The partnership marks a milestone in India’s tyre industry and strengthens efforts toward sustainable growth

International Finance Corporation (IFC) has sanctioned a USD 100 million sustainability-linked loan (SLL) to JK Tyre & Industries, India’s leading tyre manufacturer. The loan includes USD 30 million for JK Tyre & Industries and up to USD 70 million for its subsidiary Cavendish Industries Limited (CIL). This collaboration is the first of its kind in India’s tyre industry and marks a significant step in aligning financing with sustainability goals.

The funds will be directed toward expanding manufacturing capacities at JK Tyre’s Banmore plant in Madhya Pradesh for Passenger Car Radial (PCR) tyres, and at CIL’s Laksar plant in Uttarakhand for Truck and Bus Radial (TBR) tyres. The initiative is designed to foster energy-efficient tyre production, strengthen local supply chains, and create job opportunities in the region.

Raghupati Singhania, Chairman & Managing Director of JK Tyre, expressed his enthusiasm for the partnership, emphasizing the company’s commitment to sustainable development while expanding its footprint in key segments.

Riccardo Puliti, IFC’s Regional Vice President for Asia, highlighted the importance of sustainable manufacturing in realizing India’s green ambitions, noting that the loan sets a benchmark for future adoption across the manufacturing sector.