Assuming nothing will be the same with COVID-19, all associated economic growth figures will be revised in the near future. The European tyre market was severely affected in the first quarter of 2020 and declined by around 20% in all segments, which is exactly the opposite of the previous forecast of achieving a total CAGR of 20% for the 2018-2022 period. It will not return to normal short-term trends and will certainly be revised.

With the global economic slowdown, the Chinese tyre market, with earlier growth of more than 6%, will no longer be mentioned in the coming years. The global pandemic has overshadowed the global economy, and the most important tyre manufacturers are only showing moderate optimism for 2020. The downward trends in demand in many international markets are therefore irreversible. When the entire industry is back on track and at the same time safe?

Tyre Industry will not return to normal short-term trends and all economic figures will certainly be revised.

In the 1950s and 1960s, the margins for industrial products were good. Many companies in industrialised countries have been looking for alternatives to invest in different parts of the world, and export rates have continuously helped them make enough money. So far, globalisation has prompted investors to tackle the underdeveloped eastern globe. The 1970s in this direction were the new way of investing a large amount of accumulated capital for the countries of the Far East. China and Singapore, then Vietnam, Thailand and Malaysia were the subject of foreign direct investment. Indonesia seems to lag behind the Philippines and Taiwan for foreign investors. Exceptionally, Japan and partially South Korea won in the early 1950s and 1960s and were more aware of the importance of technological culture. They managed to develop their own capital to invest in technological products. The tyre and rubber industry were two of the main companies.

Globalisation has prompted investors to tackle the underdeveloped eastern globe. The 1970s in this direction were the new way of investing a large amount of accumulated capital in Far East.   

Western automakers had also sparked interest in countries in the eastern world. This has helped investors to focus more on this part of the world. When investors were looking for new horizons to make more money, all supporting technologies came to these countries.

When we entered the 1990s, Glasnost began to influence Europe's socio-economic structure. The main European brands initially focused on Eastern Europe to invest in the main products. Foreign direct investment went to the Central and Eastern European countries. Major European brands in the tyre industry have acquired certain tyre factories. Some factories were opened late.

It is a difficult task to attract foreign direct investment. Many parameters need to be combined, including incentives, laws, rules, agencies and procedures to attract foreign investment. The Central and Eastern European countries spent a lot of time and effort and finally made it. Not only legislative issues, but also macroeconomic measures such as combating inflation, the goal of joining the euro area, setting competitive but sustainable tax rates and laying the foundation stone for companies that acquire applications for property permits, liberalisation of the labor market, privatisation of all areas of the economy finance, public services and telecommunications, as well as road and airport construction are different pieces of equipment than investors. Usually you look for them first.

When we reached 2000, the primary concerns of European and North American tyre manufacturers were attacks on poor quality tyres

The Czech Republic, Hungary, Poland and Slovakia are the first four countries to follow. Ukraine, Romania, Bulgaria and Croatia tend to attract foreign direct investment over time. In any case, they have all learned that low labour costs are not enough to attract foreign investment if the main attractive features are not realised.

When we reached 2000, the primary concerns of European and North American tyre manufacturers were attacks on poor quality tyres in the East and Far East regions. Instead of banning imports, the safety problems of tyres in this part of the world are highlighted and certain measures are taken to prevent the huge import channels of these branded tyres. ETRMA, the association of the largest tyre and rubber manufacturers, mainly followed the REACH restrictions of these companies. The media also supported user conscience. The tyre labeling is also the result of safety concerns. The European Commission and the White House have introduced additional anti-damping and additional countervailing duties on tyres made in the Far East. The cheaper tyres no longer had the opportunity to be rated well. Note, however, that companies in the Far East are now able to manufacture high-quality high-tech tyres and organise deliveries in the market.

At the other end of the world, many industries which invest mainly in China initiated alternatives to return to the continent in 2015.

When the time came, the former Eastern Bloc countries began to join the EU. After 2010, Chinese and Far Eastern tyre manufacturers accelerated or invested in new factories in Eastern Europe. South Korea and China have started to have tyre factories in this region. Tyres manufactured in Europe or Eastern Europe indicate the Western European and US markets and are exempt from high customs taxes. They have set up a production line that is adapted to the requirements of European and American consumers.

When we reached the other side of the world in 2015, many industries with investments mainly in China initiated alternatives to return to the continent. Export tariff barriers and rising labor costs, state requirements for environmental legislation and industrial reforms do not keep foreign investors and local companies alive. The international climate and the atmosphere of the trade struggle between East and West also play a role in this latter trend. Today, investments in Eastern Europe in the countries of Asia and Western Europe continue. However, this is not a guarantee for the next few years.

Whatever the truth is or it is assumed that yesterday's reality will be opposite or different. Therefore, nothing will be similar or as expected. Companies that covered risks today and had tools today are luckier and will be successful tomorrow.

Comments (0)

ADD COMMENT

Link Copied!

Seasoned tyre industry executive Manish Maharaj has embarked on a new professional chapter, joining Balkrishna Industries Ltd (BKT Tires) in a senior leadership capacity after a distinguished 11-year tenure with Apollo Tyres Ltd.

In his new role at BKT Tires, Maharaj has been appointed General Manager and Head of Business Finance, where he will focus on enhancing financial strategy, driving performance-driven growth, and building scalable systems to support BKT’s global expansion ambitions.

“I am thrilled to begin a new chapter with BKT Tires,” said Maharaj.

Maharaj’s career at Apollo spanned multiple strategic roles in one of the world’s leading tyre manufacturers, most recently serving as Regional Chief Financial Officer for South East Asia, the Middle East and Africa, and later as Business Head for South East Asia. In these capacities, he led multi-market commercial and financial operations, driving robust business performance across diverse cultural and economic environments.

At Apollo, Maharaj was responsible for charting growth strategies in fast-evolving markets, strengthening distributor partnerships, and reinforcing brand positioning across key ASEAN economies. His leadership coincided with initiatives to expand premium brand presence in Thailand, Malaysia, Philippines & South Korea and foster deeper retail engagement across the ASEAN region.

Comments (0)

ADD COMMENT

Link Copied!

Anyline, a prominent provider of AI-driven mobile tyre inspection technology, is entering a new phase of growth under a new leadership structure. Christoph Braunsberger has been appointed Chief Executive Officer, assuming the role immediately. He succeeds Co-Founder Lukas Kinigadner, who will now serve as Chief Revenue Officer, concentrating on worldwide sales growth, partnership development and expanding the company's global customer base.

Braunsberger originally joined the company in 2019 as Chief Financial Officer and Managing Director. His extensive background in finance, strategy consulting and investment banking, including prior experience at PwC, equipped him to establish the operational foundations necessary for international scaling. He was instrumental in leading the company's expansion into the United States, overseeing significant funding initiatives, and serving as President of its North American operations.

This executive transition occurs as the company experiences rapidly accelerating enterprise adoption across multiple sectors. Logistics, manufacturing, retail and the public sector are all key markets, with the automotive industry representing a particularly strong growth area. The proven industrial scalability of the technology is demonstrated by a recent milestone of 100 million tyre scans conducted globally. This achievement reinforces the robustness of the computer vision platform, which is designed to address a wide spectrum of visual inspection and data capture needs for large-scale commercial and industrial clients. The leadership change is designed to sharpen the company's focus on an AI-centric operational approach, leveraging its current commercial momentum and broadening application across diverse industries.

Lukas Kinigadner, Co-Founder and Chief Revenue Officer, Anyline, said, “This leadership transition reflects where Anyline is today. Our AI platform has achieved clear product-market fit across industries, with strong and accelerating traction in automotive. The company is on a clear path towards profitable growth. Christoph is the right CEO for this phase, and I’m excited to concentrate fully on driving revenue, partnerships and customer impact.”

Braunsberger said, “Anyline’s AI is already delivering real-world impact at scale. My focus is on building on that momentum – strengthening our operating model, scaling efficiently and deepening collaboration with customers and partners as global AI adoption accelerates.”

Comments (0)

ADD COMMENT

Link Copied!

A new phase of strategic collaboration has begun between FARREL POMINI of the HF GROUP and WF RECYCLE-TECH, following the acquisition of a majority stake by the former. Headquartered in the UK, WF RECYCLE-TECH has developed a unique, patented pyrolysis process for transforming end-of-life tyres into valuable materials like recovered carbon black and oil. A central component of this system is FARREL POMINI's own Farrel Continuous Mixer (FCM), which efficiently processes tyres for both mechanical and chemical recycling.

This deepened partnership, building upon a minority investment made in 2021, is designed to rapidly expand the global commercialisation of this sustainable technology. The move solidifies FARREL POMINI’s commitment to pioneering circular economy solutions for the rubber and plastics sectors worldwide. By enabling greater global support and accelerating adoption, this milestone underscores the aligned vision of all involved organisations to drive innovation in sustainable industrial practices.

Paul Lloyd, President, Farrel Corporation, said, “We are delighted to deepen our partnership with WF RECYCLE-TECH and take this important step toward further commercialisation of their proven pyrolysis system. This acquisition aligns with our long-term strategy to support sustainable solutions that address global challenges.”

Jo Dennis, Managing Director, WF RECYCLE-TECH, said, “We are very pleased to become majority-owned by FARREL POMINI and HF GROUP. Being part of the HF GROUP organisation allows us to leverage a strong global support network, deep technical expertise and long-term investment commitment. This partnership significantly strengthens our ability to scale our pyrolysis system and deliver solutions to customers around the world.”

Ian Wilson, Co-CEO, HF GROUP, said, “This acquisition reflects HF GROUP’s strategic focus on enabling technologies that drive sustainable industrial growth. By combining WF RECYCLE-TECH’s patented pyrolysis process with FARREL POMINI’s technology expertise and HF GROUP’s global infrastructure, we are creating a powerful platform to address the worldwide challenge of end-of-life tyre recycling.”

Comments (0)

ADD COMMENT

Link Copied!

In a strategic expansion of its global footprint, Bekaert has agreed to acquire Bridgestone’s tyre reinforcement operations in China and Thailand, encompassing the tyre cord production facilities in China (Bridgestone (Shenyang) Steel Cord Co., Ltd) and Thailand (Bridgestone Metalpha (Thailand) Co. Ltd.). This move significantly strengthens the market leadership of Bekaert’s Rubber Reinforcement division, its largest business unit, which has led the global tyre cord sector for decades. The acquisition, set for completion in the first half of 2026 pending regulatory approvals, is a continuation of the division's proven strategy in integrating the captive production of major global accounts.

This transaction reinforces the enduring strategic partnership between Bekaert and Bridgestone, a leading tyre manufacturer. As part of Bridgestone's mid-to-long term plan to boost competitiveness through collaboration, the deal includes a long-term supply agreement ensuring continued provision of high-quality tyre reinforcement. For Bekaert, the integration of these two established production facilities enhances its manufacturing presence and solidifies its position in the tyre cord market.

Financially, the acquisition is projected to contribute approximately EUR 80 million in annual consolidated sales for Bekaert. The purchase involves a cash consideration of EUR 60 million, which will be drawn from the company's existing cash reserves. By securing these key assets and a lasting supply partnership, Bekaert not only expands its operational scale but also deepens its trusted supplier relationship with a pivotal global account.

Yves Kerstens, CEO, Bekaert, said, “Bekaert and Bridgestone share a longstanding strategic partnership built on mutual trust and collaboration. When the transaction closes, we are delighted to welcome the plant teams to Bekaert and remain committed to joint growth and innovation with Bridgestone. The acquisition is also a clear signal of strengthening our global leadership position in the tyre reinforcement industry.”

Comments (0)

ADD COMMENT

Link Copied!