The Indian tyre industry rapidly integrating with the world supply chains allowed by the globally-aligned regulatory environment in the country. This has enhanced the market that may be served by tyres made in India. According to ATMA (Automotive Tyre Manufacturers’ Association) Chairman Satish Sharma, who was speaking at the Automotive Tyre Manufacturers’ Association Partners’ summit 2023 that is currently taking place in the capital, tyre exports from India increased by 50% last year and is expected to close the current fiscal year with a nearly 15% growth.
Acc to ATMA, tyre exports from India increased by 50% last year and is expected to close the current fiscal year with a nearly 15% growth
Because of the ongoing support from the suppliers of raw materials, the industry was able to maintain the growing momentum both domestically and in export markets. While the industry’s supply networks were in turmoil as a result of the pandemic and later geopolitical restrictions, they stayed steadfastly by its side. According to Satish Sharma, there are close to 300 senior representatives of the companies that produce the raw materials used in the production of tyres, such as carbon black, rubber chemicals, reinforcing materials, synthetic rubbers, etc.
Despite a slowdown in demand caused by the global recession and rising interest rates, Indian tyre exports remained robust
Despite a slowdown in demand caused by the global recession, rising interest rates, and political turmoil, Indian tyre exports remained robust. As of April through December 2022, tyre exports increased by 15% to Rs 17,816 crore from Rs 15507 crore, according to the most recent statistics from the Union Ministry of Commerce and Industry. The demands on the tyre business and its supply chain partners are rising as the automobile industry changes. The tyre sector is under a lot of strain as a result of India’s sudden move from BS4 to BS6, which shortens the lifecycle of emission standards. Tyres should substantially help auto OEMs (Original Equipment Manufacturers) fulfil the increased needs. On the noise front, new rules are being implemented about rolling assistance, etc. The tyre industry’s supply chain partners must make it possible for it to meet these demands.
The Indian economy is currently being driven by a manufacturing renaissance. The manufacturing industry’s contribution to the GDP of India has stayed constant at 14 to 15% and is probably already beyond 20%. The Indian tyre industry is prepared to fulfil the demands of an expanding economy thanks to over Rs 35,000 cr invested in new capacity creation and debottlenecking over the last three years.