JK Tyre is planning to invest Rs. 14 billion (€155 million) in capacity expansion over the next two years, the Indian tire maker has confirmed to ERJ. As part of the move, the New Delhi-based manufacturer is aiming to invest Rs. 10 billion in expanding production capacity for passenger car tires (PCR) by 16 per cent, said JK Tyre in a June 7 statement.

Another Rs. 4 billion will be invested in ramping up the output of off-road and radial truck & bus (TBR) tire production, with marginal increases in capacity, the tire maker added. JK Tyre currently has a total capacity to produce 34 million units of tires per year, which includes 15 million units of PCR and 4 million units of TBR tires.

The remaining capacity includes truck bus bias, two and three-wheeler, off-road and speciality tires. To be completed in "the next 18-20 months" the project will be partially financed by an Rs. 5 billion fund-raising round, which was completed in January.