The company has already invested INR 800 crore in the PCR (Passenger Car Radial) and TBR (Truck, Bus, and Radial) segments as a part of its current expansion plans. The INR 1,400 crore infusion is an additional investment made by the company.
“In PCR we would like to gain more market share so, we have invested earlier also in the PCR, and we are further boosting this line with further investment in the same,” said Singhania.
The investment of INR 1,400 crore is going to be utilised in both PCR and TBR segments to boost its capacity to approximately 20% and escalate exports by 2027. The company is aiming for a growth of 7% each in both segments with this investment.
The expansion will be utilised in their current manufacturing plants. To keep a check on the quality of the tyres and maintain the manufacturing plant the company is investing INR 250 crore-INR 300 crore yearly.
A new demand from the EV market
The company is developing tyres for the growing electric vehicle market, especially emphasising the bus segment. To bolster this JK Tyre is partnering with leading commercial vehicle players in the EV bus segment, added Singhania. JK Tyre is now working on tyres made for electric two-wheelers.
JK Tyre is also strengthening its international front by aiming to ship its products to different markets along with America, and the Middle East. Talking further about the EV market, Singhania stated that JK Tyre is focusing on both retail and aftermarket EV tyres. The company is also planning to commercialise its 80% sustainable tyres as per the market strategy.
Aftermarket
JK Tyre is also planning to expand its footprint in the aftermarket segment with dealer expansion as its key focus. “We are very much aligned to this initiative focusing on increasing into spaces where we are not present”, added the MD of JK Tyre.
To build its brand in the aftermarket, JK Tyre is aiming to increase its aftermarket dealerships from 6,500 to 9,000. Along with this, the company is planning to expand its exclusive dealerships known as JK Tyre Steel Wheel from 850 to almost 1,000 dealerships by 2027.
The company has also emphasised the technological development of its products. The company sells Smart tyres in its mobility solution and in the aftermarket to alert drivers for real-time data such as tyre pressure, temperature variations, and motion.
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