Alliance Tyre Founders Form A Joint Venture With Trelleborg AB
The founders of Alliance Tyres, Mahansaria family and Trelleborg AB have recently signed an agreement to form a joint venture (JV) in India to manufacture tyres for two-wheelers. This venture for Mahansaria family is part of a bigger strategy to foray into the fast-growing two-wheeler tyre market in India. At the moment, Trelleborg AB is focusing on the European market for the manufacturing of two-wheeler tyres. This joint venture will facilitate Trelleborg AB to grow its business globally by gaining access to additional production capacity.
Mr. Yogesh Mahansaria, from Maharashtra, has commented on the development by saying that they have known Trelleborg AB for the past two decades and deeply respect their entrepreneurial and progressive business spirit. Through this joint venture, they are looking forward to providing technologically advanced products of global standards to the ever-evolving Indian two-wheeler tyre market. He further added that this joint venture will help to bring capital and foreign technology to India for manufacturing locally and to serve Indian as well as global markets.
The joint venture will soon establish a production site in western India and the deliveries are expected to begin by end of the year 2020. The joint venture will be owned by both, Mahansaria family and Trelleborg in the ratio of 76:24 respectively.
The Mahansaria family has more than three decades of experience in the tyre industry during which they have built two industry-leading businesses: Balkrishna Industries Limited and Alliance Tyre Group that works in the field of off-highway tyres. The Mahansaria family sold their shareholding in ATG to Yokohama Rubber Company of Japan in 2016.
About Alliance Tyres
Established in the year 1992, Alliance Tire Company Ltd. is a Hadera, Israel-based tire manufacturing company. It is known for producing and marketing tyres for agricultural, multi-purpose and industrial clients in Europe, North America and South America. In 2007, it was acquired by the Indian Mahansaria family who already owned the brand ‘Alliance’ and formed the Alliance Tyre Group. The Mahansaria family sold their 100% stakes of the Alliance Tyre Group to the world’s ninth most valuable tyre manufacturing company, Yokohama Rubber Company in July 2016.
Alliance Tire Group has three brands namely Alliance, Primex and Galaxy.