French tyre major Michelin is set to roll out locally produced passenger vehicle tyres from its Chennai facility this year, with plans to expand its product portfolio to cater to various segments. The company is investing Rs 564 crore to establish manufacturing capacity for these tyres, marking a significant step towards localisation.

"We want to bring a product that the Indian market needs. That's our first commitment," Member of the Group Executive Committee and Executive VP Manufacturing,  Pierre-Louis Dubourdeau said. Initially, the focus will be on larger vehicles, particularly SUVs, allowing Michelin to showcase its advanced technology.

With the first tyre expected this year, the company will progressively expand its portfolio while adapting products to Indian road conditions. Michelin aims to serve market segments that value premium quality, particularly in higher-seat-size SUVs. While some tyres will still be imported due to technical constraints, the company is working towards catering to a broader customer base in India.

The Chennai-based manufacturing unit is expected to help Michelin scale up operations in India, which have been constrained since 2020 due to government-imposed import restrictions on certain pneumatic tyres. The company currently sells premium, performance-oriented passenger vehicle tyres in limited quantities.