The Australian Government’s push for end-of-life tyre recycling, particularly through the use of crumb rubber in road construction, has been gaining momentum. With Western Australia and Queensland continuing to grow rapidly but key markets like Victoria falling away, challenges remain in expanding the use of crumb rubber, especially in New South Wales and South Australia. However, partnerships like that between Tyrecycle and Alcoa Australia are helping pave the way for the recycling of OTR tyres, creating new opportunities.

The Australian Government’s endeavour for recycling end-of-life (ELT) tyres has been lauded by industry experts in many mature markets. Since December 2021, Australia has prohibited the export of whole baled tyres, except for specific casings and retreads. The Australian Government emphasises a circular economy approach, which includes incentives for local manufacturing by procuring tyre-derived materials such as crumb rubber for asphalt and other civil applications. The Western Australian Government has used over 3,000 tonnes of crumb rubber for road projects in a single year.

However, challenges remain with the recycling of off-the-road (OTR) tyres, often disposed of at mining sites. Nonetheless, the proactive nature of the government, especially in Western Australia, has paved the way for OTR tyre recycling, with recyclers forming partnerships with mining companies to ensure a steady stream of supply.

One such collaboration is between Tyrecycle, the recycling arm of ResourceCo, and Alcoa Australia. Tyrecycle’s state-of-the-art recycling facility in East Rockingham, 40 kilometres south of Perth, has already welcomed its first load of used OTR tyres from Alcoa, which is a bauxite mining company.

Speaking to Tyre Trends on the current state of waste OTR tyres, Tyrecycle Chief Executive Officer Jim Fairweather stated, “Currently, an estimated 130,000 tonnes of OTR tyres are discarded annually; 50,000 tonnes in The Pilbara alone. Tyrecycle is processing about 15,000 tonnes per year and aims to expand its footprint into key mining regions like the Hunter Valley, Bowen Basin and Pilbara. These areas are pivotal to Australia’s coal and iron ore mining industries, presenting significant opportunities for waste management and resource recovery.”

He added, “Mining operators often choose the cost-effective route of burying waste tyres on-site, which hinders recycling efforts. While some companies recognise the importance of responsible waste management, regulatory enforcement is needed to make recycling a standard practice. Proactive companies in the mining sector are stepping up, recognising the reputational and environmental risks associated with poor waste management. However, broader adoption is hampered by minimal regulatory mandates.”

COLLABORATIVE MEASURES

The collaboration between Tyrecycle and Alcoa was driven by a mutual commitment to sustainable practices and innovation in waste management. For the recycler, it represented a strategic move to expand its capacity to process OTR tyres and, in the future, conveyor belts, which are significant waste streams in the mining sector. This partnership evolved over five years of discussions, trials and project planning.

Equipped with a larger primary shredder capable of processing substantial pieces of OTR tyres, the plant in East Rockingham enabled the recycler to manage Alcoa’s tyre waste effectively. Prior trials at the recycler’s New South Wales facility ensured the material could be processed successfully, laying the groundwork for this full-scale collaboration.

“Alcoa provides full OTR tyres, which are pre-processed using excavators to reduce size. These pieces are then fed into our fully automated plant, where they undergo a comprehensive process to produce crumb rubber as fine as 700 microns. The crumb rubber is repurposed into road construction material within Western Australia, creating a closed-loop system. The project aligns with the Western Australian Government’s push for the integration of rubber crumb in road infrastructure, ensuring sustainable outcomes,” said Fairweather.

He mentioned that the company has initiated partnerships with major mining operators, securing long-term offtake agreements to convert OTR tyres into value-added products for resale. While agreements are being finalised with several top-tier miners, the company aims to secure additional multi-year contracts, further cementing its position in the growing circular economy of Australia’s resource sector.

PRODUCTION

The company operates nine facilities culminating in a current processing volume of 180,000 tonnes annually with 30 percent spare capacity, allowing for up to 250,000 tonnes per year. Crumb rubber production stands at approximately 25,000 tonnes annually.

While mining tyres constitute a smaller portion of the company’s operations, the bulk of recycling comes from collecting approximately 20 million tyres annually from retail outlets across Australia, including regions such as Far North Queensland, Tasmania, Perth and the Pilbara. These include PCR, TBR, four-wheel-drive tyres, forklift tyres and even bicycle tyres. Roughly 80,000 tyres are collected daily.

Alcoa’s waste OTR tyres are entirely processed into crumb rubber for the Western Australian market. Beyond this, crumb rubber from other ELTs is sold into sectors such as the steel industry, adhesives manufacturing, playground surfacing, walking trails and civil applications. While these sectors are important, they don’t match the volumes required for road construction in Australia.

Additionally, tyre derived fuel (TDF) is manufactured in various sizes to cater to different customer needs. For example, 1.5-inch steel-free chips are used in power boilers, while 2-inch, 3-inch, 4-inch and 6-inch chips are utilised in cement kilns, both locally and for export to countries like Japan.

Offshore customers further process these materials into products like micronised rubber powder. The company also supplies feedstock to large tyre recycling businesses in India and Korea.

Commenting on whether Alcoa takes any of the tyre-derived product under the agreement, Fairweather informed, “Alcoa currently does not take any products, but there are opportunities in development, particularly in the smelting sector, where materials could be used as reductants.”

CONSUMPTION

While crumb rubber production serves local markets exclusively, TDF and steel exports continue to play a vital role in the company’s global strategy with a focus on improving quality and expanding domestic utilisation.

“The crumb rubber produced is fully consumed within Australia, reflecting a strong domestic demand for applications such as road construction. While 5,000 tonnes of TDF is consumed domestically in New South Wales, the vast majority – over 100,000 tonnes – is exported. That said, domestic consumption of TDF is poised to increase significantly with plans to redirect approximately 100,000 tonnes for use within Australia as part of ongoing pipeline development projects,” said the executive.

“Additionally, steel extracted from the tyres is traded globally as scrap. With the installation of steel-cleaning systems across all facilities, we now export steel with a much lower rubber contamination rate, reduced from 20 percent to 1-2 percent. This enhancement improves the value of the scrap and allows for more competitive pricing at the collection stage,” he added.

Commenting on the use of crumb rubber for roads, he said, “Road construction remains the largest consumer of crumb rubber in Australia, outpacing other uses. The Western Australian Government’s mandate to use crumb rubber in roads has been evolving over the past three years. Three years ago, there was virtually no sale of crumb rubber for road construction in Western Australia. However, today, Western Australia has become the second-largest market for crumb rubber used in roads across the country, despite having only 10–15 percent of Australia’s population.”

“The Main Roads Western Australia agency played a pivotal role by mandating crumb rubber in road specifications, significantly increasing demand. Additionally, the Western Australian Government supported this initiative by funding the creation of tyre processing infrastructure. This dual approach that includes stimulating private sector investment while ensuring procurement for recycled materials has been key to making these investments viable,” he added.

QUALITY CONTROL

Fairweather quipped that being one of the largest recyclers in the land has its perks when it comes to quality controls. With an expansive collection network that draws in tyres that are not only manufactured at home but imported from different regions ensures understanding of different chemical compositions.

As for ensuring the quality of crumb rubber, especially for road construction, he said, “We implement rigorous quality control procedures from testing the crumb rubber three times a day across all facilities to ensure that it is consistent and free of impurities. We take specific measures to ensure even sample collection and use advanced software to track and grade the rubber’s size distribution. Chemical tests are also performed periodically to maintain the integrity of the crumb rubber. Given the varied origins of the tyres, the company’s large scale allows it to homogenise these variations, ensuring a high-quality product.”

He added that quality is paramount because contaminants like metal can damage equipment used in road construction and asphalt applications. The company maintains a metal contamination level of less than 0.01 percent, which is crucial for the reliability and functionality of the crumb rubber in its applications.

Regarding the recycling of mining tyres compared to passenger and TBR tyres, he noted that there is a significant difference in the process. “Mining tyres are much larger and require different handling equipment and primary processing. These tyres need to be pre-processed to remove the bead before being reduced to a manageable size. In contrast, passenger and TBR tyres undergo a more standard shredding process, which then leads to various mechanical resizing depending on the final product,” said the executive.

The TDF also goes through a rigorous quality control process.

MARKET FORCES

The largest market for crumb rubber in Australia has historically been Victoria, where it has been widely used in road construction. However, in recent times, Victoria’s market has faced challenges, largely due to budgetary pressures that have led to delays or cancellations of road projects. Despite this, it has remained the leader in crumb rubber consumption for roads.

Western Australia and Queensland are closely matched, coming in second for crumb rubber usage. On the other hand, New South Wales (NSW) and South Australia are behind in their adoption of crumb rubber in road construction, with NSW, particularly Sydney, significantly lagging. This presents an opportunity for growth in those regions, as they could start to increase their usage to match the other mainland states.

Tasmania, due to its smaller population and limited road construction, uses less crumb rubber, but this is proportional to the region’s size and needs.

“The collaboration with Alcoa and the potential for them to purchase products in the future is still under discussion. Both parties are open to exploring further development of this partnership. Alcoa has proven to be a strong partner, and there are good opportunities for continued collaboration, especially in creating a circular process that benefits both Alcoa and the broader market,” averred Fairweather.

The growth strategy for the company focuses on expanding its production capabilities and increasing the value-added nature of its products. This includes ongoing investment in plant infrastructure and a focus on increasing market share, particularly in tyre collection volumes.

The company sees significant potential in the OTR sector, which is currently untapped, and plans to continue developing new products and processes to offer higher-value products rather than just TDF.

TDF, however, remains an essential part of the business. It plays a crucial role in tyre recycling by reducing landfill waste and offering a more environmentally friendly alternative to fossil fuels.

Trials on imported tyres were also successfully completed with full-scale processing set to begin imminently. Tyrecycle also plans to establish processing facilities in Central Queensland and Western New South Wales, reducing logistical barriers and enhancing service capabilities.

Gaurav Kumar has resigned as a whole-time director of Apollo Tyres, the Indian tyre manufacturer, after more than two decades with the company, though he will remain chief financial officer during a transition period.

The Gurugram-based company's board approved the resignation at a meeting on Thursday. Kumar steps down as a director, and consequently as a member of the risk management committee, with effect from the close of business the same day. The company said he had confirmed there was no material reason for his departure beyond that stated in his resignation letter.

Kumar will continue as chief financial officer for such period as is necessary to ensure a smooth transition, after which he will cease to be part of the company's senior management.

In his resignation letter, Kumar said: "It has been terrific to be part of the incredible journey at Apollo Tyres thus far. I have learned, and hopefully contributed in equal measure, and now seek to explore alternative and new challenges. I wish Apollo Tyres the very best for the journey ahead and will always be part of the Apollo Tyres Family." He added that he was grateful to Onkar Kanwar and Neeraj Kanwar for their support during his tenure of more than 22 years at the company.

Neeraj Kanwar, Vice-Chairman and Managing Director, said: "Gaurav deserves kudos for the critical role he has played in the growth of Apollo Tyres, both in India and overseas, in the last twenty years. While we do regret losing him, we are conscious of his personal aspirations and wish him the very best in his future endeavours."

The company said it was in the process of appointing a new chief financial officer.

Shrader Tire & Oil (STO) has announced the appointment of Bob Feldbauer to the role of President, effective 1 August 2026. He will concurrently serve as Chief Operating Officer, while Joe Shrader maintains his position as Chief Executive Officer.

Feldbauer’s ascent follows his arrival at STO in early 2025 as Chief Operating Officer, a role built upon a robust industry resume. His prior engagements include a lengthy stint at the helm of Jack’s Tire & Oil in Utah and a substantial period with Michelin North America, where he handled sales and managerial assignments.

Under the new structure, Feldbauer’s purview widens to encompass both internal fleet management across 14 sites and outward-facing commercial development, including alliances and market expansion. With the founding family’s fourth generation now active within the firm, the succession plan reinforces the enduring principles established when the company opened in 1948.

Shrader said, “Bob has proven exactly what we hoped he would when we brought him on board – sharp operational instincts and a real drive to help this company grow. Putting him in the President seat lets us move faster on the growth plans we’ve been building towards.”

Feldbauer said, “It has been a fast year and a half at Shrader Tire & Oil. I have gained tremendous insight and valuable knowledge about our organisation’s structure, company culture and an understanding of our overall goals and commitments. One thing is clearly obvious – the commitment Shrader employees have to deliver the best customer experience each and every time. I appreciate this and look forward to supporting them as their President and COO.”

Balkrishna Industries Ltd. (BKT) has unveiled a brand installation at the Mumbai International Airport Limited (MIAL) T2 Elevated Road Underpass as the tyre manufacturer seeks to broaden its positioning beyond its traditional Off-Highway business and strengthen awareness of its expanding on-highway portfolio in India.

The 2,000 sq. ft. installation, inspired by the company's "Elevate Your Drive" philosophy, highlights BKT's portfolio across agriculture, construction, mining, earthmoving, commercial vehicles, two-wheelers and passenger vehicles. The activation comes as the company expands its presence in India's two-wheeler and commercial vehicle tyre segments.

Designed to move beyond conventional outdoor advertising, the installation features nine illuminated tyre-shaped displays, each 8 feet in diameter, using the tyre itself as the central storytelling element. It opens with a large-format visual featuring BKT brand ambassador Ranveer Singh, followed by a sequence of displays illustrating the company's expanding mobility portfolio. The installation will remain at the airport for 24 months.

Mumbai International Airport handled a record 55.5 million passengers in 2025, providing the company with sustained visibility among business travellers and consumers.

"For BKT, innovation goes beyond product engineering; it extends to how we tell our story. This installation reflects a simple yet powerful idea: our tyre itself becomes the medium through which travellers experience the breadth of BKT's world. As we expand our presence across India's mobility landscape, it is important that consumers see BKT not through a single product category, but as a brand that supports movement across diverse terrains, applications and journeys. Mumbai Airport provides an ideal stage for us to express that transformation in a memorable and distinctive way," said Satish Sharma, Senior President & Director – Business Development and Strategy, BKT.

The installation was conceptualised by Infectious Advertising and uses immersive design, sequential storytelling and its airport location to showcase the company's wider mobility portfolio. According to BKT, the activation is intended to connect its established Off-Highway business with its growing presence in India's on-highway mobility market.

Mumbai-headquartered leading carbon black manufacturer Epsilon Carbon has reported a 10 percent reduction in carbon dioxide equivalent emissions across its upstream transportation operations during FY2025–26. The reduction was achieved through the deployment of an electric and liquefied natural gas freight fleet.

An independent third party certified the emissions data. The reductions achieved in transport logistics equate to carbon absorption figures associated with approximately 29,000 trees. The verified figures allow supply chain partners to include these reductions within Scope 3 emissions reporting frameworks and environmental disclosures.

Gaurav Mathur, Chief Executive Officer, Epsilon Carbon, said, “Decarbonising logistics is central to our climate strategy. What makes this milestone meaningful is that the results are independently verified with a 10 percent reduction in CO2e emissions within the upstream transportation category over a single financial year, driven by the adoption of electric and LNG fleets. These carbon reductions strengthen our own sustainability disclosures and those of our customers, and we intend to scale this model across our supply chain.”

Following Phase 1 operations, Epsilon Carbon intends to expand the number of electric and LNG vehicles in its transport fleet during FY 2026–27 to scale low-carbon freight transport across its supply chain network.