After the completion of a reorganisation process, Nynas, a Swedish manufacturer of speciality naphthenic oils and bitumen products, aims at increasing its market share globally with the continuous focus on its core business. Now the company has a strong balance sheet with a 5-year secured financing.  Bo Askvik, Nynas President & CEO, in an interview with Sharad Matade, said, “We have long-term financing in place, giving us the necessary financing to build volumes and increase sales turnover. With the current financial position, we are now focusing on taking back market share across all our different segments and businesses. The reorganisation also required us to focus on the things we were managing and better control the business.  We are now back in the normalised operational mode that enables us to focus on supply reliability.” He also shared his view on opportunities in new mobility and lowering the supply of Group I base oils.

Last year was a challenging year for Nynas. The company went through a reorganisation process amid pandemic challenges. In January this year, the reorganisation was formally completed. Recalling last year’s challenges, Bo Askvik, Nynas President & CEO, said, “Like many other industries, we were impacted by the slowdown due to the global pandemic. The reorganisation process which was in place all of last year restricted our possibilities of supply somewhat. But we managed to maintain most supplies for our customers and operations during the last year.”

Surprisingly, Nynas managed to do better- than -the industry in 2020. The tyre oil industry, as per a report, had a volume loss of around 14 percent across all segments, whereas the company’s sales were down by six and a half percent in the comparable geographic regions. In the Asian region, Nynas managed to maintain its 2019 sales level, while sales in central Eastern Europe, Middle East, India, and Africa witnessed an uptick.

Askvik said, however, though Nynas may not witness sales of the pre-pandemic levels this year, the company, with its long-term business plans, will continue to focus on its core products to support the growth of the industry.

Nynas AB is a Swedish manufacturer of specialty naphthenic oils and bitumen products. It produces bitumen for paving and industrial applications, transformer oils, base oils, process oils, and tyre and rubber oils. The company has three refineries under its own management – in Nynäshamn and Gothenburg in Sweden, and in Harburg Germany and a bitumen refinery in the UK operated as a 50/50 joint venture between Nynas and Shell, as well as application labs for bitumen, greases, adhesives, rubber and the electrical industry.

In 2017, the US imposed sanctions on Nynas, and additional sanctions in 2019 restricted the company to procure heavy crude oil from Venezuela. Nynas applied for company reorganisation on December 13, 2019, after its banks did not extend the loans. The US lifted sanctions on Nynas AB in May 2020 after the ownership restructuring, which resulted in Petróleos de Venezuela SA’s stake reducing from 50 percent to 15 percent.  An independent Swedish foundation now controls the divested stake.

The reorganisation somehow proved to be a boon for Nynas. The Swedish company is now no longer restricted by the reorganisation regulations and can again hedge oil prices and currency exposures. The company reached a composition agreement with the creditors resulting in a 5-year secured financing and a strong balance sheet. The company has already obtained the necessary permits from the authorities needed for running new feedstocks, which secure supply.

“Now we have a solid balance sheet, much stronger than what Nynas had for many years. We have long-term financing in place, giving us the necessary financing to build volumes and increase sales turnover. With the current financial position, we are now focusing on taking back market share across all our different segments and businesses. The reorganisation also enabled us to focus on the things we were managing and better control the business.  We are now back in the normalised operational mode that enables us to focus on supply reliability. And that’s what customers are looking for. Now we have the same challenges the industry is facing at large, which is COVID-19,” said Askvik.

Despite the challenging time, Nynas remained aggressive on product launches to cater to its customers and markets worldwide. Askvik added, “We launched a series of new products, including the biobased products, and improved our existing products. So, we never lost our focus on developing the business.”

Askvik attributes the successful reorganisation to the company brand, loyal customers, and employees.

Disruptions in shipments is also another major challenge for any company in the current circumstance. Shipment durations have gone up with increasing costs. However, Nynas has always been at the forefront to have a superior supply chain worldwide to serve its customers. Currently, it has 44 depots globally, of which Antwerp, Houston and Singapore are central storage facilities and blending stations. “We have a firm base in the supply chain structure. We focus on how we can be most efficient and maximise shipments to reduce costs per tonne,” said Askvik.

Growing demand for technical higher refined base oils and increasing production cost are accelerating the closure of traditional Group I plants. In 2011, Group I represented about 57% of base oil production capacity, which had dropped to 37% in 2019. However, for tyre  applications, highly refined paraffinic Group II and III oils cannot substitute Group I and it´s derivatives due to limitations in viscosity range and chemical composition differences. “Naphthenic oils provide the solvency and polymer compatibility that group II and group III base oil cannot provide,” explained Askvik. “We always look at bringing value to the tyre and rubber applications”.

The Nynas executive sees that the faster-than-expected adoption of electrification will bring more business opportunities to the company. Though the number of rubber and oil products will reduce in EVs, Nynas bets on its solutions for lubricating greases and metalworking fluids for the different parts in the EVs. “We see a balanced substitution in the electrification of vehicles. Of course, electric vehicles will still be needing tyres for the foreseeable future. Apart from that, we must bear in mind that there are two types of batteries in electric vehicles. You still have a starter battery of the ICE vehicles in the electric vehicles. Where again, our naphthenic oils are an excellent tool to control both, the production as well as the properties of the isolating membranes used in that type of batteries,” said Askvik.

Increasing demand for lower rolling resistance in tyres, which leads to improving fuel economy and reducing CO2 emission, for ICE-driven engine vehicles will extend to electric vehicles as well, said Askvik. “Another element where we have good offering is when it comes to winter performance. That’s a core value of all our products with their performance in lower temperatures.”

To meet the demand for non-mineral oil-based products, Nynas introduced NYTEX BIO 6200, the company’s first tyre and rubber process oil to be produced using renewable feedstock to support its customers reaching their sustainability goals without sacrificing critical technical properties. “When we developed this bio-based tyre oil, we did not want to compromise on the things that Nynas stands for, and that are quality, consistency and performance. We are, I think, one of the few truly global tyre oil suppliers that understand the requirement for consistent quality. NYTEX BIO 6200 is a product that combines all the key benefits of naphthenic oil with low rolling resistance and the winter performance with the bio base component,” explained Askvik.

In the future, Nynas will continue to focus on sustainable products and regulatory demand for safe tyre oils and substitution for Group I oil products. Region-wise, Askvik bets high on the APAC region, a hub of tyre and vehicle manufacturing. “ For us, we will continue to focus on product development to launch new products and increase the performance of our existing products.  We are into niche segment whereas, for our competitors, tyre oils and bitumen are very small part of their business. We offer the customer our technical competence and help them improve their products and we consider this as both challenges and opportunities.” (TT)

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Tegeta Green Planet opened the Light Vehicle Diagnostics course at Tegeta Academy with a presentation for attendees aged 17 to 33. Beyond their chosen vocational field, participants learned about automotive waste management and environmental responsibility.

Shalva Akhvlediani, the organisation’s director, outlined its activities and goals while emphasising Extended Producer Responsibility. The session examined how the automotive sector connects to environmental duty and why used tyres, waste oils and automotive batteries must be collected and managed properly.

Tyre management and RECSOL featured prominently. Attendees traced a used tyre’s path from collection to recycling and learned how waste becomes a source of new resources. RECSOL, Tegeta’s tyre recycling plant, is a significant infrastructure project in used tyre recycling, processing tyres into materials for various uses and supporting circular economy principles.

A core aim is a system where waste is not an endpoint but the starting point for new resources, which requires infrastructure alongside greater public awareness and information on proper disposal. For participants, the meeting linked professional education with environmental awareness, stressing that future automotive professionals should understand this responsibility early.

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Tyres Europe, alongside ACEA (the European Automobile Manufacturers’ Association) and CLEPA (the European Association of Automotive Suppliers), has dispatched a joint communication to EU decision-makers concerning the possible broadening of the Carbon Border Adjustment Mechanism (CBAM) to cover downstream goods. The move comes as trilogue discussions approach.

Tyre producers form part of an automotive value chain already bearing carbon-related expenses for steel and aluminium manufactured within Europe. The proposed expansion would draw additional products into the mechanism’s remit before the existing framework has demonstrated its effectiveness. Resulting costs and administrative requirements would land on downstream manufacturers, tyre makers included, with signatories cautioning that a conceptually sound regulatory effort could become an operational and financial strain.

Endorsing the mechanism’s aims, the signatories nonetheless urge a proportionate scope that shields the entire value chain from carbon leakage while preventing that risk from being pushed further downstream. They advocate extending the mechanism only where a material carbon-leakage danger is evidenced, and request that policymakers ease compliance demands, including via more fitting default values mirroring real production routes.

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NEXEN TIRE has extended its partnership with Zalgiris, reinforcing its commitment to basketball in Europe, particularly across the Baltic region. The renewal builds on a relationship that began in 2024 and reflects the company’s broader strategy of linking its brand to performance, innovation and mobility.

The tyre maker has pursued sports partnerships as a way to connect with fans, sharing in the passion and excitement of supporting favourite teams during major matches and memorable moments. It also values the teamwork, dedication and collective achievement that define team sports, using such ties to build authentic connections and deepen engagement in key European markets. Its collaboration with clubs including Zalgiris and FC Bayern München forms part of this approach.

Under the extended agreement, NEXEN TIRE will gain greater visibility among sports fans in the region. The partnership offers branding opportunities at Zalgirio Arena, such as synchronised on-screen advertising and promotion on LED stands near the court, in a position visible on television during EuroLeague and LKL home games.

The arrangement also includes a hospitality programme allowing NEXEN TIRE to welcome guests and business partners at Zalgiris home fixtures. Through the strengthened alliance, the company aims to share its passion with more fans while raising brand awareness across the region.

Ricky Lee, Managing Director, NEXEN TIRE Poland, said, “Our cooperation with Zalgiris has developed positively since 2024, and we are pleased to extend and strengthen this partnership. Basketball has a particularly strong following in the Baltic region, making Zalgiris an important partner as we continue to grow our presence and engage with fans. We look forward to supporting the team throughout the season and doing our best to create positive experiences for both the players and their passionate fans.”

Paulius Jankunas, President, Zalgiris, said, “We are delighted to continue our cooperation with NEXEN TIRE and build on the partnership we started two years ago. NEXEN TIRE brings extensive experience in sports marketing, and we are proud to work together on creating meaningful projects and experiences for our fans. We look forward to another successful period of cooperation and to welcoming NEXEN TIRE’s guests and partners to our games and events.”

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TBC Corporation, one of North America’s largest marketers of automotive replacement tyres through wholesale and franchise operations, has widened its tyre portfolio through the addition of four new lines under the Multi-Mile Tyres banner. Serving as a value step-up brand, Multi-Mile gives dealers a strong mix of broader product coverage and improved consumer advantages crafted to drive better retail margins, helping retailers offer greater value while lifting profitability. With this expansion, the portfolio now reaches over 85 percent of the vehicle market, offering dealers more ways to satisfy customer demand.

Among the additions are tyres built for rugged and mud terrain use, boasting self-cleaning treads that push out mud and stones alongside dependable traction both on and off the road. Also joining the range are commercial and C-metric speciality tyres tailored to heavy-duty regional and long-haul trucks, together with all-weather tyres that hold the 3-Peak Mountain Snowflake severe snow rating and are made for high mileage and consistent year-round use.

A prominent name in the replacement tyre segment, Multi-Mile carries cutting-edge touring, high-performance and broad-line tyres suited to passenger cars, light trucks and SUVs. Meanwhile, the upgraded Mile After Mile Protection Plan warranty now delivers broader coverage, adding three-year roadside assistance, a three-year road hazard protection plan and a 60-day ride guarantee on top of its extensive treadwear warranties.

Rachel Tibor, Chief Marketing Officer, TBC Wholesale, said, “For more than 70 years, Multi-Mile products have offered cost-efficient, reliable and durable tyre options that enhance safety and performance. With this expanded portfolio, Multi-Mile strengthens its position as a value step-up brand, giving dealers more opportunities to meet evolving consumer needs while offering a product mix designed to support stronger retail margins. We’re continuing our longstanding tradition of supplying the right products at the right time for every type of vehicle and application.”

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