Michelin has purchased 51 per cent of Royal Lestari Utama (RLU), a pilot project developing sustainable rubber tree plantations in Indonesia.

Michelin, which previously held 49 per cent shares, bought a further 51 per cent of the capital of RLU, a joint venture with Barito Pacific Group, and became the sole owner of RLU.

RLU operates three licenses covering nearly 70,000 hectares in Sumatra, in the Jambi province, and 18,000 hectares in Borneo, in the East Kalimantan province.

The project, which was launched in 2015, aims at creating the right conditions for the production of sustainable natural rubber over a wide area of 70,000 hectares in Sumatra, in the Jambi province, and 18,000 hectares in Borneo, in the East Kalimantan province, the company said in a statement.

These territories suffered great damage and deforestation before Michelin and its Indonesian partner got involved, it pointed out.

With the takeover, the Group said it reasserts its trust in the project and the long-term vision it requires. The substantial work carried out since 2015, which has been widely documented, has led to a number of social and environmental improvements.

For nearly six years, after significant preparation work, rubber trees were planted over more than 23,000 hectares, and 39,000 hectares were preserved notably to develop agroforestry activities and subsistence agriculture. The project also includes a social dimension, consistently aiming at improving living standards for 50,000 inhabitants, by creating approximately 4,000 jobs, training farmers to rubber tree growing and diversifying crops.

The Group said it had invested over a billion euros in its various business since 2015 in Indonesia. For Michelin, this project is a significant long-term opportunity to actively contribute to making the natural rubber sector more sustainable.

The natural rubber value chain is highly complex and fragmented and there is still much to be done on the commercial, environmental, and social fronts.

Vincent Rousset-Rouvière, Purchasing Director of the Michelin Group, said, “Becoming the sole owner of RLU means Michelin will continue investing in a demanding but remarkable long-term project which combines social dimension, environmental protection and economic performance. We are proud of the actions taken with our Indonesian partner Barito Pacific, whom we thank for their contribution to the project since its launch in 2015. We are also confident in RLU's future ability to support the transformation of the natural rubber sector in Indonesia while improving living standards and preserving forests and ecosystems.” (TT)

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MAXAM is set to showcase its advanced agricultural tyre solutions at Agritechnica 2025 in Hannover from 9 to 15 November. Visitors can find the company at Stand A04 in Hall 20, where the exhibition theme ‘More Pull. Less Fuel’ will guide the presentation. This philosophy underscores the company's dedication to developing tyres that enhance operational efficiency and contribute to more sustainable farming practices by reducing fuel consumption and soil compaction. The event provides a significant opportunity for MAXAM to demonstrate its commitment to innovation and the expansion of its product portfolio.

On display will be a range of DLG-awarded tyres, including robust models for high-horsepower tractors and versatile options for specialised implements, illustrating the company's technical breadth. Beyond presenting products, MAXAM considers the trade fair a vital meeting point for industry collaboration. It serves as a platform for direct engagement with farmers, partners and machine manufacturers, whose feedback provides invaluable, real-world insights that directly influence the future direction of product and service development, ensuring they remain precisely aligned with evolving market needs.

As a part of SAILUN Group, one of the 10 largest tyre manufacturers in the world, MAXAM leverages its extensive international presence and collaborative research initiatives to drive continuous innovation. The company is dedicated to advancing agricultural tyre technology, creating sophisticated solutions that directly address the evolving demands of modern farming. This focus encompasses critical areas such as enhanced sustainability, improved cost-efficiency and superior field performance.

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Radar Tires has expanded its US distribution network with the opening of two new domestic distribution centres in Knoxville, Tennessee, and Parkesburg, Pennsylvania, as part of efforts to strengthen product accessibility and service reliability for its growing customer base.

The expansion increases the brand’s domestic distribution centres from one to three. It aims to improve delivery efficiency and inventory availability across key regions, particularly in the Southeast and Northeast of the United States.

“Stocking domestic tyre inventory is a key part of the Radar strategy going forward,” said Rob Montasser, Vice President of Sales for Radar Tires, USA. “It ensures our distributors and retailers have easy access to the products that their customers need, without the long lead times or supply chain uncertainty. These new locations allow us to be faster, more flexible, and more dependable.”

The company said the additional facilities will reduce delivery times and ensure that its core product range remains readily available to meet rising market demand.

With existing operations in Texas, the addition of centres in Tennessee and Pennsylvania underscores Radar Tires’ long-term strategy to enhance supply chain responsiveness and reinforce its position as one of the most customer-focused distribution networks in the tyre industry.

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Cabot Corporation reported lower quarterly earnings, as weaker demand in its Reinforcement Materials segment and softer volumes in Performance Chemicals weighed on results. However, the company ended fiscal 2025 with solid cash flow and continued shareholder returns.

For the fourth quarter ended 30 September, Cabot posted net income of USD 43 million, or USD 0.79 per share, compared with USD 137 million, or USD 2.43 per share, in the same period a year earlier.

Full-year diluted earnings per share were USD 6.02, while adjusted earnings per share rose 3 percent year-on-year to USD 7.25.

“I am very pleased with another strong year of Adjusted EPS growth where we achieved USD 7.25, up 3 percent year over year, in a year with a challenging macroeconomic backdrop,” said Sean Keohane, Cabot’s President and Chief Executive Officer. “This performance was driven by higher EBIT in our Performance Chemicals segment, which increased 18 percent year over year, partially offset by EBIT in our Reinforcement Materials segment, which declined 5 percent.”

Cabot’s revenue for the quarter fell to USD 899 million from USD 1.0 billion a year earlier, while full-year sales declined to USD 3.7 billion from USD 4.0 billion.

The Boston-based speciality chemicals manufacturer said fourth-quarter cash flow from operations totalled USD 219 million, enabling USD 64 million in shareholder returns through dividends and share buybacks. For the full fiscal year, Cabot generated USD 665 million in operating cash flow, funding USD 274 million in capital investments, USD 96 million in dividend payments and USD 168 million in share repurchases.

Keohane said the company’s balance sheet remained strong, with a net debt-to-EBITDA ratio of 1.2 times, providing flexibility to invest in growth while continuing to return capital to shareholders.

The company’s Reinforcement Materials segment reported a USD 4 million decline in EBIT from the prior-year quarter, reflecting lower volumes in the Americas and Asia Pacific, partly offset by cost efficiencies. Global volumes fell 5 percent, including a 7 percent drop in the Americas, where lower tyre production by customers was attributed to increased Asian tyre imports.

Performance Chemicals EBIT decreased USD 2 million year-over-year, mainly due to a 5 percent drop in volumes led by weaker demand in Europe, particularly from construction-related applications.

Cabot ended the quarter with  percent 258 million in cash and spent percent 64 million on capital expenditures. The company recorded a 55 percent effective tax rate in the fourth quarter and an operating tax rate of 27 percent for fiscal 2025.

Looking ahead, Keohane cautioned that market conditions remain challenging, particularly in the Reinforcement Materials sector. “We do not yet see signs of improvement in the external environment, particularly as it relates to regional demand trends in Reinforcement Materials due to the impact of elevated Asian tire imports into western regions,” he said.

The company anticipates improvement in Performance Chemicals, led by growth in battery materials and infrastructure-related applications, while maintaining strong cash flow to support investment and shareholder returns.

“While market conditions remain challenging, we continue to execute on our foundation of commercial and operational excellence, and we remain focused on managing costs, strengthening operations, and positioning the company for long-term growth,” Keohane said.

In fiscal 2025, Cabot also announced an agreement to acquire Bridgestone Corporation’s reinforcing carbons plant in Mexico and released its 2024 Sustainability Report, noting it had achieved 11 of its 15 sustainability goals ahead of schedule and established new 2030 targets.

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The German Rubber Industry Association (wdk) has responded positively to the 'Berlin Declaration’, characterising it as an essential and long-awaited political signal. From the wdk's perspective, the declaration represents a crucial commitment from the ‘Friends of Industry’ to bolster the manufacturing sector, which is fundamental to preserving Germany's industrial core and the multitude of upstream and downstream jobs it sustains. The association's Managing Director, Boris Engelhardt, emphasised that this initiative correctly identifies the urgent need for Europe to recognise and champion industrial value creation.

The wdk finds it particularly significant that the impetus for this declaration originated from a coalition of 17 member states, a fact that underscores a shared political priority independent of the EU Commission's agenda. While the declaration's broad framework allows for various interpretations, the wdk has identified the reduction of bureaucratic burdens as its paramount objective. On this specific point, the association reports being in complete alignment with Federal Minister for Economic Affairs Katherina Reiche. The wdk now asserts that the true measure of the declaration's success will lie in its translation from a political statement into actionable policy, urging the addressed EU institutions to move beyond acknowledgment and proceed with swift and decisive implementation.

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