CEAT Expands PCR Footprint with ₹1,300 Cr Fresh Investment

CEAT Ltd. has announced plans to invest an additional ₹1,300 crore to expand passenger car radial (PCR) tyre production at its Chennai facility, taking the plant’s total investment to ₹4,800 crore—surpassing its original commitment of ₹4,000 crore.

Having already invested around ₹3,500 crore, the company is now scaling up capacity to meet rising demand in the passenger vehicle segment.

The expansion is expected to add approximately 35 lakh tyres annually, increasing total PCR production capacity from 95 lakh units to about 1.3–1.4 crore tyres, depending on the product mix. The enhanced capacity is targeted to become operational by the first half of FY28.

According to Jayasankar Kuruppal, Senior Vice President (Manufacturing), civil construction is set to begin in the coming months, with orders for key equipment already placed.

The facility, located in Kanchipuram district near Chennai, spans 63.4 acres and currently produces passenger car radial tyres, truck and bus radial (TBR) tyres, as well as tyres for two-wheelers. The expansion highlights CEAT’s ongoing efforts to strengthen its manufacturing footprint and cater to growing demand across segments.

News by Rahul Yelligetti.