JK Tyre is steering ahead with automation, sustainability, and expansion to strengthen leadership in CV, TBR, and OTR tyre segments, writes Richa Tyagi.
JK Tyre opened the doors of its advanced Chennai facility to showcase how modernisation, automation, and sustainability are driving the company’s leadership in the commercial vehicle (CV), Truck & Bus Radial (TBR), and Off-The-Road (OTR) tyre segments. Since the launch of its Greenfield project in 2012, JK Tyre has invested more than INR 2,600 crore in upgrading its plants with modern equipment and automation. The Chennai facility exemplifies this transformation, combining advanced technology with rigorous Total Quality Management (TQM) practices.
The plant has also embraced sustainability in operations. Running on 70 per cent renewable energy, it has achieved zero liquid discharge certification and significantly reduced water consumption. Current capacity stands at 350 tonnes per day, with a blueprint in place to scale up to 600 tonnes.
JK Tyre has become the first company in India to commercially launch a UX Royale Green Tyre, a next-generation passenger car tyre made with 80 per cent sustainable, recycled, and renewable materials, using ISCC-certified sustainable inputs.
TBR: The Flagship Segment
Truck and bus radials remain central to JK Tyre’s portfolio. The company supplies nearly 90 per cent of India’s leading commercial vehicle manufacturers and is a significant exporter to Europe, Latin America, Mexico, and the UAE. The Chennai plant plays a key role in meeting both domestic and export demand, with exports accounting for 12–13 per cent of topline revenue and around 20 per cent of revenue from this facility.
The balance between replacement and OEM demand has also been critical. Across categories, 60 per cent of sales come from replacement tyres and 40 per cent from OEM supply. In trucks, the OEM share stands at 45 per cent, while in passenger cars, replacement accounts for 55–60 per cent.
EV-Ready Product Line
JK Tyre has also positioned itself as the leading supplier of tyres for electric buses in India. EV-specific tyres address challenges of high torque, noise reduction, and low rolling resistance (RRC). According to the company, using conventional tyres in EVs reduces their life to less than 50 per cent, making specialised tyres essential. The Jetway Jux tyre caters to electric commercial vehicles, which are already deployed with leading bus manufacturers.
The company’s state-of-the-art R&D facility in Mysore, housing over 250 scientists and PhDs. This centre supports testing and development across product categories, from lightweight tyres to heavy-duty OTRs. JK Tyre has also sustained a long-standing collaboration with IIT Chennai, working on advanced mechanics and real-time tyre performance studies.
GST: A Catalyst for CV and TBR Growth
On the GST reform, Anshuman Singhania, Managing Director of JK Tyre, said, “The demand this year is looking strong. With continued government focus on infrastructure, a good monsoon, and the welcome move on GST, which will boost cash in hand for consumers, the festive season outlook is very positive. Our channel partners are seeing significant liquidation ahead of the 22nd, and we expect a sharp surge in demand afterwards, particularly for consumer-facing goods such as cars.
There is palpable excitement in the market around new launches, and affordability, which had been muted for some time, is improving. JK Tyre is well-aligned with OEMs as well as the aftermarket, and our brand continues to resonate with customers.
For FY25, we see encouraging trends in the CV segment, which was initially expected to remain flat or at low single-digit growth; we now anticipate mid-single-digit growth of 2–5 per cent. In the passenger vehicle segment, we expect high single-digit growth.”
“We have also reoriented our product line and repositioned our offerings,” said Singhania. “We began our activities even before the season started. Our OEM footprint has also shown positive traction. With the monsoon improving, rural demand picking up, and the benefits of GST, the outlook for the OTR segment looks very promising,” he stated.
Speaking on the commercial vehicle industry, he said: “The CV industry, where we have a significant presence, is likely to gain the most from GST for two reasons: first, the total available freight is increasing, and second, reduced congestion is driving higher demand. With interest rates coming down and capacity utilisation rising, we expect new fleet additions by CV operators.”
On the TBR segment, he stated, “Radialisation is currently at 68–70 per cent, and we are proud to be the market leader with a strong share. Nearly 90 per cent of OEM players are directly supplied by us. In the replacement market as well, we have strengthened our brand and positioning with innovative products like the JETWAY JUH XF, a fuel-saver tyre. Today, it is fitted 100 per cent with OEMs and is also available in the replacement market.”
Modular Expansion Strategy
A INR1,400 crore expansion plant is currently underway, with a ramp-up expected in Q3. The Laksar facility will see capacity growth in TBR, while the Gwalior plant will expand passenger car tyre capacity by 14–16 per cent. JK Tyre has followed a modular approach to expansion, ensuring cost-effectiveness while keeping utilisation levels high. Across its radial operations, the company is currently running at about 90 per cent utilisation.
