JK Tyre’s board has approved an expansion plan for Truck & Bus Radial (TBR), All Steel Light Truck Radial (ASLTR), and Passenger Car Radial (PCR) tyres. This decision was made during a board meeting held on February 6, 2026. The expansion aims to increase the company’s market presence amidst robust demand. The proposed capacity addition for TBR/ASLTR/PCR tyres is 6.5% and is projected to be added by Q2FY28.
Expansion Plan Overview
The Board of Directors at JK Tyre & Industries Ltd. has approved an expansion plan focused on augmenting production capabilities for a range of tyre categories, including Truck & Bus Radial (TBR), All Steel light Truck Radial (ASLTR), and Passenger Car Radial (PCR) tyres. This expansion will occur across multiple plant locations.
Capacity and Utilization
The current existing capacity stands at 204 Lakh tyres p.a., encompassing capacity additions that are currently under implementation. Existing capacity utilization for TBR/ASLTR/PCR tyres is reported to be over 90% of installed capacity, indicating strong demand and efficient operations.
Proposed Capacity Addition and Timeline
The proposed capacity addition for TBR/ASLTR/PCR tyres is 6.5%, reflecting a strategic move to capitalize on market opportunities and meet rising demand. This additional capacity is expected to be added by Q2FY28, enhancing JK Tyre’s production volume significantly.
Investment and Funding
The investment required for this expansion is estimated at Rs. 1,130 Crore. Funding for the project is planned through a combination of internal accruals and debt, ensuring a balanced financial approach.
Rationale for Expansion
The Indian Tyre Industry is currently experiencing robust demand across various categories. JK Tyre aims to capitalize on this favorable market condition by increasing the company’s market presence in the automotive tyre market. This expansion is a strategic move to cater to growing demand and reinforce the company’s market position.
Source: BSE
