Michelin Keen to Enter the OEM Space in India - Tire Review Magazine

Michelin Keen to Enter the OEM Space in India

(Akron/Tire Review – The Hindu) Global tiremaker Groupe Michelin is keen to enter the OEM (original equipment manufacturer) space of the Indian passenger car and truck markets.

Indicating this in an interaction with The Hindu here on Sunday, Herve Dub, CEO of Michelin India Tyres Ltd. said, "we are in discussions with some OEMs. There will be some good news on this front in 12 months.”

Michelin had strong links with OEMs globally. This would help it to forge relationships in the Indian OEM space, he said. There was room for more players, though the competition in the Indian tire industry was tough.

Michelin is the OEM supplier to Volvo’s Mark II vehicles. The company, he said, had initiated discussions with some truck manufacturers to become its OEM supplier. Currently, Michelin was importing tires from its Chinese plant to service the truck and bus markets in India. For the replacement tire market for cars, the tires were sourced from its facilities in Thailand, he added.

Dub was here to inaugurate Michelin’s first Priority Partner Outlet (Lal Enterprises). Mumbai, Pune, Kochi and Coimbatore, too, have Michelin Priority Partner Outlets (MPP). "These (MPP outlets) are the first shops of the kind in India,” he said. They offered a new shopping experience, where the environment would be clean and professionals would be providing right advice and guidance. These outlets would promote Michelin’s `boutique’ products, he added.

The Indian tire field has been dominated by the `bias’ (nylon cross-ply) market, comprising close to 99% of the tire industry. Michelin, on the other hand, was a dominant player in the radial segment, he said. He cited the road conditions, overloading of trucks, poor upkeep of trucks and the structure of truck ownership among the reasons for the dominance of the Indian market by bias tires.

Dub said that Michelin’s decision on a production base in India would also have to take into account the pace of `radialization’ of the tire industry. "We need a critical volume,” he said, pointing to Michelin’s aggressive promotion of radial tires in India.

In this context, he said Michelin had only postponed and not cancelled its plan for setting up a production unit in India. Nothing had changed drastically since Michelin had made an announcement some time ago on the subject after buying out Apollo Tyres in the joint venture, he pointed out.

Following the buy out of Apollo Tyres, Michelin India Tyres Ltd. has become a fully owned outfit of the Michelin Group.

You May Also Like

How succession planning sets your shop up for success

Just like it’s smart to plan ahead before taking a road trip, your shop should be prepared to plan for the next steps.

TR-Continental-succession planning

Imagine this: you’re driving down a winding yet beautiful road – the sun is shining, music is blasting. You look down and realize you have less than a quarter of a tank of gas left…it’s time to make a decision – do you take the next exit, or test the fates and wait it out a little longer to capture more of this moment. If you wait, you may find yourself stuck in the middle of the road, with no help in sight. Just like it’s smart to plan ahead before taking a road trip, your shop should be prepared to plan for the next steps after you decide to step down. This is called succession planning – let’s talk about why it’s so important.

Apollo Tyres launches Vredestein Ultrac Pro UUHP summer tire

The Vredestein Ultrac Pro is 13% lighter than its predecessor, comes in 18- to 24 in. sizes, and caters to a diverse array of vehicles.

Yokohama Tire releases the GEOLANDAR A/T4 G018 tire

Over 50 LT-metric sizes are expected to be available by year end and more than 130 Euro-metric and LT-metric sizes are planned.

TEXA runs car diagnostic tool promotion

The promotion is active through Aug. 31.

Everything you ever wanted to know about Formula E tires

Learn how tire technology affects the highest level of all-electric racing from three different perspectives: The president of Hankook Tire North America, a tire engineer, and a Formula E driver.

Other Posts
Vogue Tyre adds two new sizes to its custom built radial lineup

New sizes include the 275/50R22 Custom Built Radial SCT2 White/Gold and the 245/40R19 Custom Built Radial White/Gold.

Hanook’s iON evo to be OE on the Porsche Taycan electric sports car

Hankook said it succeeded in increasing the iON evo’s sustainability without having to compromise tire safety and performance.

Pirelli named tire partner for the Audi RS 4 Avant 25 year edition

The anniversary edition of the sports estate car has two tire options: Pirelli P Zero Corsa and Pirelli P Zero Trofeo RS tires.

Pugh’s Tire exemplifies a tireless commitment to service over four generations

With five retail locations, the third- and fourth generations continue to grow the business the same way the founder did.