ContiTech, a group sector of Continental, has officially launched production at its new USD 90-million hydraulic hose manufacturing facility in Aguascalientes, Mexico. This significant investment is a strategic move to reinforce local supply chains, boost regional production capacity and position innovative fluid power solutions closer to its customer base across North America.

The new 900,000-square-foot plant will produce high-performance hoses for numerous industrial and mobile applications, serving vital sectors such as construction, agriculture, mining and energy. It has been designed to operate in a tightly coordinated network with ContiTech’s existing facility in Norfolk, Nebraska. This dual-plant strategy enhances production flexibility, improves operational efficiency and allows the company to be more responsive to evolving customer demands by strategically balancing technology, volume and lead times.

This expansion underscores ContiTech's long-term commitment to growth in key markets through substantial investment in local infrastructure and talent. Production at the Aguascalientes site will be gradually increased, with the first customer deliveries anticipated to commence in the fourth quarter of 2025.

Philip Nelles, Member of the Continental Executive Board and CEO of the ContiTech group sector, said, “The start of production in Aguascalientes marks a key milestone in ContiTech’s journey towards being a more agile, regionalised partner to our customers. At ContiTech, we build on 150 years of materials expertise. While our portfolio is broad and diverse, all our solutions are grounded in the same strength: high-performance materials that are mission critical, innovative and engineered to perform. Whether they connect, convey or cover, our products play essential roles across industries and applications.”

Andreas Gerstenberger, CEO of ContiTech USA and Head of Business Area Industrial Solutions Americas, said, “We are ready to lead in this segment. This new plant reflects our commitment to both innovation and proximity. With our customers increasingly looking for responsive and innovative solutions, we are proud to deliver with local production, advanced technology and a skilled workforce. More than just expanding our footprint, this investment is about creating mutual value with our customers, partnering closely to help them succeed in their own markets. By placing customer needs at the centre of everything we do, we aim to be their first choice for material-driven solutions, now and in the future.”

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In pursuit of its strategic vision, ‘Michelin in Motion 2030’, Michelin is expanding into high-value adjacent markets, including the development of its Polymer Composite Solutions. A key step in this growth is the acquisition of Flexitallic, a global leader in sealing solutions based in Houston, Texas. This move is set to substantially enhance Michelin’s sealing portfolio and extend its market access, particularly within the aftermarket sector.

Flexitallic serves critical industries such as energy and chemicals, providing high-performance gaskets, sheet products and specialty filler materials known for exceptional reliability and resistance in extreme, safety-critical environments. The company, which operates 17 facilities worldwide and employs about 1,200 people, reported sales of approximately USD 220 million in 2025.

The acquisition is a strong strategic fit, uniting two global organisations with a shared commitment to innovation and quality, thereby creating significant synergies for future growth. The transaction, for an undisclosed amount, will be fully financed from Michelin’s available cash. Subject to standard regulatory approvals and closing adjustments, it is anticipated to be finalised in the first half of 2026.

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Birla Carbon has inaugurated a dedicated production line at its Trecate, Italy facility, specifically engineered for the finishing and packaging of its Continua Sustainable Carbonaceous Material (SCM). This industry-leading circular material is produced from end-of-life tyres, and the new line enables its manufacture in large, consistent volumes. This expansion directly strengthens long-term supply security for the company’s worldwide customer base.

The Continua SCM range, including the 8000 series for tyres, rubber goods and plastics, provides a scalable sustainable solution. It allows customers to increase recycled content while gaining functional benefits such as blending flexibility and lower homologation costs. Importantly, it delivers assured regulatory compliance and consistent quality, supporting industries in their transition toward enhanced product circularity and reduced environmental impact.

John Loudermilk, President and CEO, Birla Carbon, said, “This is a pivotal moment for Birla Carbon. Continua SCM represents the most consistent, high-quality, circular material in the carbon black industry today and replaces a portion of carbon black in most rubber and non-rubber applications. It also reflects cross-industry collaboration for sustainability, with raw material sourced from our partner Circtec’s newly launched tire pyrolysis facility in the Netherlands and finished and packed at our state of-the-art processing line in Trecate. The launch of this line is a key milestone in our ambition to put back into industry 300,000 tonnes of end-of-life tyres annually by 2030, contributing to our aspiration to achieve net zero carbon emissions by 2050.”

John Davidson, Chief Sales, Marketing and Sustainability Officer, Birla Carbon, said, “The launch of the Continua SCM processing line in Trecate ramps up the availability of our circular product portfolio for customers globally. Continua SCM enables our customers to increase the use of sustainable materials in their products while maintaining the performance standards they expect. This expansion reinforces our commitment to supporting customer sustainability goals at scale.”

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German chemical group WACKER has announced significant price increases for a wide range of silicone products, effective from 1 February 2026. These adjustments, which will see prices rise by up to 25 percent or even higher in specific instances, will be applied across existing customer contracts as necessary. The decision is a direct response to unprecedented surges in raw material costs, most notably for the precious metal platinum, a critical catalyst used in the production of addition-curing silicone products and crosslinking silicone release agents.

According to Tom Koini, Head of Silicones, the extreme market dynamics have made this step unavoidable, as internal efficiency measures can no longer absorb the cost pressure. Platinum prices on international commodity exchanges have more than doubled since the beginning of the previous year. WACKER states that the price adjustments are essential to maintain its high standards of product quality, customer service and technical support moving forward. The increases will specifically affect addition-curing silicone rubber grades, silicone resins, silanes and silicone-based release coatings.

The company’s Silicones division, a global leader with a portfolio of over 2,800 specialised products, serves key industries including automotive, pharmaceuticals, medical technology, electrical engineering and energy transmission. The portfolio encompasses silicone fluids, elastomers, resins, sealants, silanes and release coatings, all designed to enhance the performance and value of end products. In 2024, this division accounted for approximately 49 percent of the Group’s total sales.

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ARLANXEO, a leading performance elastomers company, has officially opened its new Therban hydrogenated nitrile butadiene rubber (HNBR) production facility in Changzhou, China. This advanced plant, dedicated to producing the Therban brand, is designed to meet rising demand across vital industries including new energy, automotive, aerospace and next-generation battery technologies, where materials must endure extreme operational conditions.

Strategically positioned within ARLANXEO’s existing Changzhou complex, which also houses an EPDM plant and a Regional Technology Centre, the new installation strengthens the company’s integrated approach from innovation to manufacturing. It forms a crucial part of a global production network that includes sites in United States and Germany, establishing Changzhou as a central hub for the Asia-Pacific region.

The facility boasts an annual design capacity of 5,000 tonnes, with the first phase of 2,500 tonnes having successfully commenced operations in October 2025. It was completed with an exemplary safety record, achieving over 1.1 million incident-free work hours throughout its construction and commissioning, which was concluded within 13 months.

Engineered for high efficiency and environmental responsibility, the plant incorporates state-of-the-art finishing technology for consistent product quality. A key feature is an advanced thermal oxidation system that recovers energy and cuts carbon emissions in core processes by approximately 80 percent compared to traditional methods. Furthermore, the facility employs a closed-loop design that eliminates routine process wastewater discharge, supporting ARLANXEO’s commitment to reducing greenhouse gas emissions.

The inauguration was marked by a ceremony attended by senior leadership from ARLANXEO and its shareholder committee, alongside representatives from key customers, local authorities and community partners. This expansion significantly enhances ARLANXEO’s ability to supply reliable, high-performance elastomer solutions to its regional customer base.

Dr Faisal Al Faqeer, ARLANXEO Shareholders’ Committee Chairman and Aramco Senior Vice President of In-Kingdom Liquids to Chemicals Development, said, “China is important in supporting Aramco’s downstream growth. ARLANXEO’s new Therban® HNBR plant is the most recent demonstration of Aramco’s downstream expansion strategy of portfolio diversification and integration, underscoring our confidence in China’s innovation and manufacturing strength. We look forward to deepening our cooperation and further contributing to China’s high-quality and sustainable growth.”

Stephan van Santbrink, CEO, ARLANXEO, said, “Today’s inauguration marks an important milestone for ARLANXEO and a strong demonstration of our long-term commitment to China. We sincerely thank the Changzhou government, Aramco and all stakeholders for their trust and continued support. With the new HNBR plant now fully operational, we are further integrating our local production and R&D capabilities to strengthen the resilience of our global supply network. By delivering locally produced, high-quality rubber products, we will continue to collaborate with our customers and accelerate application innovation, creating greater economic and social value across our value chain.”

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