Jax tyre plans unveiled to boost growth in India
Jax, a tyre maker based in Bengaluru, plans to build a major tyre plant in the country.
The plan is part of a plan to boost India’s growth in manufacturing, which has lagged behind China.
The company, which recently set up a factory in Bengal, said the new plant would add about 200,000 jobs.
The investment would also support a manufacturing strategy that has seen the company invest about Rs 5,000 crore in manufacturing capacity, mainly in the past three years.
Jax will build a new plant in Bengal to manufacture its tyres.
It will also invest in an assembly line in the state of Kerala and set up two factories in the US and Europe.
It is expected to create more than 1,000 new jobs in the coming years, said a statement by the company.
The firm said it expects to create about 200 jobs for every 1,500 employees by 2020, when it is expected that its tyre plants will be able to manufacture tyres with a combined capacity of about 3.8 million metric tonnes.
The statement said the firm will be expanding its factory in the city of Kolkata.
The plant will produce tyre products for brands such as Honda, Toyota and Hyundai.
JAX, which also owns the tyre tyre company Tyre, said it plans to invest Rs 1,700 crore in the factory over the next two years, in order to further increase production capacity.
Tyre is currently producing tyres in three plant in Kolkatti, in Kerala and in Pune, in Maharashtra.
Tyres are made in factories in India and China.
Jability tyre maker, Jax Industries, also plans to expand production capacity in India.
Jable is the world’s second-largest tyre tyre maker.
Jabil Industries, a joint venture between Jax and Tyre and based in Chennai, has a manufacturing capacity of more than 4 million metric tons.
It was founded in 2001 and is one of India’s biggest tyre producers.
Jabl also said it would invest around Rs 2,200 crore in its factory.
In October, it announced plans to open an assembly plant in Gujarat, where the company currently has its manufacturing facilities.
The announcement came as India’s manufacturing sector was in turmoil following the global financial crisis, with a slew of companies closing factories.