Japanese tyre maker Bridgestone Corporation today said it is investing Rs 170 crore at its factory in Indore to manufacture truck and bus radial tyres by May next year.
The company said it is witnessing increased demand for truck and bus radial tyres (TBRs) in India which has prompted it to start local manufacturing, instead of importing in small quantities from Japan.
"Currently, we are importing TBRs from Japan and enjoy about five per cent share. The plan is to start manufacturing TBRs at the Indore facility by May next year," Bridgestone India Managing Director Hiromi Tanigawa told PTI.
He said the investment of Rs 170 crore is being made for setting up a new line at the existing facility that currently manufactures passenger car tyres.
The Indore facility produces about 15,000 passenger car tyres per day and the new line for TBRs will have a capacity to make 400 tyres per day when it becomes fully operational by 2012.
The additional investment is over and above the Rs 2,600 crore investment that the company has earmarked to set up a second production facility in India near Pune to make passenger car, truck and bus tyres.
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"The new facility at Chakan near Pune is likely to be operational by 2013," Bridgestone India Director, Sales and Marketing, H Gonzalez Mori said.
The Pune facility will have a total capacity to make 10,000 passenger car tyres and 3,000 TBRs per day by 2020.