Indian Tyre Industry Growth Expected to Moderate on Cost Pressures
Mumbai, May 9 -- Domestic tyre volume growth to slow to 4-6 percent in FY2025 due to a high base and subdued commercial vehicle demand.Replacement market to remain stable, supporting overall volume expansion.Tyre exports to see low single-digit growth after contracting in FY2023.High natural rubber and crude oil prices to squeeze margins by 200-300 basis points in FY2025.Investments in new capacity to be moderate due to adequate existing capacity and a modest demand forecast.Focus on debottlenecking, digitalisation, and R&D for sustainable andsmarttyres.Organised tyre retreading to grow at a CAGR of 7-9 percent on rising environmental focus and government support.
Domestic Growth to Ease
According to ICRA, India's tyre industry is expec...
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