PCR, TBR to be Produced at JK Tyre Greenfield Plant

Some Rs 8 billion (£109.7 million) are to be invested in a new JK Tyre & Industries greenfield facility and the construction of a new research and development facility. The new plant will reportedly produce passenger car and truck and bus radials for both the domestic and export markets, however no specific information on plant capacity has yet been made. The southern Indian state of Karnataka appears to be the most likely location for the new development, a decision that may have been influenced by the regional government’s offer of incentives.

There is an increase in demand for commercial vehicles as well as for passenger cars in the country. We had announced last year to undertake substantial expansion of our tyre operation, therefore our new plant in Karnataka is part of our long term growth strategy,” said JK Tyre & Industries president Arun Bajora upon announcing the company’s plans on January 10. “Our all new greenfield plant will by far be a state of the art tyre plant in the country. It will also provide substantial employment to the youths of the state.”

This new project follows a recent doubling of TBR capacity to 800,000 pieces per annum. JK Tyre says it will invest Rs 12 billion (£164.5 million) in the next three to four years to further increase capacity.