JK Tyre & Industries Managing Director Anshuman Singhania

JK Tyre is preparing to step up exports from India to the United States as a long-awaited Indo-US trade agreement moves closer to completion, even as the company continues to serve the American market through its Mexico subsidiary to navigate existing tariff structures.

Speaking at the company’s FY26 third-quarter media briefing, Managing Director Anshuman Singhania said that JK Tyre expected tyres made in India to secure a favourable position compared with imports into the US from Vietnam and other Southeast Asian countries once the agreement is signed.

“We expect to be either at par or in a better position. Once there is clarity on the duty structure, we will step up exports from India to the US,” he said, adding that clarity on the agreement was expected shortly and that the company would study the fine print before acting.

For now, JK Tyre maintains its presence in the US through JK Tornel, its Mexico-based subsidiary, where passenger car tyres attract almost zero duty into the American market. Earlier, around 3-4 percent of the company’s total revenue came from exports to the US, a share that could be reinstated depending on the final contours of the trade deal.

The company is also closely watching progress on a separate trade agreement between India and the European Union, which it believes could further improve export prospects for Indian tyre makers once signed by all member countries.

A strategic hedge

JK Tornel’s role in the company’s export strategy has become more prominent amid trade uncertainties. The Mexico arm allows JK Tyre to continue servicing the US market while India-US trade terms remain under negotiation.

Singhania made it clear that JK Tyre is ‘not giving up’ on the US market. Instead, it is using geography and duty structures to its advantage while awaiting clarity that could make India a viable export base again.

The management noted that, at times, strong domestic demand makes it more prudent to prioritise India over exports to the US. However, with additional capacities coming on stream, JK Tyre expects to have greater headroom to participate more aggressively in overseas markets.

While export strategy is evolving, the company’s current momentum is firmly anchored in the domestic market.

JK Tyre reported strong traction across both OEM and replacement segments, supported by festive demand, GST-led formalisation benefits and positive rural sentiment. Domestic volumes grew 16 percent year on year.

Replacement volumes rose 11–12 percent, while OEM volumes grew between 24 percent and 27 percent, reflecting robust demand from vehicle manufacturers.

A key driver has been the rebound in the commercial vehicle (CV) segment, which had remained subdued for nearly 18 months. JK Tyre, which commands one of the highest market shares in this category, is seeing renewed traction as freight movement and trucking activity improve.

The passenger vehicle OEM segment is also witnessing healthy momentum, contributing to overall growth across segments.

Market shifts

Singhania highlighted a visible shift in market demand towards premium tyres and larger rim sizes. The company is positioning itself to benefit from this trend by expanding its passenger car radial (PCR) portfolio and developing multiple sizes for export markets, particularly Europe.

The company has secured new OEM approvals to supply tyres for electric vehicle variants such as the Hyundai Creta EV and Tata Punch EV. The newly launched Renault Duster also features JK Tyre’s 18-inch Ranger HPE tyres.

The executive indicated that premiumisation and EV-linked demand are becoming structural drivers in the passenger vehicle tyre segment.

The company has announced an investment of INR 11.3 billion to expand capacity in truck and bus radials (TBR), PCR and other segments across multiple locations. This will increase overall capacity by nearly seven percent.

This follows a recently completed INR 15 billion expansion in PCR tyres that increased capacity by around 26 percent. On this expanded base, the company will now add another 4-5 percent capacity in passenger vehicle tyres.

Company Executives noted that this capacity addition would provide additional headroom to cater to both domestic growth and export opportunities once trade conditions become favourable.

The recent merger of subsidiary Cavendish Industries (CIL) into JK Tyre, completed in December, is expected to significantly improve operating efficiency and financial flexibility.

With the integration, JK Tyre now has full access to capacities at the Laksar and Tripura plants. While these capacities were earlier consolidated operationally, company officials said that the merger would now allow better realisation of large-scale synergies.

JK Tyre will also leverage its marketing and service network for CIL products. Importantly, the parent company’s higher credit rating will result in lower interest costs for working capital and term loans previously availed by CIL, which had an A+ rating.

The company expects overhead savings, interest cost reductions and operational efficiencies to support faster expansion.

Material outlook

Addressing concerns around commodity price volatility, Singhania said that the raw material basket saw a decline of nearly one percent during Q2 and Q3.

Going forward, raw material prices are expected to remain range-bound within 1–2 percent. Even if there is a marginal rise, JK Tyre believes strong demand conditions will allow it to pass on costs without disturbing margins.

“We do not see anything that may disturb the apple cart,” Singhania said.

He also announced that the company had earned a Silver rating in the latest EcoVadis ESG assessment, placing it among the top seven percent of companies globally.

The company said this recognition reflects its performance across sustainability pillars and aligns with its vision of becoming a green company by 2050.

A record quarter

JK Tyre reported its highest-ever consolidated quarterly revenue of INR 42.35 billion in Q3 FY26, up 15 percent year-on-year. EBITDA stood at INR 5.83 billion with margins expanding sharply to 13.8 percent, a rise of 470 basis points year on year.

Profit after tax surged 3.7 times to INR 2.9 billion compared with INR 570 million in the same quarter last year. Domestic volume growth stood at 16 percent while export volumes grew nine percent, even though overall export revenues were described as flattish due to geopolitical uncertainties.

JK Tornel reported a 21 percent rise in turnover to INR 6.16 billion from INR 5.07 billion a year earlier.

Company officials attributed the margin expansion to operating leverage, execution focus and benign raw material prices.

Singhania indicated that demand visibility for 2026–27 remains strong with particular optimism for the first half of FY27. All segments including OEM, replacement, domestic and exports are expected to see growth.

For JK Tyre, the convergence of strong domestic demand, expanded capacity, merger synergies and potential trade advantages could determine whether India re-emerges as a meaningful export base for the US and Europe.

Not as a return to the past, executives suggested, but as a fresh opportunity built on scale, efficiency and a more premium product mix.

Hankook Tire has secured a new role as the Official Control Tyre Supplier for the 2026–2027 season of the Australian Production Car Endurance Series (APCES), following a partnership with the Australian Racing Drivers’ Club (ARDC). The APCES is a newly launched endurance championship created by the ARDC and Motorsport Australia, designed to continue the country’s legacy of production car racing. The series will feature production-based vehicles competing across eight performance-based classes, labelled X, A1, A2, B1, B2, C, D and E.

Hankook will exclusively supply its Ventus TD (Z221) R-Spec tyres to all participating teams, working alongside official trackside supplier Gary’s Motorsport Tyres. The control tyre format, which equips every competing vehicle with identical tyre specifications and performance, is intended to provide consistent racing conditions throughout the championship. The semi-slick tyres feature an optimised tread pattern and advanced compound technologies, delivering strong dry grip, stable cornering, excellent braking and superior heat resistance even under prolonged high-speed driving.

The championship will begin its opening round at Sydney Motorsport Park on 30 and 31 May, with additional races scheduled at Sandown International Raceway in August and Queensland Raceway in September. The final round is set for March 2027 at Mount Panorama Circuit in Bathurst, New South Wales, as part of the iconic Bathurst 6 Hour endurance race. The overall series champion will be determined at that concluding event.

Hankook has already built a strong reputation in Australian endurance racing as the official tyre supplier for the Bathurst 6 Hour, and it continues to sponsor other local events including the First Focus Radical Cup Australia Series, the Precision National Sports Sedan Series and the Hyper Racer Hankook Australian Drivers’ Championship. Moving forward, the company plans to strengthen its global premium brand position by using racing data from extreme motorsports conditions, combined with its global innovation R&D infrastructure, to develop ultra-high-performance tyre technologies.

Bridgestone Corporation has extended its legacy of excellence with General Motors by securing a 2025 Supplier of the Year award, marking the company’s 11th consecutive win and 24th overall. The honour was announced during GM’s 34th annual awards ceremony in Austin, Texas. Out of a vast network exceeding 20,000 suppliers, Bridgestone emerged as one of only 103 companies across 14 countries to receive this distinction.

A global cross-functional team at General Motors determines the winners based on performance across key categories such as safety, innovation and resilience. The evaluation process considered each organisation’s results throughout 2025 alongside their alignment with GM’s fundamental values and ambitious future objectives. This rigorous selection method highlights the importance of consistent execution and shared strategic vision.

The recognition directly supports Bridgestone’s internal E8 Commitment, an ethos built around eight values beginning with the letter E, including Ecology and Extension. By crafting innovative tire solutions for GM, the Japanese company effectively advances its pledges on both ecological responsibility and technological extension. This synergy between corporate values and customer recognition reinforces Bridgestone’s position as a reliable partner.

David Colletti, President of Consumer Original Equipment Tires, North America, Bridgestone Americas Tire Operations, said, “This recognition reflects the strong relationship between Bridgestone and GM. Together, our shared dedication to innovation, quality and performance continues to fuel long-term success.”

Shilpan Amin, Senior Vice President, Global Chief Procurement and Supply Chain Officer, General Motors, said, “Supplier of the Year is one of those key moments our whole team looks forward to every year because it highlights the partnerships behind every vehicle we build. The results our suppliers deliver throughout the entire product development cycle are central to our ability to deliver world-class vehicles to our customers. When our suppliers, such as Bridgestone, lean in with us on new technology and flawless execution, we can move faster, compete harder and unlock more value across the entire supply chain.”

Tyres Europe has joined a broad alliance of European industry associations urging the European Union to strengthen its trade defence policy. The coalition warns that unfair trade practices, combined with structural overcapacity and state-led market distortions worldwide, are intensifying pressure on local manufacturers. European producers must contend with high energy costs, strict environmental rules and complex regulations, placing them at a clear disadvantage compared to rivals benefiting from less transparent conditions.

The signatories have made clear that they do not seek protection from competition itself, only fairer conditions under which to compete. They argue that a truly global level playing field is essential to protect Europe’s industrial base, sustain competitiveness and allow EU companies to continue investing, producing and preserving jobs within the continent. Without such balance, the long-term viability of key sectors remains at risk.

As an immediate step, the coalition calls on the European Commission to assign more staff to the trade defence units within DG Trade. According to the statement, these services are severely understaffed in absolute numbers and relative to the EU’s main global partners. This shortage undermines Europe’s ability to respond effectively to foreign trade distortions in a timely manner.

Reinforcing DG Trade’s investigative capacity is therefore presented as a crucial short-term priority. Tyres Europe and the other associations contend that targeted staffing increases would significantly enhance the EU’s resilience against global market imbalances. Such a move, they believe, would help safeguard fair competition without erecting unnecessary barriers to international trade.

Hankook Tire was conferred with the ‘Excellence in Quality and Delivery’ award during Japanese automaker Honda Motor Co., Ltd.’s ‘2025 Supplier Excellence Award’ ceremony, which took place in Columbus, Ohio, this past April.

Honda annually evaluates suppliers across North America based on criteria such as quality, delivery, value and innovation. Out of 56 honourees this year, Hankook Tire stood out due to its systematic quality management, stable supply capabilities and advanced product development competitiveness.

This latest accolade marks Hankook Tire’s fifth recognition from Honda, following previous wins for ‘Excellence in Value’ in 2016 and 2020, and ‘Excellence in Delivery/Value’ in 2018 and 2023. Since establishing a partnership with Honda in 2013, Hankook Tire supplies original equipment tyres for key SUV models including the CR-V, HR-V, Pilot and Passport, as well as global sedans like the Accord and Civic.

Building on this recognition, the tyre manufacturer aims to deepen its collaboration with Honda and expand its presence as a premier global brand in North America. Leveraging its integrated quality and technology system – supported by the Technoplex headquarters, Hankook Technodome R&D center and Hankook Technoring test track – the company continues to serve over 50 global automakers and plans to further enhance its AI-driven quality management through sustained R&D investment.