Michelin Expands Chennai Facility for Local Tyre Production

Michelin, the French tyre giant, plans to begin local production of passenger vehicle tyres at its Chennai facility this year. Aiming to cater to increased market demand, the company is investing Rs 564 crore and targeting variable segments, particularly SUVs, with the rollout of technologically advanced tyres.

French tyre major Michelin is gearing up to produce locally-made passenger vehicle tyres at its Chennai facility this year. This strategic move includes plans to diversify its product portfolio to meet various market segments' needs, as stated by a senior executive from the company.

Michelin, which manages 86 tyre production sites globally, is investing Rs 564 crore in its Chennai plant to enhance its manufacturing capacity. According to Pierre-Louis Dubourdeau, member of the Group Executive Committee and Executive VP Manufacturing, the company aims to deliver products tailored for the Indian market, specifically targeting larger vehicles like SUVs.

While the local manufacturing initiative is set to boost production, Michelin will still import certain advanced raw materials until a stable local sourcing is established. This expansion comes in response to India's import restrictions introduced in 2020, encouraging domestic manufacturing and reducing dependence on imports.

(With inputs from agencies.)