JK Tyre bets on premiumisation, smart tyres to navigate global uncertainty

JK Tyre plans to leverage premiumisation, smart mobility solutions, manufacturing expansion and digital capabilities to address near-term geopolitical and economic uncertainties, the company said in an address to shareholders in the annual report for FY26.

The company said that India's structural growth drivers continue to provide a strong long-term opportunity for the tyre industry despite global trade volatility, currency fluctuations and input cost pressure hurdles.

"While we remain optimistic about the long-term structural opportunity for the Indian tyre industry, the economic and business outlook in the short term remains somewhat uncertain due to recent geopolitical developments. However, JK Tyre is well placed to take these challenges in its stride," said Raghupati Singhania, CMD, JK Tyre & Industries.

The tyre manufacturer said premiumisation remained a key focus area during FY26, with its domestic passenger car radial (PCR) premium product mix accounting for 30 per cent, targeting 40 per cent in the coming years.

JK Tyre has also rolled out its UX Royale Smart tyre range which has embedded sensors to enable smarter, safer and more connected mobility.

Digital, AI-led manufacturing

The company is investing significantly in AI-led manufacturing, digitalisation and productivity enhancements while expanding production capacity.

"Our structured smart factory roadmap continued through connected and intelligent stages of maturity, supported by IoT, AI/ML, dashboards and data-layer creation," said Anshuman Singhania, Managing Director, JK Tyre & Industries.

The New Delhi-based company has also increased its capacity through passenger car radial expansion at Banmore, truck and bus radial enhancement at Laksar and all-steel radial additions.

”The ramp-up of commissioned assets, along with debottlenecking, process optimisation and AI-driven productivity enhancement initiatives, helped improve throughput and responsiveness across categories,” he added.

The company added that it will continue to focus on sweating matured assets, improving product mix, leveraging premiumisation and EV-oriented portfolios, enhancing digital and manufacturing excellence, and deepening customer engagement.

"While input costs, currency movements, regulation and global trade uncertainty will require vigilance, our strategic priorities remain clear, and our capabilities are more robust than ever," he added.