In 2014, Zivojin Sekulic was presenting a concept about Serbia as a future hot spot for tyre production in Shandong, in China, one of the world’s biggest tyre production province. By then, nobody was bullish on Serbia and saw the country as the next tyre production hub, but Sekulic applied analysis and research methods to support his prediction.

Sekulic has been with the industry for over a decade, and has been responsible for developing, managing and supporting operations in  Europe, Asia, and the USA.

Several reasons could support Sekulic's claims. One of the reasons for that prediction was geopolitical relations between China, USA, EU and Euroasia. To de-risk trade tension, many tyre companies are exploring alternative production locations, and Serbia is emerging to be a viable place to target major markets. Also, Also, 'made in EU' effects are needed for OEM contracts which also help to brand building.

Having those reasons in mind, Sekulic forecast that Chinese tyre companies will come to the Eastern and South-Eastern Europe to setup tyre plants to avoid anti-dumping duties, apply made in EU effect to their brand and to get some OEM contracts as they need to be close enough to automotive plants due to specific logistic delivery contracts.

Five years later, Linglong Tire in 2019 started to build a tyre plant in Serbia with an investment of almost one billion USD. "Serbia is China's first strategic partner in central and eastern Europe and has a favourable environment for development and investment," said the Chinese tyre company. After the completion of the project, the annual output of various high-performance radial tyre will reach 13.62 million units, with yearly revenue of $ 600 million.

In the same year just a few months later, another Asian Tyre producer, Toyo Tire announced that it will setup a plant in Serbia.  The Japanese company will invest around 3.91 million euros in the plant, which will produce tyres for passenger vehicles with an annual capacity of five million tyres. Toyo Tire will start construction of the Serbian Plant in May 2020, and manufacturing operations are expected start in January January 2022, with a capacity of five million tyres annually (based on tyres for passenger vehicles) by the summer of 2023.

Cooper Tire Serbia, a subsidiary of Cooper Tire & Rubber is also increasing production capacity at its Kruševac tyre manufacturing plant. With a strategic manufacturing footprint investment of approximately $55 million in equipment upgrades and facility expansion, the project will increase the size of the Kruševac facility to more than 882,000 square feet.

Cooper Tire Serbia will produce new, larger diameter tyres being demanded in Europe and other global markets. Total annual production capacity at the Kruševac plant will increase by approximately one-third after this expansion, which is expected later this year and will establish a footprint which could further double capacity with additional equipment and people.

"We can say that 2019 was an amazing year for the tyre Industry of Serbia. With already four tyre manufacturing plants of Michelin, Copper Tire, Mitas and Trayal, the country will have two more manufacturing plants soon. That is a huge success for Serbia as we all know that even countries with a bigger population and bigger size have lesser number of tyre plants in Europe," says Zivojin Sekulic.

A chat with Zivojin Sekulic:

Why are tyre companies showing increasing interest in Serbia for setting up plants – and generally in eastern Europe?

The reason for setting up tyre plants in Serbia is because of its specific geopolitical status. Serbia is in Europe, but not in the EU. That means particular goods produced in Serbia can be exported with 0% duty to EU, Russia, USA and countries of CEFTA and EFTA agreements and that's the market of almost one billion people. Comparing to anti-dumping duties for tyres produced in China, sounds like a good benefit, right?

Also, another reason is the label of “Made in EU” for tyre brands. The “Made in EU” effects help tyre companies to become recognisable and increase the prices, comparing to prices of tyres produced in China, and that means more significant profit.

Take the example of Hankook and their plant in Hungary. Only a few years after setting up their plant in Hungary they were selling more than 30% of their total annual production in EU and today with OEM contracts, excellent marketing strategy and outstanding R&D teams, they are in the race to become premium brand. So, imagine one day, maybe in five to eight years from today, Linglong can be close to the premium tyre brand and with the right strategy and marketing activities, if they decide to go that way.

One more reason is OEM contracts. Before setting up the plant in Serbia, Linglong signed a deal with VW and Renault, and now tyres produced in the Chinese company's tyre plant in Serbia will be delivered to these two automotive giants.

What benefits/ incentives that Serbia offers?

There are several benefits that country like Serbia is ready to offer to foreign investors. But I would like to highlight the benefits in general, not to go deeper in an analysis of specific incentives as that depends from situation to situation.

For example, the government is offering land where investors can set up a plant free of charge. There are also some tax incentives for more significant investments which are happening in the tyre industry. For instance, Cooper Tire's expansion project is supported by around $8 million in incentives provided by the Serbian government. Some investors can even get incentives per each employee that they will hire (basically like cashback card ). So, a general conclusion is that country like Serbia is really generous to foreign investors, and they should have that in mind.

Which companies are in the process of setting up?

At this moment Linglong is building the tyre plant in the city of Zrenjanin and Toyo announced that they will start building a plant in the city of Indjija very soon.

On the other side, there are major tyre companies - Mitas, Michelin, Cooper Tire, Trayal, which are producing tyres the country.

What's the future of tyre industry in Serbia?

Even I was right six years ago with a prediction that Asian tyre producers will setup tyre plants in Serbia in the near future that doesn't mean I will be right this time. But I genuinely believe that in Serbia there is a place for one more tyre plant. Specifically, I am thinking about a TBR , Agri and OTR tyre plant that can be built in a place where now Trayal's old plant is located which is still working and producing tyres for agriculture.

Going forward, the future of the Serbian tyre industry will move in another direction. After setting up plants, we will see R&D centres and Testing grounds and facilities in the country. I am predicting this because, for R&D, you need to have an excellent workforce and Serbia really has top-notch engineers and amazing developers. Currently, Continental has an R&D centre in the city of Novi Sad where several hundreds of engineers are employed.

In my working experience of 14 years in the tyre industry and 10 years in the IT sector, and having experience from Silicon Valley, I can tell you that engineers, researchers and software developers in Serbia are outstanding and not expensive like in the western EU or Silicon Valley. So, I am pretty sure that future intelligent tyres that will be based on sensors and specific software and machine learning will be designed and produced in some of the R&D centres based in Serbia.

Regarding testing facilities. Well, why should someone go to Spain or to Nordics to test summer or winter tyres if they can do it in Serbia as our climate is changed, so we have very hot summer and extreme winter, the perfect climate for tyre testing.

Q) Please share some information on your Project SMARTY?

My project SMARTY is related to the tyre industry and related to the development of smart tyres and smart trucks.

Using my vast experience from the tyre industry and IT industry, with a team of developers, I am working on the development of specific sensors, hardware and software that will be used in vehicles to optimise the costs and to prevent the accidents with tyres. We want to predict failure before it happens.

Currently, we have some working models and, shortly, we will start with sales of those models. The final goal is to make SMARTY device to become necessary in every vehicle to become smart or autonomous. Sensors for truck and OTR tyres we will unveil soon.

(Zivojin Sekulic: z.sekulic@gaj.rs)

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Kumho Tyre UK Ltd is continuing to invest in its truck and bus tyre operations with the expansion of its sales leadership team. The company has promoted Tony McHugh to the role of Sales Director for the TBR division, having previously worked with the business on a consultancy basis. In a parallel move, industry veteran Stewart Little has been appointed as TBR Sales Manager.

Little brings over four decades of tyre industry expertise to the position. Beginning his career in 1983 at branch level, he has since built a comprehensive understanding of the commercial sector through hands-on experience in retail, wholesale, and sales management. Prior to joining Kumho, he spent eight years at Giti, where he served most recently as UK Sales Manager following a five-year period in wholesale. His career also includes a 26-year tenure at National Tyres, equipping him with deep operational insight.

McHugh’s elevation to Sales Director recognises his strategic input into Kumho’s truck tyre development and signals the company’s growing confidence in its TBR product range. Together, these changes reinforce Kumho’s commitment to strengthening its position in the commercial vehicle tyre market through both internal progression and targeted external recruitment.

Little said: “I am extremely proud to be joining Kumho Tyre. It is a brand with a well-established reputation as a premium mid-range manufacturer, offering reliable performance and outstanding value to both dealers and end users. Kumho is a name that needs very little introduction, and I am looking forward to contributing to the continued success and enthusiasm of the team. Having spent my career working across all areas of the trade, I’m excited to bring that experience into the business at a time of such positive growth.”

Welcoming both announcements, Richard Lyons, Managing Director at Kumho Tyre (UK) Ltd, said: “We are delighted to congratulate Tony on his promotion to Sales Director (TBR) and to welcome Stewart to the Kumho team. These appointments demonstrate our ongoing investment in people as we continue to strengthen our position in the truck tyre market. Kumho now offers one of the most robust and competitive TBR ranges available, combining performance, durability and value. With Tony’s leadership and Stewart’s extensive industry experience, we are well positioned to support our customers and drive the next phase of growth for the brand.”

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Finorchem Limited, a notable player in the speciality chemicals sector, has announced a key leadership appointment aimed at strengthening its operational and technological capabilities. The company has named R B Vishwanath as the Business Head – Manufacturing & Technology, based at its Kolkata Head Office.

This strategic move brings over four decades of chemical process industry expertise to Finorchem, with a particular emphasis on the rubber chemicals segment where Vishwanath has contributed for more than 20 years. The appointment signals Finorchem's commitment to advancing its manufacturing excellence and technological innovation.

Vishwanath is a graduate of the University of Madras with professional training in Chemical Technology. He further honed his leadership skills by completing a Post Graduate Program in Chief Operating Officer from the University of Kent's Kent Business School, in collaboration with the Indian Institute of Management, Visakhapatnam (IIM-V).

His distinguished career began in 1986 at Parke Davis in the Process Development Lab. He later spent 15 impactful years at Resonance Specialties, rising to the position of General Manager – Operations. In this role, he was instrumental in piloting, commissioning, and managing advanced vapour phase catalytic continuous flow production units for Pyridines and higher homologous Pyridines.

Subsequent senior roles saw him drive operational excellence at Arch Pharmalabs Ltd. as Assistant Vice President – Operations, overseeing the manufacture of sophisticated products including lipid-lowering intermediates, BOC products using Diazomethane and organophosphorus chemicals. His journey in rubber chemicals deepened significantly from 2003 onwards with a pivotal stint at Merchem Limited, before he brought his expertise to Finorchem as Vice President & Site Head.

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Kraton Corporation, a leading global producer of speciality polymers and high-value bio-based chemicals derived from pine wood pulping co-products, has named Sangwoo Ryu as its new Chief Executive Officer. Ryu possesses over 25 years of leadership in finance and operations within international markets. He is currently the CEO of Cariflex Pte Ltd, a former Kraton spin-off now under DL Chemical, where he initially served as Chief Financial Officer starting in February 2020. He assumed the Cariflex CEO role in April 2025 following the promotion of its former CEO, Prakash Kolluri, to President of Kraton's Polymer business.

Ryu’s deep expertise in financial strategy, investment controls and operational planning is expected to strengthen Kraton’s standing as a reliable leader in global Pine Chemical and Polymers markets. In his new position, he will collaborate with Kraton’s Executive Leadership, Board of Directors and Cariflex Leadership to guide strategic decisions and operational excellence, reinforcing the company’s commitment to sustained growth and organisational stability.

Ryu said, “I want to express my gratitude towards the members of the Board of Directors and the Kraton Leadership Team for their unwavering dedication to Kraton’s success. I’m looking forward to leading Kraton into the next era of excellence, building upon the strong foundations and principles set forth in our vision and values.”

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As part of its strategic growth into Central Europe, FORNNAX TECHNOLOGY, a global leader in recycling equipment manufacturing, has established a new sales partnership in Germany. The company has appointed industry veteran Dieter Jerschl as its representative for the region to drive the promotion and implementation of its recycling systems. Jerschl’s extensive expertise, built over two decades with prominent firms like BHS, Eldan and Vecoplan, encompasses a deep understanding of diverse waste streams such as tyre, cable, municipal solid waste and e-waste.

This collaboration, initially targeting Germany, Austria and adjacent countries, is designed to be flexible and scalable. Its primary aim is to cultivate a strong project pipeline and solidify FORNNAX’s regional footprint. The partnership extends beyond sales to include comprehensive technical support, with Jerschl’s team providing vital value-added services like installation, maintenance and spare parts assistance. This local service framework is intended to ensure efficient project execution, minimise operational downtime and elevate customer satisfaction.

By leveraging Jerschl’s profound market insight and established networks, FORNNAX seeks to accelerate the adoption of its high-performance shredding and pre-processing technologies. The move underscores the company’s global strategy of embedding local expertise within key markets, which it deems crucial for developing technically sound solutions tailored to specific regional waste challenges. This initiative reinforces FORNNAX’s dedication to innovation and environmental stewardship, advancing its mission to deliver sustainable recycling solutions worldwide.

Jerschl said, “I’ve known FORNNAX for over a decade and have followed their growth closely. What attracted me to this collaboration is their state-of-the-art technology; it is powerful, sustainable, and economically viable. There is great potential to introduce FORNNAX’s innovative systems to more markets across Europe, and I am excited to be part of that journey. We are committed to increasing market awareness and establishing new reference projects across the region. My goal is not only to generate business but to lay the foundation for long-term growth. Ideally, we aim to establish a dedicated FORNNAX legal entity or operational site in Germany over the next five to 10 years.”

Jignesh Kundaria, Director and CEO, FORNNAX, said, “We see tremendous potential in the Central European market. Partnering with someone as experienced and well established as Jerschl gives us a strong foothold and allows us to better serve our customers. This marks a major milestone in our efforts to promote reliable, efficient and future-ready recycling solutions globally.”

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