Indian Tyre Industry
The Republic of Indian Tyre trade is AN integral a part of the motorcar Sector – It contributes to ~3% of the producing GDP of India and ~0.5% of the overall GDP directly. So, let’s perceive the dynamics of the Tyre trade in Republic of India.
Indian tyre trade has virtually doubled from ~Rs thirty,000 crores in 2010-11 to ~Rs fifty nine,500 crores in 2017-18 of that 90-95% came from the domestic markets. the highest 3 corporations – MRF, Apollo Tyres and JK Tyres have ~60% of the market share in terms of revenue. In terms of segmentation tyres are often divided in 2 ways in which – supported finish market and supported product.
Indian tyre market is clearly inclined towards the replacement phase that contributes ~70% of total revenues. Whereas in volume (tonnage) terms the replacement phase contributes ~60% indicating realizations within the after-market area unit clearly on top of OEMs (Original instrumentality Manufacturer) market
T&B tyres in Republic of India generates the key revenue i.e. fifty fifth of total revenue whereas globally it’s the PCR (Passenger automotive Radials) contribute the biggest portion of the revenue. this can be in the main attributable to terribly low penetration of traveller vehicles in Republic of India – below twenty per one,000 individuals whereas in China the amount is ~69 per one,000 individuals and 786 per one,000 individuals in United States of America. In terms of volume (tonnage) T&B contributes around ~50% of the overall volume
The demand from OEM’s is wide unfold across the phase wherever T&B contributed ~35% and PVs & 2/3 Wheeler’s contributed ~25% & ~22% severally. In term of the replacement phase the demand was additional inclined towards the T&B tyres that contributed ~61% and PVs & 2/3 Wheeler’s contributed ~14% & ~9% severally.
A simple round looking tyre is manufactured by complex assembly of more than 250 raw materials amongst which the major components include natural & synthetic rubber, nylon tire fabric, bead wire, carbon black, reinforcing non-black fillers like silica, vulcanizing agents & anti-oxidants.
The process begins with the mixing of basic rubbers with process oils, carbon black, pigments, antioxidants, accelerators and other additives, each of which contributes certain properties to the compound.
These ingredients are mixed in giant blenders called Banbury machines operating under high heat and pressure. They blend the many ingredients together into homogenized batch of black material with the consistency of gum. The mixing process is computer-controlled to assure uniformity. The compounded materials are then sent to the next stage of processing for further processing into sidewalls, treads or other parts of the tyre.
Then the task of assembling the tyre begins. The first component to go on the tyre building machine is the inner liner, a special rubber that is resistant to air and moisture penetration and takes the place of an inner tube. Next comes the body plies and belts, which are often made from polyester and steel – Plies and belts give the tyre strength while also providing flexibility. The belts are cut to the precise angle and size specified by the tyre engineer to provide the desired ride and handling characteristics.
Bronze-coated strands of steel wire, fashioned into two hoops, are implanted into the sidewall of the tyres to form the bead, which assures an airtight fit with the rim of the wheel. The strands are aligned into a ribbon coated with rubber for adhesion, then wound into loops that are then wrapped together to secure them until they are assembled with the rest of the tyre.
Radial tyres are built on one or two tyre machines. The tyre starts with a double layer of synthetic gum rubber called an inner liner that will seal in air and make the tyre tubeless.
Then, come two layers of ply fabric, the cords – two strips called apexes stiffen the area just above the bead. Next, a pair of chafer strips is added to resist the chafing from the wheel rim when mounted on a car.
The tyre building machine pre-shapes radial tyres into a form which is very close to their final dimension to check whether components are placed in proper position before the tyre goes into the mold.
Now the tyre builder adds the steel belts that resist punctures and hold the tread firmly against the road. The tread is the last part to go on the tyre and is pressed firmly together by automatic rollers. The end result is called a “green” or uncured tyre, ready for inspection and curing.
The curing press is where tyres get their final shape and tread pattern. Hot molds like giant waffle irons shape and vulcanize the tyre. The molds are engraved with the tread pattern, the sidewall markings of the manufacturer.
Tyres are cured at over 300 degrees for 12 to 25 minutes, depending on their size. As the press swings open, the tyres are ejected from their molds onto a long conveyor belt that carries them to the final finish and inspection bay. The global truck and bus tyre segment witnessed strong demand from the OEM segment. Asia observed increased sales of an estimated 26% in the segment with most of the growth coming from China (~30% Y-o-Y). The demand in North America grew by an estimated 10%, while Europe recorded a growth of 8%. Globally, replacement demand had muted growth, with most of the demand coming from North America and Europe, while Asia observed almost stagnant growth.