India Tyre Makers Launch Attack on EU Market
NEW DEHLI, India – India (and Bangladesh) bicycle tyre manufacturers are currently spending millions is adding production capacity, or they are buying all the machinery and moulds of companies that stopped making bicycle tyres in Europe. With rising prices (and lead times) for Chinese made tyres, India makers
NEW DELHI, India – India (and Bangladesh) bicycle tyre manufacturers are currently spending millions is adding production capacity, or they are buying all the machinery and moulds of companies that stopped making bicycle tyres in Europe.
With rising prices (and lead times) for Chinese made tyres, India makers like Ralson (India) Ltd, Meghna Rubber Industries Ltd., Speedways Tyre Ltd. and Poddar Tyres are targeting stronger than ever before the EU tyre market.
Bike Europe’s May edition that features a special report on tyres, presents all the details on the multi-million investment by these manufacturers. Next to an increase in capacity, these investments are also focused on upgrading their production standards to meet the requirements of the European market.
Ralson (India) Ltd, India’s largest bicycle tyre/tube making company with an annual production of 35 million bicycle tyres and 45 million tubes, is increasing the capacity of its huge main facility at Ludhiana by 20%.
Poddar Tyres is also building up production capacity and Speedways Tyres is bringing in bicycle tyre making equipment from Poland. The Jalandhar, Punjab-based tyre maker has bought most of the machinery and moulds from Debica/Goodyear Poland. The company manufactures 6 million bicycle tyres and 22 million tubes annually. And will not stop there because Speedways Tyres is investing another US$ 2.5 million in ongoing expansion which will bring its capacity to 10,000 tyres and 20,000 tubes per day.
Not from India but from Bangladesh, Meghna Group bicycle tyre & tube subsidiary, Meghna Rubber Industries Ltd. is also ramping up its manufacturing capacity. The company is importing machinery from Taiwan and is investing US$ 1.2 million in production facilities.
Meghna Rubber Industries Ltd sources its rubber locally where it claims that price is always an advantage. “Rubber is cheaper in Bangladesh compared to neighbouring countries – India & Sri Lanka. Therefore, it is makes good business sense to manufacture in Bangladesh and export to the international market.” The new machines will arrive by July 2008. Currently, Meghna is making 12,000 tyres and 4,000 tubes per day.