French tyre maker Michelin reported a 1.9 percent drop in first-quarter sales as steep declines in original equipment demand offset gains in its replacement tyre business and improved product mix.
The Clermont-Ferrand-based company maintained its full-year guidance despite the challenging start to 2025. However, sales fell to €6.5 billion in the quarter ended 31 March, down from €6.6 billion a year earlier.
The company cited a 7.3 percent decline in tyre volumes, primarily due to weakness in original equipment markets across all segments, which continued the downward trend seen in the second half of 2024.
“In a highly volatile environment shaped by geopolitical and macro-economic uncertainties, the Group tightens up its steering and keeps its 2025 guidance unchanged,” Michelin said in its quarterly report.
Michelin’s automotive and two-wheel segment, which accounts for more than half of group sales, grew 1.2 percent despite a 3.3 percent drop in volumes, helped by robust demand for replacement tyres and an enriched product mix.
The company said its MICHELIN-brand tyre sales rose four percent in the replacement market, with particularly strong performance in high-value-added tyre sizes. Sales of 18-inch and larger tyres continued to grow in line with the market and now account for 67 percent of MICHELIN-brand sales, up four percentage points from a year earlier.
The road transportation segment suffered a 3.5 percent sales decline as original equipment markets in Europe and North America plummeted by 12 percent and 14 percent respectively. However, replacement tyre sales increased in the segment’s key markets in Europe, North America, and South America.
The most significant weakness was in Michelin’s speciality businesses, which saw sales drop 7.3 percent. This was driven by a steep decline in original equipment sales of agricultural and construction tyres, which fell by about 30 percent compared with the first quarter of 2024.
Mining tyre sales, however, showed resilience, matching the previous year’s levels despite a high basis for comparison. Aircraft tyre volumes also increased, boosted by growth in air traffic.
Despite the challenging market conditions, Michelin maintained its full-year outlook, expecting to outperform its 2024 segment operating income of €3.4 billion at constant exchange rates and to deliver free cash flow before acquisitions of more than €1.7 billion.
Michelin’s performance reflects the broader struggles in the automotive sector. Original equipment markets for passenger car and light truck tyres dropped 13 percent in Europe and 8 percent in North America. The company attributed this to persistent uncertainty about regulations governing the market’s transition towards hybrid and electric technologies and reduced consumer purchasing power.
In contrast, China’s original equipment market grew 10 percent, supported by government financial subsidies launched in the second half of 2024.
The first quarter also saw several developments for Michelin, including the launch of its new MICHELIN Primacy 5 range. The company says this range delivers an 18 percent increase in tread life while maintaining superior wet grip safety performance, reducing noise, and improving fuel efficiency by 5 percent compared with its predecessor.
Michelin also announced that it had started mining tyre recycling operations at its plant in Chile’s Antofagasta region and signed its first commercial contract for its WISAMO wingsail technology, addressing the challenges of decarbonising maritime transport.
Nokian Tyres’ Flagship Winter and Summer Tyres Earn Finnish Quality Recognition
- By TT News
- June 19, 2025
Nokian Tyres plc has been awarded the prestigious Key Flag symbol by the Association for Finnish Work for its flagship Hakkapeliitta winter tyres and Hakka summer tyres.
The Key Flag, a nationally recognised emblem, is granted to products manufactured or services produced in Finland that contain a minimum of 50% domestic content based on break-even cost.
“We are proud of our Finnish heritage and our northern knowhow which is represented in our premium Nokian Tyres Hakkapeliitta and Nokian Tyres Hakka products,” said Ville Nikkola, Head of Sales, Finland at Nokian Tyres. “The Key Flag symbol is a sign of Finnish work and very well known among consumers. We are extremely happy to be able to present it next to our tyres manufactured in Finland for Nordic drivers.”
The Hakkapeliitta winter tyres and Hakka summer tyres are both developed and produced at Nokian Tyres’ factory in Nokia, Finland. The company’s global research and development centre is also located at the site, and both products undergo rigorous testing in Finland, including winter trials at the Ivalo test facility in Lapland.
This recognition is the latest in a series of Finnish quality accolades for the company. Nokian Tyres has previously received the Key Flag for its heavy machinery tyres, wheels, and retreading materials. Additionally, its truck and bus tyres carry the Design from Finland label, underlining their Finnish design pedigree.
Founded in 1898, Nokian Tyres began manufacturing tyres in 1932. The company introduced the world’s first winter tyre in 1934, followed by the first Hakkapeliitta-branded passenger car winter tyre in 1936. Since then, the brand has become a hallmark of Nordic winter driving.
“The Nokian Tyres Hakkapeliitta winter tyres, as well as the Nokian Tyres Hakka summer tyres,, are designed to withstand the challenges of their northern home: the harsh winters with ice and snow as well as the summer months from the first sub-zero mornings of the spring to the heavy rainfalls of autumn,” Nikkola added.
Nokian Tyres emphasised that both product lines are still made in the same factory in Nokia as their early predecessors. Over the decades, the plant has been modernised and now runs on electricity sourced entirely from CO2-free sources. Most of the steam used in the facility also comes from CO2-free fuels. Since 2015, the factory has sent no waste from tyre production to landfill.
The company has further strengthened its sustainability credentials by obtaining the International Sustainability and Carbon Certification (ISCC) PLUS for the Nokia passenger car tyre plant. The certification enables the integration of sustainable raw materials into tyre production at the facility.
“The Nokian Tyres Hakkapeliitta winter tyres are already a legend of Nordic winter roads and are, just like the Nokian Tyres Hakka summer tyres, still made within the same factory walls in Nokia as their predecessors in the 1930s,” Nikkola concluded.
- Hankook Tire
- ABB FIA Formula E World Championship
- Jakarta International E-Prix Circuit
- Maximilian Günther
- Motorsport
- Hankook GEN3 Evo iON Race
- Racing tyres
Hankook Tire All Set For 2025 Jakarta E-Prix
- By TT News
- June 17, 2025
Hankook Tire is gearing up to electrify the 2024/2025 ABB FIA Formula E World Championship as the series returns to Jakarta on 21 June for Round 12 of Season 11.
After a one-year absence, the Jakarta International E-Prix Circuit (JIEC) will once again host the high-speed spectacle, set against the vibrant backdrop of Ancol’s shoreline. The 2.37-km track, celebrated since its debut in Season 8, blends high-speed straights, sweeping turns and a technical final section – inspired by the rhythmic flow of Java’s traditional Kuda Lumping dance. The challenging layout, combined with Jakarta’s intense tropical heat, will test drivers’ skill, endurance and tyre strategy to the limit. Powering every team will be Hankook’s GEN3 Evo iON Race tyre, purpose-built for Formula E’s cutting-edge electric race cars. Its advanced tread design and specialised rubber compound ensure superior grip, stability and heat resistance – key to handling Jakarta’s demanding conditions.
Sustainability remains a core focus, with the tyre incorporating 35 percent eco-friendly materials, including natural rubber and recycled fibres. Designed for extended durability, each tyre is fully recovered post-race and processed through Hankook’s recycling programme, reinforcing the brand’s commitment to reducing motorsport’s environmental footprint while pushing the boundaries of electric racing performance.
Maximilian Günther, the DS Penske driver and winner of 2023 Gulavit Jakarta E-Prix (Race 10), and most recently, the 2025 Jeddah E-Prix (Race 3) and 2025 Hankook Shanghai E-Prix (Race 10), said, “Jakarta delivers a unique blend of technical complexity and extreme climate. It’s a true proving ground for drivers and tire management. The enhanced grip of the GEN3 Evo iON Race tyre allows us to push harder through technical sectors without sacrificing traction. We’ve already observed gains during simulator sessions, and we’re optimistic about translating that into on-track performance.”
Yokohama Rubber Concludes Mizuho Eco Finance Loan Agreement
- By TT News
- June 17, 2025
The Yokohama Rubber Co., Ltd. has signed a Mizuho Eco Finance (Mizuho Environmentally Conscious Finance) loan agreement with Mizuho Bank, Ltd. on 17 June, reinforcing the company’s dedication to sustainable growth and decarbonisation.
This environmentally conscious financing programme supports companies transitioning to a decarbonised society by evaluating their climate-related initiatives and disclosures. Yokohama Rubber qualified for the loan after achieving high scores in Mizuho Bank’s environmental assessment, which examines corporate efforts in emissions transparency, greenhouse gas reduction and long-term sustainability goals.
The company has committed to reducing CO₂ emissions by 40 percent by 2030 (compared to 2019 levels) and achieving carbon neutrality by 2050. These targets, along with Yokohama Rubber’s focus on emissions reduction across its supply chain, contributed to its strong evaluation. Under its sustainability slogan, ‘Caring for the Future’, the company integrates social responsibility into its business strategy, aiming to create shared value by addressing global environmental challenges.
Canadian Court Orders Nova Chemicals To Pay Dow Additional USD 1.2 billion In Damages
- By TT News
- June 17, 2025
The Court of King’s Bench of Alberta has ordered NOVA Chemicals Corporation to pay Dow Inc. an additional USD 1.2 billion in damages related to losses from the companies’ jointly owned ethylene assets in Joffre, Alberta.
The judgment, signed on 10 June, relates to losses Dow incurred from the asset. The award includes interest to 7 April 2025 but excludes subsequent interest or legal costs. Payment is anticipated to occur in the fourth quarter of 2025.
The latest ruling adds to a prior payment by NOVA to Dow of approximately USD 1.08 billion in damages in 2019 following a June 2018 court decision.
That decision found NOVA had failed to operate the jointly owned ethylene asset at full capacity and had breached contractual obligations since 2001, resulting in reduced ethylene supplies to Dow.
On appeal, the court directed that Dow’s damages be recalculated for the period from 2001 through 2012, as well as for the period from 2013 through June 2018, which had not yet been quantified.
The judgment is subject to appeal, the companies said.
The dispute centres on the operation of the ethylene facility, with Dow claiming it suffered losses due to NOVA’s failure to meet production capacity and contractual commitments over nearly two decades.
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