The German Rubber Industry Association (wdk) has said in its latest statement that the coalition agreement between the CDU/CSU and the SPD essentially establishes the correct goals from the standpoint of the German rubber industry.

The promises to technical openness in the automobile sector, to cutting bureaucracy and to a risk-based approach in chemicals policy are undoubtedly welcome, according to Michael Klein, President, wdk. He said that the Supply Chain Due Diligence Act's announced repeal is a significant step towards reducing the burden on businesses and will satisfy the rubber industry's requests during the election campaign.

Praising the announced support for the circular economy, he said, "Waste tyre recycling, in particular, is a prime example of the diverse and successful possibilities of using recycled materials and tyre retreading. The coalition partners would have liked to have highlighted rubber products more clearly here. The promises to reduce bureaucracy are also in line with the demands of the business community. This is especially true for bureaucracy practice checks, which were proposed by the wdk."

But before any real action is done, he also warned that nothing is as it seems because prior government coalitions have also pledged to lessen the various reporting obligations. The executive lamented that the coalition agreement did not specifically target energy-intensive, industrial SMEs and made no mention of market monitoring, although applauding the announced relief for industry from high energy costs.

"Now it's important to breathe life into the letter of the coalition agreement and implement the agreed measures promptly and in close dialogue with the business community. The German rubber industry is happy to provide its expertise for this purpose and will continue to closely and critically monitor the implementation of the agreements,” concluded the wdk President.

Comments (0)

ADD COMMENT

Link Copied!

Pirelli’s hardest slick compounds dominated the opening day of 2026 Formula 1 pre-season testing in Bahrain, with teams restricted to the C1, C2 and C3 slick compounds best suited to the Sakhir circuit’s demanding surface. The first of six scheduled days of running ahead of the season opener in Melbourne on 8 March saw track activity unfold under markedly warmer conditions than last year, with ambient temperatures ranging from 25 to 32°C and track temperatures peaking at 43°C – a stark contrast to the sub-15°C conditions experienced in Manama a year ago.

Over eight hours of running, 18 drivers completed a total distance of 6,183 kilometres. The C3 compound proved the most heavily utilised, accounting for more than half of all laps with 603 tours totalling 3,262 kilometres. The C2 followed with 382 laps covering 2,067 kilometres, while the C1 was used for 156 laps and 844 kilometres. A single set of Intermediate tyres was also permitted and fitted by Haas driver Esteban Ocon for two installation laps at the session’s outset. In total, 11 sets of C1, 29 of C2 and 40 of C3 were deployed across the field.

Sergio Pérez, driving for Cadillac, recorded the longest uninterrupted stint on the hardest compound with 30 laps. Max Verstappen achieved the longest run on C2 with 31 laps, while Ocon logged 25 consecutive laps on the C3 to lead that category. Verstappen also posted the quickest time on the C1 compound with a lap of 1:35.631.

Lando Norris finished the day fastest overall, his 1:34.669 set on the C2 placing him at the top of the timesheets. He was followed by Verstappen and Ferrari’s Charles Leclerc, both of whom set their best laps on the softer C3 compound, trailing by 0.129 and 0.521 seconds, respectively. Eight different teams appeared in the top 10 positions. Isack Hadjar, Fernando Alonso, Liam Lawson and Ollie Bearman did not participate in any running.

Comments (0)

ADD COMMENT

Link Copied!

Michelin reported a fall in earnings for 2025 as weaker volumes and a stronger euro offset gains from pricing and product mix, while free cash flow remained robust and debt declined.

Sales fell 4.4 percent to €26 billion in 2025, according to the company’s full-year results. Tyre volumes declined by 4.7 percent, with more than 80 percent of the drop linked to original equipment markets, particularly truck and agricultural tyres in North America.

Segment operating income amounted to €2.9 billion at constant exchange rates, representing 10.9 percent of sales and down 1.5 percentage points year on year . On a reported basis, segment operating income was €2.7 billion, compared with €3.4 billion in 2024. Net income fell 12 percent to €1.7 billion.

Free cash flow before mergers and acquisitions reached €2.1 billion, while net debt declined to €2.3 billion from €3.1 billion, reducing gearing to 13.0 percent.

Florent Menegaux, Managing Chairman, said: “In 2025, several markets where the Group operates were affected by heightened competition, new and very unstable customs tariffs, and an unfavourable regulatory environment, which weighed on our volumes. In this context, our teams responded with exemplary engagement, by closely adjusting the steering of our operations. We also strengthened our financial position, continued to adapt our industrial capacities, and accelerated our product plan. The Group's growth momentum in Polymer Composite Solutions, boosted by our recent acquisitions, confirms our ability to position ourselves in these high value-added activities. We remain committed to continuing to deploy our Michelin in Motion 2030 strategy”.

The automotive and two-wheel division reported sales of €14.3 billion, down 2.5 percent, with an operating margin of 11.7 percent, compared with 13.1 percent in 2024. The share of 18-inch and larger tyres in Michelin-branded passenger car sales rose to 68 percent.

Road transportation sales declined 8.7 percent to €6.0 billion. The operating margin narrowed sharply to 4.7 percent from 9 percent, reflecting a 20 percent contraction in North American original equipment markets, where manufacturers reduced output after stockpiling trucks .

Specialty businesses generated sales of €5.7 billion, down 4.4 percent, with an operating margin of 13.5 percent. Mining and aircraft tyres recorded growth, partly offsetting continued weakness in agricultural and construction original equipment markets.

The group said non-tyre businesses, including Polymer Composite Solutions and Michelin Connected Fleet, made a positive contribution to sales and operating income.

For 2026, Michelin expects tyre markets to remain broadly stable over the year, with a slight contraction in the first half and relative improvement in business-to-business original equipment markets in the second half. The company is targeting growth in segment operating income at constant exchange rates and scope, and more than €1.6bn in free cash flow before mergers and acquisitions.

Comments (0)

ADD COMMENT

Link Copied!

Hankook Tire is preparing to play a central role as the ABB FIA Formula E World Championship travels to Saudi Arabia’s Red Sea coast for the first time for the 2026 E-Prix. Rounds 4 and 5 of Season 12 will take place as a night-time double-header at the Jeddah Corniche Circuit on 13 and 14 February 2026, marking the venue’s debut on the all-electric calendar. The floodlit setting will frame two consecutive evenings of racing, offering a fresh atmosphere and technical challenge for teams and drivers.

The circuit itself has been reworked from its Formula 1 iteration to align with Formula E’s regenerative braking characteristics and energy management requirements. At 3.001 kilometres, the layout intersperses rapid straight sections with heavy braking zones, technical chicanes and tight hairpins where traction and cornering precision are paramount. Night racing adds another variable. Without daytime solar heating, tarmac temperatures evolve steadily through each session, prompting gradual shifts in surface grip that demand adaptability from both drivers and machinery.

Hankook’s iON Race tyre has been developed to function as a consistent, responsive element under these fluctuating conditions. Its construction balances high-load grip with thermal regulation and optimised rolling resistance, a synthesis that directly influences energy conservation and race strategy across the Formula E field. In Jeddah, where high-speed running and repeated braking elevate thermal stress, the tyre’s capacity to maintain a stable operating window while reacting instantly to changing track states becomes a competitive asset from first practice to chequered flag.

Off the circuit, fan engagement initiatives and the return of Formula E EVO Sessions will amplify the event’s atmosphere. Yet it is the on-track contest that defines this early-season moment. With an unfamiliar venue, nocturnal conditions and a layout that rewards both outright speed and intelligent energy deployment, the Jeddah E-Prix presents a significant opening test of the campaign. At the centre of this equation is Hankook’s iON Race, engineered not merely to perform but to enable the delicate interplay between pace, preservation and tactical execution.

Manfred Sandbichler, Senior Director, Hankook Motorsport, said, “The electrifying atmosphere of Jeddah under the lights adds another dimension to this already demanding circuit. With high speeds, repeated braking zones and shifting track conditions across the evening, tyre stability and consistency become decisive factors. The iON Race is designed to give teams a reliable and predictable platform to perform at their best in both qualifying and race situations.”

Comments (0)

ADD COMMENT

Link Copied!

Nokian Tyres Plc reported a marked improvement in profitability in 2025, with fourth-quarter operating profit more than doubling, as higher passenger car tyre prices and lower raw material costs offset weak underlying demand.

The Finnish tyre maker said operating profit for October to December rose to €35.1million from €15.4 million a year earlier, while net sales edged up to €416.4 million from €415.0 million. In comparable currencies, sales increased 0.8 percent, driven by North America and the Nordics.

Earnings per share for the quarter rose to €0.12 from €0.04. Cash flow from operating activities increased to €332.0 million from €314.8 million.

For the full year, net sales rose 6.5 per cent to €1,373.6 million, compared with €1,289.8 million in 2024. In comparable currencies, sales increased 7.2 percent, supported by growth across all geographical areas.

Operating profit improved significantly to €35.8 million from €1.8 million in the previous year. Segments operating profit rose 28 per cent to €91.3 million. However, earnings per share remained negative at €-0.11, compared with €-0.17 in 2024.

Cash flow from operating activities nearly doubled to €146.2 million from €77.4 million, reflecting improved working capital management and lower capital expenditure. Capital expenditure fell sharply to €126.9 million from €350.1 million in 2024, when the group was rebuilding production capacity.

Paolo Pompei, who became President and Chief Executive on January 1 2025, said: “2025 was a year of strong improvement for Nokian Tyres despite uncertain operating environment and weak market development. The fourth quarter was our best quarter in three years.”

Pompei said Passenger Car Tyres was “the main driver of the improved results”, while Heavy Tyres was affected by softer markets. He added that the company had accelerated efforts to optimise product mix, improve efficiency and maintain cost discipline.

During the year, the group completed a significant investment phase, including ramping up its new factory in Romania, where it produced one million tyres in 2025. The site is now moving from investment mode towards stabilising manufacturing operations.

Looking ahead, Nokian Tyres said it expects net sales in 2026 to grow compared with 2025 and forecast segments operating profit of 8–10 percent of net sales.

The company said tyre demand in its core markets is expected to remain flat in 2026. It warned that global economic developments and geopolitical, trade and tariff uncertainties could create volatility in the business environment.

Pompei said: “Overall, 2025 marked a turning point for Nokian Tyres, demonstrating our ability to adapt and stay competitive.”

Comments (0)

ADD COMMENT

Link Copied!