MRF Signs MoU with Tamil Nadu for Rs 5,300 Crore Tyre Plant in Sivaganga

India’s leading tyre manufacturer MRF Ltd has signed a memorandum of understanding with the Government of Tamil Nadu to establish a new greenfield tyre manufacturing facility at the SIPCOT Industrial Park in Illuppakudi in Sivaganga district. The proposed project involves an estimated investment of about Rs 5,300 crore over a period of twelve years and is expected to further strengthen Tamil Nadu’s position as a major manufacturing hub in the automotive and tyre industry.

The agreement was signed in the presence of Chief Minister M K Stalin at the State Secretariat along with senior officials from the company and the government. The MoU has been executed through the state’s investment promotion agency Guidance Tamil Nadu, which facilitates large scale industrial investments and supports project implementation across the state.

According to company disclosures, the proposed facility will focus on the production of automotive tyres and allied products for both domestic and export markets. Once operational, the project is expected to generate direct employment for around 1,000 people while also creating additional opportunities through ancillary industries and supply chain networks in the region.

MRF already has a strong manufacturing footprint in Tamil Nadu with existing facilities in locations such as Tiruvottiyur, Arakonam and Perambalur. The new project in Sivaganga reflects the company’s long term expansion strategy and its continued confidence in the state’s industrial ecosystem, skilled workforce and infrastructure support.

Tamil Nadu continues to attract significant industrial investments due to its strong logistics network, established manufacturing base and proactive government policies. The state government has set an ambitious target of transforming Tamil Nadu into a one trillion dollar economy by 2030, with manufacturing and exports playing a central role in driving growth and job creation.