million by 2030, driven by improving road infrastructure and evolving consumer preferences. With its first locally-made passenger car tyres – including the Primacy 5 and Pilot Sport ranges – expected to hit the market in the first half of 2026, Michelin is positioning India not just as a manufacturing base but as a centre of excellence for AI innovation, engineering talent and sustainable production across Africa, Middle East and beyond.

Last year, in September, Michelin had announced an investment of INR 5.64 billion in a brownfield expansion to produce passenger car radial tyres at its Chennai plant. Year-to-date, the company has already ramped up the figure to INR 6.86 billion, fuelled by its confidence in India’s passenger car market.

“We are bullish about India because of two major reasons. One is the transformation of the vehicle market itself, as last year, around 50 percent of new cars sold in India were SUVs. At the same time, road infrastructure is improving dramatically. That leads to the second factor that Indian consumers increasingly want bigger, safer cars with advanced safety features and they are willing to pay a premium for performance,” said Shantanu Deshpande, Managing Director at Michelin India.

Adding to Deshpande, Vitor Silva, President, Africa, India and Middle East (AIM), Michelin, said, “We see this as the perfect time for Michelin to complement that shift with tyres that deliver technology, safety, comfort and long-lasting performance. While we have been manufacturing truck tyres here for more than a decade, we will now also focus on passenger car tyres. Until now, we have been serving the segment largely through imports. But we believe the market dynamics have shifted and this is the right time to localise production.”

In line with this, the Chennai plant will also focus on premium passenger car tyres ranging from 16-inch to 22-inch sizes. According to Deshpande, the market is currently estimated at 10–12 million tyres and is expected to grow to 17–18 million by the end of the decade, making the investment not only timely but essential.

The plant will churn out its most advanced range – LTX Trail ST, Pilot Sport 4 SUV, Pilot Sport 5 and Primacy 5 tailored for the Indian market. The Michelin Primacy 5 will be the first tyre to roll out.

In the coming months, the tyres will undergo homologation and certification processes with BIS and other authorities. Once approved, the first Michelin passenger car tyres will be made available to Indian consumers. While no fixed deadline has been set, the commercial availability of these tyres is expected during the first half of the next year.

Michelin is structured into nine regions for business management purposes. Regarding India’s role in the wider region such as Africa, and the Middle East, operations have been designed to serve both as a production hub and a centre of excellence. The Indian facility will not only cater to domestic demand but will also strengthen Michelin’s position across the region through supply, innovation and talent development.

Its technology centre in Pune was described as one of the most important hubs for the group in the field of artificial intelligence (AI). In addition, strong capabilities in research and development, digital services, IT and corporate functions have been developed there.

India also has been positioned as a centre where talent is nurtured, contributing not only to Michelin globally but also to consumers worldwide through products designed locally.

“Tyres for North America and Europe have been designed in India and around a hundred AI proof-of-concept projects have been initiated, tested and are planned for eventual global deployment. The country is also a key source of raw materials for global operations. Michelin in India represents more than tyres, symbolising innovation, supply chain strength and talent development,” said Silva.

MANUFACTURING PROWESS

The Chennai plant, operational for 12 years, is among the most sustainable in India and globally of Michelin. It is a zero liquid discharge facility with 80 percent of water consumption recycled and 100 percent of waste reused.

By 2024, 45 percent of materials used to make tyres at the Chennai plant were renewable and recyclable, exceeding the global target of 50 percent by 2030. Forty-five percent of electricity comes from green sources, supported by infrastructure investments such as the 2022 solar facility.

AI is integrated into daily operations, analysing machine performance, monitoring quality and supporting decision-making. These tools are accessible to both engineers and frontline operators.

Currently, the plant’s installed capacity is 54,000 tonnes with flexibility maintained to align production with fluctuating demand as tyre weights vary from 7–8 kilogrammes for 16-inch tyres to 15–16 kilogrammes for 22-inch tyres. Inventory constraints prevent storing six months’ worth of tyres, requiring production and demand to be closely synchronised.

“At Michelin, we homologate products based on the conditions of each region. That means the tyres made and sold in India are essentially the same as those sold globally but validated to perform in Indian conditions. So rather than a separate India-only tyre line, we bring world-class products that are equally well-suited to Indian roads,” contended Silva.

Flexibility has been built into the production lines, allowing a mix of products to be manufactured on the same machines.

Primary focus is given to serving the local market as the industry was regarded as highly complex. While some volumes may be exported and others imported, priority is assigned to the Indian market.

When asked about the impact of starting passenger car tyre production on the OEM segment, Deshpande explained that several large truck manufacturers, including Ashoke Leyland, Volvo, Mercedes and Scania, are already being served.

Regarding the passenger car segment, the focus has been on the replacement market. While several imported cars including the Hyundai Ioniq and multiple Mercedes-Benz models already come equipped with Michelin tyres, OEM engagement in this segment is planned for the future, though replacement currently remains the priority.

Commenting on raw material procurement from India, Silva stated that India is also leveraged as a supplier of raw materials for Michelin’s global factories. Carbon black, natural rubber and chemicals are procured locally. This approach emphasises not only production and services from Pune but also the utilisation of India’s industrial ecosystem to support the company’s worldwide supply chain.

Specific materials sourced from India include carbon black, chemicals, steel and other items, all of which must meet Michelin’s strict quality and pricing standards.

“Beyond materials, India also contributes significantly in terms of engineering. At the Chennai plant, a dedicated engineering division has been established to develop machines for our global operations. Certain machines are designed and manufactured in India before being shipped worldwide. Additionally, specific components for global operations are already being produced in India,” said Florent Chaussade, Executive Director, Michelin Chennai.

RETAIL SCOPE

Deshpande emphasised that the company’s focus extends beyond production to transforming the consumer buying experience. A state-of-the-art experience shop was recently inaugurated in Nashik. Premium retail environments are being ensured through clean shops, ample parking, advanced equipment and well-informed staff capable of clearly communicating Michelin’s superior value.

To strengthen the retail network, the Michelin Tyre Service (MTS) network is being expanded. Seventy-five MTS outlets currently operate across India, primarily in metro cities, with plans to establish Michelin Tyre Stores as the benchmark for tyre retail experience nationwide.

On online sales, the company’s approach is two-fold. “Pure e-commerce retail remains negligible in India, but the research online, purchase offline trend is significant. Efforts have been made to ensure accurate digital presence, guiding consumers on suitable tyres,

availability and recommended outlets. This strategy is aimed at aligning the online-to-offline journey with the premium performance of our products, recognising that Indian consumers are tech-savvy yet accustomed to traditional purchasing,” divulged Deshpande.

To communicate safety, comfort and performance to price-sensitive consumers, Michelin has launched a dealer digital programme, enhancing dealers’ online presence to provide accurate brand and outlet information.

Inside outlets, experience shops display simple ‘reasons to believe’, demonstrating value propositions such as lower rolling resistance and superior braking performance. Dealers and technicians are continuously trained to deliver consistent performance, comfort and safety.

“The approach is ongoing and comprehensive, combining digital engagement, premium retail environments, interactive demonstrations and continuous skill development to elevate both the product and the overall ownership experience,” Deshpande added.

MARKET WATCH

The company’s truck and bus radial (TBR) business in India has evolved in recent years to target customers and fleets that value total cost of ownership (TCO). The strategy is centred on tubeless truck tyres, particularly energy-efficient models.

“Around 60 percent of a fleet’s operating cost is fuel, and our Multi Energy Z + tubeless tyres are reported to save 8–10 percent in fuel compared with traditional tube-type radials, directly benefiting the fleet’s bottom line,” contended Deshpande.

He added, “Although the segment remains relatively small, leading coach operators are already 100 percent tubeless. New-generation fleet owners increasingly prioritise TCO and are driving the transition. Demanding fleets such as Delhivery, which operates trucks 16–17 hours daily, covering 20,000 km per month, choose us for reduced downtime, fuel savings and extended tyre life. Other major clients include ITS, DGFC and Best Roadways. In 2022, the Chennai plant produced India’s first four-star rated energy-saving tyre, marking a national milestone.”

Regarding market share, only 10–12 percent of trucks currently run on tubeless tyres, while the rest remain tube-type, explained the executive.

On the two-wheeler front, Michelin already sells locally manufactured tyres through outsourcing arrangements. Fastest growth is observed in the over 350 cc motorcycle segment driven by higher disposable incomes and improved infrastructure, mirroring the SUV boom in passenger cars.

When asked about India’s potential global role amid geo-political shifts including trade barriers, tariffs and overcapacity in countries such as China, it was stated that Michelin’s vision is to operate local-to-local wherever possible.

“The tyre supply chain is highly interconnected with nearly 200 materials used in a single tyre, making it impossible to source everything from a single location. Efforts are focused on reducing raw material intensity, increasing the proportion of renewable inputs and minimising environmental impact through green factories and cleaner materials,” concluded Silva.

Michelin’s India strategy integrates local manufacturing, sustainable practices and advanced consumer engagement to build long-term value.

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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.

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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.”

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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.

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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.

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