Rubber certainly has its role to play in forest landscapes across the world, with natural rubber plantations having risen as a substantial basis of deforestation. One element that addresses deforestation concerns is the correct certification of rubber – be it natural or synthetic. International Sustainability & Carbon Certification (ISCC), a globally leading certification system, works with the objective of providing sustainability solutions for fully traceable and deforestation-free supply chains, inter alia involving the rubber industry. ISCC was one of the presenters at the Tire Technology Expo 2022 at Hannover, Germany, and Dr Jan M Henke, Director, ISCC, threw light on the nitty-gritty of certifications in the rubber industry, their clients in the tyre and rubber industry and more, in an interaction with Tyre Trends.

Can you tell us about your global sustainability scheme?
Our global sustainability and carbon certification scheme has certified companies in more than 100 countries. We certify entire supply chains from farms to plantations and forestry, and also the point of origin of waste and residues, biogenic and fossil waste. This is also covering rubber and natural rubber. Moreover, we cover biogenic waste and residues, including fossil waste, like carbon black, which is, again, used in the rubber industry. We also certify pyrolysis, where recycled mixed plastic waste can help produce synthetic rubber out of the pyrolysis oil. And we certify the entire supply chain, sustainability of raw material.

What is Meo’s role?
Meo initiated ISCC in a multi-stakeholder process a long time ago. It once was a Meo project and went on to become an operations and certification scheme. It was even recognised by the European Commission and some other authorities. It later got segregated from Meo, and ISCC is governed by the ISCC Association with more than 200 members.

So, what role does Meo play in this in case of certification?
Certification is always by independent, third-party certification bodies. ISCC is the standard development. Today’s ISCC was once a project of Meo. It then went on to become independent and operational, and was no longer a project but an individual entity running and further developing and improving the certification scheme.

The operations of the certification system, database, registration, qualification, training programme, integrity programme, the website and all the day-to-day business is done by ISCC. We are currently incorporating 45 certification bodies that are actually doing the on-site audits based on the ISCC standard.

Is ISCC recognised by the European Union?
Yes, it is being used in many sectors, like in bio energy, bio fuel, renewable transport fuels etc. In fact, ISCC is also recognised by the European Commission and by companies based on their sustainability standards and different industry initiatives.

Hence, ISCC is active on a really broad scale, covering different types of raw materials, natural rubber being one of them. We are also covering waste and residues for pyrolysis and their outputs. We then go to all the different end markets, which can be polymers, rubber, tyres, packaging, all types of plastic products, bio energy or any type of renewable fuels, aviation fuels, maritime fuels etc. This is global and is being used in more than 100 countries.

Tyre companies are talking about sustainability, but the larger part of the industry is of small stakeholders, especially in the natural rubber segment, where traceability and accountability are the main issues. How do you see this?
That’s a big challenge, especially in rubber production. At the cultivation level, there are a lot of small holders. There also exist large plantations that are easier to implement and certify. However, it’s definitely a bigger challenge with the small holders; it always depends on how well they are organised, whether there are certain structures, cooperatives or some central units.

Can you tell us about the certification of natural rubber?
The certification of natural rubber is definitely possible. Palm oil is maybe another example where the setup is quite similar sometimes. Also, with respect to the small holders, sometimes the companies are the same. Furthermore, we are very active in the palm oil sector with ISCC. We now also see a demand for natural rubber sustainability certification.

Is there a different process for getting certified in the rubber industry or is it a standard process?
It’s a standard process. It works on plantation. In fact, it works more or less the same as for palm plantations. But you certainly need to make sure that all the small holders reach a certain level, which is difficult. So starting out, bigger plantations may be easier because it’s easier for them to properly prepare for the certification audits. And then, you need to involve more farmers, step by step.

Who decides the standard process to get the certifications?
ISCC develops the standards and the requirements in the multi-stakeholder process. It then comes down to a company saying that it wants to become certified, use ISCC and also make certain claims and communications to its customers and stakeholders. They then reach out to a certification body, that is cooperating with ISCC. Following this, the certification body will do the audit on site – the third-party auditor will also make a decision on the issuance of the certificate.

Can tyre manufacturers get different certifications? For instance, one for natural rubber and another one for synthetic rubber? Or do they get one for all?
If tyre manufacturers source raw material for manufacturing from natural rubber but also synthetic rubber and everything under ISCC, then it’s one audit. Then the auditor would look into aspects of the volume of natural rubber being used that has been certified, although upstream. If one buys from certified suppliers and if the same auditors check, then aspects like the share of the certified synthetic rubber being used, the share of carbon black, etc. are taken into account. And finally, everything can be put together and a certain claim can be made.

Can tyre companies get a separate certificate for natural rubber?
Yes, they can. They can have separate certificates for natural and synthetic rubber both, or even of everything together. As for the final tyre, let’s say, if it’s 20 percent natural rubber and 20 percent synthetic rubber (40 percent of the tyre), then they can make certain sustainability claims on use of sustainable, circular materials etc.

What is the value of a certification?
It’s no deforestation – that’s key when it comes to natural rubber. When you certify, ‘no deforestation’ is the core requirement and deforestation is not allowed under ISCC. It is about additional environmental and social human rights criteria. This fits fine in this part of ISCC’s sustainability standard. And then it’s certainly about traceability in the supply chain, all the way in the end to the final tyre. And if this is established, then you can certainly make claims about the rubber or the final tyre, saying that it has been sustainably produced, based on sustainably sourced raw materials etc.

Plus, if you do this in a smart way, then you can actually cover the natural and synthetic rubber. Natural rubber and synthetic rubber are both very important parts of the final tyre. Both can be covered under ISCC.

Deforestation is a big issue, mainly in Southeast Asian and African countries. How difficult is it to keep an eye on that?
It’s not always easy to handle. Deforestation is not allowed under ISCC; there is a cut-off date of January 2008. If there was deforestation after January 2008, one cannot become certified. However, replanting or a change from palm to rubber is not considered as deforestation.

For example, if you have a palm plantation and if you cut it and plant rubber after 25 years, then that’s not deforestation. That’s just normal replanting.

Also, ISCC is certainly doing assessments, supported by remote sensing. Our core principle is no deforestation, which is very important to ISCC and its stakeholders. ISCC is not just us doing the operations in Cologne; there’s the ISCC Association for the multi-stakeholder dialogue. It has over 200 members from entire supply chains, industries, plantation companies, mineral oil, chemical companies, converters etc. We also have research organisations from different regions involved. In fact, also a number of non-governmental organisations are members of the ISCC Association.

The association meets annually and makes important strategic decisions and elects the ISCC Board. Due to the representation of the research sector and non-governmental organisations, there is quite a good balance of what people want and further development.

Can you tell us about the commercial benefits involved in having a certification?
There is a big value in it. It reduces sustainability risks for companies, helps to establish monitoring, protects the license to operate and has commercial value. For example, the OEMs ask for more sustainable products or lower greenhouse gas emissions. They all have climate neutrality commitments in place and need to start delivering step-by-step now; they need to show what are the activities that they are engaged in and how those improve sustainability in the overall supply chain. Here, ISCC certification can be used.

How do you maintain transparency in certification as a third party?
There is an annual audit. The certificate is valid for one year and then there is a re-certification. The company needs to provide evidence in every re-certification that the rules are being followed. And if they are not, a renewal of the certificates is not possible.

We certainly have quality management and training for companies and the auditors as well, who conduct on-site audits. What’s more, we have our own integrity programmes, where we send out our own auditors. These auditors work for ISCC and double-check the performance of the companies and the work of third-party auditors. Therefore, this integrity programme is key. We have the website where all the certificates are being published and the entire standard is public.

Do you help companies improve their sustainability supply chain?
No, we don’t consult. At ISCC, we are not involved in supporting the companies in order to improve. We have the standard and we conduct the training for companies. The preparation for the audit is not where ISCC is involved; it’s independent from that type of work. And the certification bodies are not allowed to consult in parallel either. ISCC is the independent standard that is used to certify that companies fulfil the sustainability requirements.

What are the other segments that you cover in the tyre industry?
It’s the entire supply chain. Petrochemical industries, tyre manufacturers etc. can all be covered. This also includes everything from plantations to the end product in the tyre industry.

Which is the easiest and the toughest one to certify?
All elements of the supply chain need to be covered.

This can sometimes be a challenge in the beginning, so as to convince your suppliers and also get certified. But, in truth, we have more than 6,000 certificates under ISCC. So there are already a lot of players that have valid certificates, and now this is starting to move into the space of rubber and tyre manufacturers.

Can you tell us about your clients in the rubber and tyre industry?
We have requests from many tyre producers right now. Some producers are certified already. Plus, we have requests for carbon black and first requests for natural rubber. We see the number of requests increasing, and we do have first certificates and first registrations from tyre producers. So we expect this to rise further as the industry needs to show compliance with their sustainability and climate neutrality commitments.

We see the entire tyre industry now targeting sustainability. So how do you find more opportunities and what’s your plan to get more client support?
ISCC started to get really further engaged in the rubber and tyre industry about a year ago; the industry has started understanding the standards, participating in ISCC trainings, joining our stakeholder events etc. Therefore, step by step, they got to know ISCC better and what it could do for them. They have now even started to get involved and do certifications, including reaching out all the way to the cultivation of natural rubber.

Are you going to focus on the Asian market?
Yes. In fact, we already have a few hundred certificates in Malaysia, Indonesia and other countries in the region. These markets are truly important. Our other key markets are North America and Europe, while we are also active in Africa and South America.

We are, eventually, trying to do more and convince people to become certified, show compliance to sustainability requirements, engage in a continuous improvement approach to become more sustainable and then allow manufacturers to really make claims.  

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MRF Limited reported a 15 per cent rise in consolidated total income for the third quarter ended 31 December 2025, supported by stronger demand across original equipment and replacement segments.

Total income rose to INR 81.75bn, compared with INR 70.99bn in the corresponding quarter a year earlier. Consolidated profit before tax increased to INR 9.17bn, up from INR 4.24bn a year earlier, after providing for an exceptional item of INR 0.77bn related to the new Labour Code.

Provision for tax during the quarter stood at INR 2.25bn. Consolidated net profit more than doubled to INR 6.92bn, compared with INR 3.15bn in the corresponding quarter of the previous year.

The company said both original equipment and replacement sales were robust during the quarter, aided by higher demand following the reduction in goods and services tax rates. Rural demand also improved, supported by good and widespread monsoons.

MRF said demand momentum from lower GST rates was expected to continue into the fourth quarter. Original equipment manufacturers were also expected to raise production levels, driven by higher anticipated sales and lower channel inventories.

The company said increased government spending on infrastructure, announced in the Union Budget, was positive for commercial vehicles and, in turn, the tyre industry. It also noted that trade agreements under discussion with several countries, including the European Union and the United States, could create export opportunities in the future.

The board of directors declared a second interim dividend of INR 3 per share, representing 30 per cent on the face value of INR 10, for the financial year ending 31 March 2026.

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TVS Srichakra Limited has approved a capital investment of up to INR 21 billion to expand manufacturing capacity at its Unit 2 facility in Rudrapur, Uttarakhand.

The decision was taken by the board of directors at a meeting held on recently, the company said.

The investment will be directed towards capacity addition at the existing plant, which currently has an annual production capacity of about 9.2 million to 9.5 million tyres. Capacity utilisation at the unit stands at roughly 80–85 per cent.

The proposed expansion is expected to raise capacity by about 40–45 per cent and is scheduled to be completed in the first half of the 2027–28 financial year.

The company said the investment would be funded through a combination of internal accruals and debt. The expansion is intended to meet growing demand for the company’s two-wheeler and three-wheeler tyres.

TVS Srichakra disclosed the development under Regulation 30 of the Securities and Exchange Board of India’s listing regulations.

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At a meeting of the Pirelli Board of Directors, the management presented an analysis of the evolving automotive competitive landscape. This environment is now defined by increasingly integrated and connected systems, such as software-defined vehicles and autonomous driving, which have transformed the tyre into a sophisticated, data-driven component. In this context, Pirelli’s pioneering Cyber Tyre technology – a hardware and software system that communicates in real time with both vehicles and road infrastructure – was underscored as a critical strategic asset. Its validity is confirmed by adoption from major prestige car manufacturers and relative agreements with the Apulia Region, Movyon and Anas for smart road services.

Following this assessment, CEO Andrea Casaluci presented a clear position, asserting that all Cyber Tyre activities must continue to be developed in a fully integrated manner with the rest of the Pirelli Group, both functionally and organisationally. He emphasised that management must align completely with the Group’s strategic and industrial approach, expressly rejecting any project that could lead to even partial compartmentalisation, separation or segregation of this business unit. The Board voted on this management consideration, resulting in nine votes in favour and five against. Directors Chen Aihua, Zhang Haitao, Chen Qian, Fan Xiaohua and Tang Grace cast the dissenting votes.

The management further detailed the substantial risks of fragmenting the Cyber Tyre operations, arguing such a move would be unworkable. It would critically undermine the integrated business model that relies on constant interplay between technology, innovation, production and marketing. Isolating the Cyber Tyre business would involve transferring related patents, thereby stripping Pirelli of free access to its own strategic know-how and contradicting core principles of the company Bylaws. This segregation would weaken technological development, erode Pirelli’s competitive edge and innovative leadership and reduce synergies while increasing costs through duplicated structures. Ultimately, it would trigger significant value destruction, impair financial solidity and still fail to address the limitations imposed by relevant US legislation.

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Giti Tire has achieved International Sustainability and Carbon Certification PLUS (ISCC PLUS) accreditation for its Anhui and Fujian Province plant in China, a major production site for its passenger, light truck and heavy-duty tyres destined for the European market. This globally recognised standard verifies sustainable practices across raw material sourcing, production and supply chain management. It mandates certified sustainable feedstocks, verified reductions in greenhouse gas emissions, robust waste and circularity systems and strict traceability, all while meeting social sustainability criteria.

This certification strengthens Giti Tire's capacity to develop tyres carrying the ISCC PLUS label. The milestone aligns with the ambitious goals detailed in the company’s 2024 Sustainability Report, which includes targeting net-zero for its global Scope 1 and 2 emissions by 2050. To support these objectives, Giti is making significant investments in renewable energy and sustainable manufacturing processes. A key initiative is a new state-of-the-art carbon neutral production line at its Anhui plant, scheduled to commence operations in 2026, complementing broader efforts in innovative tire technologies aimed at improving fuel efficiency and lowering carbon output.

Dr Pang, Chief Sustainability Officer, Giti Tire, said, “ISCC PLUS accreditation is a landmark moment in our sustainability journey, verifying that key raw materials come from responsible and fully traceable supply chains as well as confirming our commitment to people and the planet. This recognition places us among the industry’s premium manufacturers, an achievement that reflects our rising leadership in the global tyre sector.”

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