Tyre Industry accelerating towards USD 5 Bn Tyre Exports
Indian Tyre Industry is aiming to increase its export value to USD 5 billion+ and emerge among the top-3 global tyre hubs by 2030, said Mr Anshuman Singhania, Chairman, Automotive Tyre Manufacturers Association (ATMA). He spoke at the ATMA Annual Conclave 2024, the Tyre Industry flagship event.
Indian Tyre exports have witnessed growth at an accelerated pace and have nearly doubled in the last 4 years. Indian manufactured tyres are being exported to more than 170 countries. Major global markets such as the EU, US, Brazil, UAE and UK recognize the quality of tyres made in India, with India's tyre exports currently standing at USD 3 billion, which is over 25 per cent of industry turnover, said Mr Singhania.
Citing data from the Ministry of Commerce, Government of India, ATMA has stated that tyre exports from India have gone up from Rs 12844 crore in FY20 to Rs 23125 crore in FY23. The US is the largest market for Indian tyres accounting for nearly 25% of the total tyre exports from India.
Challenges to global trade and economy due to recessionary conditions, rising interest rates and geopolitical issues have led to a slowing of external demand. However, Tyre Industry is making concerted efforts by aligning with suppliers, government, and industry bodies to achieve this goal.
"Tyre exports can be aided by signing up Free Trade Agreements (FTAs) with significant tyre importing countries like LATAM (Colombia, Brazil, Argentina) and Africa (Nigeria, Ghana etc). We have petitioned the Government to negotiate the FTAs so as to promote export of tyres from India", said Mr Singhania.
"Strategic partnerships, market insights, and a keen understanding of international regulations have stood the industry in good stead and will help us further as we explore global opportunities. We have urged Auto OEMs to work towards increased export of vehicles from India with Indian manufactured tyres fitted on them which will further help us showcase our capabilities to potential markets, fostering global recognition. With support from the entire ecosystem, Indian Tyre companies can become a force to reckon with in the global tyre sector", added Mr Singhania.
