The production and availability of natural rubber in India is facing huge disruption, despite a constant price hike, small-scale players are under the threat of extinction on the back of several factors. In fact, the All Kerala Small Scale Tread Rubber Manufacturers’ Association increased the price of tread rubber and allied products by INR 12 per kg on the back of hike raw material prices and overhead expenses. But this too seems to be a not a sustainable measure.

In a conversation with Tyre Trends, P P Subair, President, of All Kerala Small Scale Tread Rubber Manufacturers’ Association states that the prices of rubber are going up by almost INR 3-4 per kg daily. It is becoming so dynamic that the prices keep varying throughout the day.

This, he attributes, is on the back of several factors, which include the availability of natural rubber becoming scarce on the back of adverse weather conditions (heavy rain); then there is the reduction in imports due to the non-availability of containers from Thailand and other countries.

Furthermore, the reduction in the availability of labourers, especially in the key state of Kerala where only 30 percent labourers are available (compared to demand) for rubber taping. According to Subair, almost 80 percent of the natural rubber production in India happens in Kerala, with the rest of India including Karnataka, Maharashtra and other states contributing the remaining 20 percent.

“The young generation is not interested in working in this profession, even if people from other states are called for working on rubber tapping, it will still take a couple of months for them to be efficient,” shares Subair. This has also resulted in a significant number of players shutting shop. In fact, Subair states the number of members in the All Kerala Small Scale Tread Rubber Manufacturers’ Association has come down from 1,000 to 300.

He explains that as on 8 August 2024, the price of tread rubber is around INR 250 per kg, yet there is no availability for the raw material.

“Everybody is searching for rubber sheets, but the same problem exists in other states also.”

He claims that at present 75 percent of tread manufacturers are from Kerala, while the remaining are based in Karnataka, Maharashtra, Gujarat, and a few other places. While there are some other states in Northeast India, the quality is not similar, as well as the available quantity is very limited in comparison to the demand in the country.

Subair expects that there may be some relief in the next 2-3 months, in addition to the relief post-monsoon.

But he also expresses concern about the existential crisis looming across the country for the small-scale industry.

“All over India, the small-scale players are suffering in the tread rubber sector. In addition to the challenges, the removal of exemptions for small-scale players in the taxation bracket, we are now faced with 18 percent GST which has impacted the financial health of many players. This has led to wafer-thin to almost no margins for businesses. It has become very difficult to grow or expand one’s business,” he shares.

Then there is the indirect impact due to the crude oil prices on the back of geo-political reasons.

Comments (0)

ADD COMMENT

Link Copied!

Solvay is expanding its global circular economy strategy by converting its Asian production of highly dispersible silica (HDS) to use certified circular raw materials. Beginning in 2026, its plants in Qingdao, China, and Gunsan, South Korea, will transition to using ISCC+ certified waste sand. This major initiative is projected to make over half of the region’s HDS output circular, directly aiding tyre makers in their goal of incorporating over 40 percent sustainable materials by 2030.

This transition provides tyre manufacturers with a cost-effective, high-volume circular Zeosil silica that integrates seamlessly into existing processes without the need for reformulation. The move builds on the successful conversion of Solvay’s Livorno, Italy, facility to using rice husk ash and reflects a coordinated, global shift towards circular sourcing. It also supports the broader sustainability goals of Solvay Silica, including the adoption of low-emission technologies like electric furnaces to minimise the carbon footprint of its products worldwide.

By pioneering circular silica from diverse feedstocks and regions, Solvay is fostering more resilient and sustainable supply chains through innovative partnerships across the entire value chain.

An Nuyttens, President of Solvay’s Silica Business unit, said, “Solvay’s circular silica helps improve fuel efficiency and EV range, offers long-lasting wear benefits, improves safety, while advancing sustainability. This is more than innovation - it’s a reinvention of how we source, produce and collaborate across the value chain.”

Comments (0)

ADD COMMENT

Link Copied!

Following the formal approval of its foundational design, Sinopec has announced the construction of a new green, high-end rubber materials facility in Tianjin, China. The project, which was initially revealed in 2023, represents a total investment of CNY 2.452 billion (approximately USD 344.65 million). Its production output will include 100 kilotonne per annum (ktpa) of solution styrene butadiene rubber and an equal volume of nickel-based butadiene rubber.

Operated by Sinopec’s Beijing Yanshan branch, the venture will be funded through a combination of 70 percent bank loans and 30 percent company capital. The initial construction phase, focused on piling work for processing units, storage areas and auxiliary facilities, is valued at CNY 28 million (approximately USD 3.94 million) and scheduled for completion within 31 days.

This new rubber plant is an integral component of the larger Sinopec Nangang high-end materials industrial cluster, which also features a recently completed 1.2 million tonne-per-year ethylene complex. Encompassing a 277,004 sqm site with a built area of 43,522 sqm, the facility is projected to become operational in 2027.

Comments (0)

ADD COMMENT

Link Copied!

Elkem ASA, a global leader in advanced silicon-based materials, has announced a significant advancement in silicone sustainability with the successful validation of a new mechanical recycling process for High Consistency Rubbers (HCR). This innovation provides a scalable method for recycling crosslinked HCR waste and reintroducing it into new product formulations. The process achieves re-incorporation rates of over 50 percent while maintaining the excellent mechanical properties required for high-performance applications. This breakthrough demonstrates how material engineering can enable a more circular economy for silicones, helping to reduce waste and the carbon footprint while meeting rising market demand for sustainable solutions.

This mechanical recycling process expands Elkem's comprehensive silicone recycling strategy, which now encompasses both chemical and mechanical pathways. The ability to integrate multiple recycling technologies allows the company to tailor its approach based on the type of waste material, specific carbon reduction goals and the performance needs of the final product.

The development is a key outcome of the open innovation project ‘RENOV’ (Recycling & Reincorporation of Elastomer Materials), focused on creating technologies for recycling and reincorporating crosslinked elastomer waste. The project, supported by the French environment agency ADEME, unites Elkem with industrial partners Hutchinson and Nexans, as well as several CNRS-affiliated laboratories. A primary objective is to evaluate market acceptance and identify the most promising commercial and environmental applications for mechanically recycled HCR.

High Consistency Rubbers are valued for their exceptional strength, thermal stability and electrical insulation properties, making them critical components in industries ranging from electric vehicles and aerospace to medical devices and electronics. Elkem will present samples of the recycled material and detail this new technology at the K 2025 trade fair in Düsseldorf, Germany, from 7–14 October 2025.

Joséphine Munsch, R&T sustainability leader at Elkem, said, “This breakthrough demonstrates the power of purpose-driven innovation aligned with market expectations. After two years of development, we are proud to present a first proof of concept for mechanical recycling of HCR, opening the door to new industrial applications and reinforcing our ambition to leverage pragmatic, science-driven solutions to lead and accelerate the transition to a circular economy for silicones.”

Comments (0)

ADD COMMENT

Link Copied!

ContiTech, a group sector of Continental, has officially launched production at its new USD 90-million hydraulic hose manufacturing facility in Aguascalientes, Mexico. This significant investment is a strategic move to reinforce local supply chains, boost regional production capacity and position innovative fluid power solutions closer to its customer base across North America.

The new 900,000-square-foot plant will produce high-performance hoses for numerous industrial and mobile applications, serving vital sectors such as construction, agriculture, mining and energy. It has been designed to operate in a tightly coordinated network with ContiTech’s existing facility in Norfolk, Nebraska. This dual-plant strategy enhances production flexibility, improves operational efficiency and allows the company to be more responsive to evolving customer demands by strategically balancing technology, volume and lead times.

This expansion underscores ContiTech's long-term commitment to growth in key markets through substantial investment in local infrastructure and talent. Production at the Aguascalientes site will be gradually increased, with the first customer deliveries anticipated to commence in the fourth quarter of 2025.

Philip Nelles, Member of the Continental Executive Board and CEO of the ContiTech group sector, said, “The start of production in Aguascalientes marks a key milestone in ContiTech’s journey towards being a more agile, regionalised partner to our customers. At ContiTech, we build on 150 years of materials expertise. While our portfolio is broad and diverse, all our solutions are grounded in the same strength: high-performance materials that are mission critical, innovative and engineered to perform. Whether they connect, convey or cover, our products play essential roles across industries and applications.”

Andreas Gerstenberger, CEO of ContiTech USA and Head of Business Area Industrial Solutions Americas, said, “We are ready to lead in this segment. This new plant reflects our commitment to both innovation and proximity. With our customers increasingly looking for responsive and innovative solutions, we are proud to deliver with local production, advanced technology and a skilled workforce. More than just expanding our footprint, this investment is about creating mutual value with our customers, partnering closely to help them succeed in their own markets. By placing customer needs at the centre of everything we do, we aim to be their first choice for material-driven solutions, now and in the future.”

Comments (0)

ADD COMMENT

Link Copied!