Leading data and analytics company GlobalData has predicted substantial ripples across the global automotive industry owing to US Government’s announcement of 25 percent tariff on all foreign automobiles and automotive parts entering the country. Though President Donald Trump has since announced a 90-day suspension on the new tariff implementation to allow trade negotiations with partner trading countries, the report says that the situation still poses a significant challenge for the global automotive industry.

According to Madhuchhanda Palit, Automotive Analyst at GlobalData: “The economic repercussions of these tariffs are particularly pronounced for Japan, where the automotive industry is a vital economic pillar. According to the Japan Automobile Manufacturers Association (JAMA), over 30 percent of Japanese car exports were directed to the US in 2023, solidifying its status as the largest single-country export market. Projections from Japan’s Ministry of Finance indicate that automotive sales accounted for approximately 30 percent of Japan's total exports to the US, valued at around JPY 6 trillion (USD 40 billion) in 2024. The looming tariffs threaten to disrupt this critical trade, compelling the Japanese government to act swiftly to negotiate favourable terms with US officials.”

South Korea too has implemented emergency steps to offset the expected financial impact of US tariffs. With plans to increase policy financing support to local manufacturers to KRW 15 trillion (roughly USD 10.09 billion) by 2025, the South Korean trade ministry has unveiled a multibillion-dollar support package that includes tax breaks, subsidies and increased financial backing for regional automakers. India is positioned to be impacted by the new tariff laws as a major supplier of automobile components to the United States. The 90-day negotiating pause is an important window of time for APAC nations to adjust to the changing nature of trade, notes the report.

The report adds that German manufacturers are expected to suffer the most as a result of the US tariffs on exports from the EU automobile sector. Prominent companies like Mercedes, Audi, BMW and Volkswagen now have to make difficult choices about whether to stop shipments or pay the additional expenses associated with tariffs. As a result of US tariffs on EU steel and aluminium, the EU has responded by levying a 25 percent duty on a variety of US commodities worth about EUR 22 billion. However, the EU has also halted its retaliatory tariffs until the conclusion of ongoing trade talks, in response to the US president's declaration of a 90-day postponement of tariff rises.

The report notes that this tit-for-tat strategy highlights the brittleness of global trade relationships and that a protracted trade war may lead to a negative cycle of tariffs that would hurt both economies. As a result, a solution must be found to promote a more stable environment in the automotive industry. “The US president's decision to suspend tariff increases for 90 days while negotiations unfold presents a critical opportunity for all stakeholders involved. Larger manufacturers may adapt through strategic pricing and production shifts, but smaller suppliers may face a more precarious future amid these changes. As the automotive sector increasingly focuses on domestic production to mitigate tariff impacts, the evolving landscape presents both immediate challenges and potential long-term opportunities for growth and investment,” concluded Palit.

The Victra Sport 6 and HP6 tyres from Maxxis have won the Red Dot Product Design Award for 2025 in the Vehicle Accessories category.

The Maxxis Premitra HP6 features improved rolling resistance, effective braking, a smooth ride, improved mileage for longer travel and accurate handling in wet situations. Designed for sport and luxury automobiles, the Maxxis Victra Sport 6 is an ultra-high-performance tyre that works well with electric and plug-in hybrid vehicles. It offers outstanding handling and performs quite well at sporty, faster driving. Both the tyres are available in Europe.

Red Dot Award winners are selected by a panel of 40 worldwide professionals who test, analyse and assess each entry in one of the biggest design contests in the world. The categories for awards include Design Concept, Brand Communication and Product Design. Winners will receive the Red Dot trophies during a banquet in Essen, Germany, on 8 July.

Continental's SportContact 7 tyre has emerged the test winner in this year's Auto Bild sportscar summer tyre test (issue 6/25) with an overall grade of 1.2 (exemplary).

Seven tyre models in the sizes VA 245/35 R 20 and HA 295/30 R 20 from European, Asian and American manufacturers were tested by the editors. The Lotus Emira served as the test car. The SportContact 7 scored top marks in wet handling, cornering, braking and aquaplaning. It had a 43.7-metre braking distance from 100 kmph on wet asphalt, which put it four metres ahead of the second-place tyre and eleven meters ahead of the last-place tyre. It clinched an intermediate score of 1- for the wet tests, which puts it far ahead of its rivals in the test field. After 31.2 metres at 100 kmph in the dry testing, the tyre came to a complete stop. Overall, the tyre received an intermediate 1- throughout the five dry categories.

The SportContact 7 is specifically made for high-performance sports cars that may be powered by electricity or conventional power. Several automakers have authorised it, and it comes in sizes ranging from 18 to 24 inches. Continental concentrated on achieving excellence in every performance criterion throughout development in order to maximise driving enjoyment and safety.

Andreas Schlenke, tyre expert at Continental, said, "The SportContact 7 took first place in the AUTO BILD sportscar test in both wet and dry conditions. This once again proves its leading position in the sports and UHP tyre segment.”

The final verdict from the tyre testers read: "Conti's sport tyre sets the standard for braking on dry and wet roads and offers a big plus in driving safety. Stable, well-balanced handling on dry roads.”

The U.S. Tire Manufacturers Association (USTMA) has welcomed the bipartisan passage of H.J.Res. 61, a resolution that improves environmental stewardship and lessens financial constraints on tyre manufacturing plants.

The resolution, co-sponsored by more than 20 representatives from 14 states and introduced by Representative Morgan Griffith (R-Va.), repeals the EPA's 29 November 2024 updated rule on Rubber Tire Manufacturing National Emissions Standards for Hazardous Air Pollutants (NESHAP). With nine co-sponsors, Sen. Tim Scott (R-S.C.) spearheaded the campaign in the Senate with S.J.Res. 24. Before the House vote, USTMA sent in a letter of support for the measure. 

According to the EPA's own evaluation in 2020, the current guideline offers a sufficient margin of safety to safeguard human health and avert a negative environmental impact. On 29 November 2024, however, the EPA released an updated final NESHAP rule that added emission restrictions for total hydrocarbons (THC) and filterable particulate matter to the current NESHAP regulation, in defiance of the agency's own judgment. Because of this, tyre factories must build and run a large number of control devices called regenerative thermal oxidisers, which require a large amount of natural gas to burn impurities. In an effort to lower insignificant HAPs, these new control devices raise carbon emissions while placing a heavy financial burden on tyre manufacturing facilities with no clear emissions reduction target.  

The EPA's objective to protect America's clean air is shared by USTMA member companies. In order to reduce the negative impacts on the American tyre manufacturing business, the environment and the American economy, the USTMA supports Congressional action to overturn this final rule, even as it continues to collaborate with the EPA, the association stated.

Anne Forristall Luke, President and CEO, USTMA, said, “Tyre manufacturers have long understood and complied with the existing NESHAP standards to reduce hazardous air pollutant (HAPs) emissions from tyre manufacturing. However, the agency’s revised final NESHAP rule creates an adverse environmental impact, while imposing significant financial burdens on tyre manufacturing facilities and providing negligible, if any, benefits. The industry appreciates the Congressional leadership and bipartisan efforts in getting this resolution passed.”

China's tyre industry posted modest growth in 2025 with its total brand value edging up from USD 2.7 billion to USD 2.8 billion, according to Brand Finance's latest Tyres 25 2025 report.

Sailun strengthened its position as China's most valuable tyre brand with a 13 percent increase in brand value to USD 905 million. The manufacturer achieved a significant milestone by breaking into the global top 10 for the first time, displacing Japan's Toyo Tires. Sailun also emerged as China's fastest-growing tyre brand this year, with Brand Finance's market research highlighting the brand's strong credibility both domestically and in international markets.

Linglong Tire retained its status as China's strongest tyre brand despite a 2 percent decline in brand value to $785 million. The company recorded a Brand Strength Index score of 62.6 out of 100, earning an A+ brand strength rating. According to Brand Finance's analysis, Linglong's performance is primarily driven by its eco-friendly product range and overseas expansion initiatives.

"China's tyre sector may have seen modest growth, but brands like Sailun and Linglong Tire are clearly leading the charge. Sailun's rise in global rankings is a testament to its growing reputation, not just in China but around the world. The brand’s growth is driven by high credibility both locally and internationally, while Linglong continues to maintain its position by focusing on brand strength and sustainability. These brands prove that even in a challenging market, staying innovative and connected to consumers can drive real success,” said Scott Chen, Managing Director of Brand Finance China.

Other Chinese brands featuring in the global rankings include Sentury Tire (down 12 percent to USD 332 million) at 19th position, CST (down 1 percent to USD 289 million) at 22nd, and Triangle Tyre (valued at $226 million), securing the 25th spot.

The combined brand value of the world’s top 25 tyre brands increased by 5 percent to $38.8 billion, outperforming the largely stagnant broader automotive industry. Manufacturers are heavily investing in innovation to meet evolving market demands, including green tyre technology, innovative RFID-enabled products and specialised offerings for electric vehicles.