In the mountainous heart of Central Europe, a quiet industrial revolution is unfolding – where discarded tyres are reborn as high-performance materials for modern infrastructure, sport, construction and more. Leading this transformation is RPG Recycling, a Czech company and a flagship member of the REC Group, which has positioned itself at the forefront of tyre recycling and sustainable rubber innovation.

When you step into the industrial heart of RPG Recycling in the Czech Republic, it is immediately clear that this is not just another waste management facility. Here, unwanted tyres are transformed from a mounting environmental burden into valuable resources serving industries across Europe and beyond.

RPG Recycling is part of the Czech-based conglomerate REC Group, which houses companies such as Kovsteel, Steelmet, A-Glass, RPG Recycling, Gelpo, ASSCO, Egoe Noba, DZO, A-Orto and Kovozoo.

Interestingly, for the tyre industry RPG Recycling, Gelpo, Assco and Egoe Noba together provide complete treatment of waste from SBR (Styrene Butadiene Rubber) rubber & EPDM (Ethylene propylene diene monomer) rubber from the collection through crushing to production of final products. In an exclusive interaction with Tyre Trends, Pavel Hartman, Executive Director of RPG Recycling, Gelpo, Assco and Egoe Noba, shares the details.

“Tyre recycling is more than just a process – it’s a commitment to sustainability and resource maximisation,” explained Hartman.

THE ART AND SCIENCE OF TYRE RECYCLING

Hartman shared that RPG’s operations span the entire lifecycle of tyre waste. “Our facility is equipped with an advanced fleet of vehicles, ELDAN recycling lines, granulation equipment, shredders, tyre cutters and even oversized tyre cutters. This technology allows us to handle everything from initial collection to final processing with unmatched versatility,” he said.

Every step is tightly controlled. “We manually sort and select tyres from the Czech and Slovak markets, ensuring consistent quality enters the granulate processing phase,” Hartman said. Sophisticated sorting ensures only the best input for further recycling. Tyres are then resized, shredded, granulated and separated into constituent materials.

The mainstay of RPG Recycling is the production of rubber granulate – a key raw material for industries ranging from construction to sport. “The primary output is rubber granulate, which becomes everything from industrial and construction panels to base layers for sports facilities. We are proud to supply the raw material behind products that deliver safety, noise reduction and durability,” said Hartman.

A closer look at RPG’s data underlines this impact: in 2024 alone, the company handled nearly 56,000 tonnes of tyres and processed enough rubber to give a new lease of life to materials from over half a million households.

But rubber is only part of the story. “A secondary output is steel fibre, primarily directed to the metallurgical industry, while textile fibre is used for energy recovery,” noted Hartman. For tyres unsuited to granulate production, RPG ensures nothing is wasted, “They are resized and used in the energy sector, contributing as alternative fuel.”

Gelpo, a sister company, pushes these materials even further, manufacturing anti-vibration panels for construction, noise barriers for transport and robust sports surfaces. “At Wenceslas Square in Prague, our anti-vibration mats made from 6,667 recycled tyres span an area equivalent to eight swimming pools,” Hartman shared, illustrating the real-world scale of their output.

He further mentioned that maintaining consistently high standards is a non-negotiable aspect for the company.

“We operate a sophisticated quality management system, overseeing everything from tyre reception to the final stage of rubber granulate production. Daily quality control checks focus on cleanliness, density and structure,” explained Hartman. He underscores that the process extends to the preparation of specific product batches according to the type and cleanliness of input tyres.

Looking ahead, he shared, “We’re developing a second recycling line to increase capacity and output quality. On the technology side, we plan to adopt new components that simplify operations and further refine our granulate.”

RPG Recycling is also actively advancing the principles of the circular economy. “By transforming waste tyres into secondary raw materials, we are reducing dependence on primary resources – like new rubber – and ensuring that fewer tyres end up in landfills or incinerators,” Hartman stresses. A unique feature is the ability to regranulate old rubber products, reincorporating them into new manufacturing cycles and eliminating landfill waste.

This holistic approach is reflected throughout the REC Group, where companies like Assco and Gelpo work together to collect EPDM and SBR rubber waste, process it and return it to market as high-performance materials.

Sustainability is quantifiable at RPG; it is not just the end-product but also the process itself.

“Our photovoltaic power plants alone have reduced emissions by 555 tonnes of CO2 annually, equivalent to planting over 37,000 trees,” Hartman highlights. In total, through the use of secondary raw materials, RPG, Assco and Gelpo together have delivered emission savings of over 24,000 tonnes of CO2 per year.

The group’s modernisation efforts extend to cleaner production and close cooperation with environmental authorities and research institutions. “We participate in expert groups like European Tyre & Rubber Manufacturers Association (ETRMA), EURIC (European Recycling Industries’ Confederation) and ESTC and support new applications for recycled materials,” said Hartman. He noted initiatives such as eco-friendly noise barriers, which integrate recycled rubber for both environmental and social benefit.

Of course, recycling tyres is not without hurdles. “Energy costs remain significant, so we responded by launching solar generation, cutting usage by 10 percent,” revealed Hartman. He points to market and regulatory headwinds, “There’s a lack of clear standards for recycled rubber products and, in some cases, insufficient market support for end products made from secondary materials. These factors impact competitiveness, especially in price-sensitive sectors.”

Still, he maintains an optimism for the tyre recycling. Hartman is keen to point out ongoing dialogue with tyre manufacturers and the tyre industry’s gradual adoption of reclaimed rubber and pyrolytic products as a route to closing the circular economy loop.

VISION FOR THE FUTURE

Expansion and innovation are central to RPG’s future plans. “We are building a new line to increase rubber granulate capacity and working with Gelpo to diversify applications and enter new markets,” Hartman shared.

While RPG does not currently collaborate with Indian partners, global dialogue and technological advancement are clearly on the horizon.

For Hartman and the RPG team, the mission is clear, “We give tyres a new life, protect nature and use every resource to its fullest.” And looking from both the data and the impact felt across construction, sport and industry, the Group seems to be on a mission set to steer the sector towards a more sustainable future. n

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The rollout of GST 2.0 marks a defining moment in India’s economic journey – a reform that may well prove even more consequential than the original introduction of the Goods and Services Tax. Especially for a sector like tyres, the recent reduction in (GST) on tyres is far more than just a change in numbers. It is a transformative step that touches every wheel turning on India’s roads – from a farmer’s tractor to a trucker’s long-haul trailer and from a commuter’s scooter to a construction vehicle powering the nation’s infrastructure.

For years, tyres were taxed at 28 percent – the highest GST slab, clubbed with luxury and demerit goods. This categorisation never truly reflected the essential role tyres play in our everyday lives. Tyres are not a luxury. They are a fundamental enabler of mobility, supporting the movement of people and goods across cities, towns and villages. By bringing GST rates on tyres down to a more rational level, the government has addressed a long-standing anomaly and set the stage for widespread benefits across the economy.

The most visible impact of this move will be felt on the ground – literally. Lower GST means more affordable tyres for all users. Especially for transporters and fleet operators, tyres account for a significant chunk of vehicle running costs. A reduction in tax translates into lower replacement costs, freeing up working capital and improving operational margins. Farmers, small traders, delivery personnel, service providers, transporters – every segment that relies on mobility will feel this relief.

India has been working hard to bring down logistics costs, which are believed to be about 13–14 percent of GDP – much higher than global benchmarks. Tyres have a direct bearing on vehicle operating efficiency, fuel consumption and maintenance schedules. When tyres become more affordable, operators can replace tyres on time, and run vehicles more efficiently.

This naturally leads to lower logistics costs. Reduced logistics costs ripple across the value chain, helping industries move goods faster and at lower cost. This aligns perfectly with India’s ambition to become a more globally competitive manufacturing and trading hub.

Tyre industry’s story is not just urban – it’s deeply rural as well. Tractor tyres, power tiller tyres and tyres for animal-drawn vehicles are integral to the agricultural economy. A reduction in GST brings meaningful relief to farmers and small cultivators who rely on these tyres for their daily operations. By easing this cost, the government has extended direct support to rural mobility and agricultural productivity – an often underappreciated but critical outcome of this reform.

One of the most powerful yet often overlooked impacts of this decision lies in road safety. Worn-out tyres are a major cause of road accidents, particularly on highways. High replacement costs often lead to tyres being used well past their safe life.

With lower GST making new tyres more accessible, both individual motorists and commercial fleet owners are more likely to replace tyres on time, keeping vehicles safer and reducing accident risks. This complements the government’s broader road safety agenda, making highways not just faster but safer for everyone.

For the Indian tyre industry, which is one of the largest in the world, this reform is a game changer. It creates a more balanced tax structure, supports better cash flow, improves compliance and strengthens the competitiveness of domestic manufacturers. It will also encourage investment and capacity expansion, enabling the industry to serve growing domestic demand and tap export opportunities more effectively.

The GST reduction on tyres is a strategic, forward-looking policy decision that will benefit the entire mobility ecosystem. It acknowledges the essential role tyres play – not just as a product, but as a critical enabler of transportation, logistics, rural livelihoods and road safety.

As this reform takes root, its positive impact will be felt by consumers, businesses, farmers and industries alike. The tyre industry, represented by ATMA, welcomes this move wholeheartedly and remains committed to working alongside the government to strengthen India’s journey towards affordable, efficient and safe mobility for all.

The author is Director General of the New Delhi-based tyre industry association, Automotive Tyre Manufacturers’ Association (ATMA).The views expressed here are personal.

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WACKER has earned the 2025 Gold Medal from the independent rating agency EcoVadis, marking its continued recognition for sustainable practices and responsible corporate governance. This distinction places the company within the top five percent of all businesses assessed by EcoVadis (over 1,000 companies globally). WACKER's overall score improved from 77 points (in 2024) to 79 points, driven largely by enhanced reporting and concrete actions focused on Scope 3 emissions and ethical standards.

The EcoVadis assessment measures the quality of a company’s sustainability management through a methodology grounded in international frameworks like the Global Reporting Initiative, the UN Global Compact and ISO 26000. Performance is scored from 0 to 100 across four core areas: environment, labour and human rights, ethics and sustainable procurement, using 21 specific indicators.

In line with its commitment, WACKER provides its EcoVadis evaluation to customers as a standardised and credible validation of its sustainability efforts. The company has also defined ambitious climate targets, aiming to halve its absolute greenhouse gas emissions by 2030 relative to 2020 levels. Progress is already evident, with a 30 percent reduction achieved as of 2024. Looking further ahead, WACKER strives to reach net-zero emissions across its operations by the year 2045.

Peter Gigler, Head of Corporate ESG, WACKER, said, “The result confirms our initiatives in many key areas. It provides our customers with invaluable proof.”

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Balkrishna Industries Ltd (BKT Tires), a global leader in off-highway tyre manufacturing, has appointed Craig Borman as Head of OTR at BKT USA. The appointment is in line with BKT’s long-term strategy through 2030.

Borman brings with him 20 years of experience across off-road equipment, tyres and rubber tracks. He will play a key role in leading BKT USA's OTR team and expanding the company's presence in this market while increasing awareness of the value and dependability of BKT's range of products.

Borman said, “I’m extremely excited to join the BKT family and to build off the successes that this team has already achieved. I look forward to engaging with our partners, determining how we can accelerate our mutual growth and working towards achieving BKT’s vision of being a recognised leader in the OTR segment.”

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The Supervisory Board of Continental AG confirmed a significant leadership transition during its meeting on 17 December 2025. Christian Kötz will be appointed as the new Chairman of the Executive Board and Chief Executive Officer, effective 1 January 2026. He succeeds Nikolai Setzer, who will step down from the Executive Board on 31 December 2025. Setzer's departure follows more than 16 years as a board member, including the last five years in the CEO role, and occurs by mutual agreement as the company reaches a pivotal point in its strategic evolution.

This planned change in leadership aligns with the substantial progress Continental has made in its transformation into a pure-play tyre company. Major structural milestones have been achieved, including the spin-off of Aumovio and the signing of an agreement to sell the Original Equipment Solutions (OESL) business area. Regarding the planned 2026 sale of ContiTech, internal preparations are largely complete. The market outreach phase has concluded, and a structured sales process is scheduled to begin in January 2026, setting the stage for the final step in the corporate realignment.

Kötz’s extensive background within the tyre business, dating back to 1996, positions him to lead this final phase. A member of the Executive Board since 2019, his previous leadership roles within the Tires group sector included responsibility for the passenger car tyre replacement business in the EMEA region, the original equipment and commercial vehicle tyre business units and global research and development for passenger car tyres. His many years of trusted collaboration with Nikolai Setzer are expected to ensure continuity during the transition.

Kötz will lead an Executive Board comprising several key figures. Alongside him and Philip Nelles, who has headed the ContiTech group sector since 2021, are Roland Welzbacher and Ulrike Hintze. Welzbacher joined the board in August 2025 and assumed the role of Chief Financial Officer on 1 October 2025. Hintze was appointed to the board on 1 July 2025, serving as Chief Human Resources Officer and Director of Labour Relations. This board will be responsible for driving the tyre business forward, completing the corporate realignment and, following the sale of ContiTech, integrating the remaining group functions into the tyre organisation.

Wolfgang Reitzle, Chairman of Continental’s Supervisory Board, said, “Nikolai Setzer has been instrumental in shaping Continental, realigning the organisation and paving the way for three strong, independent companies. For this, he has the thanks of the entire Supervisory Board as well as my personal gratitude. With this handover, we are consolidating responsibility for the tyre business, the realignment and the remaining tasks of the group functions in one role. Christian Kötz is one of the most distinguished managers in the global tyre industry. With his extensive experience and passion for Continental, we firmly believe he is the right choice to lead the company successfully into the future.”

Setzer said, “In recent years, we have succeeded in transforming a diverse portfolio of businesses into three strong, independent champions. After 28 years at Continental, now is the right time for me to hand over responsibility to Christian Kötz. I’m extremely grateful for the journey we’ve all shared and proud of what we’ve all achieved together. I firmly believe that the tyre business, ContiTech, Aumovio and OESL have a promising future ahead.”

Kötz said, “I would like to thank the Supervisory Board for its trust and am excited about this new responsibility. Continental has been my professional home for three decades. Together with the Executive Board team and all colleagues throughout the company, we will complete the realignment and continue the success story of our tyre business.”

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