JK Tyre is looking to complete its capacity expansion in its Chennai plant by mid 2015. This project has an investment of INR 1,430 crore.
Once this project is complete, JK Tyre plant in Chennai will have the capacity to produce more than double the capacity of passenger and truck tyres it produced in the last three years.
After the project is complete, the plant in Chennai will be able to produce 98 lakh passenger car tyres per year and 2.26 million truck and bus radials per year. JK Tyre currently produces 76 lakh passenger car tyres and 1.46 million bus and truck radials.
In 2012, setting up a Green Site All Radial Plant in Chennai was completed at a cost of INR 1,100 crore. This was Phase one of the Chennai project. After that, the board approved the expansion involving a cost of INR 1,430 crore.
The Chennai plant is dedicated to manufacturing passenger car radials and truck and bus radials. The plant will also help with exports once the expansion work is complete.
JK Tyre currently has a total capacity of manufacturing 20 million tyres per year, in which the Indian plant produces 14 million tyres and the Mexican plant contributing another 6 million. After the expansion, the company will be able to make 25 million tyres annually.