India tyre exports rise 16% to ₹7,700 crore in Q1 FY27, led by Europe

India’s tyre exports grew 16% year-on-year to ₹7,700 crore in Q1 FY27, according to ATMA. Europe-bound shipments rose 25% to ₹3,003 crore and accounted for nearly 40% of exports, while passenger car radial tyre export value increased 21%.

— Source publishedFri, 28 Aug, 2026, 17:58 IST·First seen Sat, 29 Aug, 2026, 05:06 IST·Source Times of India · Business

What happened

Automotive Tyre Manufacturers’ Association (ATMA) · India’s tyre exports rose 16% year-on-year to ₹7,700 crore in Q1 FY27, led by a 25% increase in Europe-bound

Key facts

  • Tyre exports rose 16% year-on-year to ₹7,700 crore in Q1 FY27
  • FY26 record tyre exports were ₹27,312 crore
  • Passenger Car Radial tyre export value increased 21%
  • Exports to Europe rose 25% to ₹3,003 crore
  • Europe accounted for nearly 40% of total tyre exports
  • The US contributed 16% of total exports
  • Indian tyres are exported to more than 170 countries

Why this matters

The Europe-led export surge strengthens the case for distribution alliances, local warehousing or capability acquisitions that deepen access to European replacement-tyre channels.

What to watch

  • Monthly Europe-bound tyre shipment values and whether growth remains above total export growth.
  • EU regulatory implementation timelines for deforestation traceability, carbon reporting, tyre labelling and recycling requirements.
  • Natural-rubber prices, Brent crude, synthetic-rubber costs and India-Europe container freight rates.
  • EUR/INR movement and exporter hedging disclosures.
  • European auto registrations, replacement-tyre sell-through and distributor inventory levels.
  • Any EU anti-dumping, safeguard or quality-compliance action involving Indian tyre imports.
  • Capacity additions, utilisation rates and margin commentary from major Indian tyre manufacturers.
  • Increase European distributor inventory, local warehousing and OEM/aftermarket account coverage in high-growth passenger-car radial categories.
  • Prioritise EU compliance investments covering sustainability reporting, deforestation-linked rubber traceability, labelling, testing and carbon documentation.
  • Lock in natural-rubber and freight exposure where feasible; revise export contracts to include input-cost and currency pass-through mechanisms.
  • Allocate incremental capacity toward higher-value radial and premium replacement tyres rather than commodity bias-ply exports.
  • Use stronger export volumes to negotiate better procurement terms and expand domestic retailer incentives for premium and EV-oriented tyre lines.