The tyre is an amazing example of something that has served its purpose for more than a century with no drastic functional changes but has yet undergone constant improvement and sometimes fundamental structural changes. Materials have changed from leather to natural rubber, and then to ever-developing compounds of natural and synthetic rubber, as well as chemicals. Structurally, the largest change has been from bias to radial casing construction, and while some tyre products are now largely only radial tyres – passenger car tyres, for example – other vehicle segments still consume a large quantity of bias tyres; in some regions of the world more than others.

While the equipment required to produce bias tyres is fairly simple, and the costs of establishing a production line therefore relatively manageable – roughly speaking it’s a textile production line combined with vulcanizing in simple 2-part moulds – the costs of establishing a radial tyre production line are massive. From rubber calenders to radial steel belt production and angle cutting over bead ring building and green tyre building drums, until finally curing in 8-segment moulds – and many more steps and essential equipment not mentioned in between. Each machine and process is as important as the next, and only the most skilled management of the entyre production flow can ensure that a quality product comes out at the end. So, needless to say, many of the quality improvements of the past decades have come from improving production equipment and knowledge as much as from improving tread designs and rubber compounds.

Chinese factories

Further, as many tyre production equipment manufacturers have expanded to supply all over the world, many production lines have become much more similar to each other as they approach the worldwide optimal standard for balancing production costs and quality. I won’t mention any specific manufacturer names here, but anyone who has visited a tyre factory in China will have had an employee guide proudly point out that they use only the best equipment from manufacturers in the Netherlands, Japan, Germany, and the USA. I’ve always been tempted to ask if the hammer is more important or the person who wields it, but I digress. The fact is that most Chinese factories have also improved drastically in terms of management and comply with IATF 16949 standards to ensure consistently high-quality levels and constantly reduce defects. The main driver and reason for the current standards is the reduction of manual work stations and a large manual labour workforce to largely automatic or at least semi-automatic machinery, reducing the manual labourers to employees simply moving materials or finished products from one place to another. Over time, these will also be made redundant, as machines will also handle this part.

The question remaining is just how factories located in low-wage countries will keep competitive as the necessary equipment costs the same all over the globe, and less hands are needed to operate the massive production lines. When the lines all over the world only need core staff to monitor and make technical adjustments and maintenance work, the difference in the product cost structure can only come from land and building use, logistics and handling costs, as well as water, heating, and electricity fees. Especially the latter, utility fees, probably soon make up the most important factory when it comes to differentiating tyre cost structures across the world.

Global supply

What will this mean for the global tyre supply? Most likely, it will be good news for the environment, as it won’t make as much sense as previously to send products across the globe, because the transportation costs will make the products more expensive than locally produced ones – regardless of production country. Given that all countries play fair, that is, so maybe I should say in a perfect world. There is no doubt that some countries favour their large factories with subsidies or tax rebates more than the developed countries do. But, with the recent massive rise in sea freight charges caused by the pandemic, and amplified by the Ever Given blocking the Suez Canal, the tables could be turned faster than anyone expected. Just until a month ago we all expected the extremely high sea freight levels from Asia to the rest of the world to last just a few months, now the carriers expect that we won’t see normalization – and thereby decreasing rates – again until 2024. As tyre prices from low-cost manufacturing countries have been gradually closing the gap to second tier brands over the past decade (and quality levels have followed suit and in rare cases even surpassed them), they have now very suddenly lost all competitiveness when solely looking at pricing. Surely, it has been the strategy of all these manufacturers for many years to ultimately surpass the competition on quality and performance, but not before surpassing them on price.

So, what will happen now? Nobody knows, but it will be equally interesting and nerve-wracking to follow. For the tyre building machine manufacturers, the dilemma has grown bigger than ever before; should they continue to develop better machines, as they risk killing their clients by doing do? There’s a very narrow path to tread between staying competitive against other machine manufacturers and sustaining the financial health of one’s own clients. (TT)

Comments (0)

ADD COMMENT

Link Copied!

Pirelli is set to play a central role as the FIM Superbike World Championship concludes the first half of its season this weekend at Donington Park for the UK Round. Marking the final event before the summer break, the Italian tyre manufacturer has equipped competitors with the softest rear compounds from its 2026 standard range. This selection represents a clear advancement in development from the previous year, when riders were limited exclusively to older specification tyres.

For the premier WorldSBK class, the rear tyre allocation is headlined by the SCQ extrasoft compound, intended primarily for qualifying and the Superpole Race. This option, the softest in Pirelli’s portfolio, has already garnered positive feedback from riders during the Emilia-Romagna Round for its exceptional single-lap pace and consistent performance over a sprint distance. Complementing the SCQ are the SCX supersoft and SC0 soft compounds, while front tyre duties are covered by the standard SC1 soft and SC2 medium solutions, with the softer front being the overwhelming preference of last year’s grid, including triple race winner Toprak Razgatlıoğlu.

The notoriously unpredictable British weather remains a critical variable, with cool morning temperatures and frequent rain showers posing significant challenges for teams. Pirelli’s range has historically demonstrated considerable adaptability across fluctuating track and air temperatures, maintaining reliable grip in both cooler and warmer conditions. To address potential precipitation, the allocation is supplemented by DIABLO Wet intermediate and full DIABLO Rain tyres for both front and rear positions, ensuring competitors have viable options regardless of the elements.

In the supporting categories, WorldSSP riders will retain the SCX and SC0 rear compounds alongside the SC1 and SC2 front options. Meanwhile, the WorldWCR field and the emerging talents of the Yamaha R3 World Cup will also be in action, with both series utilising the Pirelli DIABLO Superbike SC1 tyre on both axles throughout the weekend’s racing programme.

Giorgio Barbier, Pirelli Motorcycle Racing Director, said, “Donington Park is a very distinctive circuit and, in many respects, a unique venue on the FIM Superbike World Championship calendar. The opening part of the lap features a series of fast, flowing corners taken at high speed and rapid changes of direction that require riders to manage significant power while the bike is still heavily leaned over. This demands tyres capable of delivering outstanding grip, precision and stability while maintaining consistent performance over race distance.

"Compared with last year, when only standard range solutions were available and no development specifications were included, this season, while confirming the same compounds introduced in 2025, we will provide riders with the complete 2026 standard range. The SCQ extrasoft compound will be the softest option in the allocation and can be used not only in free practice and qualifying but also, potentially, in the Superpole Race. For the longer races, riders will be able to rely on the SCX supersoft and, should temperatures be lower, the SC0 soft compound – solutions that have already demonstrated throughout the season an excellent balance between outright performance and consistency, as reflected by the many new records that have been set.

"Finally, the weather, which has historically been unpredictable in the UK, will once again be a key factor. Rain and low temperatures, even in the middle of summer, can have a major influence on tyre management and race strategies. Having a complete and versatile range available will therefore be essential to provide the best possible support in any weather conditions.”

Comments (0)

ADD COMMENT

Link Copied!

Sri Trang Group has unveiled a comprehensive organisational strategy centred on its ‘Empowering AI’ mission, designed to integrate artificial intelligence across its operations to boost efficiency and foster long-term sustainability. The initiative was formally announced during the company’s flagship annual gathering, the Sri Trang Town Hall 2026, held at the Four Points by Sheraton Phuket Patong Beach Resort. The event drew over 1,700 participants, including executives such as the Chairman, Group CEO and other board members, alongside employees from domestic and international branches who attended both in person and virtually.

Central to the new vision is the Group’s commitment to leveraging AI and data analytics throughout its entire value chain, supported by a robust Enterprise Data Foundation and an AI Governance framework. These systems are intended to ensure meticulous data management and foster stakeholder confidence. The application of AI is being tailored to optimise specific operational phases, from upstream procurement and production to downstream sales and logistics, aiming for precision in market forecasting, quality control and customer responsiveness.

Parallel to its technological push, Sri Trang is prioritising the development of AI Agents and practical AI Use Cases to accelerate tangible business outcomes. This effort is complemented by a cultural shift towards an ‘AI x Human’ paradigm, preparing the workforce to collaborate effectively with intelligent systems. Concurrently, the Group is reinforcing its dedication to environmental, social and governance principles, focusing on resource efficiency and the management of energy, water, waste and emissions as part of its trajectory towards a Net Zero target.

To support its ESG goals, Sri Trang is enhancing data systems to align with international standards like ISO 14064-1, ensuring accuracy and auditability for better risk management and decision-making. The company is also expanding collaboration with suppliers through its ESG Partner approach to elevate industry standards. This strategic direction underscores Sri Trang Group’s ambition to solidify its status as an innovation-led entity, combining human potential with AI to drive the Thai natural rubber sector towards resilient and sustainable growth on the world stage.

Dr Viyavood Sincharoenkul, Chairman of Sri Trang Group, delivered a keynote address on the vision, stating, “AI will not merely be a tool; it will become part of Sri Trang’s way of working and decision-making. We are building the Sri Trang AI Factory to connect data, technology and people together. AI is not simply a new technology but a major transformation in the way we work and compete in business. As the world accelerates AI adoption, organisations and people that are able to learn, adapt and work effectively with AI will be the ones that gain a competitive advantage and achieve sustainable growth in the future. Our goal is not to have the best AI but to build an organisation where everyone can use AI effectively, supported by trusted data, proper governance and a culture of continuous learning. The success of AI is not measured by the number of systems developed but by the number of people who can work effectively with AI and create value for the organisation.”

Veerasith Sinchareonkul, Group CEO, Sri Trang Group said, “The ‘AI Revolution Without Boundaries’ does not mean bringing in technology to replace our people. Rather, it means using AI to enhance people’s capabilities so that they can work smarter, faster and more efficiently. In essence, the meaning of ‘Empowering AI’ is ‘Empowering People with AI’ empowering our people to grow and move forward through the potential of AI. We believe in the power of collaboration between humans and AI. When AI works alongside people at every level, it helps improve decision-making accuracy, enhance the efficiency of frontline employees, strengthen executive leadership and foster a culture of continuous learning, teamwork and innovation. The future of the organisation is therefore not one in which AI replaces humans, but one in which humans grow together with AI without limits.”

Comments (0)

ADD COMMENT

Link Copied!

Michelin has expanded its retail footprint in North India by inaugurating two Michelin Tyres & Services (MTS) outlets, located in Amritsar and Panchkula. The Amritsar location operates through a partnership with National Auto, while the Panchkula facility is a collaboration with Universal Tyres. This development underscores the French tyre giant’s strategy to place its globally recognised products and services within closer reach of consumers in a rapidly developing automotive market.

Each of the new establishments spans 5,000 square feet, situated strategically on Loharka Road and within Panchkula’s Industrial Area. Designed as modern service hubs, they provide a full spectrum of offerings, ranging from passenger car and two-wheeler tyres to advanced wheel alignment and mechanical maintenance. The stores stock renowned product lines such as the Primacy, Pilot Sport and Latitude Sport series, aiming to deliver a premium and seamless experience for vehicle owners.

The selection of Amritsar and Panchkula reflects Michelin’s assessment of their growth potential, driven by tourism, infrastructure projects and a rising number of private vehicle owners. To capitalise on these opportunities, Michelin has aligned with established regional players. National Auto, a trusted entity in Amritsar since 1927, brings a long-standing reputation for quality service, while Universal Tyres contributes over three decades of technical expertise and market knowledge in the Panchkula region.

These partnerships are central to Michelin’s broader objective of delivering superior mobility solutions rooted in safety and durability. By combining its own technological leadership with the local acumen of its partners, the company aims to strengthen its service ecosystem and cater to the evolving demands of the northern Indian automotive sector.

Shantanu Deshpande, Managing Director, Michelin India, said, “North India continues to be a key market in Michelin's growth journey, supported by rising vehicle ownership, improving road infrastructure and growing demand for premium mobility solutions. The launch of our new Michelin Tyres & Services Stores in Amritsar and Panchkula marks another important step in strengthening our retail presence and bringing Michelin's globally benchmarked products and services closer to customers across the region. As we prepare to introduce Made-in-India passenger car tyres, we remain focused on delivering solutions tailored to the evolving needs of Indian consumers.”

Comments (0)

ADD COMMENT

Link Copied!

Tyres Europe has issued a formal call for the Industrial Accelerator Act to be revised, urging policymakers to grant greater recognition to the tyre sector’s strategic importance within the continent’s automotive ecosystem. In a newly published position paper, the organisation argues that the current framework insufficiently addresses the industry’s unique contributions and challenges.

The association is advocating for several key amendments, including an expanded scope that acknowledges tyres as critical components in both the replacement and original equipment markets, thereby stimulating demand for EU-manufactured products. Additionally, Tyres Europe proposes the establishment of a Union origin definition that would prioritise European production in public procurement and state-aid schemes. The paper also highlights tyres’ potential to enhance energy efficiency and lower CO2 emissions for light vehicles, while calling for dedicated backing for retreaded and EU-made truck and bus tyres, alongside increased financial mechanisms for industrial decarbonisation and improved governance of manufacturing acceleration zones.

With these targeted modifications, Tyres Europe contends that the Industrial Accelerator Act could effectively foster a market for low-carbon, high-performance tyres produced domestically. Such adjustments would simultaneously bolster competitiveness, support decarbonisation goals and reinforce the overall resilience of Europe’s automotive supply chain.

Comments (0)

ADD COMMENT

Link Copied!