Pirelli and Balkrishna Industries Ltd. (BKT) have signed a strategic agreement under which BKT will build up to 800,000 Pirelli-branded premium car tyres in India by 2030, giving the Italian tyre maker its first local production foothold in one of the world's fastest-growing car markets.
The companies announced the deal on 22 October 2026 from Milan and Mumbai. It could later lead to a 50-50 joint venture and a dedicated plant.
Phase one: BKT builds Pirelli tyres
The first phase is an off-take agreement. BKT will produce the Pirelli-branded tyres in one of its own newly built, advanced plants, to Pirelli's technology and quality standards.
Pirelli currently has only a commercial presence in India. The companies say the agreement is a significant step toward strengthening its position in a market with rising demand for High Value tyres, the segment Pirelli focuses on.
Phase two: a possible joint venture
Subject to certain conditions, a second phase would create a 50-50 joint venture and build a production plant dedicated to High Value car tyres. That plant would make both Pirelli- and BKT-branded tyres for India and other international markets.
For BKT, best known as an off-highway tyre specialist, the deal supports its move into passenger car tyres. BKT recently announced plans to enter the two-wheeler, passenger car and commercial vehicle segments in India.
Why India
The companies cite estimates that car registrations in India will grow 5% to 7% a year from 2025 to 2030, while the premium car tyre market is expected to grow almost fivefold.
India is taking an ever more central role in the evolution of the global automotive industry, thanks to the market’s growth, development of mobility and progressive strengthening of the Country’s industrial and technological competencies. The agreement with BKT, a first-class industrial partner with solid roots in India and a significant international presence, represents for Pirelli a strategic choice which will allow us to strengthen our position in a market among those with the greatest growth potential and to accompany its evolution, drawing on our competencies, innovation and positioning in the segments with the greatest value
— Marco Tronchetti Provera, Executive Chairman, Pirelli
This partnership brings together complementary strengths to capture the opportunities of a growing market while creating value for both companies
— Arvind Poddar, Chairman and Managing Director, Balkrishna Industries Ltd. (BKT)
We are confident that the collaboration between BKT, with its industrial excellence and knowledge of the market, and Pirelli, bringing innovative technologies and high-end positioning, will not only open new opportunities for both groups but will also contribute to the growing premiumization of the Indian tyre market. The outlook for the national automotive market, and especially for the partnership's premium products is very promising. And the time is right to catch that wave
— Andrea Casaluci, CEO, Pirelli
When a globally established brand such as Pirelli chooses BKT, it is a recognition of the manufacturing strength, quality and expertise we have built over decades. We are proud to bring our industrial scale to this partnership and to serve customers not only in India but also across our international markets. Pirelli’s technological leadership and BKT’s industrial capabilities provide together a strong foundation for lasting values.
— Rajiv Poddar, Joint Managing Director, Balkrishna Industries Ltd. (BKT)
About the companies
Founded in Milan in 1872, Pirelli focuses on the consumer tyre market, with 18 plants in 12 countries, about 31,000 employees and €6.8 billion in 2025 revenue. More at Pirelli corporate.
Established in 1987 and headquartered in Mumbai, BKT makes more than 3,600 off-highway tyre products sold in over 160 countries. More at BKT.
