DEG – Deutsche Investitions- und Entwicklungsgesellschaft has extended a EUR 30 million long-term loan to JK Tyre & Industries Ltd (JKTIL), part of the JK Organisation. The funding aims to support the sustainable expansion of production capacity at the company’s Madhya Pradesh facility in India.
Joachim Schumacher, a member of the DEG Management Board, highlighted DEG’s long-standing partnership with the JK Organisation and expressed enthusiasm about collaborating on projects that align with global environmental and climate goals, including significant carbon emissions reduction.
Dr Raghupati Singhania, Chairman and Managing Director of JK Tyre & Industries, explained that the EUR 30 million loan would aid the company’s Passenger Car Radial (PCR) tyre expansion project, which is estimated to cost EUR 114 million. This investment is set to strengthen JK Tyre’s position in the PCR market and support economic and social development in India. He reaffirmed the company’s commitment to sustainability, aiming to cut carbon intensity by 50% by 2030 through integrating sustainability into manufacturing and product development.
In recent years, JK Tyre has been actively advancing its sustainability initiatives. Currently, 40% of the company’s energy needs are met through self-generated green electricity, positioning it among the top three companies globally for low energy consumption. The loan will facilitate further sustainable transformation, including switching to biomass instead of coal for boilers at the expanded facility.
The company is also developing tyres made from recycled materials, which are expected to be launched soon. DEG continues to align its strategy with sustainable and economically viable transformation, offering resource efficiency assessments and other services to support companies in adopting responsible practices.
With a global presence spanning 105 countries and over 180 distributors, JK Tyre has built an extensive international footprint. The company operates 12 sustainable manufacturing facilities—nine in India and three in Mexico—which produce around 32 million tires annually.
Its extensive network includes more than 6,000 dealers and specialized brand outlets known as Steel Wheels, Truck Wheels, and Xpress Wheels. Through this wide-reaching distribution, JK Tyre exports to about 100 countries, supported by over 230 distributors worldwide, making it a major player in the global tire industry.
