JK Tyre & Industries will invest Rs 5,000 crore over the next 5-6 years to expand its production capacity, Chairman and Managing Director Raghupati Singhania said on Monday. With this investment, the company will enhance its capacities for car and truck tyres, along with a stronger focus on exports.
Helped by stable crude prices and the continued positive impact of GST, the company expects to see a 6-8% growth in FY26. “With our planned investment, we see the business witnessing 6-8% growth,” Singhania said. He added that the revival of the small car segment would also drive growth for the domestic tyre industry, pushing up overall volumes.
Currently, JK Tyre derives around 14% of its overall revenues from exports. The company exports tyres to around 110 markets globally. With high tariffs in the US impacting business, the firm is focusing on adding new export markets, Singhania said.
At present, it caters to the US market through its plant in Mexico. “The government is working to find some solution through the FTA, but let’s see what happens. In the meantime, we have altered our strategy and are selling tyres from India to newer markets, including Europe, while supplying the US market from our Mexican plant, which is more duty-friendly,” he added.
The company on Monday introduced India’s first embedded smart tyres for passenger vehicles. The new tyres use technology that continuously monitors critical parameters, including air pressure, temperature, and potential air leaks, delivering real-time, actionable insights that enhance vehicle safety, performance, and efficiency.
The company positions this product as an advancement of its earlier SMART Tyre technology, which combined Tyre Pressure Monitoring Systems with cloud-based analytics when introduced in 2019. The embedded smart tyres will be available in the aftermarket through the company’s dealerships, initially in sizes ranging from 14-17 inches.
Singhania said the new tyres will be more durable and offer around 5% more range. Typically, a tyre lasts 40,000-50,000 km. While the initial demand is expected to come from the aftermarket, the CMD believes that safety considerations will drive OEMs to gradually adopt smart tyres as well. “In the near term, smart tyres could account for around 2-3% of sales. This share is expected to grow gradually as OEMs begin adopting the technology,” Singhania said.
