India’s tyre exports grew by 9% in FY 2024–25, reaching ₹25,051 crore, affirming the sector’s resilience amidst global trade uncertainty. The industry is now collaborating with the Rubber Board to promote natural rubber cultivation across 2 lakh hectares to meet future demands.
Kochi : Despite intense challenges including global trade policy uncertainties, the Indian tyre industry has demonstrated robust export performance during the 2024–25 financial year, said Arun Mammen, Chairman of the Automotive Tyre Manufacturers’ Association (ATMA), along with Rajiv Budhraja (Director General, ATMA) and Mohan Kurian, Chairman of Project INTORD, during a press conference. According to data released by the Ministry of Commerce, India’s tyre exports rose by 9% to ₹25,051 crore, compared to ₹23,073 crore in the previous financial year. With annual revenues nearing ₹1 lakh crore and export earnings of ₹25,000 crore, the tyre industry is one of India’s rare manufacturing sectors with a high export revenue ratio.The export growth is credited to consistent investments, strong manufacturing, and focused R&D activities. Remarkably, the industry has shown both resilience and growth in the post-COVID period. In the last 3-4 years alone, tyre manufacturers have invested around ₹27,000 crore across greenfield and brownfield projects, Arun Mammen noted. He also stated that ATMA is working with the Rubber Board to support rubber farming in Kerala and help rubber growers through strategic initiatives. According to the PwC Vision Document, India’s tyre industry is expected to grow at an 11-12% CAGR till 2047. Growing domestic demand, rising export opportunities, and ongoing technological advancements are major factors driving long-term expansion. Even with ongoing global economic uncertainties, India’s tyre sector remains resilient and increasingly self-sustained.
India currently exports tyres to over 170 countries, including a strong presence in the US, EU, Latin America, and East Asia. The United States tops the list with 17% of export value, followed by Germany (6%), Brazil (5%), UAE (4%), and France (4%). Export-wise, farm and off-the-road (OTR) tyres contribute nearly 60% of total export value. The industry is closely monitoring US tariff developments and strongly advocates fair trade practices and equal market access for all manufacturers, Mammen added. Indian tyre brands such as Apollo Tyres, CEAT, JK Tyre, and MRF were recently ranked among the world’s top 15 strongest tyre brands in a Brand Finance report—highlighting India’s growing influence in global markets. Competitive pricing, high quality, branding efforts, international certifications, and compliance with global standards are strengthening India’s tyre export prospects.
However, adequate domestic availability of natural rubber (NR) remains a critical need. Currently, about 40% of the NR required by the industry is imported due to domestic shortages, with most locally produced rubber going to domestic consumers, leaving very little for export use. To address this, the tyre industry has initiated Project INTORD in collaboration with the Ministry of Commerce and the Rubber Board. With financial support of ₹1,100 crore from four major ATMA member companies, the project aims to promote rubber cultivation across 2 lakh hectares, developing infrastructure and offering expert support in suitable regions. India is projected to require 20 lakh tonnes of natural rubber by 2030. Despite global trends showing 60% usage of synthetic rubber, India still uses 60% natural rubber in its tyres. As per the International Rubber Study Group (IRSG), India recorded a 6.15% CAGR in natural rubber usage between 2020 and 2024, underscoring the urgency to ramp up domestic production. Arun Mammen emphasized that scaling up natural rubber output is essential for the sustainable future of Indian tyre companies.
