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CEAT inflates radial tyre production to 600,000 units a year

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Adds another 84,000 radials in most wanted sizes in Phase 2 of 2021 expansion plan

Radial production increased by 32% since March

CEAT Kelani Holdings has announced a production increase of 84,000 radial tyres per year for passenger cars and vans, in its second expansion in this segment within the past four months.

The expansion will see Sri Lanka’s top tyre brand take annual radial tyre production to 600,000 – an increase of 16 per cent over current production of 516,000 radials, and further ease pressure on supply attributed to government-imposed restrictions on the import of certain sizes to conserve foreign exchange.

The production increase comes with the addition of two more tyre presses and a tyre building machine at the CEAT Kelani manufacturing complex in Kelaniya, supplementing the two new tyre presses commissioned in March this year under Phase 1 of the expansion plan.

With monthly radial tyre production ramping up to 50,000 units in the most in-demand sizes, availability is expected to improve for tyres that fit many makes of cars and vans including Suzuki Alto, Maruti Suzuki Alto, Maruti Suzuki Omni, Tata Ace Ex2, Hyundai- Eon, Mitsubishi Minicab, Toyota HiAce, Nissan Vanette, Lanka Ashok Leyland Dost, Tata Winger, Nissan Urvan, Kia K2500, Suzuki- Super Carry, Maruti Suzuki, Super Carry, Piaggio Porter, Toyota Town Ace, Toyota Lite Ace, Suzuki Wagon R, Daihatsu Mira ES, Nissan Dayz, Nissan Note, Honda Freed and Toyota Avanza.

Besides the volume increases they provide, the new presses installed under the expansion project are hydraulic, significantly improving the uniformity, ride and handling parameters and the overall aesthetics of the radial tyres they produce.

Commenting on this latest expansion, CEAT Kelani Managing Director Mr Ravi Dadlani said: “The CEAT brand supplied nearly half of Sri Lanka’s pneumatic tyre requirements for several years before the pandemic. The disruption of transport logistics worldwide due to the pandemic combined with the temporary import restrictions on certain categories and sizes of tyres, required us to accelerate production to help meet the domestic shortfall. As a result, we have increased radial tyre production by as much as 32 per cent since March this year, which could be considered an admirable response to the situation.”

CEAT Kelani Holdings increased capacity utilisation across all its manufacturing plants last year, to supply the additional domestic requirements of truck, bus, three-wheeler, car, and van tyres in the absence of imports. In August last year, the Company increased production to supply 100 per cent of the passenger bus and goods transport sectors’ tyre needs through domestic production, potentially saving Sri Lanka Rs 11 billion a year in foreign exchange.

CEAT Kelani also achieved an 85 per cent increase in the production of tyres for the ‘two-wheeler’ segment over just three months between June and September 2020 and pushed production of tyres for motorcycles and scooters from 27,000 units a month in June 2020 to 41,000 per month in July and August and 50,000 per month from September 2020 onwards. This was expected to result in a further saving of Rs 350 million a year for the country.

The CEAT brand has been ranked the most valuable consumer brand in the country’s ‘Motor’ segment in the 2021 Brand Finance rankings and as one of the top five brands in Sri Lanka overall in terms of brand strength score.

Sri Lanka’s largest pneumatic tyre manufacturer, CEAT Kelani Holdings is considered one of the most successful India – Sri Lanka joint ventures in the manufacturing sector. The joint venture’s cumulative investment in Sri Lanka to date totals Rs 8 billion and its manufacturing operations encompass tyres in the radial (passenger cars, vans and SUVs), commercial (Bias-ply and radial), motorcycle, three-wheeler and agricultural vehicle segments.



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Advisory for low pressure area over South-east Bay of Bengal Sea area

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The Natural Hazards Early Warning Centre of the Department of Meteorology has issued an advisory at 11.30 pm on 05 January 2026 regarding a low pressure area over South-east Bay of Bengal Sea area.

The low-level atmospheric disturbance in the Bay of Bengal, to the southeast of the Sri Lanka has intensified into a low-pressure area.

Hence, showery condition over the island, particularly
in the Northern, North-Central, Eastern, Uva and Central provinces is expected to enhance from January 8th.

The Meteorological Department is constantly monitoring the behavior of the system.

The general public are requested to be attentive to the future forecasts and bulletins issued by the Department of Meteorology in this regards.

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US raid on Venezuela violation of UN Charter and intl. law: Govt.

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Herath

Foreign Affairs, Foreign Employment and Tourism Minister Vijitha Herath yesterday (05) told a media conference at his Ministry that the UN should deal with the US for violating international law.

Herath, who is also a senior member of the ruling National People’s Power (NPP) party’s National Executive Council, in addition to being a member of the JVP politburo, emphasised that member states couldn’t violate UN Charter and international laws.

The Minister said so when The Island sought the government’s position on the abduction of legally elected Venezuelan President Nicolás Maduro and his wife in a lightning raid carried out amidst heavy air strikes on that country. We raised the issue at hand pointing out that there were persistent allegations regarding US and Indian interventions in the 2022 regime change operation here and that the NPP finalised defence agreements with Washington and New Delhi.

Minister Herath said that Sri Lanka backed the ongoing UN Security Council bid to deal with the developing situation in Venezuela.

Herath was flanked by Deputy Foreign Minister Arun Hemachandra and Deputy Tourism Minister Prof. Ruwan Ranasinghe.

Minister Herath said that the UN Security Council was scheduled to take up this issue today. The US is one of the five members of the UN Security Council.

In terms of the UN Charter, UN members are to refrain from the “use of force” against the territorial integrity or political independence of any state. Another permanent member of the UN Security Council, France, broke ranks with the Western block to condemn US action. France unequivocally declared that the US operation was a “violation of sovereignty.

Minister Herath didn’t respond to the query whether he discussed the issue at hand with President Anura Kumara Dissanayake.

While pointing out that Sri Lanka had been subjected to foreign interventions, The Island sought the position the JVP in respect of US President Donald Trump threatening to move against Mexico, Cuba and Colombia as the party always took a strong stand against US actions. Declaring that his response would be for the government and not the JVP, Minister Herath said that there was a way to deal with situations through the UN.

Minister Herath strongly defended recently signed agreements with India and US pertaining to defence. Stressing that both agreements were beneficial, Minister Herath pointed out that they weren’t defence agreements but security cooperation arrangements.

The US and Sri Lanka signed a Defence Memorandum of Understanding (MoU) in November 2025, formalising defence cooperation under the State Partnership Programme (SPP) with the Montana National Guard. The MoU with India was signed in April, 2025. It was among seven MoUs.

Referring to devastating Cyclone Ditwah, the Minister said that India provided material support under the MoU signed in April whereas the US provided 10 helicopters to the SLAF recently.

Responding to a query on US-Sri Lanka tariff negotiations, Minister Herath said that about 95% of the negotiations have been finalised.

At the onset of the briefing, Minister Herath and Deputy Ministers Prof. Ranasinghe and Arun Hemachandra explained how the tourism sector and expatriate Sri Lanka work force contributed to the national economy.

Referring to Central Bank figures, they declared that tourism had brought in USD 3.2 bn whereas expatriate workers contributed USD 7.19 bn up to November last year. Once the Central Bank made available December figures it could reach USD 7.8 bn, they said. Tourism and expatriate work force together brought in as much as USD 11.6 bn, they declared, expressing hope 2026 would definitely be better.

Although the devastation caused by Cyclone Ditwah caused concerns that it may cause a significant drop in tourist arrivals, a steady flow of visitors paved the way for a comfortable 15% increase in arrivals by end of 2025, they said.

Minister Herath said that the government was happy that the country recorded the highest number of tourist arrivals this year.

By Shamindra Ferdinando

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Ban on foreign research vessels: FM promises decision within two months

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Foreign Minister Vijitha Herath yesterday said that the government would announce its decision on the ban on foreign research vessels entering Sri Lankan waters.

Addressing the media at the Foreign Ministry, Minister Herath, in response to a query, said that they were in the process of addressing the issue.

Former President Ranil Wickremesinghe declared a moratorium on the entry of foreign research vessels during 2004. Although the NPP government, in December, 2004, declared its position would be made known soon, the decision was not taken during last year. Wickremesinghe took that decision under intense Indian and US pressure to deny entry of Chinese research vessels (SF)

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