How will the collaboration with Michelin influence the future of the company? What vision do the companies share?

Michelin evaluated our recovered carbon black material in 2016. Since then, they have made significant testing of quite large volumes of our material over time to evaluate its consistency and quality. This is probably the most important parameter for any tyre manufacturer to use recovered carbon black. The interest in the technology itself started to grow as they saw that the performance of the recovered carbon black material was quite impressive. Over time, they started doing due diligence on the technology during those years. We intensified the negotiations in the early stages of 2020 and finally entered into a partnership agreement in April where Michelin invested 20 percent in Enviro. But, that was only one part of the partnership we envisioned. We also had, from the beginning, discussions about how we can provide the technology as a part of their solution to build a business model around mining tyres. This way, they could also offer their mining customers a solution for the recovery of the mining tyres. In that aspect, we negotiated regarding a joint plant project we are currently building in the Antofagasta region of Chile. We are also preparing the permitting for a plant in Uddevalla, Sweden, of 60,000-tonne ELT capacity for car and truck tyres.

In addition to that, we evaluate different technology experiences from both sides where we contribute with our experience in pyrolysis and treating end-of-life tyres in a professional way. Michelin is contributing with their extensive knowledge about developing and innovation into industrial capacity plants. What we have is a very intense collaboration on a more or less daily basis.

Going forward, we see that Michelin has a strategic ambition to replace up to 100 percent of the materials in the tyres with sustainable alternatives. Carbon black is one of the materials where we think that quite large volumes can be replaced over time. They're also involved in replacement and development of different types of oils in the tyres. From Michelin’s side, I think they have a wider interest in the recovery of all the materials in the tyres. This also aligns with our interest since we are recovering tyre pyrolysis oil and doing that quite successfully. We expect more plans in collaboration with Michelin in one way or another. Their investment in our company and the clear engagement in showing the market that they're using our material in motorcycle racing tyres in Moto E and in performance tyres for racing cars is helping us to get the acknowledgement in the market. This is important for our growth and our expansion plan.

How are you matching the quality and consistency of the recovered carbon black to virgin carbon black? Can you also please elaborate on the collaboration with AnvaPolytech, where Enviro completely replaced virgin carbon black used in Volvo's rubber components back in 2015?

We are using our patented batch process, which is a fixed batch process. The technology that we are using was developed for over 20 years to maintain control of the pyrolysis process. We can make sure that the result of the pyrolysis in the material is consistent, which means that we are not creating new carbon, as you easily do when you have a continuous process, and we are making sure that the pyrolysis process has evaporated all the volatiles out of the carbon fraction. This is very important and we control this with the system in multiple parameters that we measure during the process. We also have a significant quality control system downstream. So, in the post process of the pyrolysis, we do multiple quality checks. Before each shipment, we have ASTM standard controls for about 10 different parameters where we compare to the industry ASTM standard normally used for carbon black. There are a few ASTM measurements used for virgin carbon black that are not applicable for all recovered carbon black products, but the majority of the tests can be similar and we keep a very high consistency there. This is also one of the main achievements of the company since January 2016. We made the first commercial delivery to AnvaPolytech and they are a rubber component supplier to Volvo Cars. They have been involved with us before the commercial deliveries in the research and development of the material for rubber components. They were also involved in lots of different types of testing, where meeting the automotive standard for EPDM rubber components was a very significant part, and also got the final approval from Volvo Cars to replace the material. Since 2016, we have replaced 100 percent carbon black in those components with our material. I think it's now more than 100 million components delivered from Anva to Volvo Cars.

The gas produced during the pyrolysis process is used to fuel the machinery itself. Is there a commercial value for the gas in this market and are you exploring those business verticals?

It is a very valid question; we are producing new pyrolysis gas, and in the process, we condense out the oil, but there will be a fraction of gas that is not condensable. That gas is the excess gas that we use for the next pyrolysis phase. In our current plant at Åsensbruk, we use the excess gas and part of the oil to power the main process and the post process for heating purposes. In the new plants we will be building, for instance, one in Sweden, we plan to start production in the fourth quarter of 2023, where we will use green energy from wind, solar, water and waste to provide energy. In this case, the excess gas will be used only to heat the dryer system in the post process. Does it have a commercial value? I think some markets do; it might be used also in-turn to produce energy or electricity, but at the moment, this is not something that we are exploring further in detail.

The company recently received two ISCC certifications, one for the pyrolysis oil and the other for the carbon black. What were the challenges in earning the certifications and are there any other benchmarks that you're targeting for any other product in the future?

We are very proud to be the first to achieve the certification for the recovered carbon black. It is an important step for both the certification and for us as a company. We are already seeing some of the players in the tyre industry looking to certify according to ISCC now. This means that there will be a higher value in connection to using that type of material. There are always challenges with being certified and the most challenging maybe is to follow the certification requirements in terms of how, when and where to measure. We need to make sure that this is something that we can live up to when we are audited annually. We must also commit resources and capabilities to do this. We also needed to involve our supplier of tyre material, which, in Sweden, are Ragn-Sells. They are also audited by the certifier.

Enviro was evaluating business prospects in India. What is the current status of opening a full-size plant? Pyrolysis is banned in India across almost all states by the pollution board, and we're seeing various companies being ordered to shut down plants. Where does Enviro fit in and what are the developments?

Yes, we have been conducting meetings together with the Swedish Energy Agency, Swedish Export Organization, Business Sweden and a few other organisations including India-Sweden Innovations Accelerator and Confederation of Indian Industry in India. We have been exploring the Indian market for many multiple axles, and during the last two years, we are meeting with all the major tyre producers, both local and international. We are meeting with oil companies downstream who are potential customers for oil. We are meeting with waste treatment and tyre treatment companies locally and also making presentations to most local governments. However, we feel it is a bit too early for us to enter India on a more massive basis.

We have decided strategically that we will start with Europe followed by probably the US in the next phase. I think that will help India to monitor what is happening with the technology and how it can be a part of the system in those markets. We can then use that as a showcase for creating a sustainable and long-term system for the Indian market. We hope that this display of the system will be appreciated by the players in India to implement and also be some kind of inspiration to make that happen. In regards to pyrolysis being banned, I think it's probably a very correct decision because the pyrolysis technologies that we have seen being used in India are mainly Chinese versions where the environmental 360-degree impact has not really been considered. I think it was a very necessary decision.

The system for import and collecting for the pyrolysis industry was not really in place at that moment. But I think we can showcase together with a few of our peers in the European market that batch pyrolysis process and pyrolysis in general can be made with a very sustainable and safe technology with the highest possible emission control systems. We are hoping that by setting an example in Europe and showing both the technology and the system, maybe we will enter India in the next five years.

What are some of the constraints that you see in entering the Indian market?

I think one constraint that we are struggling with – mainly in Europe, but also in other markets – is that end-of-life tyres are viewed purely as waste materials. To really get our authorities and government regulators to understand that we are making a transition of waste materials into something that can sustainably replace fossil resources is a challenge. We are in the right direction. ISCC certification is one step.

Reach of the materials is another step. I think that transition to get aligned with the current legislation in many countries is still a hurdle. Even if it's improving, making this kind of large transition of an industry that is not really present at the moment requires financial support. Financial investors need to be willing to take a little bit of a risk to make the industry change as rapidly as it needs to. It's not enough for the tyre industry if there is one company able to provide the small volume to the market; they need multiple suppliers and large volumes to replace larger volumes of virgin material. The volume is a constraint itself. We hope, together with Michelin and other parties that we're working with, to provide larger volumes in the coming 10 years. Our ambition is to establish at least 30 plants globally in the coming decade. We also hope that our competitors are also successful in India.

What potential do you see in the Indian market, being one of the biggest automotive markets in the world, in terms of government support or the infrastructure for the products Enviro produces?

One of the opportunities is the growing automotive market. There is also a foundation of industry there in India for a long time. There is a tradition to produce tyres with a lot of knowledge, research and development around tyres and rubber materials, which I think is a very interesting potential itself. The competence around the materials in India is significant. I think the size of the market itself is an opportunity. If you choose to see the immaturity of the collection system as an opportunity, which I do, I think there is a lot of potential to establish from ground-up, a workable system with different stakeholders where I think local and national government needs to play a role, but it needs to be still on market conditions. I think the model that we will be showcasing in Europe will be attractive for both the government and local private stakeholders like the tyre industry and rubber industry.

In a broader sense, what is the future for the company and what are your goals? What are you excited about?

There are very clear targets from the tyre industry since they are consuming more than 70 to 80 percent of the carbon black material in the world. We have very clear targets for replacing fossil-originated materials with recovered or sustainable materials. We are very excited about the volume potential we see there. We have started to take steps in that direction with multiple tyre producers. The regulation in Europe and other countries to reduce the fossil content in oil products and chemical products is very positive for us. ISCC is a very important tool for the market to implement recovered and bio-based materials which have tax incentives. These enable us to launch our expansion plan, which, as I mentioned, is for the next 10 years to open 30 plants globally. We are excited that we are now in the position to work in establishing one plant with Michelin in Chile and in parallel a plant in Sweden with more or less the same time scheduled to start production. In the pipeline, we have several very interesting projects building up.

Are there other manufacturers or automotive players that are satisfied with the level of quality in your recovered carbon black? Are there any projects in the pipeline?

We have seen the interest significantly increasing in suppliers to the automotive industries and to other core manufacturers since we got the ISCC certificate for our products. But I think that we could better market what we have achieved together with Volvo in order to really get the other car brands into using more of our material. I think we have some homework to do there, because what we do is too little known to them at the moment. So there is work to be done there. We know we can achieve it. We should focus on letting them know what we can do. We are working with some other automotive manufacturers not only for the recovered carbon black but also to help them achieve their zero-emission objectives. So that could be related to oil, carbon black, steel and potentially other materials such as carbon fibre, for instance. (MT)

Comments (0)

ADD COMMENT

Link Copied!

The rugged landscapes of Arunachal Pradesh once again took centre stage as the JK Tyre Orange 4X4 Fury International wrapped up successfully, emerging as a major highlight of the Orange Festival of Adventure and Music, held from 18 to 21 December 2025. Spanning the districts of Namsai, Lohit, Lower Dibang Valley and East Siang, the event reinforced the state’s growing stature as a destination for high-endurance motorsport and adventure tourism. Enthusiasts from across India were joined by international teams from Thailand and Malaysia, reflecting the rally’s expanding global appeal.

Over three demanding days, 50 specially prepared off-road vehicles battled a constantly changing terrain shaped by the Lohit, Dibang and Sisiri rivers. Competitors faced a mix of riverbeds, forest tracks and sandbanks that tested mechanical resilience and driver strategy alike. Teams competed in Pro-Modified and Stock categories, each supported by two vehicles to ensure continuity during long endurance stages, recoveries or breakdowns. The format encouraged collaboration while maintaining intense competition, turning every obstacle into a test of teamwork and resolve.

The rally began with a dramatic prologue stage on 17 December, run entirely in darkness within the Bereng River. This challenging opener immediately set the tone for the expedition, with standout performances led by seasoned off-roaders, including the reigning Rainforest India Challenge leader, who established early momentum. The official ceremonial flag-off followed on 18 December at the Golden Pagoda in Namsai, led by senior state officials, marking the formal start of the international challenge.

Beyond motorsport, the event seamlessly blended adventure with culture and entertainment. The Orange Music Festival ran alongside the rally, drawing large crowds with performances by leading national artists as well as prominent regional musicians. The festival recorded peak attendance exceeding 15,000 visitors in a single day, underlining its wide appeal.

Backed by the Department of Sports and Youth Affairs, Government of Arunachal Pradesh, and JK Tyre, the event showcased a shared vision of promoting adventure sports, youth engagement and sustainable tourism across the state.

Comments (0)

ADD COMMENT

Link Copied!

India’s retreading industry closes 2025 on a turbulent note, shaped by volatile demand, uneven GST reforms, rising compliance costs and a partial enforcement of the Extended Producer Responsibility (EPR) regime.

The year began with optimism as pre-cured tread (PCT) sales moved up on the back of growing radialisation and sustained awareness initiatives, but that momentum faded mid-year as policy shifts and softer fleet sentiments weighed down volumes. Retreading companies say 2025 has been defined as much by regulatory shocks as by the struggle to recover pricing power in an increasingly competitive market.

According to Tyre Retreading and Education Association Chairman, Karun Sangi, overall retreading volumes declined through 2025, especially for businesses dependent on larger fleets. Fleet operators delayed retreading cycles as freight movement stayed inconsistent and as the widening GST gap altered cost economics.

Sangi explained that the GST cut on new tractor tyres from 28 percent to 18 percent dramatically changed fleet behaviour. “When the GST on new tractor tyres fell by 10 percentage points, it became easier and cheaper for fleet owners and small operators to opt for new tyres rather than retreading them. This has impacted retreading volumes significantly.”

Retreading GST remains at 18 percent, creating a distortion that disproportionately hurts small farmers and rural operators who traditionally preferred retreaded tyres for cost savings.

Sangi noted that radialisation in the truck and bus segment continued expanding, but many fleets still hesitate to pay for high-quality PCTR material. He stated, “There is a mindset shift that is still incomplete. Radial tyres require proper retreading practices and quality material to deliver full casing life. But many fleet owners still focus only on upfront cost.”

This behaviour forced retreaders to hold pricing steady even as raw material costs rose through the year. Smaller retreaders, lacking scale, were hit hardest, resulting in thinning margins across the industry.

Another major stressor was the implementation of the EPR framework for end-of-life tyres. According to Sangi, the EPR system, although essential for environmental compliance, has created bottlenecks for smaller players.

“EPR has made processes slower, approvals tighter and paperwork heavier. The industry agrees with the intent, but implementation needs streamlining, or SMEs will not survive,” he said.  

Retreaders who buy used casings from dealers or fleets now face documentation challenges and ambiguous compliance norms, particularly when handling multi-state movements of scrap tyres.

Sangi emphasised that retreaders have long been part of the circular economy and over-regulation could undermine a segment that inherently extends tyre life and reduces waste.

Treads in disarray

Echoing similar concerns, Kolkata-based Supreme Treads’ Director, Rajesh Verma, said that 2025 has been a difficult year marked by falling demand and rising input costs. He pointed to weak commercial vehicle movement, especially in the long-haul trucking segment, as a key factor.

“When truck utilisation drops, tyre wear drops. That automatically delays retreading cycles and that’s exactly what we saw in 2025,” he explained. Verma added that patchy freight during monsoons and the prolonged slowdown in construction activity further reduced tyre consumption.

Verma highlighted that customers also shifted back towards new tyres due to aggressive discounting by OEMs and Tier-II tyre brands. According to him, “We noticed that many smaller fleets were offered attractive upfront prices for new tyres, almost matching retread economics. For them, the choice became simpler.”

This price war undermined retreaders’ ability to raise rates despite increases in rubber, carbon black and labour costs. He reiterated that while overall radialisation is good for long-term industry health, retread quality across India remains inconsistent because of unorganised operators offering low-priced, low-quality jobs.

One of the leading tread makers of the country, Indag Rubber, echoed the same sentiment. The company’s Senior General Manager Rohit Kapoor said, “Since the start of CY2025, the industry witnessed an uptick in pre-cured tread demand, driven by greater customer awareness around the operational and environmental benefits of retreading. The rising commercial adoption of radial TBR tyres further encouraged fleet operators to opt for retreading as a way to extend tyre life and reduce running costs. However, the September GST reform proved to be a setback: while the tax on new tyres was reduced, the rate on retreaded tyres remained unchanged. This narrowed the price advantage and caused market volumes to fluctuate, although we expect a gradual recovery and steady growth in the coming year.”

He added, “The retreading sector had anticipated that the industry would be included in the GST revisions, given its role in circularity and resource efficiency. We have consistently engaged with policymakers to advocate for a lower tax rate on retreaded tyres and services, in line with global sustainability goals and waste-tyre regulations. Discussions with the authorities are ongoing, and while no formal roadmap has been communicated yet, we remain confident that the policy direction will eventually align with circular-economy principles and support tax rationalisation for retreading.”

2026 Outlook

Both Sangi and Verma agree that despite 2025’s setbacks, the long-term fundamentals of retreading remain strong because India’s expanding logistics and transportation ecosystem will continue to rely on cost-efficient tyre lifecycle management.

Sangi stressed that the industry needs GST rationalisation and smoother EPR processes. Verma added that technology adoption will be crucial for regaining customer trust and delivering consistent performance across applications.

As the year ends, the industry finds itself at an inflection point as the demand turbulence of 2025 exposed structural issues but also clarified what retreaders must prioritise in 2026 viz-a-viz quality, compliance readiness, customer education and tighter collaboration with fleet operators.

The segment has weathered a difficult year, but its intrinsic value proposition of extending tyre life at one-third the cost of a new tyre remains compelling. India’s push for sustainability and rising pressure on operating costs could well reposition retreading as a growth industry again, provided policy and market forces move in alignment.

Comments (0)

ADD COMMENT

Link Copied!

Tyres Europe has responded to the European Commission’s recently presented Automotive Simplification Package. While acknowledging the proposal as an initial positive step towards reducing regulatory complexity, the association identifies a significant omission: the failure to address the regulatory regime governing tyres. According to the association, tyres are a fundamental component influencing vehicle safety, energy efficiency, noise and emissions, making their inclusion in any regulatory simplification effort essential.

The association welcomes the Package’s move away from redundant laboratory testing, noting this sensible approach recognises that proliferating tests increases cost without necessarily improving environmental or safety outcomes. However, it argues this logic must be applied consistently across all vehicle components, including tyres. A specific and immediate opportunity for simplification is highlighted concerning the Implementing Act on In-Service Verification for heavy-duty vehicle emissions. The association points out that new original-equipment tyres used in this testing are already rigorously certified under separate, existing tyre legislation. The new act imposes stricter tolerances, creating a scenario where tyres fully compliant with their specific regulations could fail the in-service test. This constitutes a disproportionate double regulation that undermines legal certainty for manufacturers. The association contends that the objectives of in-service verification could be met more effectively through reinforced market surveillance instead of creating a parallel regulatory regime.

Looking forward, Tyres Europe calls for a coherent regulatory framework that properly acknowledges the tyre’s essential role. This framework should formally recognise tyres as core safety components, introduce new requirements with clarity and predictability, base decisions on reliable data and support innovation, circularity and European manufacturing. The association concludes that significant industry investment in safer and more sustainable products depends on regulatory confidence. For Europe to maintain a resilient and competitive automotive industry, tyre policy must be fully integrated into regulatory design, ensuring tyres are visible in policy discussions and recognised for their critical contribution to sustainable mobility.

Comments (0)

ADD COMMENT

Link Copied!

Doublestar Tire secured two major honours at the 2025 World Executive Summit in Hong Kong, an event organised by the World Brand Lab. The company was celebrated as the premier brand in its field, receiving the Chinese Brand of the Year award for the tyre category.

This accolade was complemented by a separate recognition, as Doublestar Tire was also ranked among China’s Top 10 Most Influential Brands for the same category in the 2025 edition of the annual listing.

These awards, announced during the summit, highlight the brand's leading reputation and substantial impact within the competitive Chinese market.

Comments (0)

ADD COMMENT

Link Copied!