Japanese tire maker Yokohama is investing in local production in India. This business model is sustainable and competitive in India,” a senior company official said. Yokohama Rubber has started its operations in India through wholly owned subsidiaries. A new plant will be set up in Visakhapatnam in addition to the existing plant in Bahadurgarh, Haryana.

In an interview with PTI, Singh, Managing Director and CEO of Yokohama India, said that the company produces up to 18-inch diameter tires in China and will be expanding its capacity to accommodate tires with a diameter of 22 inches Sizes of tires to meet the demand. larger tire size.

He added, “We still import some high-quality tires from our overseas manufacturing base, such as blast tires commonly found on luxury vehicles, but our commitment to local production in India remains strong.”

Singh said the company supports the government’s decision to ban import of tires.

“Yokohama India supports this decision, recognizing the importance of investing in local production and recognizing the importance of Vizag The investment in the plant reflects our commitment to the Make in India initiative and helps the company to provide high quality and locally manufactured quality tires to develop the “Tire.” SUV market

He added that local production will help in reducing costs, lead times and dependence on imports, leading to a more sustainable and competitive business model.

The move towards faster and cost-effective localization, coupled with the ability to manufacture up to 22-inch tires, will enable the company to better meet the growing market demand for SUVs, MPVs and premium cars. Singer said.

In 2020, the government will restrict the import of some new pneumatic tires for cars, buses, trucks and motorcycles to boost domestic manufacturing.

Right now tire companies can only import a small number of tires into the country through limited import licenses, which was not possible a year ago in 2020.

With the new plant in Visakhapatnam, the company is expected to be better equipped to meet the requirements of original equipment manufacturers (OEMs) as well as the aftermarket. Singh said that expanding the product range and production capacity to include high-quality and heavy-duty tires is a strategic move to meet changing customer preferences and the growing demand for these tires in the Indian market.

Earlier this year, Yokohama announced that it would invest $82 million to set up a manufacturing plant in Visakhapatnam to produce passenger car tires.

With this additional investment, the annual capacity of passenger car tires in India is expected to increase to 4.5 million by 2025 from the current 2.8 million.

New production line planned for 2024 New production line Production will begin in the fourth quarter of this year with a maximum capacity of 22 one-inch passenger car tires.

The company has also invested around $154 million in its Bahadurgarh plant.

“Through strategic investments, continuous improvement and a focus on meeting customer needs, we are on track to increase capacity and expand the Indian market.”

He also noted that the company is looking to strengthen its domestic sales infrastructure in the coming years.

“We plan to expand our footprint by 20 percent this year and another 20 percent in the next two years,” Singh said

The company currently has about 28,000 550 dealers operating nationwide Yokohama Multiple Club Network (YCN) A network of stores.

Yokohama entered the Indian market in 2007.