Japan’s Zeon Corp has established a new research facility at its Zeon Chemicals Yonezawa site to develop plant-based production processes for synthetic rubber raw materials as it accelerates efforts to decarbonise its operations and support a circular economy.

The new lab will focus on advancing biofermentation and chemical reaction technologies to produce butadiene and isoprene—key building blocks for synthetic rubber—directly from plant-derived feedstocks.

“This facility will accelerate the development of biotechnology to produce butadiene and isoprene directly... to contribute to the realisation of a circular economy,” the Tokyo-based company said.

The initiative is part of Zeon’s “STAGE30” medium-term business plan, which includes a target to cut group-wide carbon dioxide emissions by 42 percent by fiscal 2030 from 2020 levels. The company has made “Promoting a transformation of monozukuri to realise carbon neutrality and a circular economy” its top strategic priority under the plan.

The research centre, completed on 23 May, spans 590.34 square metres and features laboratories with local exhaust ventilation alongside office and meeting spaces. Yamagata Prefecture partially funded it under its Business Location Promotion Subsidy Programme.

The project is also supported by Japan’s Green Innovation Fund, run by the New Energy and Industrial Technology Development Organization (NEDO), which backs long-term industrial decarbonisation initiatives. Zeon is collaborating with Yokohama Rubber Co and several academic institutions on two key development themes, including the use of plant-based and sustainable materials for producing rubber intermediates.

Zeon said it aims to commercialise the technology for producing butadiene and isoprene from plant sources by 2034.

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Kraton Corporation, a leading global producer of speciality polymers and high-value biobased products derived from pine chemicals, has revealed a new strategic initiative for its Berre, France facility. The plan involves streamlining its polymer operations to concentrate exclusively on manufacturing USBC products, which will result in the cessation of HSBC production at that site.

This move is designed to bolster Kraton's long-term competitiveness by optimising its manufacturing footprint in reaction to a global overcapacity for HSBC. The company has formally started an information and consultation process with the local Works Councils, with a final decision expected following this mandatory period. The company has reaffirmed its commitment to supplying HSBC from its broader global network and to leveraging its worldwide presence to continue adapting to market demands.

Prakash Kolluri, President, Kraton Polymers, said, “Our aim with this plan is to strengthen Kraton’s long-term competitive position by optimising our manufacturing footprint in response to changing market dynamics associated with global overcapacity of HSBC production capability. With this step, we are preparing Kraton for a sustainable future by securing Kraton’s position as the leading global HSBC producer. Kraton is fully committed to supporting our customers through this transition with supply of HSBC products produced within our unmatched global manufacturing network. We recognise the impact of these actions, and are committed to a safe, respectful and supportive transition. The health, safety and well-being of the employees remain our top priorities.”

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Continental is accelerating its transition towards a circular economy by systematically increasing the use of renewable and recycled materials in its tyres. The company, which averaged a 26 percent sustainable material share in 2024, has set an ambitious target to raise this to at least 40 percent within five years. This strategy involves not only internal innovation but also actively encouraging its supply chain to develop and provide more sustainable raw materials.

A critical area of development is finding green alternatives for reinforcement materials like steel and textiles, which are essential for tyre safety, durability and performance. These materials can constitute over 18 percent of a passenger car tyre, and even more in commercial vehicle tyres. Continental is already integrating recycled steel and is pioneering the use of polyester yarn made from recycled PET bottles. Depending on the tyre size, the carcass of a single passenger car tyre can incorporate the equivalent of up to 15 bottles. This recycled polyester, developed with partner OTIZ, is verified to cut CO₂ emissions by approximately 28 percent compared to conventional materials and is already featured in production tyres like the UltraContact NXT.

The company's sustainable material portfolio extends beyond reinforcements. It includes synthetic rubber derived from used cooking oil, bio-based resins from waste streams and silica obtained from rice husk ash. Complementing these material advances is a commitment to greener manufacturing processes. Together with Kordsa, Continental has developed COKOON, an adhesion technology that bonds textiles to rubber without harmful chemicals. In a move to uplift the entire industry, this innovative solution has been made available to all tyre manufacturers as a free, open-source license, demonstrating Continental's broader commitment to fostering industry-wide sustainability.

Dr Matthias Haufe, Head of Material Development and Industrialization, Continental Tires, said, “We are not reinventing the wheel – but we are reinventing the tyre, with more sustainable materials and more environmentally compatible production processes. It’s not just about the rubber itself. We also focus on the materials that give the rubber its shape and make tyres stable and safe. Recycled steel and polyester yarn made from recycled PET bottles are important for more sustainable tyre production. Our goal is to use at least 40 percent renewable and recycled materials in our tyres within five years. Every alternative material brings us an important step closer to this goal. When it comes to sustainability, it’s not just the materials we switch to, but also those we deliberately do without.”

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Pyrum Innovations AG has officially announced that it will break ground on its next wholly-owned recycling facility in Perl-Besch on 14 November 2025. This new facility is a landmark project for the company, designed to be its largest to date and more than double its existing recycling capacity by processing in excess of 22,000 tonnes of used tyres each year.

The financial framework for this expansion is already taking shape. The project is supported by a diversified funding strategy that includes drawing on a EUR 25 million credit line from BASF and a committed debt financing term sheet from a major European bank. Finalising the package is contingent upon an agreement with Saarland authorities regarding land costs. Crucially, securing the Perl-Besch financing will unlock access to further substantial funding, including a second loan tranche from BASF, paving the way for additional projects in the company's rollout plan.

From a technical and logistical perspective, the Perl-Besch plant will be a state-of-the-art operation. It will be constructed on a 25,000-square-metre site in the strategically important border triangle of Germany, France and Luxembourg. The integrated facility will comprise a shredder plant, three next-generation Pyrum reactors, its own power plant and a grinding and pelletising plant. Insights gained from the existing plant in Dillingen are being directly applied to optimise construction and commissioning, aiming for a faster ramp-up to full production. The site was selected for its superior logistical advantages, offering direct connections to the Moselle River, railway lines and a nearby motorway to efficiently manage material flows from across Europe.

This new facility is central to Pyrum's financial roadmap, with the company projecting it will reach break-even upon its commissioning in 2027. Achieving this milestone is anticipated to create significant momentum and provide a solid foundation for the accelerated rollout of the company's broader project pipeline.

Pascal Klein, CEO, Pyrum Innovations AG, said, “Now that all the legal formalities have finally been clarified – development plan, planning permission and access to the site – we can hardly wait for things to visibly get underway. In the background, planning is already well advanced: The site has been prepared, numerous plant components with long delivery times – so-called long leads – have been ordered and the architect’s tenders for the ground work are underway. During construction, we will also benefit from the experience we have gained from the expansion of our main plant in Dillingen, so we are planning to start production in Perl-Besch in 2027.”

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Capital Carbon, a brand under India's Rathi Group, has successfully commissioned its new greenfield Recovered Carbon Black (rCB) facility in Gummidipoondi, Tamil Nadu. This development dramatically boosts the group's total rCB manufacturing capacity to 20,000 metric tonnes per year, a significant rise from its previous 5,000-tonne capacity.

The group distinguishes itself through complete vertical integration, handling the entire process from shredding end-of-life tyres to pyrolysis. This operation transforms waste into valuable materials, including rCB, fuel oil, steel wires and pyrolytic gas. The company utilises this gas for process heating, while the carbon char is either refined into rCB or supplied to cement plants as a sustainable energy source.

Ravi Rathi, Director, Rathi Group, said, "As Recovered Carbon Black gains wider acceptance, the industry continues to prioritise quality and consistency – and that's exactly what we've focused on addressing.”

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