- Tyre Materials Conference 2025
- Tom Thomas
- Eonix Management Solutions
- Srikanth Chakravarthy
- HF Group
- Anil Nair
- Hasteri
- Dr Saikat Das Gupta
A Spectacle Of Excellence And Innovation Dazzles TMC 2025
- By Gaurav Nandi
- September 02, 2025
The Tyre Materials Conference 2025 unfolded as a high-octane showcase of innovation, urgency and collaboration amid the industry’s accelerating shift towards sustainability. With participation from global leaders, researchers and policymakers, the event addressed the fundamental transformation of tyre materials, from raw rubber to recycled steel and from EV-ready compounds to AI-powered sorting systems. Yet, beneath the applause and optimism lay sobering truths like systemic supply chain disruptions, regulatory uncertainty and the technological gap in scalable green alternatives. India’s growing ambition, collaborative initiatives and research strength emerged as hopeful beacons in a sector still grappling with fragmented standards and circularity bottlenecks.
A banquet hall in a posh New-Delhi hotel turned into an intellectual crucible to host a spectacle that drew in participants from different corners of the world for defining the future of the global tyre material industry.
As the emcee announced the commencement of the Tyre Materials Conference 2025 (TMC 2025), organised by Tyre Trends, applause rippled through the room, momentarily shaking the circular tables and rows of chairs that seated over 100 participants, each with eager eyes, ready to unwrap the future.
The hall gradually turned into a melting pot of ideas, innovation and future trends as the day unfolded. The spirit of excellence and innovation reverberated through the entire establishment with such grandeur that even outsiders wanted a peek inside.
Following the inaugural lamp lighting by Conference Chairman Tom Thomas and others, the stage was now set for insightful speeches and interactive sessions that encompassed everything from development of sustainable materials for the tyre industry to a panel discussion discussing the trends within the tyre materials sector.
“The theme of this year’s conference that hinges upon raw material of tyres for future mobility could not be timelier. This conversation comes at a pivotal moment for our industry as we face a new generation of challenges and opportunities. There is a growing and urgent push for sustainability across the value chain. As an industry, we must reduce our dependence on petroleum-based raw materials, which currently make up nearly 55–60 percent of the material mix used by tyre manufacturers,” said Thomas in his inaugural address.
“Today, we are writing the next chapter of tyre material science – one that achieves sustainability without sacrificing performance, embraces innovation without compromising reliability and drives technological advancement while protecting our environment,” he added.
Highlighting the importance of collective collaboration in driving the industry forward during a special address, Eonix Management Solutions Managing Director Srikanth Chakravarthy said, “The future should be something we don’t fear and something that excites us. With Zenith Group, we’re not just talking about another supplier but about the world’s largest steel cord maker in the making, backed by USD 2 billion in investment, a USD 30 billion parent and the industry’s most advanced solar-powered, automated plant.
It’s the only company tracking carbon emissions in real time and targeting 100 percent recycled steel by 2027. As India’s steel cord demand doubles, Zenith plans to support with imports, warehousing and eventually local manufacturing. Collaboration across suppliers, competitors and customers is essential to create lasting value for our industry.”
Speaking at the conference, HF Group Business Development Director Anil Nair delivered a sharp, data-driven keynote outlining the structural and technological turbulence reshaping the global tyre industry. From volatile raw material costs to rising demands for electric vehicle-ready compounds, he painted a picture of an industry at a critical inflection point.
“Challenges are mounting across regions. Europe leads in sustainability regulation with the push for digital tyre passports, while US buyers remain cost-focused. In Asia, Japan and Korea prioritise performance even as China leans into price efficiency. Globally, manufacturers are grappling with premature crosslinking, high-silica formulations that undermine shelf life and erratic compound quality, especially when integrating bio-oils and recovered carbon black,” Nair explained.
He noted that artificial intelligence emerges as a vital tool amid production shifts as tyre majors relocate factories to cheaper regions, triggering expertise gaps and costly closures. Nair emphasised that artificial intelligence can bridge generational knowledge loss by codifying best practices from veteran staff.
On the innovation front, he spotlighted smart tyres with real-time monitoring capabilities and self-adjusting pressure systems. He also stressed recyclability by design with tyres engineered for chemical disassembly and multi-cycle retreading. For EVs, the shift is clear, which includes quieter, lighter and longer-lasting tyres built around high-silica and nano-enhanced fillers.
Nair concluded with a call to rethink longevity, promoting materials that resist ageing, disperse uniformly and maintain performance across diverse geographies.
“This isn’t just evolution – it’s re-engineering the tyre from the molecule up,” Nair declared.
EMERGING MATERIALS
The tyre industry is embracing a sustainability revolution driven by regulation, innovation and performance demands. From circular economy models and advanced bead wire solutions to breakthrough chemical additives and EV-optimised rubber compounds, manufacturers are reshaping production to deliver high-efficiency, eco-conscious tyres fit for the future of mobility.
Speaking at the conference on sustainable materials, Hasteri Chief Scientist explained, “The global tyre industry is undergoing a profound transformation driven by increasingly stringent regulations and a commitment to sustainability. No longer a mere buzzword, sustainability is now central to manufacturing, encompassing economic, social and environmental considerations.”
“This shift is seeing a move from a linear ‘use and throw’ model to a circular economy with significant investment in bio-based materials, advanced recycling of end-of-life tyres and decarbonisation efforts across the supply chain. New regulations including extended producer responsibility and limits on tyre wear particles are accelerating this change. With the market for sustainable tyre materials projected to see over 26 percent growth by 2029, the sector is embracing innovation, from bio-sourced rubbers and recycled steel to energy-efficient production, aiming for a future where tyres are both high-performing and environmentally responsible,” he added.
Drawing from nine real-world defect cases, Sun Hong Kim, Technical Head of Tyre Bead Wire Division at Bansal Wire Industries, outlined how bead wire stiffness and mechanical behaviour critically affect tyre beading performance.
He noted that stiffness, regulated by the take-off machine’s killing roller, determines how the wire responds under load. “Low stiffness wires deform more easily, while high stiffness variants resist structural failure. Defects such as wire lift-up, bending, tilting and S-type straightness are linked to mismatched stiffness, over- or under-killing, reduced yield points and inconsistent brake tension during payoff,” explained Kim.
Furthermore, Kim pointed out that one recurring issue, namely fluctuating brake pressure, was resolved by installing an air regulator, highlighting the role of stable mechanical inputs.
He also categorised defects into four types (A–D), each requiring specific interventions ranging from stiffness adjustment to wire straightening control. As tyre manufacturers demand higher consistency, his data-led approach offers a template for addressing bead wire variability across global production environments.
Leading chemical firm Schill + Seilacher “Struktol” is pioneering significant advancements in tyre manufacturing through its innovative additive, BP 19797, designed to enhance both production efficiency and product performance.
Speaking remotely at the conference, the company’s Senior Technical Sales Manager, Robert Kobel-Bryk, detailed how this new process promoter drastically improves silica dispersion in rubber compounds, enabling faster mixing cycles and a notable reduction in energy consumption during the manufacturing process. This translates directly into more efficient operations and a smaller carbon footprint.
“BP 19797 yields superior extrusion properties and smoother surfaces for tyre components, leading to lower scrap rates. The introduction of this additive maintains or even minimally enhances the final physical properties of the tyre including tensile strength while concurrently improving the complex balance between wet grip and rolling resistance,” said Kobel-Bryk.
The company emphasises these developments as key to addressing industry demands for cleaner, safer and more efficient production methods.
Japanese speciality chemical firm Kuraray’s Technical Service Engineer at Elastomer Division, Naoto Takahashi, highlighted the company’s nearly 100-year history and detailed how its unique low-molecular-weight rubber acts as a reactive plasticiser, preventing bleed-out by co-vulcanising with base rubber.
“GS-L-BR significantly enhances crucial EV tyre properties including high wear resistance for heavy, high-torque vehicles and low rolling resistance for extended range and energy efficiency. Our novel approach for tyre treads involves increasing natural rubber content, a combination traditionally challenged by filler interaction. GS-L-BR overcomes this by improving the bond between natural rubber and silica, outperforming conventional formulations in wear and rolling resistance while also boosting wet grip,” contended Takahashi.
He added, “For sidewalls, replacing carbon black with silica becomes viable as GS-L-BR dramatically improves fatigue resistance. This groundbreaking material promises to be a key component for the next generation of EV and even commercial vehicle tyres, addressing critical performance and sustainability needs.”
GOING GREEN
The tyre industry is undergoing a technological shift for going green with innovations in recycling, advanced materials and processing systems. From AI-driven sorting of end-of-life tyres to self-healing elastomers and high-silica mixing technologies, these breakthroughs are driving greater efficiency, sustainability and performance across the entire value chain.
Speaking at the conference, Senior Manager of Process Technology (Asian Countries and Global) at HF Group, Dr M N Aji, emphasised the critical role of combining machinery and processing expertise for optimal silica mixing, especially as silica usage in tyre technology is rapidly increasing with some applications reaching up to 160 parts-per-hundred-rubber (PHR).
“Incorporating high levels of silica with specialised polymers is crucial to achieve superior properties like better mileage, lower noise levels and improved traction. HF Group’s innovative mixer technologies including tangential (Z4 rotor) and intermeshing (PS7/PS5 rotor) designs offer enhanced shear, cooling efficiency and intake. The Z4 rotor’s versatility for both silica and final batch mixing is noted along with the development of new wear-resistant materials (HFSI 50) and intelligent ram technology (i-EXL) for energy and cost savings,” averred Aji.
He added that key to successful silica mixing were precise temperature control, viscosity reduction and excellent dispersion. The importance of maintaining optimal water quality for cooling and adhering to strict acid cleaning schedules for mixer maintenance is imperative.
“Tandem mixing technology was introduced as a cutting-edge solution for high-fill silica masterbatches, offering 100 percent productivity and superior temperature control by separating dispersion and distribution processes. HF Group’s TRC co-axial rotor technology was specifically designed for ultra-high silica content, ensuring better material cohesion and quality,” noted Aji.
Dr Shib Shankar Banerjee, Assistant Professor from IIT Delhi’s Department of Material Science and Engineering, presented cutting-edge research in polymer and elastomer materials, focusing on ‘new generation elastomeric materials’ that transcend conventional rubber properties. These materials aim for enhanced performance, functionality and processability, incorporating features like shape memory, self-healing, conductivity and magnetic properties.
One key area of research involved thermoplastic elastomers with improved phase compatibility and self-healing capabilities, particularly leveraging shape memory assistance to repair micro-cracks.
Dr Banerjee noted that his team is also exploring 3D printing of rubber-like materials for complex geometries and developing soft and multi-functional materials using liquid metals (Gallium and eutectic Gallium-Indium alloy) to create conductive, magnetic, yet soft elastomers for flexible and stretchable electronics.
A significant portion of his presentation was dedicated to the development of hydrogenated SBR (HSBR) based vulcanisates with superior traction performance, a collaborative effort with Hasetri. HSBR exhibits a more homogeneous network structure, leading to better ageing resistance, higher modulus at elongation, improved wet and dry traction, better rolling resistance and enhanced abrasion and fatigue properties compared to conventional SBR.
His research also explored the synergistic effect of hybrid fillers like CNT in HSBR, noting improved filler dispersion due to higher viscosity and styrene content.
Innovating tyre recycling with smart sorting technology, France-based Regom’s Chief Executive Officer, Arthur Wagner, introduced his company’s innovative approach to maximising the value of end-of-life tyres through advanced sorting. Recognising the challenges of manual sorting and the lack of data in the used tyre industry, Wagner stated, “Our core innovation is a machine that processes tyres individually, capturing images and using artificial intelligence to analyse brand, model, dimensions, load and speed indices and DOT codes in less than a second. This system, refined over six years with a vast database from processing over 20 million tyres annually, can operate efficiently even with wet or muddy tyres.”
He went on to say that the system allows customers to configure custom rejection criteria, automatically diverting tyres with no value to shredding and streamlining manual grading for valuable tyres. This automation significantly increases resale prices, optimises retreading and enhances material recovery, while also reducing labour pain points and costs.
A key application of Regom’s technology is in pyrolysis, where precise sorting of tyres helps maximise the quality of the output. The company is also at the forefront of integrating RFID technology into tyre sorting.
MARKET ECONOMICS
Natural rubber remains vital to the global tyre industry, yet its supply chain faces mounting pressures from climate change, labour shortages, regulatory shifts and price volatility. As demand grows, industry stakeholders are exploring innovation, sustainability and traceability to secure long-term supply and meet ambitious environmental goals.
Explaining the volatile raw material landscape, Yokohama Off Highway Tires Chief Sustainability Officer Padmakumar G said, “Change is the predominant challenge in the tyre industry’s raw material supply chain. Current volatility stems from several factors, which include the EU Deforestation Regulation causing natural rubber price and availability issues, Indian import restrictions impacting steel and unpredictable crude oil prices affecting petrochemical-derived materials like carbon black and synthetic rubber.”
“Global shipping faces constant disruptions from Suez Canal blockages to geo-political conflicts forcing longer, costlier routes. Even evolving trade policies such as new US-Mexico green corridors demand continuous vigilance. Looking ahead, the industry’s ambitious 2050 sustainability goals present formidable challenges. Shifting to 100 percent sustainable raw materials necessitates developing bio-based alternatives for carbon black, synthetic rubber, and fabrics, which is a significant hurdle given current technological limitations and lack of mass production,” he added.
He asserted that India’s ingenuity will be crucial in overcoming these profound material and supply chain transformations, ensuring the industry’s future viability amidst relentless change.
Alluding to the global natural rubber landscape ANRPC Senior Economist Dr Lekshmi Nair said, “Natural rubber (NR) is a crucial strategic raw material with use in diverse applications beyond tyres, though the tyre industry accounts for 70 percent of its global consumption. A significant challenge stems from the fact that approximately 90 percent of global NR production originates from small growers in tropical regions. These farmers face issues such as low productivity, limited access to resources, volatile prices and the changing demographics as younger generations are less interested in labour-intensive rubber tapping. The lengthy 30-year lifecycle of rubber trees including a six-year immaturity period also deters investment and quick innovation adoption.”
She noted that globally, Thailand, Indonesia and Ivory Coast are the largest NR producers, contributing around 65 percent of the world’s supply, with Vietnam emerging as the fourth. Historically, Asian producers accounted for 91-92 percent of global production, but this has decreased to 79 percent, while West Africa, particularly Ivory Coast, has seen its share rise to 21 percent.
Consumption patterns have also shifted with 67 percent of NR usage now in Asian countries like China, India and Thailand. Despite a projected deficit of 0.7 million tonnes (demand of 15.5 million tonnes versus supply of 14.8 million tonnes), price volatility is often driven by speculative factors rather than market fundamentals, partly due to low investment in replanting.
A key regulatory challenge is the EU Deforestation Regulation, which came into force in June 2023. Compliance for large and medium-sized operators is required by 31 December 2025 and for micro and small enterprises by 30 June 2026. This regulation demands full traceability to prove that NR and products containing it are not sourced from land deforested or degraded after 31 December 2020. While NR is inherently sustainable, this regulation complicates supply chains, especially for producers exporting to Europe, which accounts for 12 percent of total NR consumption in its final products.
“Initiatives like the Global Platform for Sustainable Natural Rubber are working on common guidelines, traceability programmes and capacity building to help the entire value chain, including smallholders, adapt to these new demands. Collaboration and policy support are will be essential for successful implementation of these sustainable transitions and for navigating price volatility, climate change impacts and evolving trade policies,” contended Nair.
THE PANEL
The panel discussion on ‘Emerging Scenarios of Tyre Materials’ brought together leading minds from India’s tyre industry to dissect the monumental shift towards sustainability. It featured CEAT Vice President of Research and Development (Centre of Excellence), Sujith Nair; Yokohama-ATG Head – Corporate Research and Development (Materials and Compounding), C Harimohan; Apollo Tyres’ Divisional Head Raw Material Development, Rajitha R and Ralson Tyres Chief Technology Officer Vidit Jain. The panel was moderated by Eonix Management Solutions Managing Director Srikanth Chakravarthy.
Chakravarthy opened the session by highlighting the immense scale of the transformation ahead. Citing projections of a five to six-fold growth in tyre production and a shift from 35 percent to 100 percent sustainable materials within 25 years, he posed the fundamental question: How is the Indian tyre industry preparing for this paradigm shift, particularly concerning the move away from petroleum-based materials like synthetic rubber and carbon black?
Nair outlined the industry’s approach in three key phases, namely sustainable and green materials with a focus on environmentally friendly and SoC-free options; reduce, recycle and reuse, aiming to lessen tyre weight, reduce carbon dioxide emissions and minimise material wear, encompassing practices like retreading and renewal and sustainable sourcing, exploring new and responsible ways to procure raw materials.
Nair underscored the excitement around green materials, particularly natural alternatives, despite inherent challenges in development and application and highlighted the push for recycled materials with a focus on enhancing the strength of high-tensile materials for use in compounds. The scaling up of new materials, maintaining quality and navigating diverse specifications and certifications across factories present significant hurdles.
Harimohan reinforced Nair’s points, stressing the importance of a holistic understanding of sustainability. He narrowed the focus to the six material types that constitute 85-88 percent of total raw material consumption in tyre manufacturing, namely natural rubber, synthetic rubber, carbon black, steel cord, textiles and rubber process oil.
While natural rubber is largely considered a sustainable material, Harimohan identified synthetic rubber and carbon black as the two areas requiring breakthroughs. He noted that bio-sourced butadiene (for synthetic rubber) is technologically proven with pilot plants in operation and collaborations underway such as Michelin’s European partnerships and Yokohama’s collaboration with a Japanese synthetic rubber company.
The challenge, however, lies in the circularity of carbon black. Harimohan explained that recovered carbon black currently acts more as a filler than a direct replacement for virgin carbon black due to significant degradation during pyrolysis.
He advocated for research to improve the properties of recovered carbon black to 80-90 percent of its original capabilities. Similarly, he called for advancements in recycled rubber, which currently retains only 5-6 MPA of tensile strength compared to 20-25 MPA for virgin compounds.
Recognising the shared nature of the sustainability challenge, the discussion turned to the need for greater collaboration within the industry. Nair revealed that the Indian Tyre Technical Advisory Committee (ITTAC) has already initiated a consortium of tyre companies to work with raw material manufacturers on developing common specifications.
Three such projects primarily focused on sustainable IT space, pyrolysis of carbon black and reclaim rubber are underway. Nair emphasised the necessity of expanding these efforts, citing examples like the European tyre industry’s consortiums.
He also called for greater investment in research and development centres across all tyre companies as a foundational step for effective collaboration and advocated for partnerships with academic institutes.
Rajitha introduced a sobering data point, which stated that in the last 50 years, no new major entrant has emerged in the global tyre industry, while some established players have diminished. She highlighted the immense potential of large Indian conglomerates like the Reliance Group, who are already involved in many tyre-related products to drive significant breakthroughs.
The panel unanimously agreed that achieving sustainability goals requires a holistic approach, encompassing the entire supply chain. Rajitha underlined the importance of selecting suppliers with strong research and development capabilities and a quick adaptability to new technologies, also stressing the need for local partners to meet global standards.
A key challenge raised by the moderator was the often-lengthy tyre approval process, especially when introducing entirely new materials. Rajitha acknowledged that validation processes would need to evolve.
She suggested that validation time could be minimised when new materials maintain similar basic molecular structures and properties and highlighted the increasing use of virtual and physical simulations and advanced ageing testing to expedite validation.
The standardisation of recycled materials like recovered carbon black with established specifications could also significantly streamline the process. Nair added that while striving for 100 percent performance equivalence when replacing virgin materials is ideal, a pragmatic approach might involve accepting 85-90 percent and then compensating through redesign.
Industry leaders from CEAT, Yokohama-ATG, Apollo Tyres, and Ralson Tyres engage in a dynamic panel on ‘Emerging Scenarios of Tyre Materials,’ moderated by Srikanth Chakravarthy.
He introduced a fourth ‘R’, calling it ‘redesign’, as a faster approach to validation. The potential of artificial intelligence and its integration with simulation models to accelerate the decision-making process for new materials was also briefly touched upon with the consensus that this is indeed the way to go.
The panel discussion underscored the Indian tyre industry’s earnest efforts in navigating the complex landscape of sustainable materials. While challenges abound in material science, supply chain collaboration and regulatory alignment, the collective commitment to innovation and a greener future appears strong.
TMC 2025 made clear that the journey to sustainable tyre materials is as complex as it is critical. While innovation is abundant, real progress hinges on global cooperation, scalable technology and faster validation systems. The path ahead demands collective resolve to redesign not just materials but the very approach to tyre manufacturing.
The next edition will be held in 2027 on a bigger scale!
Goodyear Unifies Global Aviation Operations, Appoints Burke To Lead Division
- By TT News
- November 03, 2025
Goodyear Tire & Rubber is consolidating its aviation tyre business under a single global structure and has named Joe Burke as Vice President of its Global Aviation business, effective Friday.
The reorganisation reflects the company's efforts to streamline operations and better serve customers across commercial, military and private aviation sectors, Goodyear said in a statement.
Burke, who has spent more than a decade at Goodyear, working across its commercial and aviation segments, will report to Grégory Boucharlat, Senior Vice President of Global Commercial Operations.
"Aviation is a strategic and high-value segment for Goodyear, and we're proud of the legacy we’ve built over the past century," said Boucharlat. "By aligning our global capabilities, we're better positioned to serve our customers with some of the industry's most trusted products and services. Joe's leadership and experience will be instrumental in driving the next chapter of Goodyear's growth in aviation."
The Akron-based tyremaker has supplied the aviation industry for more than a century, developing the world's first pneumatic aircraft tyre in 1909. Commercial airlines, military fleets and private aircraft operators use its products.
The aviation division represents a key component of Goodyear's portfolio, though the company did not disclose financial details about the segment’s contribution to overall revenue.
BKT Gets Highest Export Award From All India Rubber Industries Association
- By TT News
- October 31, 2025
Balkrishna Industries (BKT) has secured the ‘Highest Export Award’ from the All India Rubber Industries Association (AIRIA) for its export performance in the tyre sector during FY2024-2025.
BKT has been receiving this award annually since 2009, underscoring the company’s sustained export leadership and commitment to global growth. This recognition from AIRIA, which promotes the Indian rubber industry, reinforces the company’s position as a key player in off-highway tyre manufacturing.
The award celebrates BKT’s export performance across tyres, flaps and carbon black, demonstrating its success in expanding its global footprint. With a presence in over 160 countries, the company continues to set benchmarks in the international tyre market through manufacturing and a customer-centric approach.
Arvind Poddar, Chairman & Managing Director, BKT, stated, "This recognition is a testament to BKT’s unwavering commitment to excellence in manufacturing, uncompromising quality standards and strategic global expansion. For another consecutive year, we are honoured to be acknowledged as a trusted partner in the international tire industry and remain dedicated to driving innovation and growing together while delivering value across global markets”.
- Tyresnmore
- RPG Group
- Rakesh Tatikonda
- tyre
- CEAT
- Goodyear
- Apollo
- JK Tyre
- Royal Enfield
- Harley-Davidson
From Click To Fit: The Tyresnmore Revolution
- By Sharad Matade and Gaurav Nandi
- October 30, 2025
The automotive aftermarket sector is evolving as companies look for new ways to deliver services. Tyresnmore is at the forefront, making it easier for people to buy tyres by offering a simple doorstep service instead of the old, complicated process.
When Tyresnmore joined the RPG Group in 2023, the company focused on closing the gap between buying tyres and having them fitted by professionals. Its direct-to-consumer model sends skilled technicians with the right tools to customers, taking care of tyres, batteries and alloy wheels.
In an interview with Tyre Trends magazine, CEO Rakesh Tatikonda explains how the company keeps NPS scores above 85 percent while serving more than 150,000 customers in six cities. Since online tyre sales in India account for only about 0.6-0.7 percent of the market, compared to 15-20 percent in Western countries, Tatikonda discusses how they manage inventory, maintain transparent pricing and plan to grow in this young yet promising industry.
The buyer-seller relationship has radically changed with the advent of the online world. E-commerce sites and online marketplaces have practically redefined the basics of convenient shopping and ease-of-purchase.
Today, one can easily purchase anything from as small as a pencil to as large as an air conditioner at the click of a button. Tyresnmore is taking this convenience a step further by not delivering but fitting tyres, batteries, alloy wheels and wheel covers professionally at a customer’s doorstep.
Acquired by RPG Group in 2023, Tyresnmore operates as an individual entity and offers a unique value proposition to its customers, not limited to doorstep tyre delivery. It provides fitment at their doorstep, helps discover the right product, provides transparent pricing and ensures clear communication throughout.
“The goal is to offer a hassle-free, end-to-end experience across all touchpoints. We treat this as an alternate channel. While some may label Tyresnmore as an online company, it functions much like a traditional dealer as we stock tyres and bring them directly to the customer. This is distinct from customers visiting a store for fitment,” said Chief Executive Officer Rakesh Tatikonda during an exclusive interaction with Tyre Trends magazine.

“We are authorised to sell multi-brand products, and today, we also sell batteries, alloy wheels and accessories. Our aim is to be a true multi-brand player in the auto accessory segment. In the offline channel, too, we recommend options based on customer needs. For example, an Audi or BMW customer who prioritises safety and prefers an international brand will be advised accordingly, whether that’s Pirelli or a tyre marked as Mercedes Original or Audi Original. This consultative approach ensures we remain customer-first without giving preference to any one brand,” he added.
The company has developed a direct-to-consumer (D2C) channel over several years, positioning itself as a multi-brand platform with an extensive catalogue and the convenience of scheduling tyre services at the customer’s preferred time and location in different cities.
According to Tatikonda, doorstep tyre services are increasingly common in Western markets and online penetration accounts for roughly 15–20 percent of sales. He argued that India has significant growth potential for such business as the market is nascent and industry estimates place India’s sales share through this channel at just 0.6–0.7 percent.
Explaining the market factors facilitating growth, Tatikonda explained that the tyre retail market in India is somewhat fragmented. Traditionally, the tyre purchase process ranging from product selection to fitment is disjointed, often requiring consumers to engage multiple parties such as dealers, third-party fitment providers or even puncture shops to complete a single transaction.
He highlighted that even multi-brand or OEM-branded shops tend to focus on particular segments such as passenger car or commercial tyres, leaving two-wheeler customers underserved. Many outlets either refer customers elsewhere for fitment or employ third-party technicians, making the experience cumbersome.
The company’s D2C channel addresses this gap by offering a complete, end-to-end solution. “The promise is the same for all customers. We do all the heavy lifting to make their lives comfortable,” Tatikonda said.
By employing its own trained technicians rather than outsourcing, the company ensures trust and reliability. He emphasised that the D2C model is not in competition with offline retail but rather complements it, catering to consumers seeking convenience, safety and transparency.
“This approach targets diverse customer segments, who may prefer the ease of doorstep services over visiting physical stores,” he stated.
ROLLOUT
A catalogue of over 2,000 stock keeping units (SKUs) across brands and sizes is maintained on the platform. SKUs not available in stock are procured directly from OEMs and customers are informed about expected delivery timelines.
While delivery is offered nationwide, fitment services are currently restricted to the six cities with operational dark stores. Convenience, reliability and transparency are provided to all customers including first-time online buyers and specific segments such as women and elderly consumers.
An in-depth explanation of the company’s D2C business model provided by Tatikonda highlights a full-stack approach ranging from brand awareness to fitment. Brand awareness is created using social media, SEO to generate leads.
Customers are offered the option to explore the website, www.tyresnmore.com, for product discovery or to contact customer care for consultative support. Detailed information on tyres including brand, SKU, price, warranty and unique selling points is presented to enable informed choices.
Selection of products is based on vehicle type, terrain, mileage and previous brand experience. Approximately 50–55 percent of orders are placed directly through the website, while the remaining orders are facilitated through customer care, where brands, price options and fitment slots are recommended.
Once an order is confirmed, it is routed to the city operations team and fulfilment is coordinated through a network, the dark stores. Stocking is carried out based on sales history, brand popularity and size demand.
The dark stores are maintained in six cities including Delhi NCR, Mumbai, Pune, Bangalore, Hyderabad and Chennai, where delivery and fitment are performed by trained in-house technicians rather than outsourced personnel.
Typical installation timelines once technician reaches the customer’s doorstep are 45 minutes for four-wheeler tyre installation, 30 minutes for two-wheelers and 15–20 minutes for batteries. Customers are notified at every stage, from order confirmation and invoicing to scheduling.
“In the six cities where we operate, customers don’t have to go anywhere. In other cities like Aurangabad or Jalandhar, we’ve seen organic traffic from customers we couldn’t fully serve, so we now provide tyre delivery even though fitment isn’t available there yet. Our multi-city presence allows us to source products quickly. Even if a tyre isn’t available in one hub, we check across others and fulfil the order. At present, however, outside our core network, we only deliver tyres and haven’t tied up with third parties for fitment,” noted the executive.
BALANCING ORDERS
Managing tyre inventories online remains a challenge given the sheer variety of products. Tatikonda said about 40 SKUs generate roughly 60 percent of sales, and those high-volume items are kept in stock to enable faster turnaround and same-day fitment.
Orders for these tyres are typically fulfilled within 24 hours of confirmation, underscoring the platform’s ability to match offline service standards. For the remaining 40 percent of SKUs, nearly 90 percent can still be sourced within the same city from OEMs, clearing and forwarding agents or distribution centres, allowing installation within a day.
Only rare or less common SKUs fall outside this framework with delivery timelines of two to five days. Customers are informed upfront about expected wait times, a transparency Tatikonda described as central to the model’s reliability.
Furthermore, tyre pricing in India is unlike batteries or alloys, which come with a manufacturer’s maximum retail price (MRP). “Tyres are considered unpackaged products and regulations don’t mandate an MRP,” Tatikonda explained. That leaves room for variation with dealers often bundling tyres with services and quoting composite rates.
The company, he said, tries to bring transparency by offering benchmarked prices that reflect market norms, typically within five percent either way of what dealer’s charge. Customers benefit from knowing upfront what is included and what isn’t.
“Convenience is a big factor. We operate at market prices, but we save people time, fuel and hassle. Consumers value that,” Tatikonda added.
He pointed to high customer ratings and the platform’s decade-long track record as further proof of trust. While prices are not fixed, Tatikonda stressed that the company follows OEM guidelines and market benchmarks to ensure fairness. “Even if it isn’t an MRP product, there’s always a market operating price. That’s what we go by,” he stated.
The platform hosts more than 10 tyre brands including CEAT, Goodyear, Apollo and JK Tyre, alongside several international labels. On the battery side, major players such as Exide and Amaron dominate the listings, providing consumers with a broad choice.
The company’s fitment vans have been equipped with the latest pneumatic tools including tyre changers, balancers, compressors and nitrogen-filling machines. Currently, 13 vans are deployed across six cities with some locations hosting three to four vans and others one or two.
The fleet has been continuously upgraded to accommodate evolving tyre sizes, now supporting installations of tyres up to 21 inches.
High-end vehicles have also been serviced with alloy wheels included in the fitment scope. After-service customer concerns are addressed through a dedicated call centre.
CUSTOMER FOCUS
The company’s current focus has been placed on the passenger vehicle segment, while commercial tyre offerings have not yet been explored, despite potential. Within the passenger category, emphasis has been given first to four-wheelers followed by two-wheelers, which range from standard scooters to high-end motorcycles such as Royal Enfield and Harley-Davidson models.
Two-wheeler customers have been reported to value convenience and are willing to pay for doorstep services, which include both tyre replacement and battery servicing.
“After-sales support has been structured as an integral part of the full-stack model. Warranty claims have been recorded at less than one percent monthly and they are managed through a dedicated customer service team. Feedback can be received through online platforms including Google and social media,” explained Tatikonda.
Pro-active follow-ups are conducted to address concerns even if customers do not initiate contact. Issues are triaged in three ways. Minor problems are resolved remotely, genuine warranty claims are directed to OEM network and where complete convenience is requested, technicians are dispatched to the customer’s doorstep for service. A service charge is applied in the latter scenario and detailed reporting is provided for transparency.
“Customer satisfaction metrics have been maintained at high levels with NPS scores consistently exceeding 85 percent. Educational initiatives have been launched to improve consumer knowledge, including a video series on YouTube and social media that covers tyre and battery maintenance, tyre health monitoring and safe driving habits,” added Tatikonda.
Additional content including blogs with guidance on product selection, maintenance and replacement timing is also being developed to reach broader customer segments and enhance informed decision-making.
EXPANSION AND DIVERSIFICATION
According to Tatikonda, the company is exploring adjacent product categories beyond its core offerings. Plans to expand the product portfolio are in the pipeline with a focus on both growth and increasing customer retention through repeat purchases.
“Our evolution has seen a phased launch starting with tyres followed by batteries, alloys, dash cams and tyre and battery protection plans including roadside assistance. A combination of in-house and third-party service providers has been engaged to accelerate category additions and strategic tie-ups,” said Tatikonda.
The executive noted that no category is considered difficult to sell if it performs well in the broader market. Each new category is preceded by detailed market research including trade insights, consumer requirements, buying behaviour and service considerations such as fitment.
Customer acquisition and retention strategies are reported to rely heavily on maximising lifetime value. With a current service record of over 150,000 customers and more than 300,000 tyre fitments, the focus has been placed on servicing existing customers through additional categories and services.
“Efficiency in operations, marketing and fulfilment is prioritised to increase margins. Operational measures include improving van and technician productivity, reducing fulfilment time and optimising route management through technology. Marketing efficiencies are sought through improved conversion rates per marketing rupee, while city-level fixed costs such as rentals and salaries are managed to scale profitably,” he said.
Expansion into marketplaces and other channels is being explored to reach different customer segments while maintaining the full-service model.
Regarding geographic expansion, Tatikonda estimated that the six operational cities currently account for approximately 25–30 percent of India’s four-wheeler tyre and battery market. Two-wheeler tyre demand, however, is described as less city-dependent and more widespread across Tier-I, Tier-II and rural areas. Immediate expansion plans are focused on consolidating scale in existing cities before considering further market entry beyond current territories.
“The goal of entering four to eight additional cities within the next three to five years is on the table. These target cities are expected to be non-metro areas situated close to existing metropolitan hubs. City selection is said to be driven by two primary factors including market potential and the presence of the appropriate consumer segments receptive to online purchases and doorstep convenience services. Resource allocation including bandwidth and operational capacity will be carefully managed to support this expansion,” divulged Tatikonda.
In terms of sales channels, the company has emphasised a strategy of channel diversification. Strategic alliances and synergies with other players are being explored to extend service offerings and reach additional customer segments.
Technology is positioned as a key enabler to deliver superior customer experiences across the entire lifecycle. Convenience, reliability and a broad spectrum of mobility solutions are highlighted as central to achieving this objective.
CEAT Motors Ahead with Strong Quarter Despite US Tariff Headwinds
- By Sharad Matade
- October 29, 2025
Indian tyre maker posts robust margins and doubles down on electric vehicle segment as it digests the Sri Lankan acquisition
Sharad Matade
CEAT delivered a strong second-quarter performance, with revenues rising 12.2 percent year-on-year, even as the company navigates turbulent US tariff waters and integrates its recently acquired Sri Lankan off-highway tyre business.
The Mumbai-based tyre manufacturer reported standalone earnings before interest, tax, depreciation and amortisation (EBITDA) of INR 5.07 billion for the quarter ended September, with margins expanding to 13.7 percent. Net profit was INR 2.02 billion, a significant improvement from last year’s INR 1.22 billion.
“We’ve had a good quarter,” Managing Director Arnab Banerjee told analysts on an earnings call, noting that gross margins had climbed back into the company’s long-term target range of 40-42 percent after benefiting from softer raw material prices.
CAMSO Bet Takes Shape
The quarter’s headline event was CEAT’s completion of the CAMSO acquisition from Michelin on 1 September, a deal that positions the Indian manufacturer as a leading player in premium off-highway tyres. The company spent INR 12.32 billion in total for the transaction: INR 2.72 billion in equity, INR 7.02 billion in debt, and INR 2.38 billion for intangibles like trademarks and patents.
Chief Financial Officer Kumar Subbiah said the acquisition pushed consolidated debt to INR 29.44 billion by quarter-end, though debt-to-EBITDA remains comfortable at 1.8 times and debt-equity at 0.64 times. “We have enough leverage to provide necessary growth capital going forward,” he assured investors.
The company has historically maintained conservative financial thresholds, preferring not to exceed debt-to-EBITDA of 3 times or debt-equity of 1 time at peak levels. Although it has never exceeded INR 21 billion in absolute debt before, management is confident in the current INR 30 billion debt level, given the growth opportunities ahead.
The Sri Lankan plant currently operates at 50 percent capacity utilisation, offering significant upside potential. However, CEAT will not gain full control of the value chain for another five to six quarters, as it continues purchasing semi-finished goods from Michelin while setting up upstream mixing and calendaring equipment.
“There have been no surprises based on one month of operation,” Banerjee said, adding that the business is progressing well and remains on track to be margin-accretive in the medium term.
Aggressive Investment Programme
CEAT is in the midst of a substantial capacity expansion across multiple facilities. The company spent INR 1.85 billion on capital expenditure during the quarter, bringing the first-half total to INR 4.15 billion. Management expects full-year capex of around INR 10 billion, excluding CAMSO acquisition costs.
The investment breakdown reveals strategic priorities: INR 1 billion was allocated to research and development, information technology, plant maintenance and moulds. Another INR 0.50 billion is being used to expand truck-bus radial tyre capacity towards 2,000 units, an ongoing multi-year project.
The Ambernath plant expansion absorbed INR 0.70 billion, while the Chennai factory received the largest share at INR 1.60 billion for passenger car downstream operations and motorcycle scooter production. Debottlenecking initiatives across facilities accounted for INR 0.40 billion.
“Expansion projects are progressing as per plan,” Banerjee said, adding that overall capacity utilisation stands at 80-85 per cent currently.
Additional investments are planned for Sri Lanka to install upstream equipment at the CAMSO facility, enabling the company to stop purchasing semi-finished goods from Michelin and control the entire manufacturing process.
Tariff Turbulence
The company faces mounting pressure in the US market, where 50 percent tariffs on off-highway tyres have nearly halted exports. CEAT’s sales of off-highway tyres to America slowed to “practically zero” by quarter-end, though passenger car and truck-bus radial exports continued.
For passenger and truck-bus radials, the 25 per cent tariff applies uniformly across countries, leaving India at no disadvantage. CEAT is partially absorbing the impact while gradually passing costs to customers over the next two to four quarters.
The CAMSO operation in Sri Lanka faces a 20 per cent duty on US exports, with roughly half of that tariff currently being absorbed. “We expect CAMSO also to pass on the full impact of tariffs in maybe two to three quarters,” Banerjee said.
Despite the low base, CEAT’s management remains sanguine. “Our stake in the US market is still very low, so the overall impact on our growth and profitability was not very material,” Banerjee noted.
Domestic Boost from GST Cut
A positive development came late in the quarter when the Indian government cut goods and services tax (GST) on tyres from 28 to 18 percent, and on farm tyres from 18 to 5 percent, effective 22 September. The move is expected to boost demand in semi-urban and rural markets.
“There is significant benefit to customers,” Banerjee said. “The 10 percent duty cut works out to around 7-8 per cent on the selling price. For a truck tyre, it could be INR 1,500 per tyre, which is significant.”
CEAT passed the entire benefit to its channel partners and advised them to do likewise for end customers. The company isn’t contemplating any price increases, given softening raw material costs.
The GST announcement created a temporary dip in September, as buyers deferred purchases and trade down-stocked in anticipation. The replacement market, which had been growing at nearly double-digit rates, contracted during the month. However, momentum is expected to return strongly.
Segment Performance
Original equipment manufacturer (OEM) sales were the star performer, surging in the mid-20s as CEAT secured fitments on cars with larger rim sizes. International business grew in the high teens, while replacement business managed mid-single-digit growth despite September’s dip.
Two-wheeler tyres saw robust demand driven by rural markets, while the passenger car segment grew in mid-single digits. Farm tyre growth in the OEM segment reached the mid-teens.
International markets delivered particularly strong results, with mid-teens growth across key clusters in Europe, Africa and the Middle East. Europe, CEAT’s most profitable export market, saw strong traction in passenger car tyres. Brazil recorded good growth in two-wheeler tyres. Passenger and truck-bus radials now account for 65 per cent of exports, with CEAT claiming to be India’s leading passenger car tyre exporter.
Electric Vehicle Push
CEAT has established strong positions in India’s growing electric vehicle segment, holding a 30 percent share in the OEM passenger car and utility vehicle EV market and a 20 per cent share in the two-wheeler EV market.
“We continue to focus on product development for emerging vehicle sizes, and we have good respect and credibility amongst OEMs to get fitted on upcoming new models,” Banerjee said.
The company launched two innovations during the quarter: SecuraDrive CIRCL, a concept tyre made from 90 per cent sustainable bio-based materials, and RockRad, a premium mining tyre showing early promise.
On the digital front, CEAT became one of the first companies to deploy an agentic chatbot on its website, currently in beta, to personalise customer journeys. The company’s website traffic exceeded 1 million, with organic traffic up 19 per cent year-on-year. Leads for premium SUV users exceeded 30 per cent, while positive brand sentiment jumped 28 per cent in average interaction per post year-on-year.
Raw Material Relief
Raw material costs provided relief, declining 5 per cent quarter-on-quarter. International natural rubber prices held steady at USD 1,700-1,750 per tonne, while domestic prices softened towards import parity by quarter-end, dropping just over INR 10 per kilogram.
Crude oil hovered around USD 65 per barrel, at the lower end of its recent range, amid weak Chinese demand and ample supply.
“Taking into consideration current base prices and the impact of rupee depreciation in the last eight weeks, we expect raw material prices to remain at current levels in Q3,” Subbiah said.
Outlook
Looking ahead, management expects to maintain double-digit growth momentum while keeping margins steady. The third quarter typically sees revenue flatten or dip slightly due to the festival season and the onset of winter, which affects northern and eastern markets.
Replacement demand for medium- and heavy-duty commercial vehicle tyres should track GDP growth at mid-single digits, while two-wheelers should be around 7-8 per cent. At the same time, passenger cars remain soft, in the zero-to-low single digits.
“The GST change will be a positive factor for industry, especially in small towns and rural markets,” Banerjee said. “We also think we’ll arrive at some clarity on the US tariff situation sometime during Q3 or Q4.”

Comments (0)
ADD COMMENT