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Bridgestone announces market expansion strategy to drive growth in India over the next 10 years

Bridgestone India, a wholly-owned subsidiary of Japan’s Bridgestone Corporation, is formulating a ten-year strategy to spearhead market expansion in India.

“India has been identified as a growth market and a key market for Bridgestone globally,” said Rajarshi Moitra, chief commercial officer, Bridgestone India. hinduism. “We are developing a new business strategy that will lead our next growth trajectory in the country. Our new 10-year India strategy will be implemented from 2025.

Mr Moitra said India is Bridgestone’s fastest growing and stable market and the company has made significant investments here over the past 25 years, including the recently announced investment of US$300 million. “The new strategy will aim to further establish the market and continue to be a strong player in the premium tire segment in the country. The strategy will also address Bridgestone’s global market positioning in India.

Regarding market prospects, Mr. Moitra said that Bridgestone has achieved strong growth in India after the epidemic. In 2023, the company’s revenue will increase by 9% annually.

However, sales in the industry have been generally weak over the past few quarters.

He said the original equipment manufacturer (OEM) segment’s performance was in the “low single digits” in the first quarter of 2024, while the aftermarket segment was flat.

“In the short term, the industry is facing some pressure. But the long-term outlook is quite optimistic because the macroeconomic situation is still quite optimistic in terms of GDP growth and government investment.

“Based on our internal estimates, in the long term we expect the industry to grow 5-6% in the aftermarket and 4-5% in the OEM segment over the next five years,” he added.

“It also shows that the automotive industry will continue to be optimistic,” Mr Moitra said. In 2023, more than 46 million units of tires (passenger cars and SUVs) were sold, with aftermarket and OEM players accounting for almost equal shares in the industry. He said the industry is expected to sell 48 million tires this year.

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