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CEAT and Camso: A New Era in Off-Highway Tyres and Tracks
Fri, 16 May 2025 | PRODUCTS
In a landmark move that’s set to reshape the off-highway tyre (OHT) industry, CEAT, an RPG Group company, has entered into a definitive agreement with Michelin, the world leader in tyres, to acquire the Camso brand’s Off-Highway construction equipment bias tyre and track business. The all-cash deal, valued at $225 million, marks a strategic leap forward for CEAT, further cementing its position as a global force in the OHT segment.
A Strategic Acquisition with Global Reach
The agreement includes the acquisition of the Camso brand, two state-of-the-art manufacturing facilities in Sri Lanka, and a business that generated approximately $213 million in revenue. For CEAT, this isn’t just an acquisition—it’s a powerful expansion into new markets and categories, particularly in the high-margin segments of construction tyres and tracks.
Camso, a premium and widely respected brand in the global construction equipment space, holds strong market positions in both the European Union and North American aftermarket and OEM sectors. The deal gives CEAT full global ownership of the Camso brand after a three-year licensing period, enabling the company to use the brand across all categories in perpetuity.
A Perfect Fit: CEAT and Camso
This acquisition is not just about expanding product lines—it’s about synergy. CEAT and Camso share a mutual commitment to quality, innovation, and customer satisfaction. As Anant Goenka, Vice Chairman of RPG Enterprises, noted, “This acquisition has significant strategic consequence for CEAT as it catalyses the company’s journey towards being a leading tyre maker globally. Most importantly, we found a great cultural alignment between Camso and CEAT because of our TQM way of working.”
Camso brings deep expertise in tracks and compact construction tyres, while CEAT has spent over a decade strengthening its presence in the Off-Highway Tyres market. With over 900 product offerings, CEAT already covers around 84% of the agricultural tyre range. Adding Camso’s capabilities allows CEAT to bridge the gap in segments like construction tyres, compact equipment, harvester tracks, powersports tracks, and more.
This acquisition also opens the door to Camso’s global customer base, which includes over 40 international OEMs and leading premium distributors in the OHT space.
A Win-Win for Customers, Suppliers, and Employees
Both CEAT and Michelin have emphasised a coordinated and seamless transition, ensuring continuity for customers, suppliers, and employees. The manufacturing facilities in Sri Lanka will continue to deliver the quality and performance the industry has come to associate with the Camso brand.
Arnab Banerjee, MD & CEO of CEAT, highlighted the value this acquisition brings to CEAT’s growth strategy:
“The Camso brand is an excellent fit with the growth strategy of CEAT’s Off-Highway Tyre business, thereby improving our margin profile. Access to premium customers, a high-quality brand, and a qualified global workforce is what excites us the most.”
He also noted that the track segment is highly specialized, with few global players and high technical requirements—making Camso’s experience and assets a strategic goldmine for CEAT.
Michelin’s Evolving Strategy
For Michelin, this move is part of a broader realignment of its “Beyond Road” business strategy. With this transaction, Michelin is exiting the Compact Line bias tyres and construction tracks space.
Nour Bouhassoun, Senior Vice President, Beyond Road Business Line at Michelin, stated:
“Michelin firmly believes that CEAT is the right fit to carry on our bias tyres and tracks for compact construction equipment business. Both our companies are fully committed to ensuring a smooth transition for our employees and business continuity for our customers and suppliers.”
The Road Ahead
As the acquisition awaits final regulatory approvals, CEAT is already gearing up to integrate the Camso brand and operations into its global strategy. This move positions CEAT to accelerate its vision of becoming a world-class player in the off-highway segment, with a robust presence in both agriculture and construction.
With Camso’s innovation-driven legacy and CEAT’s expanding global footprint, the off-highway tyre and track industry is poised for a dynamic transformation—bringing new value to customers, partners, and end-users across markets.
Conclusion
The CEAT-Camso acquisition is more than a business transaction—it’s a strategic alignment of vision, capability, and ambition. With this partnership, CEAT is stepping confidently into a new era—broadening its portfolio, reaching new markets, and delivering next-level solutions in the off-highway space. The road ahead is exciting, and CEAT is ready to lead.
