Maxxis Tyres enters India; eyes 15% market share in five years
Maxxis Rubber India, a subsidiary of Maxxis Group, has inaugurated its first manufacturing facility in Sanand, Gujarat, India. Gujarat Chief Minister Vijay Rupani has inaugurated the plant. Tsai-Jen Lo, Chairman, Maxxis Group, Cheng-Yao Liao, President, Maxxis India and Jia-Ciao Liou (Gary), Spokesperson, Maxxis India were present. Maxxis is a wholly owned subsidiary of Cheng Shin Rubber Ind. Co. Ltd., the largest two-wheeler tyre manufacturer and the ninth largest tyre company in the world.
The plant, spread across 106 acres, will be set up with an investment of over $400 million (Rs 26.40 billion). It is dedicated to manufacturing Two-Wheeler tyres and tubes, with a capacity of around 20,000 tyres and 40,000 tubes per day, and has an employee strength of 600. The company is targeting a market share of at least 15% of India’s tyre market within five years.
Cheng-Yao Liao, President, Maxxis India stated “That Maxxis Global is targeting to become one of the top five tyre manufacturers in the world by 2026 and the Indian market will play a vital role in our growth. We are fully committed to the government’s Make In India initiative and our intent is to Make In India for the world. We monitored the market for over two decades and then devised the strategy for entering India. The manufacturing plant in Sanand is only the first step of Maxxis’s full range appearance in the country.”
Maxxis currently serves as an OEM tyre supplier to Honda (Two-wheelers), Maruti Suzuki, Mahindra, Tata and Jeep in India. Apart from catering to the domestic tyre market, exports will be done to South Asia, and will further expand to Africa and Middle East countries in the coming years.
The production from the first phase of the facility began in August 2017 and Maxxis has been selected as the original equipment tyre supplier to Honda Activa, since 2015. The company plans to extend the workforce to 2000 in five years.