TVS Srichakra Ltd, maker of the Eurogrip brand of tyres, has announced a 40–45% expansion of its Rudrapur manufacturing Unit-2 with a capital investment of ₹210 crore during the first half of FY28 to meet growing demand for the company’s two- and three-wheeler tyres.
Currently, the company produces approximately 92–95 lakh tyres per annum, accounting for 80–85% capacity utilisation. With the proposed expansion, production capacity at Unit-2 is expected to increase by 40–45%, the leading tyre maker said in a regulatory filing.
The capacity expansion is likely to be completed during the first half of FY28. The investment will be funded through internal accruals and debt.
The expansion is being driven by strong demand for two- and three-wheeler tyres in both domestic and international markets, as well as off-highway tyres for exports, including new radial and premium products.
The company’s total production capacity across its Madurai and Rudrapur plants has grown to over three million tyres per month.