BKT has announced that with its enhancement at Bhuj, it is aiming for an annual tyre production of 600,000 metric tonnes (MT). The company also envisages the achievement of two billion dollars in turnover in three years.

Bhuj from 201 to 2023
When the first tyre rolled off the Bhuj production line in 2012, the plant was located on an area of 123 hectares. Then it was a $500 million investment. Before starting the works, the desert landscape was completely arid. There was neither water nor electricity. But after the laying of many kilometres of drinking water pipes and power lines, the site grew with 126 hectares in 2016, 131 in 2019, 137 in 2021 and 258 in 2022. By the end of 2023, the forecast is to reach a total surface area of 323 hectares, of which 283 have already been acquired.

Better production and safety
BKT claims that Bhuj today sees more efficient machinery installed, with features that make it possible to work faster and more precisely. This increases the quantity of production and the quality of the finished product. This means, for example, that the amount of product discarded is reduced, increasing the sustainability of the manufacturing process and consequently reducing production costs. Occupational risks are also reduced and worker comfort improved.

Self-produced carbon black
A further strategic choice by BKT to enhance the Bhuj site was to invest in its own carbon black plant. The plant came into operation in 2017, when the first 65,000 MT/PA of hard grade carbon black was produced, the type of carbon black used specifically in tyre tread.  The following year, production increased from 65,000 to 110,000 MT and saw the addition of production of soft grade carbon black. This carbon black is used in the casing compound to improve its strength and durability, generating less heat. In 2021, total production of the two types of carbon black reached 138,000 MT per annum, while last year it rose to 165,600 MT per annum.

The goal for 2023 is 198,600 MT. In addition to this, the R&D department plans to add a third type of carbon black, the ‘specialty carbon black’. It is a type of carbon black with unique properties compared to that used in rubber compounds, such as high resistance to colouring, a high level of purity, a low ash level and very low level of PAHs, which make it suitable for use in specific applications, such as paints, plastics and inks.

Increasing production capacity
The expansion of the plant means an increase in production capacity. The operational logistics have also improved significantly. This has allowed the introduction of new specialist workers, as well as providing greater flexibility in production and storage flows. Speaking of work, the construction of new facilities also marked an improvement in employees' safety conditions, an aspect which BKT takes very seriously. The community that operates on the Bhuj site today is very large. At the end of December 2022, the number of people working there was 4,776.

The wellbeing of the BKT family
BKT dedicates a significant investment to the wellbeing of its community every year, through the expansion of the area housing the families of employees (now almost 1,000 people live there), in the care of their health and in the education of their children.

A good use of resources
Bhuj is also a model for the good use of resources. In 2013, the internal power plant was created to have a reliable and controlled source of electricity. Today, both solar panels and the cogeneration plant make it possible to self-produce energy. In 2022, the cogeneration plant was expanded from 20 MW to 40 MW. Projects are still underway to increase the power of self-produced renewable resources.

Water is also at the heart of BKT's path towards sustainability. Since 2019, the Zero Liquid Discharge (ZLD) principle has been adopted. This means that no liquid waste is released outside the plant. All water used in the plant is treated, purified and reused. The objective of the ZLD principle is to conserve water resources, reduce the environmental impact of wastewater discharge and improve the overall efficiency and sustainability of the plant.

Carbon black production made more sustainable
The tyre manufacturer has also taken an approach to carbon black production to make the whole process more sustainable. The company has substituted bulk bag containers with mobile silos. This means that the tyre production plant receives the carbon plant with the aid of mobile silos transported pneumatically to the storage. This will make BKT save on packaging, i.e., 100,000 bulk bags in the next few years. The whole transportation system is also designed to reduce energy usage, consumption and quality. Every transfer system is controlled by weight and the energy used. The future goal is challenging – reducing energy consumption up to 70 percent. This translates in saving more than two million kilograms CO₂ emissions per year, which are comparable to 5,000 apartments of 100 square metres each.

At the same time, the gas used to manufacture carbon black is now ending up in a co-generation plant, able to reuse 75,000 cubic metres of gas per year. This means saving 215,000 MT of coal per year. 

Research opens up the future
BKT's R&D division was what allowed the Bhuj site to grow. Established in 2017, this hub develops both products and processes, to ensure the company can maintain its international leadership. Led by a specialist team of researchers and analysts, it remains an important and up-to-date research centre in the tyre sector.

Coming to testing, a special test track was inaugurated in 2017. With six different tracks, this circuit includes tracks for tyre performance tests in dry and wet conditions, an asphalt track and a sloping concrete track. Thanks to a wide variety of tests, many important characteristics such as traction, handling, comfort, soil compaction and more can be measured here because of high precision devices and instruments.

A concrete vision
Rajiv Poddar, Joint Managing Director at BKT, says, "People have asked me if all this was really necessary, so much in such a short time. The goals we set ourselves when we decided to open the Bhuj site were proportional to the financial solidity of the time, but above all, to a vision which is as great as it is concrete.”

He added, “Analysing the market and anticipating it with passion and foresight is what we have done all these years. Growth has always been in step with demand, not without – let me say it – courage and creativity, but never without our objectives and investments having solid foundations. Global tyre demand is growing and we see no signs of it slowing down over the next five years. This is a demand which started to rise during the 2020 pandemic, and which today is above pre-Covid levels. Will it be difficult? Will it be a challenge? Our vision is simple, which is why it is very concrete. The journey we started out on at Bhuj in 2012 was never a return journey, but one to prepare ourselves to discover the future."

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Balkrishna Industries (BKT) reported a six percent rise in quarterly volumes and commissioned additional carbon black capacity, even as US tariffs and volatile commodity prices weighed on parts of its export business.

The company’s sales volumes rose to 80,620 metric tonnes in the quarter to December 2025, up six percent year on year and about 15 percent higher than the previous quarter. For the first nine months, volumes were 231,536 metric tonnes, down onepercent from a year earlier.

Standalone revenue for the quarter was INR 26.82 billion, up 4 per cent year on year, including a realised foreign exchange loss of Rs 470 million relating to sales. For the nine months, revenue was Rs 77.62 billion, broadly flat, including a realised forex loss of Rs 1.17 billion.

Earnings before interest, tax, depreciation and amortisation were Rs 6.05 billion for the quarter, with a margin of 22.5 percent. For the nine months, EBITDA was INR 17.6 billion, down 11 percent year on year, with a margin of 22.7 percent. Profit after tax for the quarter was INR 3.75 billion, and INR 9.27 billion for the nine-month period.

Rajiv Poddar, Joint Managing Director of BKT, said the “geopolitical and macroeconomic environment continues to remain challenged and the situation with U.S. tariffs remain unchanged”.

In the US, sales momentum improved sequentially after a weak second quarter. Poddar said the group had regained some momentum by sharing the tariff burden with distributors. “Because of our strong brand positioning and quality and some major chunk of the tariffs to be shared between us and our channel partners, we have been able to gain some of the momentum that we had lost in the Q2,” he said.

He declined to quantify the impact of tariffs on margins, but confirmed that costs were being shared. Channel inventory in the US and Europe was “at par at where it should be”.

India remained the strongest market, supported by lower goods and services tax rates and favourable monsoon conditions. The domestic portfolio is split roughly 60 percent industrial and construction tyres and 40 percent agricultural tyres. Higher India contribution has a “slightly lower” average selling price, Poddar said, but margins have remained broadly stable.

In Europe, demand improved sequentially as earlier destocking eased. The European Union Deforestation Regulation, originally due to take effect from January 2026, has been deferred by one year. Madhusudan Bajaj, Senior President and Chief Financial Officer, said the current import duty into Europe is four percent, though the impact of the proposed free trade agreement with the EU is not yet clear.

Freight costs were about 5 percent of revenue in the quarter and are expected to remain in that range.

On raw materials, Bajaj said oil and natural rubber prices were moving higher, but it was “too early to say what will be the impact”. The average euro rate in the quarter was about INR 97.

Capital expenditure remains elevated. The company has spent about INR 22 billion in the first nine months of the financial year and expects total spending of roughly INR 25–26 billion in FY2026, with the balance of committed projects to be completed in the following year.

During the quarter, BKT commissioned a new carbon black line, taking total capacity to 265,000 metric tonnes per annum. The incremental capacity is intended for external sales rather than captive consumption. Carbon black accounted for less than 10 percent of revenue in the quarter, with margins expected to align with industry averages.

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ZAFCO, a leading global manufacturer and distributor of automotive tyres, batteries and lubricants, has strengthened its corporate governance with the addition of Hee Se Ahn to its Board as an Independent Director, effective 1 January 2026. Bringing over three decades of specialised industry experience, Ahn is recognised for his extensive leadership in the global tyre sector.

His professional background is deeply rooted in international commerce, with significant achievements in overseas sales, strategic marketing and high-level management across key markets in Asia, Europe and the Americas. Prior to this appointment, his career included senior roles such as Executive Vice President at Nexen Tire and Managing Director at Hankook Tire, based in Seoul. Throughout his career, he has been instrumental in fostering international expansion and enhancing market positions while leading diverse, cross-regional teams, solidifying his status as a respected figure in the industry.

Zafar Hussain, Executive Director, ZAFCO Group, said, “We are pleased to welcome Hee Se Ahn to the Board of ZAFCO. His extensive international experience in sales, marketing and regional leadership will bring valuable perspectives to the company. His deep understanding of the global tyre industry will be a strong asset to both the Board and the management team.”

Amir Abbas, Executive Director, ZAFCO Group, said, “We are delighted to welcome Hee Se Ahn to the ZAFCO Board. He brings with him a global business mindset and rich insights into leadership and international business transformation. We look forward to his contributions as we continue to strengthen our global presence.”

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Nokian Tyres has approved an updated strategy and financial targets through to the end of 2029, setting a net sales objective of €1.8 billion–€2 billion and outlining measures to strengthen profitability and reduce leverage.

The Finnish tyre maker said it would prioritise sustainable, value-driven growth following what it described as the most significant transformation in its history.

“Over the past years, Nokian Tyres has navigated the most significant transformations in its history. This period has been a complete strategic reset as we rebuilt the new Nokian Tyres platform. As we now enter the next phase of our development, we will refocus on sustainable, value-driven growth. This positions us to take better control of the unpredictable also in the future and will reduce our exposure to geopolitical risks,” said President And Chief Executive Paolo Pompei.

Under the revised targets, the company aims for segments EBITDA of more than 24 percent and segments operating profit above 15 percent. It also intends to keep net debt to segments EBITDA below 2.

Nokian Tyres will continue to use segments EBITDA as its primary profitability metric and has defined a range for net sales rather than a single figure.

The group reiterated its dividend policy, targeting distribution of at least 50 percent of net earnings.

Strategically, Nokian Tyres said it would focus on its core segments. In passenger car tyres, it aims to maintain a market-leading position in winter tyres and deliver above-market growth in the all-season and all-weather categories. In heavy tyres, it is targeting above-market growth in agricultural and forestry tyres.

Vianor will continue to serve as a European sales and service channel for both passenger car and heavy tyres.

The company said market trends including electrification, a growing car parc, increasing rim sizes and rising demand for winter tyres support development in its chosen segments.

“Our updated financial targets set a clear direction for the future and reflect our ambition to create sustainable value for our shareholders. Profitability improvement will be driven both by volume growth and by more than EUR 100 million coming from targeted performance initiatives. While maintaining strong performance in the Nordics, we aim to accelerate growth in North America and Central Europe. We will prioritize value creation through premium positioning, improved product mix and disciplined cost and operational efficiency,” Pompei said.

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Carter’s Tyre Service has announced that Rob Watson will take on the role of Chief Executive Officer, adding this responsibility to his existing position as CEO of NTAW NZ. His appointment marks a significant development for the company, drawing on deep experience gained across New Zealand and the Pacific region.

Known for driving performance improvement and strengthening customer relationships, Watson brings a proven ability to lead service-oriented organisations. His focus will be on enhancing operational performance, supporting customers and empowering teams to maintain consistent service standards nationwide.

This leadership transition coincides with the forthcoming retirement of Mike Hollier in April. Hollier will remain actively involved in the coming months to facilitate a seamless handover. The company has acknowledged his valuable leadership and lasting contribution throughout his time with Carter’s Tyre Service.

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