A Chinese Tyre Maker’s European Powerplay

LingLong Tire

Once dismissed for quality concerns, Chinese tyre makers are steadily challenging legacy brands through localisation, OE wins and performance-driven branding. At the forefront is Linglong Tire, which is fast becoming a strategic force in Europe. From securing OE fitments with Stellantis, Volkswagen, Renault Group to launching a high-tech plant in Serbia, Linglong is leveraging smart manufacturing, targeted dealer engagement and sports sponsorships to elevate its brand. While most view OE as a branding tool with thin margins, Linglong claims real profitability, underpinned by market knowledge and pricing precision. Its lean model, combined with bold ambitions, signals a new chapter in global tyre competition.

A common perception associated with Chinese goods that still lingers across economies is ‘inferior quality’. The same fate had befallen Chinese tyres but is gradually changing. Today, Chinese brands are very competitive with global brands including the big names.

Speaking to Tyre Trends, Linglong Tire Head of Marketing Wolf Fuder said, “Our technology is now on par with established brands in Europe. However, branding is a different story. We have several tools and strategies. First and foremost is tyre quality. We’re constantly working on it. We have three main strategies to demonstrate the performance and quality of our tyres. The first is investment in original equipment. Being an OE supplier for brands like Fiat or Volkswagen or Renault Group serves as a clear proof of performance.”

OE fitment plays a critical role. The company began with spare tyres but has since made significant progress with OEM partnerships. While OE brings brand credibility, Fuder acknowledges that real profitability lies in the replacement market.

“The second strategy is rigorous testing. We work hard to get our products included in prominent magazines in Germany, Northern Europe, UK etc. Sometimes we invite testers to observe our testing processes. We’ve received strong results from the Rubber and High-Tech Centre, which we show to both our dealers and customers as proof of performance of our tyres,” he added.

The executive noted that different customised strategies are deployed across markets. In Europe, it offers a 30-day money-back guarantee. “We have partnered with major football clubs like Real Madrid and Chelsea to feature our logo. Football is a key long-term branding tool for us. Our goal is to have one strong club partnership in each European country. We’ve already partnered with Wolfsburg (partnership not extended yet) in Germany and we’re looking for similar opportunities in Italy and France,” noted Fuder.

Beyond sports sponsorships, it invests in advertising and trade fairs. “While branding is certainly about reaching the end user, it’s actually even more important to win over the dealer. In Germany, and across much of Europe, dealers are the real decision-makers in 80–85 percent of purchases. They’re the key link between the tyre and the consumer,” contented Fuder.

As Linglong Tire deepens its European presence, the company’s strategy is increasingly anchored by its manufacturing facility in Serbia. When asked about the company’s performance in the region post-Serbia plant inauguration, Fuder noted that the transition is still underway as ramping up the factory to its full capacity of 14 million passenger car radial (PCR) tyres per year takes time.

Despite that, he expressed satisfaction with the plant’s current progress and emphasised that the facility now supplies tyres to its European dealer network alongside existing exports from China. While imports from China continue, the long-term goal is to gradually shift the supply focus towards European production, making Serbia the primary hub for the region.

The localisation strategy also aligns with its ambition to expand volumes and competitiveness in Europe. In terms of production mix, Fuder confirmed that the Serbian plant manufactures a full range of tyre sizes, from 13 and 14 inches all the way up to larger sizes like 21 and 22 inches.

Notably, while certain older tread patterns continue to be produced in China, newer lines such are exclusively manufactured in Serbia.

To strengthen its presence there, Linglong Tire is launching marketing campaigns in Italy and the UK, expanding its social media footprint in Europe and preparing localised websites in six key markets including Germany, UK, Spain, Italy, France and Serbia.

7+5 STRATEGY

Linglong Tire’s long-term ‘7+5’ global strategy is a framework guiding the company’s international growth trajectory. It represents the vision to operate seven manufacturing plants in China and five international plants across strategic global locations.

(Linglong’s Thailand facility, part of the company’s international expansion strategy)

Currently, Linglong Tire’s international footprint includes operational facilities in Thailand and Serbia with a third under development in Brazil. Two more international sites are yet to be finalised.

Linglong Tire describes its Serbia facility as a ‘smart factory’ equipped with state-of-the-art machinery and designed for eco-efficiency and automation. “Our newer factories in China are also smart but Serbia features the most advanced setup,” explained Fuder.

The facility initially focuses on PCR tyres. In phase-two, production is expanding to include TBR and OTR tyres for agriculture and mining. These were previously made in China but are now shifting to Serbia.

This diversification also helps Linglong Tire avoid global tariffs, particularly in TBR and possibly in the near future in PCR as well, which has been impacted by import duties. “We had set up our Thailand plant earlier to avoid duties. Now, TBR tyres are exclusively produced in Serbia for Europe,” the executive said.

He also highlighted the plant’s 94/100 sustainability score, citing efforts across the supply chain, sustainable materials etc.

Answering why the company selected Serbia for its plant, Fuder explained, “Serbia is very well-connected to China and offers attractive incentives. These include subsidies, affordable land and economic advantages related to labour and operations.”

“The country’s appeal is evident as other tyre manufacturers also explore the region. While some competitors are evaluating sites in Poland or Romania, we secured the Serbia deal nearly six years ago, well before current market shifts,” he added.

Linglong Tire is actively working to expand its presence in Europe through a focused strategy combining dealer partnerships, OE fitment and targeted aftermarket engagement. Currently, the company operates with a relatively small European sales team, which it plans to scale up.

Rather than disclosing an exact dealer count, Fuder emphasised the company’s reliance on key wholesalers across Europe to maximise reach. In countries like Germany, where there are over 4,000 tyre dealers, wholesalers are seen as the most effective distribution route today, especially when supported by local warehousing.

MARKET INTEGRATION

Penetrating the OEM tyre supply chain has always been challenging, given the stringent validation and approval timelines. Traditionally, tyre development took several months, but as the automotive development cycle is accelerating, tyre manufacturers are under pressure to deliver faster without compromising performance.

“Today, companies like Renault are using virtual development loops followed by physical testing, reducing total car development time to under two years. This means tyre development must be completed within 12 to 14 months,” noted Enrico Staffini, the company’s Deputy Director Europe OE Sales.

The key challenge now lies in balancing performance requirements, particularly around rolling resistance, which is critical to meeting emission targets. “OEMs are no longer asking for just A-class tyres. They want A+ and A++ in rolling resistance, which directly impacts wet grip and wear life. There’s no breakthrough material yet that solves all these trade-offs, so we’re constantly optimising within limits,” he added.

Homologation requirements are prioritising rolling resistance, pass-by noise and mileage – metrics that all tyre makers must hit to stay competitive. Linglong Tire has been able to break into this tough segment in part due to its experienced team and its Serbian plant.

“I’ve been doing OE development for over 10 years and we started building this up at Linglong with early SKUs. Then came a turning point, when OEMs needed to cut costs and opened a door for us. Now, Stellantis, Renault and Ford are key OEM partners for us including Volkswagen,” said Staffini.

The industry itself is evolving. In the past, OEMs relied on just three or four tyre suppliers. But economic pressures are forcing change. OEMs now work with up to 12 suppliers, including brands like Kumho, Nexen, Falken, Apollo, Giti, ZC Rubber, Sentury, CEAT and Linglong.

As premium brands exit smaller tyre segments and OEMs expand their supplier base, agile and cost-effective manufacturers like Linglong Tire are seizing the opportunity to scale faster in Europe’s OEM ecosystem.

Another perception about the OE market is of low-margin. But Staffini strongly disagrees with that notion, pointing to recent developments in the company’s European operations as proof.

The company has strategically hired experienced specialists who are well-versed in pricing dynamics, supply chain management and competitive positioning. This expertise allows it to avoid aggressive undercutting.

For Linglong Tire, OE fitment is a crucial tool for building brand visibility in Europe. Unlike established players like Michelin, it benefits from the ‘pull effect’ when consumers see its tyres on new vehicles, helping drive replacement sales in a market where dealer influence is limited.

Sustainability is now a core requirement from OEMs and the company is undergoing independent assessments covering green materials, emissions, labour rights and production ethics.

It is also producing EV tyres in Serbia, but the ICE segment remains dominant due to slow EV adoption caused by high infrastructure costs. It is also expanding in TBR and agricultural tyres, starting to work with OEM like CNH and already supplying trailer tyres to Krone, while other trailer manufacturers are in the pipeline.

MARKET INFLUENCES

In light of ongoing global trade tensions and fluctuating tariffs, Chinese tyre manufacturers are increasingly realising the need to localise production rather than rely solely on exports.

In response to global anti-dumping tariffs, Linglong is also shifting its OE production for PCR and TBR tyres from China to Serbia. This move is not only meant to serve the European market but also offers flexibility to export to tariff-heavy markets like Brazil and US, where shipping from China is no longer commercially viable.

Being the first Chinese tyre manufacturer with a plant in Europe positions Linglong Tire strategically, giving it regulatory agility, tariff advantages and proximity to OEM customers in a fast-evolving global market.

“There’s already ongoing debate in Europe about PCR tyre tariffs and the situation is even more unpredictable in the US. While US tariff policies on Chinese goods have yet to reach an affirmative structure, European Union is seen as more stable,” said Fuder.

Besides the tariffs, major tyre manufacturers in Europe are exiting the small-size tyre segment and instead focusing on larger, high-margin products. This has come as a boon-in-disguise for Chinese tyre makers.

“Premium brands are stepping away from small-size tyres because the margins don’t suit their high-cost structures. But those same tyres are still profitable for us. We’re growing in both market share and profitability and doing so quite comfortably,” noted Staffini.

“Big companies are realising they’re too complex with too many departments and overheads. Now everyone wants to become as lean as the Koreans,” he added, citing Goodyear’s recent large-scale restructuring in Europe.

This industry transition is also redefining distribution and manufacturing. As tyre makers cut direct ties with retailers due to high servicing costs, wholesalers are increasingly taking over logistics and customer interface roles.

“Setting up a plant in Europe is capital-intensive and many do it to serve OEMs. But OEM business is brutally expensive. Total tyre development costs can range from EUR 300,000 to EUR 1 million for regular cars (high-end cars, like Porsche or others, can be easily more), depending on specifications and performance requirements. You also need specialised technology, engineers, testing facilities and logistics,” said Staffini.

In this high-cost, high-pressure environment, Linglong Tire’s lean approach and focus on both small and large tyre segments is giving it a competitive edge.

Furthermore. with the upcoming Euro 7 regulations, OE tyre suppliers like Linglong Tire face new performance demands. These targets are becoming increasingly stringent, requiring not just material innovation but end-to-end process optimisation.

The manufacturer’s Serbia plant gives the company a structural advantage. However, Staffini stressed that automation alone isn’t enough. Stabilising production, especially at a new site, takes time. Transferring moulds from China to Serbia, for example, isn’t a plug-and-play task. It requires fine-tuning and iterative testing to ensure performance consistency and final approval from OEM customers.

SEGMENTATION

Linglong Tire sees the OTR tyre market in Europe as fairly stable with the agriculture segment slightly down by around four percent in early 2025. Historically, the market has fluctuated, and while forecasts indicate slow growth over the next 4–5 years, it’s not expected to expand rapidly.

Another major trend is the shift from tier-I (premium) brands to tier-II and tier-III. Sales of mid-range and budget tyres are increasing, while premium brands like Continental are pulling back from the market. This shift is driven by both economic pressures and improved quality of Chinese and Indian tyres, which now offer better cost-per-hour and competitive performance.

According to the company’s Director Sales and Marketing of Specialty Tire Europe, Jean Paul Spijker, “Chinese brands are gaining trust, moving beyond the outdated perception of inconsistent quality. Today, many customers recognise that while we may not be Michelin or Bridgestone, our products are reliable and good. Brand reputation still matters, but price and quality balance are reshaping the market.”

However, establishing a strong brand presence in speciality tyres such as agriculture and mining requires a fundamentally different approach than in the passenger car radial segment. While PCR marketing focuses on safety, affordability and broad consumer appeal, speciality tyres are all about deep product knowledge and real-world application expertise.

Linglong Tire’s views this as a space for specialists, not just salespeople. “You need experienced professionals who understand technical specifications like load index, terrain behaviour, compound variation and air pressure optimisation,” noted Spijker, who has around 34 years in the tyre industry.

“Unlike the PCR business, where a competitive price and solid safety pitch may close the deal, speciality segments demand consultative selling and engineering credibility. However, one of our key concerns is the loss of industry expertise as younger professionals increasingly prefer to work with car or truck tyres, which are perceived as easier to sell and manage. Today’s generation leans on AI or online searches for answers. But in speciality tyres, you need to understand things like soil compaction, flotation effects and compound flexibility based on pressure and terrain; these can’t just be looked up. They require hands-on experience,” noted Spijker.

To signal its confidence and maturity in the agricultural segment, the company has become the first Chinese manufacturer to offer a 10-year warranty on radial agriculture tyres.

Moreover, the company’s entry into Europe’s speciality tyre segment is driven by experienced hires as building a younger talent pipeline is tough.

While Linglong still imports speciality tyres from China, it plans to begin production in Serbia soon. “Europe’s market is different from India or China. Bigger machines, more SKUs and higher expectations categorise the market. We’re also expanding our very high flexion range to meet OEM demands,” added Spijker.

“Now, with experts in place, we’re focusing on quality and margin. With Serbian production, stronger VF range and growing brand trust, we aim to be a key player in Europe’s speciality market,” contended Spijker.

HF Group Announces EUR 20 Million Greenfield Investment In India

HF Group

India’s growing importance in the global tyre and rubber industry received a strong endorsement with HF Group announcing a EUR 20 million investment in a new state-of-the-art manufacturing facility in Bengaluru.

The announcement was made during the inauguration of HF India’s new Assembly Hall Unit II, a milestone that reflects the company’s long-term commitment to India and its confidence in the country’s manufacturing future.

The proposed greenfield facility will be developed on a 10-acre site near Bengaluru Airport and is scheduled for completion by 2028. Spread across nearly 20,000 sq. metres, the new factory will be almost four times larger than the current assembly operations and will incorporate digital manufacturing, automation, smart production systems, and advanced engineering capabilities.

The upcoming facility will focus on productivity, precision engineering, sustainability, and smart manufacturing while supporting both the Indian market and HF’s global operations. The investment underlines the company’s confidence in India as a major manufacturing hub for the global tyre and rubber industry.

Ian Wilson, Managing Director & Co-CEO, HF Group, said, “This is not the end of our investment in India. It is perhaps the end of the beginning. India is entering a take-off decade and the economy runs on tyres. We see tremendous opportunities for growth and are committed to investing in the future of the Indian market.”

With more than 175 years of global experience, HF Group has steadily strengthened its presence in India. The journey began in 1995 with the establishment of Indus to serve the growing rubber processing industry. The partnership with HF Mixing Group in 2011 brought global mixing technology expertise to India, while the complete acquisition of the Indian subsidiary in 2024 marked another important milestone in the company’s India strategy.

Today, HF India manufactures and supports a broad portfolio of mixing and rubber processing equipment, including intermeshing and tangential mixers, banbury technology, mills, curing presses, and aftermarket services. The company also offers process support, training, upgrades, inspections, and spare parts under its customer-centric philosophy of ‘Holding the Customer’s Hand.’

Emphasising the importance of customer partnerships, Wilson said, “We are not here simply to sell machinery. We want to hold our customers’ hands throughout the entire lifecycle of their equipment and support them through process optimisation, performance improvements and future growth.”

As HF embarks on its next chapter in India, the new facility represents not only an investment in manufacturing capacity but also a long-term commitment to localisation, technology and customer partnerships.

TBC Corporation Appoints Ron Harper As Chief Supply Chain Officer

TBC Corporation Appoints Ron Harper As Chief Supply Chain Officer

TBC Corporation (TBC), one of North America’s largest marketers of automotive replacement tyres through wholesale and franchise operations, has named Ron Harper as its new Chief Supply Chain Officer. He will report directly to President and CEO Don Byrd and assume responsibility for the company’s entire supply chain function.

Harper brings over 26 years of experience steering global supply chains for multi-billion-dollar enterprises. His most recent role was Executive Vice President of Supply Chain at PrimeSource Building Products, overseeing planning, inventory, repack operations, service metrics and analytics. He has also held senior logistics and strategy positions at Sonepar USA, Nordstrom, Samsung SEA, and JCPenney.

The new chief holds a master’s degree in supply chain management from the University of Denver and a bachelor’s in industrial management from Michigan Technological University. His appointment underscores TBC’s focus on strengthening operational efficiency and logistics performance.

Byrd said, “Ron’s depth of experience in building transformative supply chain solutions aligns with our deep commitment to providing customers with the high-level efficiency, product availability and agility they expect from TBC. As market needs change and demands fluctuate, TBC is continuing to respond by having a supply chain strategy that minimises disruptions and maximises efficiency to ensure the highest levels of customer support and satisfaction.”

Rubber Board Of India Appoints N Hari As New Chairman

Rubber Board Of India Appoints N Hari As New Chairman

The Rubber Board of India has announced the appointment of N Hari as its new Chairman, effective for a tenure of three years. Hailing from Pallikkathode in Kottayam, Kerala, Hari brings considerable experience to the leadership role, having previously served as a Board member representing small rubber growers from the state.

His initial term on the Board commenced on 28 June 2022 and spanned three years. During this period, he also held the position of Executive Committee Member from 7 October 2023 to 6 October 2024. This progression from membership to the executive committee and now to the chairmanship reflects his sustained engagement with the organisation.

His appointment is expected to steer the Board's initiatives in supporting the rubber sector, focusing on grower welfare and industry development across India.

Bridgestone Kheda Plant

The Indian automotive landscape is currently undergoing a seismic shift. Driven by the rapid rise of rural urbanisation, an aggressive government push for electrification and the development of world-class road infrastructure, the industry is witnessing a period of robust growth. With sales of both new and used vehicles touching record highs, the demand for high-quality tyres remains in a significant upswing.

At the helm of one of the market’s most prominent players is Rajarshi Moitra, Managing Director of Bridgestone India and Vice-Chairman, Automotive Tyre Manufacturers’ Association (ATMA).

In an interaction with Tyre Trends, Moitra discusses the company’s future-ready roadmap, from its substantial capacity expansions to a ‘sharp and deep’ strategic focus designed to maintain leadership in an increasingly premium and electrified market.

A BULLISH OUTLOOK ON THE SUBCONTINENT

While global economic indicators remain varied, Moitra is unequivocally optimistic about the local trajectory. “The Indian automotive industry is at an exceptionally positive juncture from a medium-to-long-term perspective,” he asserts.

This optimism is grounded in several structural tailwinds that suggest India is slated for very strong growth. Key among these factors is the sheer room for market expansion.

“Firstly, we are still significantly under-indexed in terms of car penetration, with only 50 cars per 1,000 people – well below even some smaller developing nations,” Moitra explains.

Furthermore, the geographical spread of wealth is changing. Bridgestone is observing massive growth in Tier 2, 3 and 4 towns, a phenomenon Moitra attributes to ‘rural urbanisation’.

Bridgestone India estimates a transformative half-decade ahead for the industry. “The number of affordable households – those capable of purchasing a car – will double in India over the next five year. When you couple this with the government’s massive capital outflow into road connectivity and the rise of e-commerce, it creates a very bullish environment for both passenger and commercial mobility,” Moitra says.

THE ‘SHARP AND DEEP’ STRATEGIC PILLAR

Despite India being the world’s largest two-wheeler market, Bridgestone is famously absent from that segment – and intends to stay that way for now. Moitra clarifies that the company’s philosophy is rooted in specialisation rather than horizontal expansion. “At Bridgestone, we believe in being ‘sharp and deep’ in our strategy,” he says.

Currently, Bridgestone India’s business split is heavily weighted towards the consumer segment, with 70 percent of sales coming from Passenger Car Radial (PCR), 25 percent from Truck and Bus Radial (TBR) and 5 percent from Off-the-Road (OTR) segment.

“We see enough headroom for growth within the passenger car segment across products, channels and customer experience, so we are focusing our resources on maintaining our leadership there,” Moitra notes, dismissing any near-term plans to enter the two-wheeler space.

Instead, the company is doubling down on ‘white spaces’ within the consumer car category, specifically targeting higher rim diameters and specialised compounds for Original Equipment Manufacturers (OEMs).

INVESTING IN CAPACITY AND LOCAL INTELLIGENCE

To support this growth, Bridgestone is moving aggressively on the manufacturing front. With current operations running at 90–95 percent capacity, the company is in the midst of a major investment cycle.

At present, the company’s Pune plant has a capacity to produce 4.01 million passenger car tyres and around 693,000 truck & bus radial tyres, while the Indore plant has a capacity to produce 7.11 million radial tyres for passenger cars and light trucks.

“Our last major investment was USD 85 million in October 2024, which is being ramped up in phases through 2029,” Moitra confirms. This capital is being used to scale volumes and enhance technical capabilities at the Indore factory.

The new investment is expected to further add 1.1 million tyre production capacity in Pune by CY2029, thus taking its total production capacity to around 11.1 million units in the country.

“Our strategy is two-fold: we want to be future-ready for market demand while simultaneously sweating our current assets to drive higher efficiency,” Moitra explains. Crucially, this expansion isn’t just about physical output; it’s about local autonomy. Moitra highlights that a ‘very large part’ of procurement is now local, decided by teams on the ground in India.

The launch of a Satellite Technology Centre in 2025 has further decentralised the company’s innovation engine. According to Moitra, this centre plays a pivotal role in increasing local leverage and technical presence, allowing the Indian arm to maintain a balance between local agility and global sourcing.

EVs AND PREMIUMISATION

As the Indian market matures, consumers are demanding larger wheel sizes – a trend Moitra says is led by OEMs. “We are seeing a clear market shift towards higher inches – for example, a car like the Maruti Suzuki Swift moving from 14-inch to 15-inch and others moving from 16-inch to 17-inch,” he observes.

Bridgestone’s ‘all-inch’ strategy covers the spectrum from 12 to 20 inches, but their brand strength is most potent in these premium, higher-diameter sizes.

This premiumisation dovetails with the transition to electric vehicles (EVs). Bridgestone has positioned itself with an ‘EV-ready’ portfolio, exemplified by the Turanza 6i. “It balances long-lasting durability and safety with low noise and comfort – essential for EVs,” says Moitra. To ensure they capture this nascent but fast-growing market, the company expanded the range from 36 sizes in 2024 to 72 sizes by 2025.

The OEM relationship remains the cornerstone of this technological foresight. “The OEM segment allows us to see ahead of the curve regarding future vehicle technologies,” Moitra explains.

At present, 35 percent of their consumer business is OE-based and Bridgestone is in active discussions with many of the newer automotive entrants arriving in India.

While Bridgestone is aggressively expanding its footprint in new tyre technology and premium consumer segments, it is taking a markedly more conservative approach towards the retreading sector in India. Despite the potential for material circularity, the company does not view retreading as a strategic priority for the immediate future.

Moitra clarifies that Bandag, Bridgestone’s global retreading arm, is not currently active in India, and there are no plans to introduce it in the near-term. This decision is driven largely by the unique and challenging dynamics of the local market, which is currently dominated by cold retreading.

He points out that a significant pricing challenge exists when ‘cold retreads versus biased tyres versus some of the cheaper tyres’ are compared, making the business case difficult to justify at this stage. Consequently, Bridgestone has opted to remain focused on its core segments for the next two to three years rather than entering the retreading space.

SUSTAINABILITY AND THE ‘INSTITUTION OF RESPECT’

Beyond the numbers, Bridgestone is attempting to build what Moitra calls an ‘institution of respect’. This involves a heavy commitment to environmental goals. The Pune plant already holds the distinction of being the first carbon-neutral facility in the Bridgestone group.

“Sustainability is a core agenda across our entire value chain,” Moitra explains, noting a public commitment to reduce the company’s carbon footprint by 50 percent by 2030, including Scope 3 emissions. This holistic approach ranges from manufacturing processes to material circularity in the tyres themselves.

Looking ahead, the goal is to protect a dominant market share – currently over 20 percent by volume and 23 percent by value in the passenger car aftermarket. To do this, Bridgestone plans to expand its physical reach by 30 percent over the next five years, building upon its current network of over 4,000 touchpoints.

As the company transitions its branding from the Olympics to Formula E, the focus remains clear: high performance and the next era of mobility. “It’s the perfect platform to showcase our technological edge,” Moitra concludes.