Epsilon Carbon, a leading producer of carbon black and speciality carbon products, has rolled out a dedicated fleet of eight LNG-powered tanker trucks to transport coal tar. The company claims it is the first in India’s coal tar industry to adopt LNG vehicles for inbound logistics.

The new fleet is expected to reduce logistics-related emissions while improving efficiency and reliability in raw material movement. According to the company, the LNG tankers will cut carbon dioxide emissions by 20–25 percent, nitrogen oxides by up to 90 percent and almost eliminate particulate matter emissions compared with diesel trucks. They are also projected to deliver 5–10 percent better fuel efficiency, lowering operational costs over the long term.

This development follows Epsilon’s earlier introduction of electric trucks in 2023 and LNG containers in July for customer-bound carbon black logistics. Together, these initiatives form part of the company’s broader strategy to decarbonise its operations and build a low-carbon logistics model.

Vikram Handa, Managing Director, Epsilon Carbon, said, “Road logistics is central to India’s economy, and as one of the largest players in our sector, we recognise the responsibility to make it cleaner and more efficient. At Epsilon Carbon, sustainability is core of how we operate and grow. The introduction of our LNG-powered tankers is a transformative step in advancing raw material logistics, reducing emissions, and driving long-term value for our stakeholders. With this initiative, we are not just keeping pace with environmental expectations but are setting new standards for sustainable freight movement and contributing meaningfully to India’s Net Zero 2070 journey.”

Each tanker has an operational range of about 730 kilometres, making it well-suited for long-distance coal tar transportation. The company plans to progressively expand its LNG tanker fleet in line with capacity requirements, reinforcing its commitment to sustainability and compliance with tightening environmental regulations.

Speciality chemicals company Orion S.A. reported a 56 percent decline in second-quarter net income, as persistent demand challenges and elevated tyre imports weighed on performance despite improved production volumes.

The Houston-based carbon black manufacturer posted net income of USD 9.0 million, or 16 cents per share, for the three months ended 30 , compared with USD 20.5 million, or 35 cents per share, in the same period last year.

Revenue fell 2.2 percent to USD 466.4 million from USD 477.0 million a year earlier, primarily due to lower oil prices, though higher volumes in the rubber carbon black segment partially offset this.

“Our second quarter results were in line with our expectations, helped by an improved sequential plant performance,” stated Corning Painter, Chief Executive Officer.

“We overcame persistent demand headwinds related to elevated tire imports, which have continued to pressure key tire customers, along with broader customer hesitancy reflecting considerable macro uncertainty,” continued Painter.

The company's adjusted earnings before interest, taxes, depreciation and amortisation (EBITDA) declined 8.4 percent to USD 68.8 million from USD 75.1 million in the prior-year quarter. Adjusted diluted earnings per share fell to 32 cents from 41 cents.

Mixed Segment Performance

Orion’s speciality carbon black segment struggled significantly, with volumes dropping 7.8 percent to 58.0 thousand metric tonnes as demand weakened in Europe, the Middle East, Africa and the Americas. The segment's adjusted EBITDA plummeted 28.9 percent to USD 19.9 million.

In contrast, the larger rubber carbon black division showed resilience, with volumes rising 6.9 percent to 182.0 thousand metric tonnes due to stronger demand in Asia Pacific and the Americas. The segment’s adjusted EBITDA increased 3.8 percent to USD 48.9 million, aided by lower fixed costs and higher cogeneration benefits.

Capacity Rationalisation Planned

The company announced plans to discontinue production at three to five carbon black production lines across multiple facilities as it adapts to challenging market conditions.

Chief Financial Officer Jeff Glajch emphasised the company’s focus on cash generation despite headwinds.

“We are resolutely focused on levers to improve cash flow,” stated Orion’s Chief Financial Officer Jeff Glajch. “Even with the persistent macro headwinds, we expect to reach our previously conveyed goal of more than $50 million of free cash flow for 2025.”

Mumbai-based start-up looks to make tyres green and clean, all the while enhancing farmers’ income by converting waste cotton byproducts to biodegradable products for the rubber industry.

In a world steadily transitioning towards sustainable and environmentally conscious solutions, Indian startup Biopole is poised to revolutionise the tyre, rubber and broader automotive materials space with a breakthrough innovation that merges agritech, cleantech and chemical engineering. The company has introduced Biozone 200, a high-performance bio-based antiozonant that prevents rubber products from cracking due to ozone exposure. It is generally used in the rubber and tyre industry. On the other hand, Biovive 300 is a bio-based antioxidant that protects rubber and polymer products from oxidative degradation used in the rubber and tyre industry.

In contrast to traditionally sourced materials from petrochemical derivatives, these additives are made using sustainably sourced materials that play a crucial role in improving the durability and life of rubber products, including tyres, hoses, belts, seals, plastic and even footwear soles. The company’s new offering is derived from agricultural waste – specifically, cotton stalks.

FROM AGRICULTURAL WASTE TO HIGH-VALUE ADDITIVE

In an interaction with Tyre Trends, Mehul Patel, Technical Director, Biopole, explained the development story: “What is Biopole? We provide bio-based antioxidants and antiozonants made from plants, more specifically cotton stalks, which are agricultural waste in India. After cotton is plucked, the stem or stalk is left behind, often burnt like stubble in North India. Instead of that, we extract useful chemicals from it to manufacture our solutions.”

Interestingly, while the young start-up was started just a couple of months ago, it has already established its first manufacturing unit in Dudhapur, about 120 km north of Ahmedabad, in the heart of Gujarat’s cotton belt. It currently has an annual production capacity of 4,500 metric tonnes, with Biopole sourcing raw material from nearly 1,000 farmers across a 24-square-kilometre region.

“For these farmers, it’s waste, but for us, it’s the beginning of a high-value, eco-friendly product. And we pay them for it, so it’s a win-win,” he shared.

The company has invested INR 200-250 million over the past eight years to perfect the material and bring it to commercial scale. “More than money, it’s the time that was crucial. It took us eight years to reach a stage where we could modify the compound to be usable as a technical replacement for existing antioxidants and antiozonants,” averred Patel.

Antioxidants and antiozonants are indispensable for the rubber industry. They delay degradation caused by oxidation and ozone exposure, improving product longevity. However, their petrochemical origins are increasingly problematic in a market where regulatory and environmental considerations are paramount.

“Our product is REACH-compliant (European Union’s regulations for Registration, Evaluation, Authorisation and Restriction of Chemicals), ROHS-certified (Restriction of Hazardous Substances) and California Proposition 65 compliant. This is especially critical for Indian manufacturers looking to export to Europe and the US, where chemicals like 6PPD and TDQ (Trimethyl Dihydroquinoline), which are still widely used in India, are banned,” explained Patel.

Interestingly, giving an example of how Biopole is already acting as a gamechanger in the rubber industry, Patel shared that its product has already enabled one Kanpur-based footwear manufacturer to regain access to export markets after switching to Biopole’s solution.

“They were unable to export because of regulatory issues tied to traditional chemicals. After switching to our material and clearing lab tests, they are back in business and expanding their footprint to global markets,” Patel noted.

COST-EFFECTIVE SUSTAINABILITY

It is no secret that while that the topic of sustainability has been actively pursued, for any businesses to simply switch sourcing from traditional suppliers to alternative eco-friendly materials also needs to make economic sense.

This is exactly one of the USP propositions for Biopole’s antioxidants and antiozonants solution.

Cost, often a barrier to adoption in India, has been neutralised by Biopole’s approach. “While European companies are willing to pay a premium for sustainable products, Indian customers ask about price first. But our product is priced competitively. The usage level is very small, and even if our additive is slightly more expensive than traditional options, the overall impact on the rubber compound is just about INR 0.10 per kg,” said Patel.

Giving the instance of carbon black, Patel stated, “Take carbon black, for example. Its prices fluctuate between INR 95 and INR 120 per kg, which impacts the compound price by INR 0.25 to 0.40 per kilo. In our case, the delta is much smaller and we offer a sustainability advantage.”

TYRE INDUSTRY

Given that India’s tyre industry is a high-volume, slow-approval segment, Biopole has made a strategic decision to first focus on non-tyre rubber product manufacturers.

“Tyre companies typically take three to five years to approve a new additive. They also require volumes of around 150 tonnes per month. That would overwhelm our current capacity. So we are currently targeting non-tyre applications, where monthly usage is around 1-2 tonnes per customer. This allows us to onboard multiple customers and scale gradually,” he said.

But Biopole is not actually ignoring the tyre segment. “We have already initiated pilot testing with some tyre manufacturers. If even two tyre companies approve our material, our entire capacity could be absorbed. That is why we are also preparing for future expansions,” he revealed.

Expansion is very much on the horizon. Patel estimates that scaling up to 9,000 tonnes can be done within six to eight months. “Once the market demands it, we are ready to expand our capacity at the Ahmedabad plant. The process is now streamlined,” he says.

EYEING GLOBAL MARKETS

While Gujarat was the logical choice for its facility due to its raw material ecosystem, Biopole is also exploring international expansion. “We met potential partners in the US and Ivory Coast at the American Chemical Society conference. They were extremely excited. In fact, one gentleman said, ‘Come to Ivory Coast, we’ll provide you land and cotton stalks’,” he shared.

Responding to a query if the company is open to partnerships and contract manufacturing with local stakeholders investing in infrastructure and sourcing. Patel shared that for Biopole nothing is off the tables: “We’re open to partnerships as long as it makes commercial sense.”

R&D

For Elastochemie, which has been traditionally a trading company, the journey for Biopole has been supported by a seven-member in-house R&D team, backed by collaborations with research institutions and external labs.

In addition to its current offerings, Patel revealed that Biopole “has already started working on two new products for the rubber industry, including retarders. We expect these to launch by FY2026.”

The company is also experimenting with product variations that would allow its additive to be used in coloured rubber and plastics. “Our material is naturally brown, which limits use in applications requiring bright or white colours. We are modifying it to work with those too,” he shared.

Though formally incorporated just five months ago in 2025, Biopole has global ambition and market-ready credibility. “Biopole will have its own balance sheet, and yes, it will be profitable as a standalone entity,” shared Patel.

While Elastochemie remains a trading business, Biopole’s manufacturing arm marks a strategic leap. “Trading companies don’t usually do R&D. But we wanted to build something different. Something IP-led, something that creates real change,” he stated.

As a first-of-its-kind material globally, Biopole is claimed to have no direct competition at present. He gives the anecdote of being a zero-emission vehicle in a petrol and diesel market.

“We’re not worried about competition yet, because there’s no one else doing exactly this. Our product changes the game. And for our customers, it ticks multiple boxes – regulatory, sustainability and now, affordability too,” he shared.

GEOPOLITICAL SITUATION & FUTURE PLANS

Responding to a query on whether the company could be impacted due to the global geopolitical situation and trade disruptions, he shared that India is estimated as a whole consumes over two million tonnes of rubber annually, with tyre makers accounting for 57 percent of demand. The remaining 43 percent, or 850,000 tonnes, is used in non-tyre applications. “Even if we capture three percent of that, we are talking significant volumes,” Patel shared.

He also noted that Biopole is relatively insulated from global geopolitical shocks. “We are too small to be impacted by the global supply chain disruptions. Even if we don’t export, the Indian market alone is more than enough for our immediate growth trajectory,” he said.

That said, global expansion remains attractive for the premium it offers. “US and European companies approve faster and are willing to pay more for sustainability,” Patel added.

It is quite evident that Biopole’s under the wrap development of the bio-based antiozonant and antioxidant products over the last eight years has a strategic plan to support its future narrative.

Patel shared that in the near-to-mid-term the company aims to establish its product firmly in India, US and Europe market. The company will launch at least two new rubber additives including Bioguard 400, a bio-based scorch retarded that controls vulcanisation and prevents premature curing for the rubber and tyre industry. It will also develop versions of the additive suitable for coloured plastics and rubber applications. And finally, Biopole will further scale manufacturing capacity based on traction from tyre manufacturers.

In an industry often dominated by legacy chemicals and slow-moving incumbents, Biopole’s innovative approach may well be a tipping point.

“We are not just offering a product,” concluded Patel. “We are offering a shift in thinking. A biodegradable, sustainable, regulatory-compliant material that solves real industry pain points. That’s the future – and we’re building it from waste.”

Japan's Kuraray Co Ltd reported a 42 percent plunge in first-half operating profit as its rubber and speciality chemicals business grappled with weakened European demand and inventory valuation losses, prompting the company to slash its full-year earnings forecast.

The Okayama-based manufacturer, known for its synthetic rubber and speciality polymers used in automotive and industrial applications, posted operating income of 26.3 billion yen for the six months ended June 30, down from 45.5 billion yen a year earlier.

Net sales slipped 2.7 percent to 400.0 billion yen, with the company's flagship vinyl acetate segment - which includes rubber-related products - bearing the brunt of the downturn as volumes declined across key markets.

"Sales volume did not increase as much as expected due to the European economic stagnation and other factors, and overall segment income decreased due to the negative impact of inventory valuation differences and higher raw material and fuel prices," the company said in its earnings statement.

The vinyl acetate division, Kuraray's largest revenue contributor, saw operating income tumble 31.9 percent to 29.9 billion yen despite maintaining sales of 202.9 billion yen. The segment includes the company's EVAL barrier resins used in food packaging and automotive fuel tanks, as well as polyvinyl alcohol (PVOH) resins with rubber-like properties for industrial applications.

Kuraray's isoprene chemicals and elastomers business, which produces synthetic rubber compounds, showed signs of recovery with operating losses narrowing to 1.3 billion yen from 4.0 billion yen a year earlier. Sales volumes increased as demand remained firm, particularly in Europe and the United States, whilst operations at the company's Thai manufacturing base stabilised.

However, the broader economic malaise weighed heavily on performance. Rising natural gas costs in the US and Europe - key raw materials for rubber production - further squeezed margins. US natural gas prices averaged USD 3.69 per MMBtu compared with USD 2.21 a year earlier, whilst European gas costs climbed to 41 euros per MWh from 30 euros.

The disappointing first-half results prompted Kuraray to revise down its full-year operating income forecast to 75.0 billion yen from an earlier projection of 90.0 billion yen, though it maintained its annual dividend at 54 yen per share.

Chief Financial Officer Hitoshi Kawamura highlighted inventory valuation differences as a significant drag on earnings, particularly affecting the company's rubber and polymer segments, where raw material price volatility has been pronounced.

Looking ahead, Kuraray expects second-half performance to improve, with operating income projected at 48.7 billion yen compared with 26.3 billion yen in the first half. The company is banking on a gradual recovery in European demand and the benefits of recent capacity optimisations.

The firm is also pursuing strategic shifts in its portfolio, including plans to expand its optical-use PVOH film production line and the acquisition of US-based Nelumbo Inc, whilst discontinuing production of certain acrylic polymers and polyester-related products.

French biotech firm expands into industrial fabrics market through enzymatic PET recycling technology

French biotechnology company CARBIOS has signed a multi-year commercial agreement with Thailand's Indorama Ventures to supply recycled materials for tyre manufacturing, marking the firm's expansion into the industrial fabrics sector.

Under the deal, CARBIOS will provide biorecycled monomers from its planned Longlaville industrial plant to Indorama Ventures, the world's largest polyester producer. The Thai company will transform these materials into recycled polyethylene terephthalate (r-PET) filaments for use in tyre reinforcement by French tyre manufacturer Michelin.

The partnership represents CARBIOS's entry into a new market segment beyond its existing focus on cosmetic packaging applications. The company uses proprietary enzymatic recycling technology to break down complex PET waste into high-quality recycled materials.

"This commercial agreement with Indorama Ventures marks a new step in the realisation of our industrial project," said Vincent Kamel, chief executive of CARBIOS. "It confirms the trust of Indorama Ventures and Michelin in our PET biorecycling technology."

The deal comes weeks after CARBIOS signed its first sales contracts for biorecycled PET with two unnamed global cosmetics companies, as the firm builds momentum ahead of the commercial launch of its Longlaville facility.

Michelin, which has committed to using 100 percent renewable and recycled materials by 2050, said the partnership advances its circular economy objectives.

"This partnership is a tangible expression of our commitment to turning complex waste into high-performance materials," said Fabien Gaboriaud, director of circularity and renewable & recycled materials at Michelin Group. "By integrating enzymatically recycled r-PET into our tyres, we are marking a new milestone on our journey toward achieving 100 percent renewable and recycled materials by 2050."

Indorama Ventures, which generated $15.4 billion in revenue last year, said the alliance underscores its commitment to circular economy principles. The company employs approximately 25,000 people across manufacturing operations in Europe, Africa, the Americas, and Asia Pacific.

"This alliance with both, CARBIOS and Michelin, underlines our commitment to plan ahead and take a leading role in shifting the industry towards circularity," said Renato Boaventura, global market head mobility at Indorama Ventures.

CARBIOS, founded in 2011, has developed enzyme-based biological processes to break down plastics as part of efforts to prevent plastic pollution and accelerate the transition to a circular economy. The company operates an industrial demonstration plant for biorecycling that has been operational since 2021.

Construction of what the company describes as the world's first biorecycling plant is expected to resume in the second half of 2025, subject to securing additional funding.