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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Hankook Tyre UK has expanded its Truck and Bus team with two key appointments. Jason Bloor has been appointed as National Account Manager, while Peter Hatton has been appointed as Regional Sales Manager for the combined Midlands and Northwest region.

Bloor, who will be overseeing national fleets activities, brings with him 34 years of experience in the tyre industry, while Hatton, who joined Hankook Tyre UK in May, has over three decades of expertise in the tyre and transport industry.

Chang-Yool Han, Managing Director, Hankook Tyre UK, said, “Following the opening of Hankook House, our new UK headquarters, we are pursuing ambitious growth plans for the UK market. We are delighted to welcome Jason Bloor and Peter Hatton to the team. Their extensive industry experience will undoubtedly make an immediate impact on the company’s continued success."

Bloor said, “I joined the tyre industry straight out of school in 1991 starting as a fitter where I discovered a passion for fleet management. Over the last 20 years, I have managed mileage contracts and key accounts, taking on responsibility in both sales and operations. I am excited to bring my decades of experience to Hankook and help drive brand awareness and strengthen customer relationships.”

Hatton said, “Having spent 30+ years working in the tyre and transport industry, I am privileged to be part of the Hankook UK team. The company offers an excellent range of tyre products across its premium Hankook brand and associate brand Laufenn. I look forward to applying my skills and experience in supporting both current and new customers while working alongside a brilliant team.”

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CAMSO Construction has appointed Steffen Sahl as Director of Sales for Europe. Sahl brings with him 25 years of experience in the European OTR mobility sector.

The company statement read: “With over 25 years of experience in the European OTR mobility sector, and a successful entrepreneurial journey in distribution, Steffen combines deep market insight with a customer-first mindset.”

“This is a tremendous opportunity, and I am filled with gratitude for everyone who has been part of my professional path so far. A huge thank you to my previous colleagues, mentors and teams – I carry your lessons and support with me. I am deeply honoured by the trust of the CEAT leadership, and am immensely looking forward to building on Camso's strong foundation, driving growth across European markets and collaborating with the talented team in the CEAT speciality family,” said Sahl on his appointment.

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JK Tyre & Industries Ltd, one of India's largest tyre manufacturers, has announced its partnership as co-presenting sponsor of the Men's Asia Cup 2025, as the cricket tournament begins its three-week run across venues in the United Arab Emirates.

The sponsorship deal with Sony Sports Network covers the Twenty20 International tournament running from September 9 to 28 across Dubai and Abu Dhabi, marking JK Tyre's expansion from its traditional motorsport sponsorship into cricket broadcasting.

The partnership positions JK Tyre to reach cricket audiences across India and Asia during prime-time broadcasts of the 19-match tournament, which features eight national teams competing for the continental title.

"At JK Tyre, we have always believed in the power of sport to unite, inspire, and drive passion. Having nurtured motorsport for over three decades, we are excited to bring the same spirit to cricket, a game that binds millions of fans across Asia," said Srinivasu Allaphan, Director-Sales & Marketing at JK Tyre & Industries Ltd.

"Our association with the Men's Asia Cup 2025 is a strategic step in strengthening our brand visibility across India and Asia and reinforcing our positioning as 'Desh Ka Tyre,' a brand that reflects the aspirations and passions of today's India."

JK Tyre, which has built its sporting credentials through decades of involvement in motorsport, is leveraging cricket's popularity to strengthen its market position across Asia's emerging economies.

The Asia Cup represents one of cricket's premier regional tournaments, with the current edition featuring teams including India, Pakistan, Sri Lanka, Bangladesh and Afghanistan amongst others. The tournament serves as preparation for next year's T20 World Cup.

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InnoVent Technology LLC has appointed Jose Rodriguez as its new Chief Technology Officer. He brings three decades of extensive experience in industrial digital systems, automation and simulation platforms to the role.

Rodriguez was most recently the Global Technical Authority at Wood Group, a multi-billion-dollar engineering firm, and previously served as CTO of Ingenious Inc., prior to its acquisition by Wood. In his new position, he will direct a global team focused on advancing the company's InnoSIM digital twin platform.

His leadership will be central to integrating commercial AI and automation systems, significantly boosting predictive modelling capabilities and deploying digital twin projects on an international scale. The appointment underscores InnoVent's strategic commitment to leading the industry through cutting-edge technological innovation and advanced digital solutions.

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