Pirelli and Balkrishna Industries Limited (BKT) have signed a strategic agreement to produce up to 800,000 Pirelli-branded premium car tyres in India by 2030. The agreement will allow Pirelli to expand its presence in the Indian passenger car tyre market, while supporting BKT’s entry into the segment.
Under the first phase, BKT will manufacture the tyres at one of its newly constructed plants equipped with advanced production technology. The products will be made to Pirelli’s specified technological and quality standards under an offtake arrangement. The agreement also provides a framework for a possible second phase, subject to certain conditions. This could involve the formation of a 50:50 joint venture and the construction of a dedicated plant for high-value car tyres under both the Pirelli and BKT brands. The proposed facility would serve India and selected international markets.
The companies cited India’s expanding automotive market and growing demand for premium tyres as key factors behind the partnership. Car registrations in India are estimated to grow by 5% to 7% annually between 2025 and 2030, while the premium car tyre market is expected to expand substantially over the same period.
Pirelli currently has a commercial presence in India, and the agreement provides a route to build a stronger position in a market where demand for high-value tyres is increasing. BKT, which has traditionally focused on off-highway tyres, expects the arrangement to support its expansion into passenger car tyres and create opportunities in domestic and overseas markets.
Marco Tronchetti Provera, Executive Chairman of Pirelli, said India’s growing automotive market and expanding industrial capabilities made it an important market for the company. He described BKT as an established industrial partner with a strong presence in India and international markets.
Pirelli Chief Executive Officer Andrea Casaluci said the partnership combines BKT’s manufacturing capabilities and market knowledge with Pirelli’s technology and premium positioning. BKT Chairman and Managing Director Arvind Poddar said the agreement brings together complementary strengths, while Joint Managing Director Rajiv Poddar said the partnership recognises BKT’s manufacturing expertise and provides a basis for serving customers in India and overseas.
Founded in Milan in 1872, Pirelli is one of the world’s leading tyre manufacturers and focuses exclusively on the consumer tyre market, with products for cars, motorcycles and bicycles. The company operates in the high-value, premium and prestige segments, with 18 manufacturing plants across 12 countries, a sales network spanning more than 160 countries and around 31,000 employees. Pirelli reported revenue of €6.8 billion in 2025.
The company invested 5.6% of its 2025 high-value segment revenue in research and development. Its technologies include Cyber™ Tyre, a system that collects data through sensors embedded in tyres and transmits it in real time to vehicle electronics to support safety, vehicle efficiency and road infrastructure monitoring.
Pirelli also produces tyres using FSC-certified natural rubber and rayon. Its sustainability performance is reflected in its inclusion in the Dow Jones Best-in-Class World and Europe indices.
The company has been involved in motorsports since 1907 and participates in more than 350 competitions. It has served as the exclusive Global Tyre Partner of Formula One™ since 2011, under a contract running until 2028. Its activities in design and culture include the Pirelli Calendar, published since 1963, Pirelli Design, the Pirelli HangarBicocca contemporary art space and Fondazione Pirelli, which preserves the company’s history and heritage.
Established in 1987 and headquartered in Mumbai, Balkrishna Industries Limited (BKT) is an Indian multinational tyre manufacturer specialising in off-highway applications. Its portfolio includes more than 3,600 products for agriculture, industry, construction, mining, earthmoving and material handling. The company serves customers in over 160 countries and also manufactures rubber tracks for agricultural and industrial applications.
BKT has announced plans to enter India’s two-wheeler, passenger car and commercial vehicle tyre markets. Its manufacturing operations are supported by in-house carbon black production and research and development centres focused on product design, performance and application-specific requirements.
The company continues to invest in manufacturing capabilities, product development and technology to expand its presence across markets and applications. Its focus includes developing tyres for changing customer requirements while improving operational efficiency and incorporating sustainability into its business practices.
