As the global tyre industry grapples with volatility and intensifying competition, Global Rubber Industries ( GRI) is sharpening its focus on specialisation and sustainability-led innovation. By prioritising value over volume, the company is redefining how growth can be achieved in complex off-highway and agricultural segments.

The global tyre industry is navigating one of its most complex phases in decades. Slowing vehicle registrations, volatile commodity prices, geopolitical uncertainty and intensifying competition are forcing manufacturers to rethink where and how they compete.

For Global Rubber Industries (GRI), the Sri Lanka–based specialist tyre manufacturer, these challenges are not signals to retreat but catalysts to sharpen focus, deepen innovation and redefine value.

In an exclusive interaction with Tyre Trends, Barry Guildford, Global Commercial Director, GRI, said, “The last couple of years have been quite challenging. Particularly if you look at the OE sector, there’s been a real downturn in the number of new vehicles being purchased. Registrations are lower, farmers’ revenues are under pressure and cash flow is a problem.”

Yet, within this disruption, GRI sees opportunity – not in scale-driven volume plays but in specialised segments, sustainability-led innovation and solutions that lower total cost of ownership for customers.

A TOUGH CYCLE BUT CLEAR SHIFTS IN MARKET DIRECTION

Guildford describes the past 12 to 18 months as a period marked by belt-tightening across key end-user industries, particularly agriculture.

“When you see commodity markets for certain crops, it’s impacting revenues from the farmers. There are fewer subsidies available from regional authorities, so generally speaking, it’s been a tough 12 to 18 months,” he explained.

However, beneath the surface, the aftermarket is undergoing important structural shifts. Automation is accelerating across agriculture, while electrification is reshaping material handling.

“At Agritechnica, we saw a lot of automated driving vehicles being launched in the agricultural space,” Guildford noted. “There’s also a trend towards more VF (Very High Flexion) tyres, which is a positive trend for the industry.”

On the industrial side, electrification is no longer niche. “In material handling, especially forklifts, electrification is definitely playing a role. Traditional forklift manufacturers like Linde or Hyster are being challenged by new players from Asia offering electric solutions,” he said.

For tyre makers, these trends demand more than incremental upgrades. “The status quo in the automotive industry is completely shifting, Earlier, Chinese brands had limited penetration in global markets. Now you see many more players entering, especially in developed markets,” Guildford explained.

While this increases choice for customers, it also intensifies competition. “For us as a manufacturer, these are competitors. So it’s even more important that we focus on innovation and solutions,” he said.

SPECIALISATION OVER SCALE: LEARNING FROM INDUSTRY CONSOLIDATION

Recent years have also seen significant consolidation across the global tyre industry, with legacy players divesting businesses to concentrate on core segments. Guildford views this as part of a broader cyclical pattern.

“Many changes in the industry happen in cycles. If you look back 10 or 15 years, premium manufacturers invested heavily in the OHT space. Now some are divesting again,” he said.

In his assessment, complexity has become a decisive factor. “The OHT sector is extremely complex. There are solid tyres, pneumatic tyres, radial tyres and an unbelievable number of combinations in agriculture between tyres and rims,” he said.

This complexity, he believes, has worked in favour of focused specialists. “If you look at the premium sector’s performance in OHT, it’s clear they are losing ground to tier-two players and companies like ours,” he averred.

The reason is simple. “At the end of the day, you need to focus on where you can make money – where the value is. Large manufacturers have enormous divisions focused on PLT, UHP and truck tyres. These are high-volume, high-margin businesses,” Guildford added.

By contrast, specialist segments require deep technical expertise and sustained investment. “That’s why you’re seeing mainstream manufacturers focus more on their core channels, while specialists like GRI double down on OHT and agriculture,” he said.

For GRI, this focus is deliberate. “We are not trying to be everything to everyone. We are building leadership in the segments where innovation really matters,” Guildford said.

SUSTAINABILITY AS STRATEGY, NOT SLOGAN

Few topics have been as overused – and misunderstood – as sustainability. For Guildford, the difference lies in execution. “At first, sustainability was a buzzword. Everybody had to say they were sustainable. But now it’s being taken seriously,” he said.

At GRI, sustainability is not an add-on. “It’s in our DNA. It’s how we differentiate ourselves in a crowded market,” Guildford asserted. That commitment was recently recognised when GRI’s sustainable tyre won multiple international awards, including at ProMAT in Chicago and Automechanika Dubai. “Five or six years ago, we asked ourselves how we could create space in a crowded market. We decided to go on a sustainability journey,” he recalled.

The result was a tyre containing 93.5 percent sustainable materials, designed initially for material handling. “You never know how successful a product will be until you launch it. You design it, test it, evaluate it, place it with end users and then you get feedback,” Guildford admitted.

Winning the ProMAT award was a turning point. “That gave the company a massive boost in confidence. It showed that our R&D had developed something special,” he said.

Automechanika Dubai amplified that recognition. “Here, we are up against the world’s best manufacturers.  And yet, a small entrepreneurial company from Sri Lanka has produced the world’s best tyre,” Guildford said.

GRI won Sustainable Product of the Year and was runner-up for Innovation of the Year. “That is fantastic recognition. Not once, not twice, but three times,” said Guildford.

SELLING VALUE IN A PRICE-SENSITIVE WORLD

Despite the accolades, selling sustainable products in a cost-conscious market remains challenging.

“Sustainable tyres are not cheaper to produce. They are more expensive,” Guildford said candidly.

With higher material and process costs, GRI’s green tyre commands a premium. “You can’t bring it to market at the same price level,” he explained.

So why do customers buy it?

“Because you have to sell value. If you try to sell on price, you will always lose. There will always be someone cheaper,” Guildford replied.

The value proposition rests on performance and measurable impact. “This tyre reduces carbon emissions by 55 percent, certified by Bureau Veritas. It has 93.5 percent sustainable material, and most importantly, it performs better than a standard black tyre,” he explained.

When viewed through total cost of ownership, the equation changes. “If you compare operating costs, it’s actually the cheapest alternative. You pay more upfront, but you get it back in performance,” Guildford explained.

This mindset, he believes, marks a shift in customer behaviour. “If you always buy budget products, you never see the full benefit of premium solutions,” he said.

A FULL INNOVATION PIPELINE AND MEASURED CAPACITY EXPANSION

Looking ahead, GRI’s innovation roadmap is extensive. “We have two or three strategic roadmaps that we are working on,” Guildford revealed.

The sustainability journey is far from complete. “93.5 percent is amazing, but there is still room to go. Our R&D team is already working to push that beyond 95 percent,” he said.

In agriculture, the company is accelerating investment in advanced technologies. “At Agritechnica, we launched our steel-belted products. We will be heavily investing in steel-belted technology and VF going forward,” Guildford said.

Construction tyres are another focus area. “There are elements like L5 that we need to introduce, particularly for this (Middle East) region,” he added.

Behind the scenes, GRI is also reassessing its solid tyre portfolio and brand architecture. “The innovation pipeline is full,” Guildford explained.

Responding to the company’s production expansion plans, Guildford said that expansion will be disciplined rather than rushed.

“At the moment, we have room to grow within our existing infrastructure. We want to reach full capacity before thinking about a new plant,” he replied.

That said, growth may eventually necessitate expansion. “In a three-to-five-year timeframe, if all goes well, then yes, we may look at new facilities,” Guildford said.

As global tyre markets remain volatile, Sri Lanka’s GRI aims for clarity rather than speculative risk. By focusing on specialisation, sustainability and value creation, it is positioning itself not just to weather industry challenges but to reshape expectations within its chosen segments.

“Innovation is not optional anymore. It’s the only way forward,” Guildford concluded.

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.