CUTTING EDGE: DR JÖRN SEEVERS OF KE FISCHER DISCUSSES THE FUTURE OF TYRE PRODUCTION

CUTTING EDGE: DR JÖRN SEEVERS OF KE FISCHER DISCUSSES THE FUTURE OF TYRE PRODUCTION

In an interview with Dr Jörn Seevers, CEO of KE FISCHER, the world leader in cord cutting technology, we delve into the company’s strategic growth and its vision for the future. The discussion explores the significance of the recent acquisition of KONŠTRUKTA-TireTech (K-TT) and its impact on KE FISCHER’s position in the market. We also gain insights into the crucial role of cord cutting lines in tyre production, the challenges they address and the opportunities it presents. Seevers sheds light on how KE FISCHER navigates the evolving regulatory environment and outlines the company’s vision for the future of cord cutting lines, emphasising innovation, quality, and environmental sustainability.

 

How has the business developed after the acquisition of KONŠTRUKTA-TireTech?

The acquisition of KONŠTRUKTA-TireTech, s.r.o. (K-TT) in Slovakia by KE FISCHER marks a significant step towards strategic growth and expansion in the tyre manufacturing industry. KE FISCHER has outlined ambitious plans for leveraging the acquisition to explore organic and inorganic growth opportunities. The collaboration aims to enhance the engineering and production capabilities. Additionally, KE FISCHER is focusing on expanding its service business model, which includes remote maintenance services for global customers.

The acquisition is expected to result in an even broader product range and customer base, combining KE FISCHER’s existing expertise in cutting and splicing technology with K-TT’s high-performance extrusion machinery. We expect this strategic move will foster accelerated growth, enhance customer relations and consolidate its presence in both segments of the tyre manufacturing industry.

In a strategic move to bolster its position within the tyre manufacturing sector, KE FISCHER is expanding its machinery portfolio and developing innovative equipment through a collaborative partnership with K-TT. This synergy will unlock new opportunities for both companies, fostering technological advancements, service offerings and overall industry growth.

 

Can you elaborate on the importance of cord cutting lines in producing various types of tyres?

Cord cutting lines play a critical role in producing various types of tyres, impacting quality and performance characteristics. The lines are so-called bottle-neck machinery and are essential for keeping the production of the whole tyre plant running.

Cord cutting lines are designed to cut the fabric or steel cord materials that reinforce tyres with high precision. This precision is essential for the tyre’s structural integrity and quality. Accurate cuts lead to efficient material usage, reducing waste and improving the overall cost-effectiveness of the production process.

How rubberised cord material is cut and laid out in the tyre can significantly affect its performance characteristics, including strength, flexibility and wear resistance. For example, the angle at which the rubberised cord material is cut and positioned can influence the tyre’s handling, stability and traction. Precise cord cutting technology optimises these angles, enhancing the tyre’s performance for its intended use, whether for passenger vehicles, trucks, bicycles, agricultural vehicles or performance racing vehicles.

Modern cord cutting lines are often integrated with quality control technologies, such as cameras and sensors, to detect material flaws or errors in the cutting process. This integration helps ensure that only materials that meet strict quality standards are used in tyre production, leading to tyres of superior quality.

Different types of tyres, such as radial versus bias tyres, require different cord arrangements and materials. Radial tyres, for instance, have cords that run perpendicular to the direction of travel, offering improved handling and wear characteristics. Bias tyres have cords that run at an angle to the direction of travel, providing a comfortable ride at lower speeds. Cord cutting lines must be versatile enough to handle different materials such as fabric, steel and others, and cutting specifications to produce a wide range of tyre types.

Automated cord cutting lines in tyre manufacturing enhance production efficiency and consistency and increase machine availability. Automation allows for the rapid processing of materials with minimal human intervention, reducing the likelihood of errors and increasing production speed. This efficiency is critical in meeting the high demand for tyres across various sectors, including automotive, aviation and industrial machinery.

Efficient cord cutting lines also contribute to sustainability efforts in tyre manufacturing. Manufacturers can minimise their environmental footprint by optimising material usage and reducing waste. Additionally, precise cutting reduces the need for excess raw materials, contributing to more sustainable production practices.

In summary, cord cutting lines are essential in tyre manufacturing, influencing everything from the efficient use of materials and production costs to the final product’s performance, quality and environmental impact. These lines’ precision, automation and versatility enable manufacturers to produce tyres that meet diverse requirements, ensuring safety, reliability and performance.

Thanks to operating in a niche, KE FISCHER is in constant contact with tyre manufacturers, and thus, it can be aware quickly of any possible challenge.

Each type of tyre requires a specific material, e.g. fragile material for bicycle tyres, or extremely thick material for OTR tyres.

 

What specific challenges in the tyre production industry led KE FISCHER to specialise in cord cutting lines?

The first cutting line for the tyre industry was built in the 1970s when a German-based tyre manufacturer asked KE FISCHER to investigate this field because of KE FISCHER’s immense experience and excellent know-how in cutting sheet metal products.

After this first line was successfully put into production, the door was now open for this new field of activity. KE FISCHER gained more expertise in producing cord cutting lines for the tyre production industry, which is a response to several specific challenges and needs within the sector. Integrating cord cutting seamlessly into the tyre manufacturing process improves efficiency and reduces production times. Specialised lines can be designed to fit into existing production lines, enhancing workflow and productivity.

The tyre industry constantly evolves with new materials, designs and specifications. Specialising in cord cutting lines allows KE FISCHER to stay at the forefront of technological advancements, offering solutions that meet the latest industry standards and requirements. Tyre manufacturers require customised solutions to meet specific production needs. A company specialising in cord cutting lines can offer more flexible and tailored solutions than a generalist machinery supplier, addressing unique challenges tyre producers face. The industry faces strict safety and environmental regulations. Specialised cord cutting lines can help manufacturers comply with these regulations by ensuring precise cuts that reduce waste and incorporating features that minimise ecological impact.

KE FISCHER’s focus on developing specialised cord cutting lines reflects a strategic response to these challenges, positioning the company as a critical partner for tyre manufacturers seeking to improve their production processes, enhance product quality and achieve greater operational efficiency.


 Where does the company find more opportunities among the applications – from bicycles and cars to off-the-road and aeroplanes?

KE FISCHER specialises in providing cutting lines for the tyre industry, focusing on various applications from two-wheel vehicles, light vehicles and trucks to OTR tyre manufacturers. The company is a world leader in developing and manufacturing steel and textile cord cutting lines used for all kinds of tyres. This indicates that KE FISCHER is actively involved in supplying equipment essential for the production of tyres across a broad spectrum of vehicle types, including bicycles and cars.

The opportunities for KE FISCHER, among its various applications, depend on the demand for tyres in each sector. Given the company’s focus on providing cutting lines for tyre manufacturers, sectors with high growth in tyre demand would present more opportunities. The automotive and OTR sectors are traditionally large consumers of tyres, driven by both consumer demand and industrial applications. The bicycle sector has also grown, especially with the rise in eco-friendly transportation and urban cycling.

 

How does KE FISCHER navigate and adapt to changes in the tyre production industry’s regulatory environment?

KE FISCHER adapts to changes in the regulatory environment through several key strategies. KE FISCHER focuses on continuous research and development to ensure its machinery meets the latest environmental and safety standards, following EU safety regulations for all lines delivered. This includes investing in new technologies that reduce emissions, increase energy efficiency and incorporate safer, more sustainable materials.

By working closely with tyre manufacturers, KE FISCHER can understand the specific challenges and requirements these companies face due to regulatory changes. This collaboration helps in designing and modifying equipment that aids manufacturers in meeting new standards. The company’s global footprint allows it to gain insights into trends. This international perspective is of great importance for anticipating future shifts and adapting its offerings accordingly.

These strategies enable KE FISCHER not only to navigate but also to thrive amidst the evolving regulatory landscape of the tyre production industry.

 

What is KE FISCHER’s vision for the future of cord cutting lines, and how does it plan to stay ahead in the market?

KE FISCHER envisions its future in the cord cutting lines market with a strong focus on customer needs, innovation, quality and environmental sustainability. The company aims to maintain its position as a global leader by continuing to develop cutting-edge machinery that meets the evolving needs of the tyre industry. With a rich history of success and a commitment to research and development, KE FISCHER emphasises the importance of adapting to the continuous improvements in tyre material mixes, which requires staying up-to-date on material behaviour and adjusting cutting lines accordingly. This adaptability ensures the highest quality and efficiency of its products.

KE FISCHER’s strategic plan includes a commitment to development and design, aiming to remain the market leader by continuously developing improved and future-oriented solutions for cord cutting lines. The company leverages its extensive experience and track record of over 900 lines installed globally to enhance its technological leadership and quality standards.

KE FISCHER’s cutting lines and K-TT extrusion lines are equipped with the latest innovative technologies from suppliers and include in-house developed Industry 4.0 solutions.

In summary, KE FISCHER’s vision for the future of cord cutting lines revolves around innovation, quality, sustainability and customer-centric solutions. By continuously improving its technology and services, KE FISCHER’s explicit goal is to stay ahead in the market and meet the dynamic needs of the tyre manufacturing industry.

JK Tyre Targets Double-Digit Growth in FY2026, Targets INR 10 Billion CAPEX

JK Tyre & Industries

JK Tyre & Industries is aiming for double-digit revenue growth in FY2026, outpacing its forecast for single-digit expansion across the broader tyre industry. Managing Director Anshuman Singhania outlined the company’s ambitions during a post-earnings media call, underscoring confidence in demand recovery and strategic market positioning.

Q1 Performance Overview

For the first quarter of FY2026, JK Tyre reported revenue of INR 38.91 billion, with EBITDA at INR 4.24 billion, translating to a margin of 10 percent. Net profit stood at ₹1.55 billion — up 51 percent compared with the previous quarter, but down 21 percent YoY.

Singhania attributed the annual decline to muted original equipment (OE) demand, particularly in truck and bus radial (TBR) volumes, alongside higher raw material costs compared to the same period last year. He also highlighted an adverse impact from the company’s Tornel business in Mexico, which faced uncertainty due to tariffs on exports from Mexico to the United States, dampening volumes.

Resilience in Domestic and Export Markets

Dr Raghupati Singhania, Chairman and Managing Director, JK Tyre & Industries, said, “The growth momentum in domestic markets remained robust in Q1, with JK Tyre clocking a sales growth of 11 percent YoY, as contributed by a steady demand for our products in both replacement as well as OE segments, underscoring JK Tyre’s continued focus on core growth drivers and strengthening market presence.”

“Despite a challenging and uncertain macro-economic environment, exports of passenger car tyres witnessed a strong traction both on QoQ and YoY basis, signifying pull for our products and enhanced brand perception in the global markets,” said Dr Singhania.

Operational efficiencies and strategic pricing supported performance, even as natural rubber prices remained elevated. Subsidiaries Cavendish (India) and Tornel (Mexico) continued to contribute significantly to the group’s consolidated financials.

Operational efficiencies and strategic pricing supported performance, even as natural rubber prices remained elevated. Subsidiaries Cavendish (India) and Tornel (Mexico) continued to contribute significantly to the group’s consolidated financials.

Regarding trade tensions between India and the US, Anshuman Singhania noted that exports from India to the US account for only around 3 percent of JK Tyre’s revenue and could be redirected to markets such as Mexico, Latin America, Brazil and the UAE if required. With zero tariffs in Mexico, JK Tyre can utilise its production base there to meet demand for both passenger and truck radials. The EU and UK, where JK Tyre holds a strong position in the TBR segment, also remain tariff-free.

Capacity expansion

The company’s INR 14 billion capital expenditure plan is progressing on schedule, covering passenger car radial (PCR), TBR and all-steel truck radial projects. For the year, investment is expected to total INR 9-10 billion, aimed at boosting production capacity by 30-40 percent.

A key driver for future profitability is the shift towards premium products. The share of 16-inch and above passenger car tyres in JK Tyre’s portfolio has grown from 18 percent in FY2020 to 25 percent in FY2025, with a target of 40-45 percent over the next two to three years. This change is being fuelled by rising SUV sales, larger rim sizes in entry-level cars and strong export demand.

The company has also developed a complete range of tyres for electric vehicles, spanning commercial truck radials, bus tyres, passenger radials and two/three-wheeler tyres  Major OEMs such as Ashok Leyland’s Switch Mobility and Tata Motors are sourcing these products, including for last-mile connectivity vehicles and newly launched EV buses.

Market Outlook

The replacement market has been a bright spot, with passenger radial volumes up 32 percent year-on-year and truck radial volumes growing in the high single digits. JK Tyre expects demand to strengthen in the second half of FY2026, supported by infrastructure development, a favourable monsoon, potential interest rate cuts, and improved consumer liquidity.

Anshuman Singhania stressed that the worst of raw material price pressures appear to be over, paving the way for margin improvement as the product mix shifts and capacity utilisation rises. With the small car segment’s gradual decline offset by growth in premium categories, JK Tyre remains confident in sustaining momentum.

“Overall, India is poised for growth,” Singhania concluded. “We see positives across the board — from infrastructure push to evolving consumer preferences — and we are well-positioned to capitalise on these trends.”

Yokohama Rubber begins OE tyre supply for BYD’s SEALION 6 DM-i SUV in China

Yokohama Rubber begins OE tyre supply for BYD’s SEALION 6 DM-i SUV in China

Yokohama Rubber has begun supplying its ADVAN V61 tyres as original equipment for BYD’s new SEALION 6 DM-i SUV, marking the Japanese manufacturer’s first OE partnership with the Chinese carmaker.

The SEALION 6 DM-i, a plug-in hybrid SUV launched by BYD Company Ltd. this July, is being factory-fitted with 235/50R19 103V size ADVAN V61 tyres. The announcement comes as Yokohama seeks to grow its footprint in China’s fast-evolving electric and hybrid vehicle market.

The ADVAN V61 is part of Yokohama’s global flagship ADVAN range and is positioned as a premium SUV tyre. The company said the tyre “offers ADVAN’s hallmark premium-grade driving performance, along with a high-level balance of fuel and energy efficiency, handling stability, and quietness, achieving both comfortable city driving and long-distance touring for heavyweight SUVs.”

The SEALION 6 DM-i combines a 1.5-litre naturally aspirated petrol engine producing up to 74kW with an electric motor generating 160kW. Buyers can choose between 18.3 kWh and 26.6 kWh blade battery options, offering electric driving ranges of 93km and 130km, respectively. All models come equipped with advanced driver assistance systems as standard, and the exterior design draws inspiration from the concept of “ocean aesthetics.”

Sumitomo Rubber’s Tyre Unit Clears Japan Antitrust Probe With Commitment Plan

Sumitomo Rubber’s Tyre Unit Clears Japan Antitrust Probe With Commitment Plan

Sumitomo Rubber Industries Ltd said its subsidiary Dunlop Tyre Japan Ltd has completed a Japan Fair Trade Commission investigation into automotive all-season tyre sales after the regulator approved a commitment plan submitted by the unit.

The probe, which examined the subsidiary’s sales practices, concluded without the commission identifying any violation of Japan’s Antimonopoly Act, Sumitomo Rubber said in a statement.

Under Japan’s commitment procedures, companies can submit plans to address potential competition concerns without admitting wrongdoing, allowing them to resolve investigations while avoiding formal sanctions.

"We deeply apologise for the great trouble and anxiety that we have caused to all concerned, including our clients and business partners,” the tyre maker said.

Bekaert Warns Of Weakening Demand As Tariffs And FX Weigh On Outlook

Bekaert Warns Of Weakening Demand As Tariffs And FX Weigh On Outlook

Belgian steel wire maker Bekaert reported resilient first-half 2025 earnings as strong cash generation and cost control offset softer sales, but warned that tariffs and currency pressures are weighing on demand.

The company posted consolidated sales of €1.9 billion, down 5.2 percent year-on-year, with volumes declining 2.6 percent and price/mix effects stripping out a further 2.2 percent. Underlying EBIT slipped 16.2 percent to €171 million, delivering a margin of 8.8 percent compared with 9.9 percent a year earlier.

Free cash flow surged to €123 million from €43 million in the prior-year period, driven by a €135 million reduction in working capital and €21 million in cost savings as the company continued to streamline operations and rein in capex. Net debt fell to €327 million from €399 million despite a continuing €200 million share buyback programme, €74 million of which has been completed.

“We have continued to focus on what we can control best – cash flow and costs - and have significantly reduced overheads and working capital in H1 2025,” chief executive Yves Kerstens said. “Equally, I am very pleased with the hard work of our teams fighting for volumes in the current challenging markets.”

He added: “We are also taking further steps to make our business units more autonomous and agile. Therefore, I am very confident that we will come out of the current business environment stronger and more cost competitive than ever before.”

Bekaert said volumes were particularly strong in its Steel Wire Solutions and Rubber Reinforcement divisions in the United States and China, while European and Latin American demand lagged. Its Brazilian joint ventures delivered €24 million in net profit share, up from €20 million a year ago.

However, the group cautioned that growing trade tensions – including a rise in US steel tariffs from 25 percent to 50 percent – and the weakening of the US dollar and Chinese yuan against the euro were eroding pricing power and softening orders.

“Following a period of resilience in Q2, the tariff uncertainty and weakening economic outlook has started to have an impact on demand,” Bekaert said.

The company now expects slightly lower full-year 2025 sales on a like-for-like basis, with an underlying EBIT margin of between 8.0 percent and 8.5 percent, down from 8.8 percent in the first half.