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.

Japanese chemical manufacturer Tosoh Corporation announced plans on Wednesday to construct a second chloroprene rubber production facility at its Nanyo Complex, representing an investment of approximately ¥75 billion (£460 million) to meet rising global demand for the speciality polymer.

The new facility, scheduled to begin construction in spring 2027, will add 22,000 metric tonnes of annual production capacity for Tosoh’s SKYPRENE chloroprene rubber brand. Commercial operations are expected to commence in spring 2030 at the Shunan City site in Yamaguchi Prefecture.

Chloroprene rubber serves as a critical component across multiple industries, from automotive manufacturing to medical applications. The synthetic rubber’s popularity stems from its exceptional resistance to oil, weather conditions, and flame exposure, making it suitable for demanding applications, including automotive hoses, industrial belts, adhesives, and medical gloves.

The expansion comes as global demand for high-performance polymers continues to grow, driven by increasing automotive production and stricter safety requirements across industrial sectors. Medical applications have also seen increased demand following heightened awareness of the requirements for protective equipment.

Tosoh’s decision to double down on chloroprene rubber production reflects the material’s position within what the company terms its “Chemical Chain Business” - a strategy focused on value-added speciality chemicals rather than commodity products.

The investment represents one of the larger capacity expansion projects announced by Japanese chemical companies this year, signalling confidence in long-term demand fundamentals despite current global economic uncertainties.

The Nanyo Complex already houses Tosoh’s existing chloroprene rubber operations alongside other chemical production facilities. The site’s established infrastructure and logistics capabilities influenced the decision to expand at the existing location rather than develop a greenfield facility.

Industry analysts note that the three-year construction timeline reflects the technical complexity of chloroprene rubber production, which requires specialised equipment and stringent safety protocols due to the chemical processes involved.

The expansion aligns with broader trends in the Japanese chemical industry, where companies are increasingly focusing on high-margin speciality products to offset competitive pressures in traditional commodity chemicals from lower-cost Asian producers.

Epsilon Carbon, a leading global manufacturer of carbon black, has launched N134, which it claims is a specialised ‘Hard Grade’ carbon black known for its superior abrasion resistance and durability.

At present, the high-quality N134 grade is being imported due to the lack of consistent quality and supply chain issues in the Indian market. As a result, the tyre makers have to modify their formulations using other grades of carbon black, which it shared often leads to reduced performance.

But now, Epsilon Carbon has become the first company in India to install a dedicated manufacturing unit designed for N134 grade hard carbon. The company is expanding its existing Vijayanagar Carbon complex facility to produce 215,000 tonnes of carbon black.

This will not only ensure consistent supply of N134 carbon black for tyre makers in the country, reduce import dependency, but also open up export potential to markets such as Europe and USA. Epsilon Carbon will also focus on integrate advanced processing techniques to ensure batch consistency for durability and performance.

Vikram Handa, Managing Director, Epsilon Carbon, said, “This is a proud moment for us and for India’s carbon black manufacturing sector as the high quality N134 black will significantly reduce import dependency and provide tire manufacturers in India and abroad with a reliable, high-quality product. Our goal is to match global standards while building India’s capability to serve premium markets.”

Lummus Technology, a leading provider of process technologies and energy solutions, has signed a memorandum of understanding (MoU) with InnoVent Renewables to collaborate on the global licensing and deployment of InnoVent’s continuous tyre pyrolysis technology.

Under the proposed agreement, Lummus will become the exclusive licensor for InnoVent’s proprietary pyrolysis process, which transforms end-of-life tyres into valuable outputs, including pyrolysis oil, gas, recycled carbon black and steel. Additionally, Lummus will offer integrated technology packages that combine InnoVent’s pyrolysis system with its own downstream processing solutions, enhancing the value of fuel and chemical products derived from waste tyres.

InnoVent’s technology provides a fully scalable, end-to-end solution for converting discarded tyres into renewable fuels and high-value petrochemicals, covering everything from pre-processing to purification. The company currently operates a commercial-scale facility in Monterrey, Mexico, with an annual processing capacity of up to one million passenger tyres, and has the capability to expand further.

Leon de Bruyn, President and Chief Executive Officer, Lummus Technology, said, “This is another significant step in expanding and strengthening our portfolio for the circular economy. By combining InnoVent’s tyre recycling technology with Lummus’ global licensing and engineering expertise, we will be addressing the global challenge of waste tyres and creating new pathways for sustainable product development.”

Vibhu Sharma, Chief Executive Officer, InnoVent Renewables, said, “Partnering with Lummus has the potential to accelerate the global deployment of our technology and help us address the environmental and public health challenges of one billion end-of-life tyres that are disposed of annually. Together, we can transform waste into valuable resources, reduce carbon emissions and support the transition to a more sustainable future.”

Continental is accelerating its efforts to make tyre production more sustainable, with the German tyre manufacturer expecting the share of renewable and recycled materials in its tyres to rise by up to three percentage points in 2025.

The average share stood at 26 percent in 2024, and Continental said it anticipates a further increase this year due to the expanded use of materials such as synthetic rubber derived from renewable sources, recycled PET polyester, recycled steel, and silica made from rice husk ash — a by-product of rice production.

“We are systematically increasing the share of renewable and recycled materials in our raw material portfolio. In five years, we aim to surpass the 40 percent mark,” said Jorge Almeida, Head of Sustainability at Continental Tires. “To achieve sustainable mobility, we are constantly searching for even more environmentally friendly materials. After extensive testing, we integrate them into production as quickly as possible.”

The company has set a goal of using over 40 percent renewable or recycled materials in its tyres by 2030, without compromising on performance or safety.

A key pillar of this transformation is the adoption of mass balance-certified materials. This approach, certified under ISCC Plus, enables Continental to mix certified and non-certified materials during production while maintaining strict accounting procedures to ensure traceability.

The company has already secured ISCC sustainability certification for its tyre plants in Lousado (Portugal), Hefei (China), Púchov (Slovakia) and Korbach (Germany). Continental is also scaling up its use of recycled steel, silica from rice husk ash, and PET yarns made from recycled plastic bottles via its proprietary ContiRe.Tex process.

Other sustainable innovations include COKOON, an adhesive coating system co-developed with Kordsa that replaces formaldehyde and resorcinol in bonding textile components with rubber. Continental also continues to explore alternative additives derived from renewable sources to improve the tyre vulcanisation process.

“We have developed a comprehensive portfolio of diverse, more sustainable materials and are continuously integrating them into all our products after extensive testing,” Almeida said. “In doing so, we ensure that there is no compromise in safety or performance. With this portfolio, we are getting closer and closer to our ambitious, long-term sustainability goals.”