The Oragadam-Sriperumbudur corridor in Tamil Nadu has become the beating heart of India’s tyre industry. Here’s an in-depth look at what sets this region apart—and how it connects to the global tyre landscape.

Regional Strengths

  • Significant Production Impact
    Oragadam-Sriperumbudur produces nearly 30% of India’s annual tyre output, amounting to about 3 million tonnes each year.
  • Large-scale Investment
    The cluster has attracted investments exceeding ₹15,000 crore from major tyre manufacturers, indicating sustained confidence in the region’s industrial ecosystem.
  • Home to Industry Leaders
    Prominent companies such as Apollo Tyres, CEAT, and JK Tyre have established extensive manufacturing facilities here, producing tyres for a wide variety of vehicles—from passenger cars and trucks to two-wheelers.
  • Strategic Location and Infrastructure
    Proximity to Chennai’s automotive hub and three key ports (Chennai, Kattupalli, Kamarajar) offers logistical efficiency for both domestic distribution and exports.
  • Robust Supply Chain
    Manufacturers enjoy ready access to raw materials and a strong network of supporting industries, ensuring smooth operations and reduced costs.
  • Support from the Automotive Sector
    Leading auto makers like Hyundai and Daimler have a significant presence in the region and source a substantial share of their tyre requirements locally.
  • Government and Workforce
    Tamil Nadu’s business-friendly environment, skilled workforce, and progressive policy frameworks are crucial contributors to the cluster’s success.
  • Planned Future Growth
    Major players—including CEAT and Apollo—continue to pour in new investments, pointing towards ongoing capacity expansions and technology upgrades.

India’s Role in the Global Tyre Industry

India is one of the largest tyre producers in the world, manufacturing about 3 million tonnes annually. Around 15% of this output—roughly 450,000 tonnes—is exported, with the rest used domestically.

Globally, the tyre industry is valued at over $210 billion as of 2025, with total production volumes estimated in the range of 20-22 million tonnes per year. India’s annual production of 3 million tonnes positions the country at approximately 14% of global tyre production by volume. This makes India a major player in the global market, trailing only behind established leaders like China, the United States, and several European and Japanese manufacturers.

The Competitive Edge

  • Indian Tyre Giants on the World Stage:
    Major Indian brands such as Apollo, CEAT, MRF, and JK Tyre are steadily expanding their presence globally, leveraging manufacturing strengths and strong supply alliances with OEMs and replacement markets.
  • Policy and Port Access:
    The region’s access to high-quality infrastructure and proactive government support continues to make it a magnet for new investments and export-oriented manufacturing.

Conclusion

The Oragadam-Sriperumbudur region isn’t just crucial for Tamil Nadu—it is a linchpin for India’s role in the global tyre industry. By accounting for nearly a third of India’s output and enabling direct links to the world’s automotive supply chain, this cluster is cementing India’s reputation as a world-class tyre manufacturing hub. With rising investments, a skilled workforce, and strategic export advantages, the future for both the region and India’s tyre industry looks exceptionally promising.


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