Michelin Accelerates India Expansion To Tap Premium Passenger Car Tyre Market
- By Sharad Matade and Gaurav Nandi
- December 11, 2025
Michelin is turbocharged about India. The global tyre manufacturer has increased its investment in its Chennai plant to INR 6.86 billion, up from the INR 5.64 billion announced last September, as it prepares to manufacture premium passenger car tyres locally for the first time. The move comes as India’s automotive landscape undergoes a dramatic shift, with SUVs accounting for half of all new car sales and consumers increasingly willing to pay premium prices for safety and performance.
After more than a decade of producing only truck tyres in India and serving the passenger car segment through imports, Michelin is betting that the time is right to localise production. The company expects India’s premium passenger car tyre market to grow from 10-12 million units today to 17-18 million by 2030, driven by improving road infrastructure and evolving consumer preferences. With its first locally-made passenger car tyres – including the Primacy 5 and Pilot Sport ranges – expected to hit the market in the first half of 2026, Michelin is positioning India not just as a manufacturing base but as a centre of excellence for AI innovation, engineering talent and sustainable production across Africa, Middle East and beyond.
Last year, in September, Michelin had announced an investment of INR 5.64 billion in a brownfield expansion to produce passenger car radial tyres at its Chennai plant. Year-to-date, the company has already ramped up the figure to INR 6.86 billion, fuelled by its confidence in India’s passenger car market.
“We are bullish about India because of two major reasons. One is the transformation of the vehicle market itself, as last year, around 50 percent of new cars sold in India were SUVs. At the same time, road infrastructure is improving dramatically. That leads to the second factor that Indian consumers increasingly want bigger, safer cars with advanced safety features and they are willing to pay a premium for performance,” said Shantanu Deshpande, Managing Director at Michelin India.
Adding to Deshpande, Vitor Silva, President, Africa, India and Middle East (AIM), Michelin, said, “We see this as the perfect time for Michelin to complement that shift with tyres that deliver technology, safety, comfort and long-lasting performance. While we have been manufacturing truck tyres here for more than a decade, we will now also focus on passenger car tyres. Until now, we have been serving the segment largely through imports. But we believe the market dynamics have shifted and this is the right time to localise production.”
In line with this, the Chennai plant will also focus on premium passenger car tyres ranging from 16-inch to 22-inch sizes. According to Deshpande, the market is currently estimated at 10–12 million tyres and is expected to grow to 17–18 million by the end of the decade, making the investment not only timely but essential.
The plant will churn out its most advanced range – LTX Trail ST, Pilot Sport 4 SUV, Pilot Sport 5 and Primacy 5 tailored for the Indian market. The Michelin Primacy 5 will be the first tyre to roll out.
In the coming months, the tyres will undergo homologation and certification processes with BIS and other authorities. Once approved, the first Michelin passenger car tyres will be made available to Indian consumers. While no fixed deadline has been set, the commercial availability of these tyres is expected during the first half of the next year.
Michelin is structured into nine regions for business management purposes. Regarding India’s role in the wider region such as Africa, and the Middle East, operations have been designed to serve both as a production hub and a centre of excellence. The Indian facility will not only cater to domestic demand but will also strengthen Michelin’s position across the region through supply, innovation and talent development.
Its technology centre in Pune was described as one of the most important hubs for the group in the field of artificial intelligence (AI). In addition, strong capabilities in research and development, digital services, IT and corporate functions have been developed there.
India also has been positioned as a centre where talent is nurtured, contributing not only to Michelin globally but also to consumers worldwide through products designed locally.
“Tyres for North America and Europe have been designed in India and around a hundred AI proof-of-concept projects have been initiated, tested and are planned for eventual global deployment. The country is also a key source of raw materials for global operations. Michelin in India represents more than tyres, symbolising innovation, supply chain strength and talent development,” said Silva.
MANUFACTURING PROWESS
The Chennai plant, operational for 12 years, is among the most sustainable in India and globally of Michelin. It is a zero liquid discharge facility with 80 percent of water consumption recycled and 100 percent of waste reused.
By 2024, 45 percent of materials used to make tyres at the Chennai plant were renewable and recyclable, exceeding the global target of 50 percent by 2030. Forty-five percent of electricity comes from green sources, supported by infrastructure investments such as the 2022 solar facility.
AI is integrated into daily operations, analysing machine performance, monitoring quality and supporting decision-making. These tools are accessible to both engineers and frontline operators.
Currently, the plant’s installed capacity is 54,000 tonnes with flexibility maintained to align production with fluctuating demand as tyre weights vary from 7–8 kilogrammes for 16-inch tyres to 15–16 kilogrammes for 22-inch tyres. Inventory constraints prevent storing six months’ worth of tyres, requiring production and demand to be closely synchronised.
“At Michelin, we homologate products based on the conditions of each region. That means the tyres made and sold in India are essentially the same as those sold globally but validated to perform in Indian conditions. So rather than a separate India-only tyre line, we bring world-class products that are equally well-suited to Indian roads,” contended Silva.
Flexibility has been built into the production lines, allowing a mix of products to be manufactured on the same machines.
Primary focus is given to serving the local market as the industry was regarded as highly complex. While some volumes may be exported and others imported, priority is assigned to the Indian market.
When asked about the impact of starting passenger car tyre production on the OEM segment, Deshpande explained that several large truck manufacturers, including Ashoke Leyland, Volvo, Mercedes and Scania, are already being served.
Regarding the passenger car segment, the focus has been on the replacement market. While several imported cars including the Hyundai Ioniq and multiple Mercedes-Benz models already come equipped with Michelin tyres, OEM engagement in this segment is planned for the future, though replacement currently remains the priority.
Commenting on raw material procurement from India, Silva stated that India is also leveraged as a supplier of raw materials for Michelin’s global factories. Carbon black, natural rubber and chemicals are procured locally. This approach emphasises not only production and services from Pune but also the utilisation of India’s industrial ecosystem to support the company’s worldwide supply chain.
Specific materials sourced from India include carbon black, chemicals, steel and other items, all of which must meet Michelin’s strict quality and pricing standards.
“Beyond materials, India also contributes significantly in terms of engineering. At the Chennai plant, a dedicated engineering division has been established to develop machines for our global operations. Certain machines are designed and manufactured in India before being shipped worldwide. Additionally, specific components for global operations are already being produced in India,” said Florent Chaussade, Executive Director, Michelin Chennai.
RETAIL SCOPE
Deshpande emphasised that the company’s focus extends beyond production to transforming the consumer buying experience. A state-of-the-art experience shop was recently inaugurated in Nashik. Premium retail environments are being ensured through clean shops, ample parking, advanced equipment and well-informed staff capable of clearly communicating Michelin’s superior value.
To strengthen the retail network, the Michelin Tyre Service (MTS) network is being expanded. Seventy-five MTS outlets currently operate across India, primarily in metro cities, with plans to establish Michelin Tyre Stores as the benchmark for tyre retail experience nationwide.
On online sales, the company’s approach is two-fold. “Pure e-commerce retail remains negligible in India, but the research online, purchase offline trend is significant. Efforts have been made to ensure accurate digital presence, guiding consumers on suitable tyres,
availability and recommended outlets. This strategy is aimed at aligning the online-to-offline journey with the premium performance of our products, recognising that Indian consumers are tech-savvy yet accustomed to traditional purchasing,” divulged Deshpande.
To communicate safety, comfort and performance to price-sensitive consumers, Michelin has launched a dealer digital programme, enhancing dealers’ online presence to provide accurate brand and outlet information.
Inside outlets, experience shops display simple ‘reasons to believe’, demonstrating value propositions such as lower rolling resistance and superior braking performance. Dealers and technicians are continuously trained to deliver consistent performance, comfort and safety.
“The approach is ongoing and comprehensive, combining digital engagement, premium retail environments, interactive demonstrations and continuous skill development to elevate both the product and the overall ownership experience,” Deshpande added.
MARKET WATCH
The company’s truck and bus radial (TBR) business in India has evolved in recent years to target customers and fleets that value total cost of ownership (TCO). The strategy is centred on tubeless truck tyres, particularly energy-efficient models.
“Around 60 percent of a fleet’s operating cost is fuel, and our Multi Energy Z + tubeless tyres are reported to save 8–10 percent in fuel compared with traditional tube-type radials, directly benefiting the fleet’s bottom line,” contended Deshpande.
He added, “Although the segment remains relatively small, leading coach operators are already 100 percent tubeless. New-generation fleet owners increasingly prioritise TCO and are driving the transition. Demanding fleets such as Delhivery, which operates trucks 16–17 hours daily, covering 20,000 km per month, choose us for reduced downtime, fuel savings and extended tyre life. Other major clients include ITS, DGFC and Best Roadways. In 2022, the Chennai plant produced India’s first four-star rated energy-saving tyre, marking a national milestone.”
Regarding market share, only 10–12 percent of trucks currently run on tubeless tyres, while the rest remain tube-type, explained the executive.
On the two-wheeler front, Michelin already sells locally manufactured tyres through outsourcing arrangements. Fastest growth is observed in the over 350 cc motorcycle segment driven by higher disposable incomes and improved infrastructure, mirroring the SUV boom in passenger cars.
When asked about India’s potential global role amid geo-political shifts including trade barriers, tariffs and overcapacity in countries such as China, it was stated that Michelin’s vision is to operate local-to-local wherever possible.
“The tyre supply chain is highly interconnected with nearly 200 materials used in a single tyre, making it impossible to source everything from a single location. Efforts are focused on reducing raw material intensity, increasing the proportion of renewable inputs and minimising environmental impact through green factories and cleaner materials,” concluded Silva.
Michelin’s India strategy integrates local manufacturing, sustainable practices and advanced consumer engagement to build long-term value.
Bridgestone Americas Appoints Michele Herlein As New Chief People Officer
- By TT News
- January 24, 2026
Bridgestone Americas has appointed Michele Herlein as its new Chief People Officer. In this role, she will oversee all human resources operations across the Americas, Europe, Middle East and Africa. Her primary focus will be advancing the company's Culture 2.0 initiative, which aims to enhance teammate empowerment, collaboration and accountability.
Herlein rejoins Bridgestone with over two decades of executive leadership expertise. Her background includes previous positions within Bridgestone Americas and Bandag, Inc., centred on culture, leadership development and succession planning. Most recently, she was the Founder and CEO of CultureMax and previously served as the Chief Administrative and Human Resource Officer at Barge Design Solutions. She is also a published authority on creating high-performance organisational cultures. Beyond her corporate work, Herlein is a co-founder of Impact100 Nashville, a philanthropic women’s collective that has awarded more than USD 1.2 million in grants to area nonprofits.
Scott Damon, Bridgestone West CEO and Group President of Bridgestone Americas, said, “I am excited to welcome her back to Bridgestone, recognising the perspective and presence she will add to our West leadership team, the HR function and the broader organisation.”
- Alliance Tyres
- Yokohama-ATG
- Agri Star II Row Crop
- LAMMA UK 2026
- Agricultural Tyres
- Off-Highway Tyres
Alliance Displays Agri Star II Row Crop Tyre At LAMMA UK 2026
- By TT News
- January 24, 2026
Alliance, a prominent global tyre brand under Yokohama-ATG, introduced its new Agri Star II Row Crop tyre to the UK agricultural sector during the recent LAMMA UK 2026 event. This launch marked the product's UK debut following its initial presentation at Agritechnica 2025. The tyre is specifically engineered for row crop tractors and specialist machinery, including self-propelled and trailed sprayers, operating in crops such as cereals, maize and oilseed rape.
Central to the tyre's design is Alliance's Stratified Layer Technology (SLT), which incorporates two distinct rubber layers within each lug to maintain reliable traction and stability even as the tyre wears. This approach is part of a design focused on mitigating soil compaction through a wider tread that improves load distribution, thereby helping to protect soil structure and preserve crop yields.
To address the evolving demands of modern farming, the tyre is built for high-speed road travel, boasting an E-speed rating that allows for operational speeds up to 70 kmph. This capability accommodates the increasing distances machinery must cover between fields. Simultaneously, the tyre is engineered to provide effective low-pressure performance during actual field work. It brings VF technology to this segment, a critical development as agricultural equipment continues to grow in both weight and the frequency of road use.
The construction emphasises durability, incorporating features like a stubble guard and advanced, wear-resistant compounds to ensure a long service life under challenging conditions. Available in rim sizes ranging from 24 to 54 inches, the Agri Star II Row Crop is designed for compatibility with a broad spectrum of contemporary farm machinery. This new model extends the proven platform of the Agri Star II series, of which over one million units have been sold globally, delivering its established technological benefits into the specialised realm of row crop agriculture.
Hankook Tire Appoints New VP Of Marketing For North America
- By TT News
- January 23, 2026
Hankook Tire has appointed Seunghwan (Aaron) Hong as Vice President of Marketing for its North America Headquarters in Nashville. He assumes this position following the promotion of Kyuwang (Ken) Cho, who is now leading the company’s Global Truck & Bus Division from Seoul.
In his new capacity, Hong will be responsible for North American marketing strategy, technical services, Canadian operations and supply chain logistics, focusing on strengthening the brand’s support for regional tyre dealers. Hong’s extensive two-decade career with Hankook includes leadership roles such as Managing Director in Canada and the Netherlands, along with a strategic position in the Global TB sales division.
Cho, who previously served as Senior Vice President of Sales and Marketing in North America, returns to Korea, where he had earlier held a senior global sales role within the TB division.
Rob Williams, President, Hankook Tire America Corp., said, "We're thrilled to welcome Aaron to Nashville as our new Vice President of Marketing. He brings a wealth of global experience and a proven ability to drive growth across diverse markets. As we continue to expand our brand and strengthen relationships with our dealers throughout North America, Aaron's strategic vision will be key to advancing Hankook's innovation and performance in the tyre market. We are appreciative of Ken's leadership over the past year in elevating our presence across both consumer and commercial channels."
Scandinavian Enviro Systems Appoints Fredrik Aaben As New CEO
- By TT News
- January 23, 2026
Scandinavian Enviro Systems has appointed Fredrik Aaben as its new Chief Executive Officer effective 16 January 2026. He succeeds Fredrik Emilson, who is stepping down from the role by mutual agreement. Emilson will remain with the company in a supportive capacity, serving as a Senior Advisor during the transitional period.
Aaben brings substantial financial and strategic experience to the position, having served as the company’s Chief Financial Officer since November 2024. His prior career includes close to eight years at Volvo Cars, where he most recently held the position of Head of Corporate Finance and gained extensive experience in finance, strategy and governance. His background also includes roles as Group Business Controller at Stena AB and work in management consulting. Aaben holds dual Master of Science degrees in Industrial Engineering and Management and in Software Engineering from Chalmers University of Technology.
Concurrent with this change, Maria Ljungstrand has been promoted to Chief Financial Officer. She joined Scandinavian Enviro Systems in April 2024 as Head of Group Business Control and previously held business controller positions at Danone and Mondelez International.
The Board of Directors expressed gratitude to outgoing CEO Fredrik Emilson for his dedication and valuable contributions. Under his leadership, the company achieved significant developmental milestones, and the Board acknowledged his considerable efforts and commitment.
Ewa Björling, Chairman of the Board of Scandinavian Enviro Systems AB (publ), said, “The Board is very pleased to appoint Fredrik Aaben as Chief Executive Officer of Scandinavian Enviro Systems. Fredrik has a deep understanding of the company, its operations and strategic direction, and has demonstrated strong leadership, analytical capability and commitment during his time as Chief Financial Officer. With his extensive experience in finance, strategy and corporate governance, the Board has very strong confidence in Fredrik’s ability to lead Enviro forward and successfully drive the company’s continued development and growth.”
Aaben said, “I am excited to have been appointed Chief Executive Officer of Scandinavian Enviro Systems. Enviro is a company with a leading technology platform and a highly competent organisation. I look forward to working closely with the Board, the management team and all employees to drive execution and continue developing the company in line with its long-term ambitions.”

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