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.”

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Taiwan-based performance materials company CHIMEI has secured a distinguished A rating in the CDP Climate Change assessment for the second consecutive year, positioning it within the leading four percent of global organisations evaluated in 2025. This recognition from the prominent environmental disclosure platform underscores the company’s sustained excellence across critical areas such as climate governance, comprehensive risk management and transparent emissions reporting. CHIMEI’s performance demonstrates tangible progress in lowering product emissions intensity, driving self-managed reduction projects and rigorously measuring greenhouse gas outputs in accordance with international standards.

Central to the company’s strategy is its ‘Clean & Green’ vision, which directs a thorough low-carbon transformation. This commitment is operationalised through internal carbon pricing, optimised manufacturing processes and a shift towards renewable energy. CHIMEI further ensures accountability by obtaining third-party verification for the carbon footprints of its entire product range. The pursuit of sustainability extends beyond its own facilities, as the company actively promotes the use of sustainable materials and fosters collaborative decarbonisation efforts throughout its value chain.

Looking forward, CHIMEI is dedicated to engaging with customers, suppliers and partners to advance shared climate objectives, including its ambitious 2050 net-zero target. By continuously investing in innovative technologies and eco-friendly solutions, CHIMEI aims to be a catalyst for industry-wide change, supporting the transition toward a more resilient and low-carbon future for all.

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Kraton Corporation, a leading global producer of speciality polymers and high-value bio-based chemicals derived from pine wood pulping co-products, has achieved International Sustainability and Carbon Certification (ISCC) PLUS for its manufacturing facility in Panama City, Florida, United States. This independent certification tracks sustainable materials via a mass balance approach. The achievement allows Kraton to issue a formal ISCC PLUS Sustainability Declaration with shipments of its biobased polyterpene resins, providing its customers with the documentation needed to validate the renewable content in their own products.

The Panama City site becomes the company’s fourth production plant to gain this certification, building upon a commitment that started with the certification of its Sandarne, Sweden, facility in 2021. By securing these certifications across its network, Kraton strengthens its leadership in supplying circular and renewable solutions. This effort supports broader industry shifts, as customers can now more seamlessly integrate verified, sustainable materials into their supply chains and end products.

Ultimately, the company’s pursuit of such certifications aligns with a larger transition towards a more sustainable and circular economy, demonstrating how specialised chemical producers can enable tangible environmental progress through verified chain-of-custody systems.

Lana Culbert, Kraton Pine Chemicals VP of Marketing, said, “Our SYLVARES™ and SYLVATRAXX™ brands feature a portfolio of high-performance polyterpene resins. They are widely recognised for their use in adhesives and tyre applications, yet their versatility extends to other industries, like agriculture, with more opportunities ahead. While we can measure bio-based content of our pine chemicals using Carbon-14 analysis, certifying our Panama City facility under ISCC PLUS strengthens supply chain transparency, supporting the growth of the circular economy.”

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Solvay has inaugurated its new bio-circular silica facility at its plant in Livorno, Italy, a strategic investment that underscores Italy’s industrial leadership in green innovation. The facility directly anticipates evolving EU sustainability rules for tyres and supports the ambitious environmental goals of Solvay’s customers. By establishing this operation, Solvay positions itself as a proactive partner in achieving the objectives of the European Green Deal and upcoming product regulations.

The site manufactures highly dispersible silica using an innovative process that transforms rice husk ash, an agricultural byproduct, into a valuable bio-based raw material. This method creates a local circular economy, benefits the agricultural sector, and reduces associated CO₂ emissions by 35 percent compared to conventional production.

This initiative is a cornerstone of Solvay's global strategy to transition all its silica production to certified circular raw materials by 2026. While the Livorno site is the first to use rice husk ash, other global plants will utilise different local waste streams. For the tyre industry, adopting this circular silica already enables tyres to contain up to 15 percent recycled or renewable content, providing significant progress towards the sector’s 2030 material targets.

Beyond compliance, the silica produced is essential for developing energy-efficient tyres that lower rolling resistance, thereby reducing fuel consumption and extending electric vehicle range. The Livorno facility thus reinforces Solvay's market leadership in sustainable silica and highlights Italy’s vital role in the company’s broader portfolio of green investments, including projects in green hydrogen and circular soda ash.

Philippe Kehren, CEO, Solvay, said, “By acting now, Solvay is helping tyre manufacturers prepare for future EU requirements and meet their own sustainability goals. Livorno is a tangible example of how we turn circular economy principles into industrial reality, enabling progress for generations.”

Jana Striezel, Head of Purchasing at Continental Tyres, said, "Solvay has managed to transform an agricultural byproduct into a high-performance material on an industrial scale. We are looking forward to integrating more and more rice husk ash silica as a recycled material in our tyre production and are very satisfied with its performance. We are keen on innovative, renewable and recycled materials because they support our ambitious sustainability roadmap.”

An Nuyttens, President of Solvay’s Silica business, said, “Livorno sets a benchmark for circular innovation in Europe and beyond. Our goal is clear: wherever Solvay produces silica, we will integrate circular materials to reduce environmental impact and support our customers’ sustainability objectives.”

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Ecolomondo Corporation, a Canadian developer of sustainable technology for recycling scrap tyres, has announced that its Hawkesbury facility reached a key operational milestone during the week of 12 January 2026, by successfully completing a record five double processing batches. This progress signifies a major step forward as the company advances towards full commercial production at the plant. Utilising its proprietary Thermal Decomposition Process (TDP) and a new automated Human-Machine Interface system, the facility maintained consistent operations and produced high-quality recovered materials.

The week’s activity led to the recycling of an estimated 9,375 scrap tyres, processing a total of 150,000 pounds (approximately 68,038 kg) of rubber feedstock. From this, approximately 60,000 pounds (approximately 27,215 kg) of recovered carbon black and 75,000 pounds (approximately 34,019 kg) of tyre-derived oil were generated, alongside syngas used to power the process itself.

As a Canadian leader in tyre recycling technology, Ecolomondo views these results as a strong validation of the scalability and reliability of its proprietary TDP system, underscoring the ongoing ramp-up at its Hawkesbury TDP facility. This consistent performance enhances the company's position in the circular economy, turning a challenging waste stream into valuable industrial commodities and demonstrating the commercial viability of its innovative approach.

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