Pirelli and BKT Plan to Produce 800,000 Premium Car Tyres in India by 2030
Pirelli and Balkrishna Industries Limited (BKT) have signed a strategic agreement to expand their presence in India‘s passenger car tyre market. The agreement targets production of up to 800,000 Pirelli-branded tyres in India by 2030.
The partnership will begin with a production agreement, under which BKT will manufacture the tyres at one of its newly constructed plants. The facility will use advanced production technology and follow Pirelli’s technical and quality standards.
The agreement also outlines a possible second phase involving a 50:50 joint venture between the two companies. Subject to certain conditions, the partners plan to establish a dedicated plant producing high-value car tyres under both the Pirelli and BKT brands.
The proposed facility would serve the Indian market and other international markets.
Targeting India’s Growing Tyre Market
India is becoming an increasingly important market for the automotive industry. Car registrations are estimated to grow by 5% to 7% annually between 2025 and 2030, while the country’s premium car tyre market is projected to grow almost fivefold.
The partnership aims to capitalise on this demand by combining Pirelli’s premium tyre technology with BKT’s local manufacturing capabilities and established industrial presence.
Pirelli currently has a commercial presence in India but does not have local production operations. The agreement would give the Italian tyre manufacturer a production pathway in a market where demand for high-value tyres is expected to increase.
For BKT, the partnership represents a move into the passenger car tyre segment. The company expects the agreement to create opportunities in India and overseas markets.
Potential Expansion Through Joint Venture
The proposed joint venture would mark a further stage in the companies’ cooperation. However, its establishment depends on specific conditions being met. The announcement does not confirm a final construction timeline for the dedicated plant.
The initial production arrangement will allow BKT to manufacture Pirelli-branded tyres according to Pirelli’s requirements. The planned joint venture could later expand production to include both companies’ brands.
The agreement reflects both companies’ plans to pursue growth in India’s premium tyre segment while combining international tyre technology with local industrial expertise.
