Indian Tyre Market Remains a Closed Market
Since the “Dunlop Rubber Company (India)” was registered in 1926 as the first tyre manufacturer in India – when the country was still a British crown colony – the local tyre market has developed into an important but at the same time somewhat backward market. The sheer size of the market makes it internationally important, but Indian products are rarely sold in the most advanced Western markets. However, in the recent past some manufacturers have invested and continue to invest strongly into new technology in order to tackle problems such as low margins, growing competition from Western companies coming to India and increasing imports from low-cost countries such as China. This process of international adaptation and adjustment on the part of Indian tyre makers has already begun to bear fruit. Nevertheless, the Indian tyre market remains what it always has been: an almost completely closed market and an oligopoly whose future direction is difficult to foresee.