Yokohama of Japan, the world’s eighth largest tyre major, is in talks with auto OEMs in India — both domestic and overseas players — to sell its ‘Made in India’ tyres.
Being a replacement market player for long with a market share of 3% through imports from Japan, the company has decided to target original equipment manufacturers (OEMs), particularly Japanese auto car majors, to become a prominent supplier to their passenger vehicles (PVs). The company is also looking at making tyres for small and light commercial vehicles in India.
Talking to FE, Sanjay Chatterjee, general manager (India head), sales & marketing, Yokohama India, said: “Anticipating a surge in demand from both after market as well as from OEMs, we have set up a greenfield factory at Bahadurgarh in Haryana in November 2014 and started marketing India-made tyres through 750 dealers and 33 exclusive Yokohama Club Network dealers across the country with first phase of our operations.”
The India plant of Yokohama would have an installed capacity of 10,000 tyres a day but, in the initial phase, it will be producing 2,000 tyres a day.
Chatterjee said even as the company looks at targetting the OEMs, it would continue to make strong inroads into after-market sales. It plans to add 150 dealers by the end of 2015 to take this total to 900 and exclusive dealerships will grow from 33 to 45.