Mr. Harinder Singh, CEO & MD, Yokohama India, said, “As we approach the Union Budget 2025, we are optimistic that the government will unveil measures that address the immediate challenges of the automotive and tire industries while laying a strong foundation for future growth. The tire sector, which is pivotal to the mobility ecosystem, continues to face hurdles such as the inverted duty structure and high import duties on natural rubber (NR). With 40% of the industry’s NR requirements being met through imports due to limited domestic availability, the current duty of 25% places undue pressure on manufacturers and impacts India’s global competitiveness. Rationalizing these duties is crucial to bolstering local manufacturing and reducing dependency on imports.”
“At Yokohama India, we are proud contributors to the ‘Make in India’ mission, with our advanced facilities manufacturing premium products like the Geolandar X-CV series for luxury SUVs. This underscores our commitment to blending global innovation with local manufacturing to meet the evolving demands of Indian consumers. Our upcoming expansion into 20-inch and larger tyre sizes reflects our readiness to support the growth of the high-end automotive segment.”
“Beyond tyres, the Union Budget presents a critical opportunity to drive the automotive sector’s shift toward sustainability and green technologies. Incentives for electric vehicles (EVs) and related components, along with policies promoting the adoption of green manufacturing practices, will be instrumental in aligning the industry with India’s net-zero emissions goals. Broadening the scope of the Production Linked Incentive (PLI) scheme to encourage investments in EV manufacturing and reducing duties on EV components can accelerate the transition to clean mobility. Such initiatives will empower the industry to develop cost-effective, sustainable solutions, particularly in price-sensitive markets like India.”
“We also urge the government to address supply chain challenges, improve infrastructure, and simplify regulatory frameworks to support the automotive sector, which is a significant contributor to the economy. A forward-thinking budget that prioritizes sustainability, innovation, and manufacturing excellence will not only strengthen India’s position as a global automotive leader but also pave the way for a greener and more inclusive future.”