Commenting on the trends driving the growth in the tyre market, Kavan Mukhtyar, Partner and Leader – Automotive, PwC India, said, “India’s journey towards Viksit Bharat 2047 presents a huge opportunity for the tyre industry, not only to meet the aspirations of its domestic customer base but also to exponentially scale up tyre exports, especially in the commercial vehicle and passenger vehicle segments across key markets like the US and EU. Emerging consumer trends and mobility shifts, a dynamic global business environment, and sustainability imperatives present a unique opportunity for the Indian tyre industry to transform itself and drive sustainable growth through 2047. Innovating at speed for global markets through advanced material engineering, finding sustainable alternatives for natural rubber, and addressing sustainability imperatives throughout the value chain will be key to unlocking growth potential for the industry. Additionally, brand strengthening in export markets and investing in digital technologies across the value chain will be essential to drive productivity and a sustained global competitive advantage.”

Arun Mammen, Chairman, Automotive Tyre Manufacturers’ Association (ATMA), said, “The Indian Tyre Industry stands at the cusp of a transformational journey, driven by rapid economic growth, evolving mobility trends, and an expanding global footprint. The findings of the ATMA-PwC report underscore the industry’s immense growth potential, with revenue projected to grow 12-fold by 2047. This growth will be fueled by a shift towards premiumization, sustainability-led innovation, and a strong focus on technology and exports. As we move towards ‘Viksit Bharat 2047,’ the Tyre Industry is poised to play a pivotal role in enabling India’s automotive ambitions to build a resilient and future-ready sector.”

PwC India has proposed a CHARGE framework, which is a strategic approach designed to help the tyre industry achieve its 2047 vision by focusing on six levers: Customer relevance, High-quality standards, Adaptability, Resilience, resource efficiency and sustainability, Growth through innovation, and Empowering alliances and partnerships. This framework emphasises offering customer-centric value propositions, enhancing agility in responding to market trends, adopting futuristic technologies to drive continuous quality improvement, cost competitiveness and operational efficiency improvement, driving cutting edge and rapid global innovation, and forging strategic partnerships/ alliances to deliver on industry growth aspirations.

Sanjay Dawar, Partner and Leader – One Consulting, PwC India said, “The Indian tyre industry is at an inflection point, with the potential to create significant economic value and strengthen India’s global competitiveness. Achieving this twelve-fold revenue growth will require a holistic approach — one that brings together innovation, sustainability, digital transformation, and strong partnerships across the ecosystem. At PwC, we are committed to working alongside industry stakeholders to co-create strategies that can accelerate momentum, build resilience, and help realise the Viksit Bharat 2047 vision.”

Key highlights:

1. Rising economic activity from infrastructure spend and strong domestic consumption will drive OEM and replacement tyre revenue by ~10% CAGR till FY47. Robust passenger vehicle (PV) and two- wheeler (2W) sales led by improving per capita income, rising commercial vehicle CV sales led by strong infrastructure spending and consumption demand is expected to drive OEM tyre demand. Increased people mobility and freight availability is expected to support replacement tyre demand. Domestic natural rubber availability and disruptive mobility options like vertical take-off and landing (VTOL) are among key factors posing challenges for growth of domestic tyre demand.
2. The export market for Indian tyres is set to expand significantly by FY47, with targeted interventions enhancing India’s export market position. Adopting export centric growth strategies supported by market and use case specific innovations, improved market access through newer Free trade agreements, improved cost competitiveness and brand positioning especially in PV and CV tyre segments will be among key factors aiding acceleration of exports. Ensuring sustained and cost competitive availability of natural rubber, dynamic regulatory environment, non-tariff barriers will be among key challenges for growth of exports.
3. Exponential adoption of professional tyre management services among fleet operators will drive the servitization market through FY47. Increased recognition of importance of managing tyre health, end customer demand for TPMS ready fleets etc is likely to drive demand for services like professional periodic tyre management, Tyre advisory, optimal fleet management solutions. Tyre companies will need to find economically viable solution to scale and manoeuvre data security and regulatory issue to reach servitization potential.

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Bengaluru, May 20, 2025: JK Tyre & Industries Ltd., a leading tyre manufacturer in the Indian Tyre Industry, today announced its audited financial results for the fourth quarter and financial year ended March 31, 2025. Demonstrating its commitment to value creation, the Board of Directors has recommended a dividend of Rs.3 per equity share i.e. 150% for the Financial Year 2025.

Commenting on the results, Dr. Raghupati Singhania, Chairman & Managing Director (CMD) said:  despite a challenging and uncertain global economic landscape, JK Tyre delivered a promising performance in FY2025, gaining significant momentum in the fourth quarter. In the domestic market, JK Tyre recorded a healthy uptick in both replacement and OEM segments compared to the same quarter last year. This growth reflects not only the Company’s robust brand equity and deep market reach but also the positive macroeconomic environment and growing automotive demand.

Exports grew by 4% quarter-on-quarter, underscoring the Company’s strong international presence and competitive product offerings.

Consolidated EBITDA for Q4 stood at Rs. 384 crores, up 15% on QoQ basis, driven by higher volumes and improved operational efficiencies, even as raw material costs remained high. Profit Before Tax (PBT) surged to Rs. 144 crores, a jump of 79% QoQ, highlighting the Company’s sharp execution and cost control.

JK Tyre’s subsidiary companies—Cavendish Industries Ltd. (CIL) and JK Tornel, Mexico—continued to make strong contributions to the Company’s overall revenues and profitability, reinforcing JK Tyre’s integrated global strategy and diversified footprint.

The Company’s ongoing push toward premiumisation is yielding positive results. Premium products such as Levitas Ultra, Smart Tyre, Ranger Series, and Puncture Guard tyres in the Passenger Vehicle segment, along with the XF, XM, and XD series in the Commercial segment, are witnessing increasing market preference, strengthening JK Tyre’s position in the value-added product space.

Dr. Raghupati Singhania, Chairman & Managing Director, added,

“JK Tyre has displayed exceptional resilience and strategic clarity through FY2025. We are entering FY2026 with renewed confidence, backed by a robust demand outlook across all segments. The Government’s accelerated focus on infrastructure, a strong pipeline of new vehicle launches, potential easing of interest rates, and an expected normal monsoon position us well for sustained growth.”

JK Tyre continues to lead with purpose. The Company has been awarded the prestigious ISO 20400 certification by the British Standards Institution (BSI) for sustainable procurement practices across its raw material supply chain—reaffirming its vision of becoming a Green & Trusted Mobility Partner.

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