JK Tyre invests over ₹1,000 crore to augment Banmore unit’s capacity to 10.5 million PCR tyres a year
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JK Tyre & Industries Ltd has commissioned the Phase III expansion of its Banmore manufacturing facility in Madhya Pradesh, taking annual passenger car radial tyre capacity at the plant to about 10.5 million units as part of a multi-phase investment of over ₹1,000 crore.
With the latest expansion, the Banmore facility is now capable of producing around 30,000 passenger car radial tyres per day. The capacity addition strengthens JK Tyre’s position in the domestic passenger vehicle segment at a time when demand from original equipment manufacturers (OEMs) and the replacement market continues to remain steady.
Plant expansion enhancing tyremakers’ output
The Banmore plant is a critical component of JK Tyre’s passenger car radial portfolio and contributes to the company’s overall passenger car tyre capacity of nearly 16 million units per year in India. The company said the investment is aimed at modernising manufacturing infrastructure and scaling output to meet requirements from OEM customers as well as aftermarket and export markets.
The Phase III expansion was inaugurated in the presence of senior executives from Maruti Suzuki India Ltd, JK Tyre’s largest OEM customer in the passenger vehicle segment. Industry analysts note that proximity to large automotive customers and established supply relationships help tyre makers improve supply-chain efficiency and manage logistics costs.
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K Tyre said the Banmore facility has been upgraded with modern manufacturing systems and energy-efficient processes as part of its broader focus on productivity improvements and cost optimisation amid volatile raw material and freight costs.
Manufacturing footprint and competitive landscape
Beyond manufacturing output, the Banmore plant supports direct and indirect employment in the Gwalior–Chambal region and has emerged as a key industrial hub for the company’s passenger car radial operations, according to the company.
JK Tyre operates nine manufacturing facilities in India and two in Mexico, with a combined global production capacity of about 35 million tyres annually across categories. As competition intensifies in India’s tyre industry, capacity additions are expected to remain measured, with manufacturers closely tracking demand trends and margin pressures in both domestic and overseas markets.