Tyre Industry Continues To Be A Key Growth Driver For Lanxess India

Lanxess

The German speciality chemicals company recently inaugurated the first India Application Development Centre (IADC) in the country’s financial capital, reinforcing its commitment and outlook for the country. 

For Lanxess India, tyre industry accounts for almost 25 percent of its business, as against global average of around 10 percent. And the company’s management continues to be upbeat about the growth story for Indian tyre makers.

“India, from our point of view, will play a very important detrimental role (for Lanxess). Because when you want to grow your industry, which Prime Minister Narendra Modi clearly has as an ambition, you need the chemical industry and all their precursors. And if you want to help the Indian industry to further develop (new solutions), you need to have local application for local needs,” remarked Matthias Zachert, Chairman of the Board of Management of Lanxess.

He was speaking on the sidelines of the inauguration of the India Application Development Centre (IADC) in Thane, Mumbai, which also marks a significant commitment by the German chemical major for the country.

Lanxess is said to be the world’s largest supplier of rubber additives focusing on solutions around rubber chemicals, speciality chemicals and processing aids for the rubber industry. The company’s solutions find their way in high-performance rubber products such as tyres, treads, seals and even drive belts.

At present, Lanxess has established two production facilities in India – Jhagadia in Gujarat and Nagda in Madhya Pradesh. The tyre industry is primarily supported by Lanxess Rhein Chemie Additives Divisions, which manufactures Rhenogran and Rhenodiv at the Jhagadia facility. The company has invested over EUR 70 million in the Jhagadia facility, which not only supports the domestic customer base for Lanxess but also its customers in the Asia-Pacific region. The company has a longstanding presence in India, with representation from all 10 of its business units and a workforce of around 800 employees.

It comes as no surprise that Zachert sees India as a critical growth region for Lanxess, offering immense opportunities for collaboration and innovation.

INDIAN TYRE INDUSTRY A KEY GROWTH DRIVER

Globally, the automotive industry in particular is transitioning from being seen as a seller of products to a mobility solutions provider, what’s with new business models or service solutions.

Zachert sees that while the tyre market was consolidated for many years, it has started opening up in the last decade.

“The global tyre market has opened up, strongly driven by Chinese tyre manufacturers but also Indian tyre manufacturers. We have rising stars here in India. Mobility has always led to liberty and flexibility for mankind. This will be a trend that in the next 10-20 years is not going to vanish. Mobility will be important, which means the tyre industry is important. And therefore, I look positively at the tyre industry going forward, notably the one that is located here in India,” said an optimistic Zachert.

It is important to understand that the company has almost 25 percent of its business exposure to the Indian tyre segment, which could be amongst the highest for the company.

“For our group, the mobility exposure that we have worldwide as a company is 10 percent. We are over-proportionally present here in India, which is good and normal because the industry is expanding. The Indian tyre market is expanding not only locally but globally,” he said.

The recent setting up of IADC is part of Lanxess’ strategic focus on India as a key market and innovation hub. The strengthening of R&D will enable the company to enhance its ability to deliver high-value, specialised solutions tailored to local needs.

To begin with, the company has integrated expertise from two key businesses in India: Lubricant Additives (high-performance additives and additive systems, synthetic base fluids and ready-to-use lubricants) and Material Protection Products (antimicrobial, disinfection and preservation solutions). Going forward, the idea is to be present with all business units’ expertise at the IADC.

Namitesh Roy Choudhury, Vice-Chairman and Managing Director, Lanxess India, said, “By establishing the IADC, we are bringing our expertise closer to our Indian customers. This centre will not only support innovation but also strengthen our ability to address evolving market trends with speed and precision.”

For Lanxess India, the IADC aligns with its transformation journey towards a speciality chemicals company. The aim is to focus less on cyclical business areas and solutions for critical applications and move towards a partner for sustainable mobility or consumer protection. And the company sees India’s growing industrial base and expanding consumer markets as an ideal platform for driving such advancements.

SUPPORTING THE TYRE INDUSTRY

The production of the plain looking black tyre is more than just moulding of rubber; it is a complex process, which includes incorporating various raw materials and scientific steps to ensure that the tyres are built up to a particular specification. After all, tyres remain and are supposed to be the sole point of contact between a vehicle and the road when in motion.

Lanxess, for its part, supplies solutions across mixing, batch-off, extrusion & tread marking, tyre inspection & repair, tyre curing, green tyre spraying and tyre building processes.


According to the company, a durable car tyre is the result of a complex manufacturing process in which the tyre is built-up from various rubber compounds and reinforcing materials. It explains that by using rubber chemicals and various fillers, the raw material rubber is turned into a high-performance product. This is because rubber is soft and not very durable until vulcanisation. By selecting the type of rubber, the crosslinking chemicals and additives required for the desired technical properties of the end-product, high-performance products such as tyres and other rubber products are created.

EUROPEAN COMPANIES TO STEP OUT OF PETROCHEMICALS

The chemicals industry has undergone a sea of change, especially given the evolving trend from geography-focused development to globalisation. For the last few years, there has been a growing pressure, especially given the focus on sustainability.

To support the sustainability drive, the company recently introduced Vulkanox HS Scopeblue, a next-generation rubber additive designed to help tyre manufacturers produce more durable and environmentally friendly tyres. The anti–degradant effectively protects tyres from the damaging effects of oxygen and heat while offering reduced environmental impact. Its low volatility and minimal migration tendency further enhance tyre performance and longevity, making it an optimal solution for modern, eco-conscious manufacturing.

The company claims that the Vulkanox HS Scopeblue boasts a carbon footprint more than 30 percent lower than its conventionally produced counterpart thanks to the use of bio-circular acetone and renewable energy in its production process. It is being currently manufactured at an ISCC PLUS-certified plant in Germany; this mass-balanced additive retains the same chemical structure as the original product, allowing tyre manufacturers to adopt it seamlessly without altering their existing production processes.

Zachert further said, “Times lead to change. The industry dynamics of chemicals has been adjusting to change for the last decade and will continue to see changes for the next decades. If I look into the next 10 years of the chemical industry, my personal prognosis is that you will see that the European chemical companies will more and more step out of petrochemicals and go upstream. And this is happening as we speak. My thesis also is that the European industry will focus more on niche polymers and speciality chemicals. The upstream and volume polymers will go elsewhere, where you have the raw materials and cheap energy. Countries that are destined to dominate these kinds of chemicals over the next 10 years, is the Middle East and the United States. Europe used to be the epicentre of chemicals 20-30 years ago from polymers to chemicals to pharmaceuticals.”

Then there is the shift from global supply chain to more of regional supply chain given the geopolitical situation.

“I see that with the current world with geopolitical tensions, the likelihood is high that we will go back to trade zones. And therefore, the global value chain in chemicals is one where many companies will have to rethink the global approach and turn towards a more regional approach,” added Zachert.

Stacey Davidson

Once held up as a model for circular tyre waste management, South Africa now faces a mounting environmental and governance crisis. With millions of vehicles and thousands of waste tyres generated daily, REDISA warns that policy missteps, weak execution and leadership failures have turned a manageable system into a growing national risk.

The Recycling and Economic Development Initiative of South Africa (REDISA) called out the country’s waste tyre recycling system a ‘ticking time bomb’. The country with an estimated population of about 62 million has more than 13 million registered vehicles including roughly eight million passenger cars and generates an estimated 200,000–250,000 tonnes of waste tyres from road vehicles alone each year.

This has created a major environmental and waste-management challenge alongside rising vehicle ownership.

Commenting on the issue, Executive Director of Operations at REDISA Stacey Jansen told Tyre Trends, “Waste tyre management in South Africa has, in effect, collapsed since the Waste Management Bureau under the Department of Forestry, Fisheries and the Environment (DDFE) took over in 2017. The effect is overfull depots posing significant fire risks including the dumping and burning of tyres illegally causing harmful chemicals to seep into groundwater and causing severe air pollution.”

“Economically, a huge opportunity is being missed, in that a structured management programme geared towards recycling can not only create jobs but also contribute to the circular economy as a whole. This was precisely what REDISA did between 2013 and 2017,” she added.

She also stated that internal research has shown that a functional waste plan for just 13 waste streams could raise South Africa’s GDP growth by 1.5 percentage points. For a country struggling with unemployment and stagnation, this is an avenue that must be pursued.

REDISA alleges serious governance failures within the DFFE and the Waste Management Bureau. The first problem is that no dependable data exists.

“We all know that there is a problem, but we don’t know the extent of it. The department’s figures and reports are filled with inconsistencies and errors and this impacts any effective decision-making on how to fix the issue of waste tyre management,” said Jansen.

Secondly, she argues that there does not seem to be a realisation that the government cannot handle waste tyre management on its own as it does not have the expertise, technology or experience.

Thirdly, more headline-grabbing issues such as conservation and climate, which are important, of course, receive a lot of attention. But ground-level interventions such as waste management, while not as media-friendly, offer real and relatively immediate ways to address environmental and economic problems, she stated.

THE BOMBARDING

The Biesiesvlei depot fire in 2023 caused extensive environmental damage. Alluding to the lessons learned from the incident, Jansen said, “This is a question perhaps best posed to the DFFE. Since that disaster, we have not seen a country-wide response that puts the safety of citizens and the environment first. If something isn’t done on a national scale, more depots will burn, releasing extremely toxic pollutants into the air.”

Moreover, the auctioning of nearly R100 million (USD 5–5.5 million) worth of unused pre-processing equipment has been called an ‘admission of failure’ by REDISA. Commenting on this, Jansen said, “We wish the government could tell us how they ended up idle. Either they bought the wrong equipment or they were unable to deploy it. The right decisions were clearly not made by the leadership in the department.”

Moreover, the exclusion of small businesses and micro-collectors from the current system has also impacted tyre collection, illegal dumping and rural employment.

According to Jansen, from 2013 to 2017, REDISA managed waste tyres in South Africa. In a short space of time, it built 22 tyre collection centres, employed more than 3 000 people and created 226 small waste enterprises.

This was all funded by a management fee levied on plan subscribers (producers and importers) as part of the approved Industry Waste Tyre Plan. In February 2017, following a legislative change, the state imposed an environmental levy, which replaced the fee REDISA was collecting. The levy is still being collected today, but the producers and the citizens are not seeing their money channelled into effective waste tyre management.

In fact, more than half of the money collected is going into the general tax fund. The result has been job losses, mostly in urban areas.

REDISA also claimed that the government underspent on tyre transport due to lack of storage space. Answering how does this contradiction affect the integrity of the waste tyre management system, she said, “The department admits this underspend and gives the reason in its latest annual report. They are silent on the consequences, but it can only lead to illegal dumping and burning of tyres. If you drive by almost any informal settlement or urban fringe in South Africa, you will see dumped tyres. And this could be transformed into an asset under the right system.”

CLEAR VIEW

During her interaction, Jansen encouraged citizens and journalists to visit waste tyre depots in their communities and see if they adhere to safety standards viz-a-viz 6-metre fire breaks between heaps, 8-metre gaps to buildings and fences, maximum heap size of 10 metre x 20 metre and more.

Collectors and transporters regularly complain to REDISA that the situation at the overfull depots and dumps have worsened so much since 2017 and that they are deeply concerned.

Questioning the sustainability of the current approach, Jansen said that generating nearly 70,000 waste tyres every day makes an over-reliance on storage depots deeply flawed. “This is not sustainable at all. The only outcome will be increased air pollution, contaminated groundwater and heightened fire risks. It is an attempt to apply a band-aid to the problem without addressing its root cause,” she said.

Jansen was equally critical of the DFFE’s decision to issue tenders for 32 new depots covering close to one million square metres. According to her, the move signals more than a stop-gap response. “I would describe it as an acknowledgement of defeat and clear evidence of an inability to effectively address tyre recycling in South Africa,” she added.

Reflecting on South Africa’s earlier leadership in circular tyre waste management, Jansen said restoring that position would not require sweeping policy or structural reforms. “The DFFE does not need new frameworks or radical changes. What is required is leadership that acknowledges the scale of the crisis and a willingness to return to a model that has already proven its worth, the internationally recognised REDISA model,” she said.

The warning signs are no longer theoretical. Idle equipment, expanding depots and rising illegal dumping point to a system drifting further from circularity. Without decisive leadership and a return to proven, accountable models, South Africa risks compounding environmental damage, economic loss and public health threats, allowing a ticking time bomb to keep counting down.

Ecolomondo Retains August Brown As Risk Advisor For Shamrock Texas Project

Ecolomondo Retains August Brown As Risk Advisor For Shamrock Texas Project

Ecolomondo Corporation, a leading Canadian innovator in sustainable scrap tyre recycling technology, has engaged August Brown, LLC as an independent risk advisor. This appointment supports the planning stages for a new facility in Shamrock, Texas. The firm will conduct a validation of the project's business plan and risk management approach, a step taken in preparation for marketing the green bond that will finance the development.

The proposed Texas site will feature a six-reactor plant, replicating the company’s proprietary, modular Thermal Decomposition Process (TDP) technology currently operating at its Hawkesbury, Ontario, facility but with triple capacity. This expansion follows the successful commercialisation of Ecolomondo’s proprietary TDP technology. Local support has been secured through the Shamrock Economic Development Corporation, along with a 136-acre industrial site and long-term feedstock agreements intended to supply ongoing operations.

August Brown's role will begin with a comprehensive feasibility study examining business, market and financial risks. A subsequent phase will focus on engineering, technology validation and project execution risks. This independent review process aims to improve transparency and strengthen confidence among potential bondholders and project partners. The project represents the next phase in the company's growth strategy, replicating its proven modular technology on a larger scale.

Eliot Sorella, Executive Chairman, Ecolomondo, said, “Independent validation of our technology, projected operations and financial model for our planned Shamrock Facility is an essential step that resonates strongly with investors, lenders and potential joint-venture partners.”

WACKER Exhibits Silicone-Based Innovations At JEC World 2026

WACKER Exhibits Silicone-Based Innovations At JEC World 2026

The Wacker Group is showcasing two new silicone-based impact modifiers, GENIOPERL W37 and GENIOPERL W38, at the JEC World composites exhibition. These additives are engineered to enhance the mechanical properties of thermosetting resins such as epoxies and vinyl esters. Their specialised molecular structure, built on functional silicone, facilitates a distinct phase separation within the resin matrix. This process creates tiny elastomeric domains that increase toughness and help prevent composite materials from fracturing under stress. Sustainability was a key consideration in their design, leading to a notably reduced cyclics content. Both modifiers disperse readily with simple mixing equipment, maintain their effectiveness even at low concentrations and do not compromise the material’s inherent strength, viscosity or thermal resistance. The company is located at booth 5N142 at JEC World, taking place in Paris from 10 to 12 March 2026.

GENIOPERL W37 is specifically formulated to boost impact resistance in low-temperature environments. It is recommended for use at concentrations between two and eight percent by weight, a level at which it has minimal impact on the resin’s viscosity or the cured product’s glass transition temperature. Achieving optimal dispersion requires processing temperatures of at least 50 degrees Celsius. Similarly, GENIOPERL W38 also improves impact strength at very low temperatures when used within the same dosage range. It offers the added benefit of containing anti-foaming agents, making it particularly suitable for casting processes conducted under reduced pressure.

A third major highlight at the Wacker booth will be POWERSIL Resin 710, a silicone compound developed for components that must endure extreme heat. This material can be processed using compression moulding, pressure gelation or injection moulding. Parts manufactured from it meet the criteria for thermal class R, signifying their ability to withstand prolonged exposure to temperatures reaching 220 degrees Celsius. As an alternative to high-performance polymers like PTFE and PEEK, POWERSIL Resin 710 provides excellent electrical insulation, mechanical strength and UV stability. It is solvent-free, has a low viscosity for easier processing and is available in both peroxide-curing and catalyst-curing versions.

Wacker’s exhibition will also feature a range of other specialised products for the composites industry. These include SILRES silicone resins for enhancing electrical insulation and flame retardancy, HDK pyrogenic silica for precise rheology control, VINNAPAS low-profile additives to reduce shrinkage and GENIOSIL organofunctional silanes for promoting adhesion and treating fillers and fibres.

Sri Trang Agro-Industry Announces Net Zero Commitment Under SBTi (Phase3)

Sri Trang Agro-Industry Announces Net Zero Commitment Under SBTi (Phase3)

Sri Trang Agro-Industry Public Company Limited (STA) has formally committed to the Science Based Target Initiative for Industrial Greenhouse Gas Reduction towards Net Zero (Phase 3), organised by Thailand Greenhouse Gas Management Organization (TGO) in collaboration with the Center of Excellence in Eco-Energy, Faculty of Engineering, Thammasat University. This declaration positions the company among 16 leading Thai organisations committed to embedding scientifically validated climate targets throughout their operations and supply networks.

STA has established a target to cut Scope 1 and 2 emissions by 23 percent by 2030, using 2024 as its reference point, with the ultimate ambition of reaching net zero by 2050. These goals directly support the international objective of capping global warming at 1.5 degrees Celsius. Beyond direct emissions, the company is enhancing its rubber and teak plantations to function as carbon sinks, generating certified credits while supplying raw materials. This strategy aligns with its net zero pathway and responds to the European Union’s Corporate Sustainability Due Diligence Directive, which promotes heightened corporate environmental accountability.

By embracing this initiative, STA underscores its vision of evolving into a low-carbon, fully integrated natural rubber enterprise. The company aims to reconcile commercial growth with ecological and social stewardship, thereby aiding Thailand’s wider shift towards a sustainable, low-carbon future.