Michelin is betting big on India as it looks to make the country its most important market in the next decade. Powering this ambition is a newly inaugurated passenger vehicle tire plant near Chennai and a growing technology development hub in Pune.
The passenger car tire facility marks Michelin’s first such plant in India and lifts the company’s total annual production capacity to 54,000 tons from 30,000 tons last year. The expansion, involving a Rs. 686 crore investment, comes after Michelin spent over a decade manufacturing truck and bus tires in the country. The company expects the new plant to hit peak output within a year and is considering further expansion next year.
The new plant will manufacture tires ranging from 16 to 22 inches, catering to India’s surging SUV and premium car segment. According to Shantanu Deshpande, Managing Director of Michelin India, the market for tires sized 16 inches and above stands at 10–12 million units today and could climb to 17 million in the next two to three years. He emphasized that the new range is also ready for electric vehicles.
Michelin’s locally produced portfolio will include the LTX Trail ST, Pilot Sport 4 SUV, Pilot Sport 5, and Primacy 5. The company will initially enter the passenger tire space through the aftermarket, focusing on durability, safety, and comfort to build customer confidence. To strengthen its pitch, Michelin has invested in a dedicated retail network of 75 Michelin Tires & Service Stores, where staff are trained to highlight the brand’s competitive advantages. Earlier this year, it also introduced its first ‘Experience Store’ in Nashik.
On the commercial vehicle side, Michelin serves both OEMs and the aftermarket. Its clients in India include Tata Motors, Ashok Leyland, Scania, Volvo, and Bharat Benz. The company produces about 38 tire models for trucks, buses, and the defense sector. “We propose a product that takes you from A to B with safety, with reliability, and allows you to reduce fuel consumption by 6–10%,” said Silva, a Michelin executive.
Sustainability remains central to Michelin’s India strategy. Florent Chaussade, Executive Director of Michelin India, noted that tires made locally already use 45% recycled materials. The company aims to raise this to 50% by 2030 and achieve fully sustainable tires by 2050. He also pointed out that the Chennai plant produced India’s first 4-star rated tire in 2022.
Beyond manufacturing, Michelin is leveraging India as a global technology hub. Its technical center in Pune employs about 2,500 engineers, making it the company’s largest outside France. The center also serves as Michelin’s global Center of Excellence for artificial intelligence in tire applications, with around 100 proof-of-concept AI projects currently under testing.
For its commercial vehicle operations, Michelin has already invested Rs. 2,800 crores since setting up the plant in 2014. With new capacity for passenger tires, an expanding retail footprint, and a growing role in global technology development, the company is positioning India as a cornerstone of its future growth strategy.
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