TVS Srichakra Ltd., leading Indian manufacturer of 2- & 3-wheeler and off-highway tyres, has announced its planned capital expenditure of Rs. 1,000 crores to ramp up manufacturing at its Madurai and Pantnagar plants. The investment, planned to be made over a three-year period will result in an increase in the company’s 2- & 3-wheeler tyre capacity by 25-30% and doubling of its off- highway tyre capacity from the current levels. The investment is planned to be funded by a mix of debt and internal accruals.
The investment outlay is also expected to significantly increase TVS Srichakra’s capacities and technological capabilities in the off-highway tyre segment, with a clear focus on global markets.
Speaking on the investment plan, S. Ravichandran, Director, TVS Srichakra Ltd., said: “With a wide distribution network in India, growing international presence and building state-of-the-art capabilities in R&D and product development, we are further strengthening our manufacturing capabilities to cater to the growing demands in India and abroad. We believe that this capital outlay will enable TVS Eurogrip to further its growth aspirations and help strengthen its partnerships with vehicle manufacturers and create new benchmarks in the replacement and global markets. This investment reflects our fullest confidence in India’s recovery and its prospects in the medium to long-term and is our contribution to Atmanirbhar Bharat.”
TVS Srichakra is India’s leading 2- & 3-wheeler tyre manufacturer. The company supplies tyres to most 2- and 3-wheeler manufacturers that operate in India, besides holding a significant presence in the domestic after market. The company is also a leading exporter of 2- & 3-wheeler tyres. The expansion program being undertaken will focus on setting up additional capacities in this space to cater to growing demand across its customer base – both domestically and globally. Included in this investment, is a plan to enhance capacities in the company’s pioneering range of radial tyres and other premium products.