The pilot facility in Monterrey will initially convert 1 million end-of-life passenger tyres to recovered carbon black. Operations are slated to commence by the end of CY2024, while the company also has plans to add a second train in the future to double the capacity.

Northern Mexico has long struggled with the challenge of end-of-life tyre (ELT) disposal. Decades of improper waste management have led to an accumulation of over 20 million waste tyres, many of which are left in municipal dumpsites or landfills. These discarded tyres pose not only an environmental hazard but also a significant public health risk as they can become breeding grounds for mosquitoes and other disease-carrying pests.

Local governments have ramped up efforts to address this crisis, but the scale of the problem requires long-term, systemic solutions. Innovent Renewables’ new facility in Monterrey is poised to play a key role in this effort. The facility will transform waste tyres into valuable resources such as recovered carbon black and will help reduce landfill reliance, cut carbon emissions and provide a sustainable alternative to the traditional methods of carbon black production.

The pilot facility represents a significant milestone for the recycler as it sets out to address the growing environmental challenge of ELTs in the region. Initially slated to process 1 million waste passenger tyres annually, the facility will convert these tyres into high-quality recovered carbon black, oil and steel. With operations scheduled to begin by the end of calendar year 2024, the company is also looking ahead with plans to add a second processing train to double its capacity in the near future. This expansion marks a critical step in tackling the 20 million-plus tyres accumulated in Mexico’s northern areas while offering sustainable solutions for industries seeking to reduce their carbon footprints.

“This facility represents a vital step forward in addressing the enormous environmental burden posed by tyre waste in northern Mexico. We’re not only reducing waste but converting it into materials that industries can use in a circular and sustainable manner,” said Chief Executive Officer Vibhu Sharma.

Extracting value

The tyre recycling process based on pyrolysis begins with the shredding of end-of-life tyres, which are then fed into a main reactor where they undergo pyrolysis, a high-temperature process in the absence of oxygen.

This results in the breakdown of tyre material into pyrolysis gases, oil and recovered carbon black. The gases are recycled within the system for energy recovery or flared off, enhancing energy efficiency.

The pyrolysis oil is condensed and purified, followed by distillation into high-value chemicals for industrial applications. Meanwhile, recovered carbon black, a solid by-product, is processed through milling and polishing for reuse in manufacturing. This design demonstrates an energy-efficient method of converting waste tyres into valuable products such as fuel, chemicals and carbon black.

“Firstly, we have a proprietary continuous pyrolysis process that ramps up and cooks the tyres to decompose them in a particular way. We also use specially designed agitator to ensure uniform decomposition to oil and carbon black. This ensures higher surface area and quality of the RCB. We designed a proprietary polishing unit that crushes that RCB coming out of the reactor and then polishes it to remove metal oxides and silica. We have several equipment in place to capture steel particles in the RCB. The final product still has some amount of silica and metal oxides, but the purity and uniformity of the RCB is much higher,” said Sharma.

Addressing demand

As industries worldwide strive to meet decarbonisation goals, the demand for sustainable alternatives to carbon-intensive materials have surged. Recovered carbon black fits squarely into this trend, offering a viable option for companies looking to reduce environmental impact while maintaining performance characteristics.

Innovent Renewables’ order book reflects this growing interest. The company has secured letters-of-intent from several major tyre manufacturers as well as companies in the printing ink, rubber and paint sectors.

“Increasingly, companies are looking for sustainable solutions that allow them to reduce their carbon footprints without sacrificing the quality of the products. Our RCB gives them that opportunity. It’s a win-win for both industry and the environment,” said Sharma.

He added, “We see the Monterrey facility as just the beginning. As we prove the viability of our process and stabilise operations, we’ll be able to scale up production not just here in Mexico but potentially in other regions around the world that are dealing with tyre waste issues. There’s a huge global need for solutions like this.”

Sustainable vision

According to Sharma, the company’s goal is to provide a circular solution for industries that are serious about sustainability. “It’s not just about the recovered carbon black; we’re also helping companies reduce their reliance on virgin oil and steel by offering them high-quality, recycled alternatives. This allows them to achieve carbon credits and decarbonisation targets while contributing to a cleaner environment,” noted Sharma.

While tyres remain the primary focus, the company is already working to expand its applications into other industries by targeting sectors such as rubber gaskets, printing inks and paints to tap into new growth markets.

It is also finding ways to repurpose the other by-products of its pyrolysis process. The oil extracted from the tyres can be used as fuel or as a raw material for various industrial applications, while the recovered steel can be sold back to manufacturers, creating a fully circular model that maximises resource recovery and minimises waste.

“We’re proud to be part of the solution to one of Mexico’s most pressing environmental issues. But this is just the start. Our vision is to become a global leader in the circular economy, providing industries around the world with the materials they need to build a sustainable future,” Sharma concluded.

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According to a recent analysis by the International Rubber Study Group (IRSG), an inter-governmental organisation composed of rubber producing and consuming stakeholders located in Singapore, India's rubber industry demonstrated robust performance in the first half of 2025. The sector saw demand for both natural and synthetic rubber continue to outpace supply. Natural rubber consumption grew by 2.1 percent against a 1.9 percent production increase. The synthetic rubber market expanded even more rapidly, with consumption rising 5.6 percent and production increasing 5.4 percent.

The automotive tyre industry remains the primary market force, consuming 62.8 percent of all natural rubber and 68.9 percent of synthetic rubber. This sustained demand from tyre manufacturers occurred alongside mixed vehicle sales figures. While passenger car sales experienced a slight decline of 0.1 percent, this was counterbalanced by healthy growth in the two-wheeler and three-wheeler segments, which increased by 0.9 percent and 6.5 percent, respectively.

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The Association of Natural Rubber Producing Countries (ANRPC) has released its Monthly NR Statistical Report for September 2025, providing an overview of key developments in the global natural rubber sector.

The ANRPC Statistics and Information Committee (ISC) presented an updated perspective on the global supply-demand landscape for 2025 and examined updated 2024 statistics and growth rates during the October 2025 Annual Assembly Sessions. September saw price volatility and pressure as output increased while demand stayed low. However, tapping activities were limited in several producing regions due to rains and labour limitations, which contributed to a passive production rise that was not anticipated during the peak production season.

Global natural rubber (NR) output is expected to increase slightly by 1.3 percent in 2025 compared to 2024, according to recent reports from ANRPC member nations, after Indonesia's production base was revised downward. Concurrently, it is anticipated that NR demand would increase by 0.8 percent in 2025 due to an increase in Indonesia's consumer base. Although there were some indications of recovery in the tyre sector in a few countries, market mood remained divided.

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ARLANXEO, a leading global producer of synthetic rubber, is significantly increasing its synthetic rubber production capabilities at its Brazilian facility in Triunfo. This strategic investment is designed to boost the plant's annual capacity by nearly one-quarter, a direct response to growing customer demand across Latin America and other international markets.

The initiative underscores the company's dedication to the region through a 'local-to-local' strategy, which aims to foster regional economic growth and sustainability. By enhancing local production, the company ensures a more balanced and secure global supply network. The expansion is scheduled to be operational in 2027, promising a more efficient and reliable supply chain for clients. The Triunfo plant is already recognised for its operational excellence and adherence to rigorous international quality and safety standards, a reputation this new project will further solidify.

Angelo Brazil, Chief Manufacturing Officer, ARLANXEO, said, “After a successful installation that increased capacity to 65kt at our polybutadiene plant, the response from our customers has been outstanding. We are now taking the next step and will further expand our capacity by 25 percent. This underscores our confidence in the Latin American market, and our commitment to providing reliable, high-quality products close to our customers. With strong performance, a well-run operation and a market with solid customer demand, we’re perfectly positioned for continued growth.”

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In a significant advancement for materials science, Shin-Etsu Chemical has pioneered a new class of thermoplastic silicone, effectively overcoming the longstanding recyclability challenges associated with conventional silicone rubber. This innovation is a core component of the company's Silicones Solution-Engineering initiative, which leverages sophisticated silicon chemistry. Traditional materials are broadly categorised as thermoplastics, which can be remelted and recycled, and thermosetting plastics, which undergo a permanent hardening process that prevents recycling. Standard silicone rubber falls into the latter, thermosetting category.

This newly engineered thermoplastic silicone, however, represents a paradigm shift. It retains the desirable soft texture of silicone but introduces a suite of previously unattainable properties. The material is not only fully recyclable due to its thermoplastic nature but also achieves a unique combination of high hardness and exceptional elasticity. Furthermore, its composition allows for excellent transparency and ease of colouring, as it requires no inorganic fillers like silica. From a manufacturing perspective, it offers excellent processability, suitable for standard plastic injection moulding and even formulation into solvent-based coatings for diverse applications.

The potential uses for this material are extensive and novel. It is expected to enable new applications in consumer electronics, such as soft-touch components for mobile devices and sports equipment, and in the medical field for protective coatings on caregiving devices. By offering a spectrum of properties from rubber-like elasticity to plastic-like rigidity, Shin-Etsu can provide highly customised solutions. The product is scheduled for its first public reference display at the 14th PLASTIC JAPAN exhibition, taking place at Makuhari Messe from 12 to 14 November 2025.

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