Trelleborg invests in India for production of tires for two-wheeled vehicles
Trelleborg has, through its Trelleborg Wheel Systems business area, decided to invest in a production facility in India for the manufacture of tires for two-wheeled motor vehicles, thereby creating a platform for global growth and increased production capacity. The investment forms part of Trelleborg’s strategy to strengthen its positions in attractive market segments.
Trelleborg’s existing manufacture of tires for two-wheeled motor vehicles is concentrated in Europe. Products include tires for selected niches, such as enduro and motocross, as well as scooters, mopeds and motorcycles. This investment will enable Trelleborg to continue to grow in Europe but also in regions such as North America and selected parts of Asia.
The investment takes the form of a joint venture whereby Trelleborg and Yogesh Agencies & Investments Private Limited, owned by the entrepreneur family Mahansaria, have signed an agreement to form a joint venture to manufacture tires for two-wheeled motor vehicles. The members of the Mahansaria family are highly reputed entrepreneurs and business leaders in the tire industry and known by Trelleborg for many years. The joint venture will establish a production site in in Western India. Tire deliveries are expected to start at the end of 2020. Trelleborg will own 24 percent of the joint venture and will continue to be responsible for the development and sales of Mitas tires as well as retaining ownership of the Mitas brand. In India and the other SAARC countries, except Sri Lanka, the Mahansaria family will be responsible for the sales of Mitas tires for two-wheeled motorcycles.
“The investment enables us to continue to take our motorcycle tire operations to a new level. We believe this particular expansion is best accomplished together with a partner and we are very happy that we can do this with the respected Mahansaria family. Trelleborg already holds a strong position in this niche segment but the investment will increase our production capacity, strengthen our offering and enable us to act more globally,” says Paolo Pompei, President of the Trelleborg Wheel Systems business area.
For further information, please contact:
Media: Vice President Media Relations Karin Larsson, 46 (0)410 67015, 46 (0)733 747015, karin.larsson@trelleborg.com
Investors/analysts: Vice President IR Christofer Sjögren, 46 (0)410 67068, 46 (0)708 665140, christofer.sjogren@trelleborg.com
Trelleborg is a world leader in engineered polymer solutions that seal, damp and protect critical applications in demanding environments. Its innovative solutions accelerate performance for customers in a sustainable way. The Trelleborg Group has annual sales of about SEK 32 billion and operations in about 50 countries. The Group comprises five business areas: Trelleborg Coated Systems, Trelleborg Industrial Solutions, Trelleborg Offshore & Construction, Trelleborg Sealing Solutions and Trelleborg Wheel Systems. The Trelleborg share has been listed on the Stock Exchange since 1964 and is listed on Nasdaq Stockholm, Large Cap.
www.trelleborg.com