Bridgestone India, a wholly owned subsidiary of Bridgestone Corporation of Japan, is currently preparing a 10-year strategy to accelerate market expansion in India.
“India has been identified as a growth market and a target market for Bridgestone globally,” said Rajarshi Moitra, Chief Commercial Officer, Bridgestone India. This Hindu. “We are working on a up-to-date business strategy that will set the next orbit of our development in the country. Our up-to-date 10-year India strategy will come into force in calendar 2025,” he said.
According to Mr. Moitra, India is the fastest-growing and stable market for Bridgestone, and the company has made significant investments here over the last 25-plus years, including the most recent announcement of $300 million. “The up-to-date strategy will aim to further build the market and maintain the position of a powerful player in the premium tire segment in the country. The strategy will also take into account India’s position in the global Bridgestone market, he added.
In terms of the market scenario, Mr. Moitra said, post-pandemic, Bridgestone has seen powerful growth in India. The company’s fiscal year 2023 revenues increased 9% year-over-year.
However, over the past few quarters, the industry has generally seen reduced sales volumes.
In the first quarter of CY24, the original equipment manufacturer (OEM) segment achieved “low single digits” while the aftermarket segment was flat, it said.
“In the brief term, the industry is feeling some pressure. However, the long-term outlook is quite hopeful as the macroeconomic scenario remains quite positive in terms of GDP growth and government investment,” he said.
“According to our internal estimates, we expect the industry to grow by 5-6% in the aftermarket segment and 4-5% in the OEM segment over the next five years,” he added.
“This also indicates that the auto sector will remain positive,” Moitra said. In 2023, over 46 million tires were sold (for passenger cars and SUVs), with aftermarkets and OEMs having an almost equal share of the industry. The industry is expected to sell 48 million tire units this calendar, he said.
