With increasing technology and service-oriented approach and thrust on transparency in the pursuit of delivering service excellence towards the end-user, tyre dealers will evolve to be seen as providing the values expected of a specialist and not a generalist, says Satish Sharma, President (Asia Pacific, Middle East & Africa) and Whole Time Director, Apollo Tyres. 

“In terms of the changes, we will see more transparency ushered in by the technology and change in mindset. The new generation is more data-oriented, so testing and other data will be asked. I believe the service aspect and data-oriented approach will get expanded. A ‘24x7 for 365 days’ kind of service availability will be seen. Retailers are still looked upon as generalists. More and more specialisation will be happening, as the tyre is an engineering product and you want the right quality, assurance and replacements. So, retailers will emerge as specialists. There are also some regulations, such as tyre labelling and end-of-life, coming in. I’m sure the tyre retailers will have a role to play in the regulatory changes that are happening. So, the evolutionary journey is happening in bits and pieces. But given that the change is speedy, we are hopeful that this is the direction we will go,” explains Sharma.

The Indian tyre retail business has witnessed tremendous changes in the recent past. Earlier, a tyre dealership business was not seen as an aspirational choice. Still, with the evolution of finance for commercial vehicle tyres, the emergence of passenger car and motorcycle tyres as a specialised business – which offers a lot from the service angle – is producing a new breed of entrepreneurs who see the tyre retail business as a vocational profession. 

“Today, we are seeing entrepreneurs who have gone from a single retail outlet to multiple retail outlets looking at the benefits of covering the geography. Many of them are also having multiple retail outlets with various brands. On the two-wheeler tyre side, the traditional tyre retail outlet is not able to cater to that market, but they are available at mechanical shops or even puncture shops. At some places where the scaling has happened, one has also seen the entry of some professionals,” adds Sharma.

Tyre service is also emerging as a source of revenue. Specialisations around fitment, alignment balancing, nitrogen filling and other services have generated a sizeable portion of revenues. As radialisation is happening in the commercial tyre segment, dealers are also expanding their business on highways.

New challenges are cropping up for dealers with the emergence of new business models, where tyre companies are catering to end-users directly through supplying tyres on rent or on a CPKM basis and selling on their own websites. However, Apollo Tyres prefers to keep its partners as an integral part of its new business models. Sharma explains, “Providing tyres as a service is happening in the commercial tyre segment, where few tyre companies go directly to the end-user. However, Apollo Tyres has never gone that route and does not believe in going that route. We sell and service only through our dealer partners, and that’s been our preferred choice. When we opt for new business models, we always take care of channel conflict in our organisation. Even if we have to provide services directly to the end-user, we will train our dealer partners to provide the services. That’s the way we handle it. And I believe that’s the right way to handle it. In the passenger tyre segment, many local dealers are selling tyres online with the help of e-commerce portals. That’s why you normally won’t find the desired product on these e-commerce portals, and it’s not a very efficient business as of now.

Apollo Tyres had launched an e-commerce portal, shop.apollotyres.com, for passenger car and two-wheeler tyre customers two years ago to cater to the online selling tyres business. With the portal, consumers can purchase their chosen tyres online and book an appointment with Apollo Tyres’ dealer nearest to their location to get the tyres fitted and serviced. The Indian tyre major also has a portal for commercial vehicle tyres. Consumers can directly buy tyres on the portal, but the commercial transactions are passed to the dealer servicing the customer’s needs. “However, this business model, again in its nascent stage, is not as if it’s put the world on fire. For e-commerce for tyres, there’s a long way to go, simply because the customer realises the quality of service you can actually get by going to the dealer counter and having a good relationship with a tyre specialist – because you need the services repeatedly. As the bouquet of services at a tyre dealer is increasing, you can go to a tyre dealer even for a puncture. If this business model takes off, we are already a foot inside the door,” adds Sharma.

Apollo Tyres will launch a digital experience centre to reach its targeted consumers widely. However, the company firmly believes that a real- life experience of the product better impacts the consumers. In line with this, it is making efforts to train its dealers, setting up a standardised format for its branded retail outlets such as Apollo Zones, Apollo Corner, Apollo Points and Apollo CV Zones. “With our branded retail outlets, we have changed the perception of a tyre shop from a dusty looking shop to a dust-free and air-conditioned outlet, where products can be browsed on digital screens. Products are placed so that one can touch and feel them. Our outlets are very friendly and gender-neutral to encourage women to purchase tyres independently. So, we engage our customers with products more meaningfully,” explains Sharma.

Apollo Tyres is also focusing on expanding its footprint in the rural area. With local entrepreneurs and service forces called rural experts, Apollo Tyres has around 4,500 touchpoints, including about 250 AVK/ ARD and more than 1,000 REDs , in the rural network at the start of FY21 . It also launched the ‘Apollo Tyres Sarpanch’ initiative in March 2021 to enable it to have the most comprehensive tyre distribution network in the rural segment. 

Apollo Tyres recently has launched its Vredestein brand in India. With the brand, the company will initially cater to the demand for tyres between 15 inches and 24 inches, which are generally needed for the luxury and executive premium segment. The company is also working with BMW to supply the Vredestein tyres for BMW 2 and BMW 7 series as OE fitment. “We are cherry-picking the business partners. To create awareness, we are associating ourselves with targeted communities and consumers. We are also engaging ourselves with golf tournaments and providing riding experiences on the F1 tracks,” adds Sharma.

In the tyre retail business, data will gain importance to generate new customers, retain older ones, serve them and manage the business more efficiently. However, dealers may be good at maintaining the balance sheets but they are yet to get hands-on with generating data on the best tyre models, sizes, brands and fast-moving inventories. As per Sharma, “Today, dealers have mistrust with the company manufacturers, and they don’t want to share their data on inventory, the movement, speed and velocity of the inventory at the same time. But as the dealers are getting more and more into digitalisation, they’re seeing the benefits of data. Their minds are also opening up. And so, it’s a journey which needs to be travelled.”

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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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