In a bid to expand its production capacity, Alliance Tire Group (ATG), a tyre manufacturing company based in Mumbai has announced to set up its third plant in Visakhapatnam. Owned by Yokohama Rubber Co. Ltd. of Japan since 2016, ATG has been engaged in the manufacture and sale of off-highway tyres, such as those used in agricultural and other equipment.
The upcoming plant which will be built in India’s Special Projects Zone at Atchutapuram Industrial Park, Vizag, is scheduled to come up in the first quarter of 2023. With planned capital investment totaling US$165 million, the new ATG tyre plant at Visakhapatnam is estimated to have a daily production capacity of 55 tons (rubber weight).
ATG currently has two tyre plants in India, one at the Dahej Plant in Gujarat and the Tirunelveli Plant in Tamil Nadu. These two plants produce all the three key off-highway tyre brands of ATG Alliance for agricultural machinery, Galaxy for construction & industrial machinery, and Primex for forestry machinery.
Speaking about the upcoming plant at Vizag, the director of ATG, Nitin Mantri shared, “Yokohama’s management plan- the Grand Design 2020 (GD2020) includes a commercial tyre strategy that targets off-highway tyres as a growth driver. With the increasing demand for our products in global markets, this decision comes at an opportune time.” When asked further about such a capital investment amid one of the worst recessions in history, Mantri said that they were looking for a suitable location for the third plant for almost three years now and had identified Vizag before the pandemic broke out.