The German speciality chemicals company recently inaugurated the first India Application Development Centre (IADC) in the country’s financial capital, reinforcing its commitment and outlook for the country. 

For Lanxess India, tyre industry accounts for almost 25 percent of its business, as against global average of around 10 percent. And the company’s management continues to be upbeat about the growth story for Indian tyre makers.

“India, from our point of view, will play a very important detrimental role (for Lanxess). Because when you want to grow your industry, which Prime Minister Narendra Modi clearly has as an ambition, you need the chemical industry and all their precursors. And if you want to help the Indian industry to further develop (new solutions), you need to have local application for local needs,” remarked Matthias Zachert, Chairman of the Board of Management of Lanxess.

He was speaking on the sidelines of the inauguration of the India Application Development Centre (IADC) in Thane, Mumbai, which also marks a significant commitment by the German chemical major for the country.

Lanxess is said to be the world’s largest supplier of rubber additives focusing on solutions around rubber chemicals, speciality chemicals and processing aids for the rubber industry. The company’s solutions find their way in high-performance rubber products such as tyres, treads, seals and even drive belts.

At present, Lanxess has established two production facilities in India – Jhagadia in Gujarat and Nagda in Madhya Pradesh. The tyre industry is primarily supported by Lanxess Rhein Chemie Additives Divisions, which manufactures Rhenogran and Rhenodiv at the Jhagadia facility. The company has invested over EUR 70 million in the Jhagadia facility, which not only supports the domestic customer base for Lanxess but also its customers in the Asia-Pacific region. The company has a longstanding presence in India, with representation from all 10 of its business units and a workforce of around 800 employees.

It comes as no surprise that Zachert sees India as a critical growth region for Lanxess, offering immense opportunities for collaboration and innovation.

INDIAN TYRE INDUSTRY A KEY GROWTH DRIVER

Globally, the automotive industry in particular is transitioning from being seen as a seller of products to a mobility solutions provider, what’s with new business models or service solutions.

Zachert sees that while the tyre market was consolidated for many years, it has started opening up in the last decade.

“The global tyre market has opened up, strongly driven by Chinese tyre manufacturers but also Indian tyre manufacturers. We have rising stars here in India. Mobility has always led to liberty and flexibility for mankind. This will be a trend that in the next 10-20 years is not going to vanish. Mobility will be important, which means the tyre industry is important. And therefore, I look positively at the tyre industry going forward, notably the one that is located here in India,” said an optimistic Zachert.

It is important to understand that the company has almost 25 percent of its business exposure to the Indian tyre segment, which could be amongst the highest for the company.

“For our group, the mobility exposure that we have worldwide as a company is 10 percent. We are over-proportionally present here in India, which is good and normal because the industry is expanding. The Indian tyre market is expanding not only locally but globally,” he said.

The recent setting up of IADC is part of Lanxess’ strategic focus on India as a key market and innovation hub. The strengthening of R&D will enable the company to enhance its ability to deliver high-value, specialised solutions tailored to local needs.

To begin with, the company has integrated expertise from two key businesses in India: Lubricant Additives (high-performance additives and additive systems, synthetic base fluids and ready-to-use lubricants) and Material Protection Products (antimicrobial, disinfection and preservation solutions). Going forward, the idea is to be present with all business units’ expertise at the IADC.

Namitesh Roy Choudhury, Vice-Chairman and Managing Director, Lanxess India, said, “By establishing the IADC, we are bringing our expertise closer to our Indian customers. This centre will not only support innovation but also strengthen our ability to address evolving market trends with speed and precision.”

For Lanxess India, the IADC aligns with its transformation journey towards a speciality chemicals company. The aim is to focus less on cyclical business areas and solutions for critical applications and move towards a partner for sustainable mobility or consumer protection. And the company sees India’s growing industrial base and expanding consumer markets as an ideal platform for driving such advancements.

SUPPORTING THE TYRE INDUSTRY

The production of the plain looking black tyre is more than just moulding of rubber; it is a complex process, which includes incorporating various raw materials and scientific steps to ensure that the tyres are built up to a particular specification. After all, tyres remain and are supposed to be the sole point of contact between a vehicle and the road when in motion.

Lanxess, for its part, supplies solutions across mixing, batch-off, extrusion & tread marking, tyre inspection & repair, tyre curing, green tyre spraying and tyre building processes.

According to the company, a durable car tyre is the result of a complex manufacturing process in which the tyre is built-up from various rubber compounds and reinforcing materials. It explains that by using rubber chemicals and various fillers, the raw material rubber is turned into a high-performance product. This is because rubber is soft and not very durable until vulcanisation. By selecting the type of rubber, the crosslinking chemicals and additives required for the desired technical properties of the end-product, high-performance products such as tyres and other rubber products are created.

EUROPEAN COMPANIES TO STEP OUT OF PETROCHEMICALS

The chemicals industry has undergone a sea of change, especially given the evolving trend from geography-focused development to globalisation. For the last few years, there has been a growing pressure, especially given the focus on sustainability.

To support the sustainability drive, the company recently introduced Vulkanox HS Scopeblue, a next-generation rubber additive designed to help tyre manufacturers produce more durable and environmentally friendly tyres. The anti–degradant effectively protects tyres from the damaging effects of oxygen and heat while offering reduced environmental impact. Its low volatility and minimal migration tendency further enhance tyre performance and longevity, making it an optimal solution for modern, eco-conscious manufacturing.

The company claims that the Vulkanox HS Scopeblue boasts a carbon footprint more than 30 percent lower than its conventionally produced counterpart thanks to the use of bio-circular acetone and renewable energy in its production process. It is being currently manufactured at an ISCC PLUS-certified plant in Germany; this mass-balanced additive retains the same chemical structure as the original product, allowing tyre manufacturers to adopt it seamlessly without altering their existing production processes.

Zachert further said, “Times lead to change. The industry dynamics of chemicals has been adjusting to change for the last decade and will continue to see changes for the next decades. If I look into the next 10 years of the chemical industry, my personal prognosis is that you will see that the European chemical companies will more and more step out of petrochemicals and go upstream. And this is happening as we speak. My thesis also is that the European industry will focus more on niche polymers and speciality chemicals. The upstream and volume polymers will go elsewhere, where you have the raw materials and cheap energy. Countries that are destined to dominate these kinds of chemicals over the next 10 years, is the Middle East and the United States. Europe used to be the epicentre of chemicals 20-30 years ago from polymers to chemicals to pharmaceuticals.”

Then there is the shift from global supply chain to more of regional supply chain given the geopolitical situation.

“I see that with the current world with geopolitical tensions, the likelihood is high that we will go back to trade zones. And therefore, the global value chain in chemicals is one where many companies will have to rethink the global approach and turn towards a more regional approach,” added Zachert.

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Members of the Global Platform for Sustainable Natural Rubber gathered for the organisation’s seventh General Assembly, marking what it described as a pivotal year for accountability and member-led sustainability across the natural rubber value chain.

A key development in 2025 was the launch of GPSNR’s risk-based Assurance System, which sets sustainability expectations, introduces independent verification and aims to drive continuous improvement beyond regulatory compliance. The system was developed collaboratively over several years and is intended to provide a globally applicable framework for sustainability in the sector.

At the assembly, end-user companies reaffirmed their support for the Assurance System and agreed on a structured pathway towards full implementation within their category.

“This year marks a turning point for GPSNR,” said Stefano Savi, chief executive of GPSNR. “The Assurance System gives our members a shared and trusted foundation for demonstrating progress across the value chain.”

Members also reflected on the first year of the Shared Investment Mechanism, a model that allows manufacturers to share the costs of large-scale capacity-building projects. The initiative is intended to deliver long-term benefits for upstream participants, particularly smallholder producers.

“Sustainability cannot be achieved by one part of the value chain alone,” Savi said. “By investing together, our members are enabling more inclusive and impactful outcomes worldwide.”

Looking ahead to 2026, GPSNR said it would focus on supporting the implementation of the Assurance System through data collection, member learning programmes, and stakeholder dialogue, to ensure the framework reflects operational realities and different business models.

The assembly concluded with members reiterating their commitment to building more equitable, resilient and sustainable natural rubber supply chains.

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The Tire Recycling Foundation has opened nominations for its first Circle of Change Awards, aimed at recognising organisations, teams and individuals advancing innovation and sustainability across the tyre recycling sector.

Nominations opened on 15 December and will be accepted until 8 February  2026. The awards will honour contributions spanning tyre recycling technologies, end-use market development and leadership in circular economy practices.

“The Circle of Change Awards will serve as a powerful way to recognise national visionaries and changemakers who have shaped the trajectory of the full tyre recycling value chain over the past two decades,” said Anne Forristall Luke, president of the Tire Recycling Foundation board. “We are thrilled to recognise trailblazers making a lasting impact on end-of-life tyre (ELT) recycling and the circular economy.”

Four award categories will be presented at the 10th Tire Recycling Conference, scheduled to take place in Denver, Colorado.

“By spotlighting the collective progress being made in tyre recycling, the Foundation hopes these inaugural awards will inspire and fuel accelerating momentum in exciting new markets for recycled tyres,” said Stephanie Mull, executive director of the Tire Recycling Foundation.

The Innovation in End-Use Technology Award will recognise technologies, products or processes that use recycled tyre rubber in new ways, with a focus on technological advancement, commercialisation and sustainability impact.

The Circular Economy Trailblazer Recognition, State Leadership in Tire Market Innovation category will honour state agencies or statewide programmes that demonstrate leadership and measurable impact in advancing tyre recycling within a circular economy framework.

The Market Development Excellence Award will recognise efforts to expand end-use markets for tyre-derived materials through education, policy, marketing or advocacy, with an emphasis on measurable market growth and long-term strategy.

The Value Chain Collaboration Award will acknowledge partnerships across the tyre recycling value chain that deliver measurable improvements in efficiency, economics or environmental performance.

The foundation said organisations and individuals that have made significant contributions to tyre recycling or developed innovative solutions for tyre-derived materials are encouraged to apply. Award recipients will be allowed to showcase their achievements and inspire further progress across the sector.

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The German Rubber Industry Association (wdk) has called for enhanced policies to unlock the full potential of tyre recycling in Germany. While acknowledging the existing successes of the circular economy in this sector, Stephan Rau, Technical Director of wdk, emphasised that significant untapped opportunities remain. Last year alone, Germany generated 533,000 tonnes of used tyres, with nearly 70 percent kept in circulation through reuse, retreading and recycling. The wdk advocates for a stronger framework to improve these material flows and boost the market for recycled materials.

A central pillar of the wdk’s position is the demand for a modern, science-based evaluation of recycled rubber products. Over 200,000 tonnes of used tyres are processed annually into granules and rubber flour, vital secondary raw materials for sustainable manufacturing. However, Rau argues that their broader market success is hindered by outdated assessment methods. The association urgently recommends a risk-based approach that evaluates chemical ingredients based on their actual bioavailability and migration, rather than their mere presence. This perspective, now supported by the German Federal Institute for Risk Assessment (BfR), necessitates establishing binding limit values determined through migration analysis to ensure both safety and commercial viability.

Furthermore, the wdk highlights a critical gap in the complete monitoring of tyre material flows. A notable proportion of used tyres exit Germany and Europe for processing, depriving domestic recyclers of valuable secondary raw materials. To address this leakage and strengthen the circular economy, Rau stresses the need for comprehensive tracking of all end-of-life tyres. The association’s commitment is reflected in its patronage of the Alliance for Future Tyres (AZuR), a European network of nearly 100 partners from industry, trade and science dedicated to advancing a sustainable tyre circular economy across all segments.

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Hi-Green Carbon Limited has achieved a significant milestone in its sustainability operations by securing the prestigious ISCC EU Certification. This globally recognised endorsement highlights the company's adherence to rigorous international standards for environmental responsibility and supply chain integrity.

The certification verifies full compliance across the entire production process, from sourcing to delivery, emphasising traceability and operational transparency. It specifically validates the sustainable production of the company's key outputs, including recovered carbon black (rCB) and tyre pyrolysis oil (TPO). This accomplishment underscores Hi-Green Carbon’s commitment to circular economy principles and positions it as a leader in the production of sustainable industrial materials.

The company statement read: “This milestone not only strengthens our sustainability commitment but also deepens our collaboration with you, our valued clients and partners. With ISCC-certified products, you can have greater confidence in the environmental integrity and long-term sustainability of your supply chain, supporting your own green initiatives and carbon-reduction goals. We extend our sincere gratitude to our clients, partners, and team members for their consistent support and trust. Together, we are driving positive change and contributing to a cleaner, greener, and more circular future.”

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