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)

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Pirelli has developed a new rear tyre solution for the fifth FIM Superbike World Championship round at the Czech Republic’s Most circuit. The track is known for unusually high mechanical strain on rubber, particularly at the rear axle. To address this, Pirelli created the F0468 medium compound rear specification. Its compound matches the D0922, a tyre used at Most in 2025 and at Phillip Island across the previous two seasons. However, the F0468 features an entirely new internal structure for better race-long consistency and improved stability.

This newcomer evolves the E0829 specification, which shared the same compound and appeared at Phillip Island earlier this year. Riders who dislike the F0468 can still choose the D0922 development rear tyre. That option has already proven itself at the unique Czech layout and at Phillip Island, another tyre‑killing circuit. For qualifying and the Superpole Race, Pirelli has designated the standard soft SC0 as the reference rear tyre.

Beyond the premier class, Supersport and SportBike World Championship competitors will also race at Most. Supersport riders receive the same front choices as Superbike: soft SC1 and medium SC2. At the rear, Supersport entries can pick the soft SC0 or the medium SC1. SportBike competitors have used that same medium SC1 on both axles all season.

The tyre lineup thus gives every category familiar options alongside the new F0468. By blending a proven compound with a revised structure, Pirelli targets greater performance consistency without forcing riders to abandon the trusted D0922. Most’s punishing layout will serve as the ultimate test for both solutions.

Giorgio Barbier, Pirelli Motorcycle Racing Director, said, “Over more than two decades as supplier to the Superbike World Championship, Pirelli has built an extremely solid and versatile tyre range. The SCX supersoft rear solution now represents an absolute benchmark for riders and is used in most races on the calendar, with the soft SC0 becoming a valid alternative on some occasions. There are, however, some circuits that are particularly demanding on tyres, such as Phillip Island and Most, which by virtue of their layout and intrinsic characteristics require more specific solutions and more durable compounds, typically medium options.

“In these cases, development work focuses on improving key parameters such as performance and consistency over race distance: objectives that guided the design of the new rear solution in F0468 specification. To complete the allocation, riders will in any case also have the well-proven D0922 option available, which has shown that it can effectively handle the particular stresses imposed by this circuit. It will be interesting to assess whether the new F0468 medium will be able to raise the performance level beyond that of the D0922 further still.”

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Linglong Tire Vice President Feng Baochun represented the Chinese tyre industry at the Intelligent Electric Vehicle Development High-Level Forum 2026, held in Beijing in April. He addressed the session titled ‘New Stage, New Drivers, New Ecosystem – Market and Consumption’, sharing the latest insights into tyre market developments.

During his presentation, ‘Reinventing Product Values, Strengthening a New Smart Mobility Ecosystem’, he explained that profound changes in the automotive sector – driven by artificial intelligence, shifting environmental factors and globalisation – are redefining the role of the tyre. He stated that tyres are evolving from traditional safety components into critical parts that significantly influence overall vehicle performance.

To meet these demands, Linglong is actively building innovation drivers in global research, development and marketing, aiming to become a product and service provider for intelligent mobility rather than remaining a classic tyre manufacturer. The company currently focuses on optimising rolling resistance. Through new sustainable materials and advanced compound technologies, Linglong has achieved a balance between energy efficiency and performance.

This balance is an indispensable requirement for major national and international automotive manufacturers. Linglong continuously researches, develops and tests with these partners to meet strict original equipment tire standards, reinforcing its commitment to the new smart mobility ecosystem.

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Balkrishna Industries Ltd (BKT) has unveiled an ambitious expansion and investment roadmap aimed at more than doubling its revenue to around INR 230 billion by FY30, backed by a cumulative capital expenditure of INR 68 billion.

The company said the investment programme would strengthen its leadership in the off-highway tyre (OHT) segment, expand carbon black capacity and accelerate its entry into India’s on-highway tyre market. The strategy forms part of BKT’s long-term plan to achieve an estimated 8 percent global market share in the OHT segment by FY30.

BKT has already announced INR 13 billion of capex for OHT tyres in August 2024 and an additional INR 35 billion investment in May 2025 for on-highway tyres, rubber tracks, carbon black and power plant expansion. The board has further approved INR 20 billion in additional capex to support capacity expansion, infrastructure development, AI-enabled automation and sustainability initiatives.

As part of the OHT expansion strategy, BKT said ongoing debottlenecking and capacity enhancement initiatives would raise OHT tyre capacity to 425,000 metric tonnes per annum (MTPA). The company is also expanding its dedicated rubber tracks manufacturing facility while strengthening its mining tyre portfolio.

In the carbon black business, the company is scaling up production to improve raw material integration and energy efficiency. BKT said Phase 1 capacity has already been increased to 265,000 MTPA along with a 24 MW cogeneration power plant, taking total cogeneration capacity at Bhuj to 64 MW. Phase 2 expansion, which will raise carbon black capacity to 360,000 MTPA, is expected to become operational in Q1 FY27.

The company is simultaneously building its on-highway tyre business in India through a modular approach focused initially on premium passenger car radial tyres and commercial vehicle radial tyres. Commercial vehicle radial tyres were pilot launched in Q4 FY26, while passenger car radial tyres are scheduled for pilot launch in Q3 FY27.

For FY26, BKT reported standalone revenue of INR 106.56 billion, while net profit stood at INR 12.22 billion. OHT sales volumes rose 1 percent year-on-year to 317,356 MT.

The company said the expansion programme is expected to enhance profitability through stronger operational integration, scalable infrastructure and an expanded product portfolio, with blended EBITDA margins projected in the 23–25 per cent range after full commercialisation of the new capacities.

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Continental has unveiled plans to build a highly automated finished-goods warehouse in Mount Vernon, Illinois, representing an investment of roughly USD 76 million. The new facility, which will cover an area larger than six American football fields and hold approximately 500,000 passenger car tyres, aims to address growing demand across North America while improving service levels and customer support. Construction is scheduled to begin in the summer of 2026, with operations expected to launch the following year.

The Mount Vernon location already holds the distinction of being Continental’s largest tyre production facility in United States and serves as a linchpin for its supply network throughout the Americas. Tyre manufacturing has been a constant at this site for over 50 years, dating back to its 1974 opening; Continental took ownership in 1987. Today, the vast campus – measuring more than 320,000 square metres – produces tyres for passenger cars, light trucks and commercial vehicles, churning out roughly 11.4 million units annually while employing over 3,500 people.

Continental continues to advance digitalisation and automation across its global manufacturing operations, which include 19 tyre plants in 16 countries. The company is prioritising new technologies, alternative materials, environmentally friendly production methods and ongoing improvements in logistics efficiency.

Tansu Işık, CEO, Continental Tires Americas, said, “Our new highly automated finished-goods warehouse underscores our growth ambitions in North America. The new facility will enhance our ability to serve customers with greater speed and flexibility while strengthening our overall distribution network in the region.”

Nik Pearce, Plant Manager of Continental’s Mount Vernon tyre plant, said, “This investment is a strong signal for the future of our Mount Vernon plant. It enhances our capabilities, further modernises our operations and makes our plant logistics more efficient. At the same time, it strengthens our operations at local level and creates new development opportunities for our employees.”

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