Italian tyre maker Pirelli has teamed up with India’s Balkrishna Industries (BKT) to manufacture up to 800,000 Pirelli-branded premium passenger car tyres in India by 2030.
The arrangement will initially operate as an off-take agreement.
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BKT will produce the tyres at one of its newly built plants, following technology and quality specifications set by Pirelli.
The proposed plan covers production of both Pirelli- and BKT-branded tyres at the site, for sale in India and international markets.
BKT chairman and managing director Arvind Poddar said: “This partnership brings together complementary strengths to capture the opportunities of a growing market while creating value for both companies.”
Pirelli has commercial operations in India but no local manufacturing. The agreement is intended to support its position in the country’s high-value tyre segment.
The companies may subsequently establish a 50:50 joint venture, subject to certain conditions, to develop a dedicated Indian facility for high-value passenger car tyres.
No further details have been disclosed.
BKT has historically concentrated on off-highway tyres and has recently announced plans to enter India’s two-wheeler, passenger car, and commercial vehicle tyre markets.
The partnership supports its passenger car tyre entry and is expected to create opportunities in domestic and export markets.
Pirelli said Indian car registrations are estimated to grow by 5–7% annually between 2025 and 2030.
During the same period, the premium passenger car tyre market is projected to expand by almost five times.
Pirelli CEO Andrea Casaluci added: “We are confident that the collaboration between BKT, with its industrial excellence and knowledge of the market, and Pirelli, bringing innovative technologies and high-end positioning, will not only open new opportunities for both groups but will also contribute to the growing premiumization of the Indian tyre market.”
Last month, Pirelli’s board approved a multi-year investment plan of about €1bn ($1.14bn) to expand its tyre manufacturing site in Rome, Georgia, in the US.
