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.

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Bridgestone Corporation has announced significant changes to its senior leadership structure, set to take effect on 24 March 2026. The adjustments involve key positions and responsibilities among its Executive Officer and Vice President and Senior Officer ranks.

In a notable shift for its executive leadership, Scott Damon will transition from his current role as Executive Vice President and Executive Officer. In his new capacity, he will serve as Executive Officer and WEST CEO, while also taking on the role of BSAM NA Group President. This represents a change from the responsibilities previously announced in January.

The company also announced changes for two of its Vice President and Senior Officers. Agustin Pedroni is set to become the BSAM LA Group President, moving from his former position overseeing Bridgestone Americas Tire Operations in Latin America. Meanwhile, Craig Schneider has been appointed as the Group President of WEST Services and Retail Operations, in addition to his ongoing duties as WEST CSO (Chief Strategy Officer).

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In an era of heavier vehicles, rising torque loads and ever-larger wheel diameters, the tyre-wheel assembly (TWA) has quietly become one of the most critical systems influencing vehicle safety, durability and perceived quality. Yet for most consumers, it remains entirely invisible. According to Luc De Bruyne, OEM tyre-wheel assembly R&D specialist in the Department of Manufacturing and Innovation at Eurofit, that invisibility is precisely why the industry underestimates its importance.

Based in Zaventem, Belgium, the company operates as a high-precision service supplier for tyre–wheel assembly, focused on passenger cars and light trucks in the European market. It runs a network of 16 factories, supported by around 900 employees, and delivers a full set of assembly and logistics services. With an annual capacity of roughly 20 million tyre–wheel assemblies, production is supplied to more than 25 OEM locations across Europe.

From an OEM perspective, De Bruyne argues that tyre-wheel assembly can no longer be treated as a simple fitment task. “Due to the increase of load and power transmission of the cars, a correct seating of the tyre bead is more sensitive. The increased bead tension can result in a damaged tyre during mounting, which isn’t visible at the outside. A damaged bead can result in leakages and low-pressure during driving, which is a high risk of a safety issue during high-speed driving. In other words, what appears externally acceptable may already be compromised internally,” he explains.

This growing complexity is not adequately addressed by existing standards. While ETRTO, ISO, ASTM and JASO regulate individual components, there is no global standard governing the assembled wheel. In practice, this means quality depends heavily on internal OEM processes. As De Bruyne notes, “A TWA assembler must mount the components together with no damages to the product and the lowest level of risk of vibration on the car.” To achieve this, Eurofit and its partners develop internal process references with machine suppliers, such as mountability and integrity tests used to qualify new wheels. When a non-OK status is detected, suppliers are informed, and if no solution is found, components may be replaced entirely.

The business is structured as a longstanding 50:50 joint venture between Michelin and Continental, established in 1996. This partnership combines the technological depth, quality standards and global experience of two of the world’s leading tyre manufacturers. The JV structure underpins strong process discipline, continuous improvement and long-term stability for OEM customers.

The technical challenge intensifies as wheel sizes increase and tyre profiles become lower. Larger diameters bring not only harsher ride characteristics but also tighter tolerances across mounting, uniformity and balancing. De Bruyne outlines a suite of measures now required for high-performance wheels: checking rim run-out and match points to filter supplier deviations; guiding the tyre bead diagonally to reduce mounting forces; matching components to lower total uniformity (TU) levels; optimising bead seat geometry; measuring complete wheel run-out to achieve what he calls the ‘perfect circle’ and correcting balance through final audit controls linked to vehicle sensitivity. The payoff is clear – less vibration of a wheel results in a longer lifetime of the tyres and suspension system of the car.

The contrast between OEM-assembled wheels and typical aftermarket replacements remains stark. In Europe, De Bruyne identifies two aftermarket models. The first involves high-volume industrial assembly of wheel kits – often winter packages – using processes similar to OEM plants. “We recommend to order wheels from such entity to receive an upper grade quality level compared with the garage machine assemblers,” he says. The second model is the small local tyre shop, where limitations are far more pronounced. These workshops often use grade 2 or 3 tyres rather than the grade 1 tyres supplied to OEMs, apply grease-based lubricants forbidden in Tier 1 environments, rely on manual mounting without force control, inflate tyres without proper bead seat techniques and balance wheels on single machines without controlling clamping-device influence. “The manual mounting approach can result in a higher risk of vibration/sound level of the wheels to the car/driver/passenger,” De Bruyne warns. For OEMs, the objective is clear: the first test drive of a new car must feel fundamentally different from that of a used one.

Electrification has further raised the stakes. Higher torque loads and quieter powertrains mean that any wheel-induced vibration is far more noticeable. “Observation of increase of torque load on cars results in increase of tyre bead tension,” De Bruyne explains, along with higher surface roughness requirements on rim bead edges. Assembly processes now demand stricter control of mounting forces and higher-energy inflation using inflator bells. After inflation, micro bead correction is required to ensure full contact and maximise friction. Lubrication, meanwhile, must leave no residual grease, as this could allow bead slip under extreme acceleration or braking.

Eurofit’s position as an industrial service provider rather than a component manufacturer reflects broader shifts in vehicle production. A generation ago, car manufacturers assembled most parts themselves. “Due to the increase of complexity and need of assembling volume and faster cycle time of cars, a lot of key-assembling activities are outsourced,” De Bruyne says. This has freed space within vehicle plants, increased model variants and created demand for specialist know-how. Tier 1 component suppliers now deliver globally to wheel assembly plants located close to OEMs, enabling just-in-time supply with greater flexibility.

Logistics has evolved accordingly. Classic JIT lines are increasingly supplemented – or replaced – by batch production, sequencing centres and high-bay warehouses. De Bruyne describes specialised processes that keep wheels sequenced all the way to the OEM, including racks and trailers with walking-floor systems for direct unloading. Over the past 20 years, the explosion in variants has driven major upgrades in logistics software and product traceability. Such systems require constant monitoring and rapid deviation management to avoid production stoppages at the customer.

Despite all this, wheel assembly remains largely invisible to consumers – at least for now. De Bruyne believes this may change as EVs become dominant. With fewer vibration sources from engines and transmissions, wheel-induced disturbances move ‘on the horizon’, particularly as XL tyres and extreme sizes – up to 25 inches – enter production. Some manufacturers, he notes, are already upgrading assembly specifications in response to negative customer feedback on ride performance.

Replicating OEM-level quality outside factory environments remains difficult. OEM assemblers must meet manufacturer-specific specifications that are neither public nor economically viable for most aftermarket operations. While some garage-machine suppliers now offer optional TU, run-out and matching functions, De Bruyne is blunt: accuracy, repeatability and production speed remain poor, and costs are high. Where large aftermarket organisations adopt industrial processes for volume reasons, conditions may resemble OEMs, but ‘the difference is the respect of process limits’, which are typically broader and not tied to a single vehicle programme.

Balancing tolerances illustrate the point. OEM plants may work to residual imbalances as low as two grammes, while many workshops accept eight to 15 grammes. Whether a driver notices depends on vehicle sensitivity, but the physics are unforgiving. “Imbalance vibrations can increase very fast when the speed is going up due to the exponential behaviour,” De Bruyne notes. Lower residual imbalance always reduces TU vibration risk.

Automation is transforming the assembly line, yet human expertise remains central. Practical assembler knowledge is increasingly embedded into software, statistical process controls, cameras, sensors and AI systems. “The key-knowledge is the teacher of such equipment and less the production operator on the line,” De Bruyne observes, underscoring a shift from manual skill to process intelligence.

Convincing OEM decision-makers to invest in this hidden discipline relies on data. Carmakers increasingly use market feedback tools, such as J.D. Power studies, tracking performance from delivery through the first year of ownership. This feedback drives Tier 1 suppliers to adjust processes in pursuit of customer satisfaction. Internal rejections between OEMs and wheel assemblers can also trigger upgrades, particularly when Tier 2 suppliers across global plants struggle with consistency. “Over the last 30 years, numerous additional optional processes have been introduced in the wheel assembly industry. While tyre shops may be aware of these processes, the high cost of the required equipment has often made it difficult to turn them into a viable business model,” De Bruyne concludes.

For an industry obsessed with powertrains, software and styling, tyre-wheel assembly may remain out of sight – but, as De Bruyne makes clear, it is increasingly central to how a vehicle feels, performs, and ultimately, how a brand is judged.

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Nokian Tyres has achieved a significant global milestone as its new Romanian production facility becomes the first tyre factory in the world to be awarded LEED v4 Gold certification by the U.S. Green Building Council. This prestigious designation recognises the building's incorporation of extensive sustainable features, such as high energy efficiency, an advanced water management system and the use of on-site solar panels.

The LEED (Leadership in Energy and Environmental Design) framework is the foremost global rating system for sustainable construction. Certified buildings are distinguished by their reduced energy and water consumption, lower carbon emissions, minimised landfill waste and the creation of healthier indoor spaces for occupants. This accolade adds to a history of environmental leadership for Nokian Tyres; its US facility was previously the world's first tyre factory to receive LEED v4 Silver certification, and its on-site solar panels fully power the Gold-certified administration building there.

Having commenced tyre deliveries in March 2025, the Romanian plant is also notable as the world’s first full-scale tyre factory to operate with zero CO2 emissions from its direct operations. Furthermore, the company’s broader commitment to sustainability was acknowledged in 2025 when it was named one of the World’s Most Sustainable Companies by TIME Magazine.

Teppo Huovila, Vice President – Quality and Sustainability, Nokian Tyres, said, “Sustainability is not only about the products we create; it is also about the spaces where we create them. Earning the LEED certification reflects our commitment to reducing the environmental footprint of our operations while providing healthier, safer and more energy‑efficient workplaces for our employees.”

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Balkrishna Industries Limited (BKT Tires), already a dominant force in the Off-Highway Tyre (OHT) sector globally, has announced its strategic foray into India’s consumer tyre market. This significant expansion introduces the company’s On-Highway portfolio, marking a pivotal shift in its business trajectory. The initial product lineup is purpose-built for two-wheelers, encompassing both scooters and motorcycles, as well as Medium and Heavy Commercial Vehicles (M&HCV). This move underscores BKT’s long-term commitment to establishing a strong presence in India’s rapidly expanding consumer and replacement tyre segments. Accompanying the product launch is a new national brand campaign, ‘Elevate Your Drive’, fronted by brand ambassador Ranveer Singh, which heralds the beginning of the company’s journey as a consumer-facing brand.

To provide clarity for its evolving corporate structure, BKT has introduced a new brand architecture under its existing identity, ‘BKT – Growing Together’. This framework establishes two distinct verticals: BKT Tyres, which will encompass the company’s complete range from Off-Highway to the new On-Highway categories, and BKT Carbon, dedicated to its carbon black and industrial materials business. This dual-pillar approach reflects BKT’s transformation into a more integrated mobility enterprise.

The company’s entry into the consumer space is led by two new two-wheeler tyre lines, both manufactured in India. The BKT ZENOVA is engineered specifically for urban commuting, prioritising rider comfort, smooth handling and reliable grip. Complementing this is the BKT THYROS, designed for riders who encounter mixed terrain, offering enhanced control and confidence on both on-road and off-road surfaces. Developed with core consumer needs like comfort, safety and mileage in mind, the range has undergone rigorous validation. This includes design verification, durability trials and performance testing for braking and handling at the government’s NATRAX facility, ensuring they meet IATF 16949 standards and hold mandatory BIS certifications.

BKT’s expansion into the commercial on-road segment will follow with the introduction of its Medium & Heavy Commercial Vehicle Radial (MHCVR) tyres, slated for launch in the first quarter of FY2026-27. The initial offering will include the BKT m.Loadxpert and BKT Milexpert RG, tyres developed for demanding applications like cement transport and regional cargo logistics. Engineered for high stability and robust casing strength, each tyre undergoes over 138 in-process quality checks and more than 20 design verification tests in NABL-accredited labs. By meeting all BIS standards, the range emphasises reliability, long service life and retreadability, bringing industrial-grade validation to the commercial road sector.

The go-to-market strategy involves a phased rollout through BKT’s nationwide distributor and dealer network, beginning with key high-demand markets. Reinforcing its consumer-first approach, the company will support the new portfolio with an advanced digital platform designed for efficient service response and transparent complaint tracking. This initiative aims to set new standards in customer engagement and service responsiveness within the Indian mobility sector.

Underpinning this strategic expansion is a substantial investment commitment of INR 35 billion (approximately USD 400 million). These funds are earmarked for expanding manufacturing capacity, advancing research and development, supporting vertical integration through the BKT Carbon business and widening the distribution network. This investment is central to the company’s Vision 2030, which targets a consolidated revenue of approximately INR 230 billion by FY30. This future revenue mix is projected to comprise about 70 percent from its core Off-Highway tyre business, 20 percent from the newly entered On-Highway categories and 10 percent from third-party carbon black sales.

Arvind Poddar, Chairman & Managing Director, BKT, said, “Our entry into the on-highway segment is a natural extension of BKT’s purpose – to support India’s evolving mobility needs with products engineered for real world conditions. We are building on decades of manufacturing discipline to offer tyres that deliver safety, reliability and value. Guided by BKT – Growing Together, we aim to be a dependable partner for consumers, distributors and dealers.”

Rajiv Poddar, Joint Managing Director, BKT, said, “BKT’s foray into the on-highway tyre segment is a strategic milestone under our Vision 2030 – an India-led initiative to scale responsibly and expand our mobility footprint. Our approach balances ambition with discipline, where we aim to grow while protecting profitability and maintaining our engineering excellence. With a defined revenue roadmap of INR 23,000 crore (INR 230 billion) by 2030 – a 2.2x increase from FY25 levels, this measured growth, is built on clarity, capability and long-term commitment.”

Satish Sharma, Senior President and Director – Business Development and Strategy, BKT, said, “As we step into a new phase of growth, our focus remains unwavering on delivering durability, mileage, comfort and advanced performance across 2-Wheeler, Truck Bus Radial, Passenger and Light Truck categories, backed by deep customer insights and a commitment to product leadership. We are proud to pioneer industry first initiatives – whether it is pure distribution play ensuring wide reach with zero channel conflict, our ‘Journey Assistance Program’ for riders, or transformative programmes like ‘Save the Casing’ and market leading end user loyalty platforms. Our goal is clear – to achieve a five percent market share by FY30 through a disciplined, India-led strategy based on product leadership, distribution strength and consumer trust.”

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