Indian tyre retreader unveils automation strategy, launches new products despite 50% profit drop

Indian tyre retreading company Indag Rubber Limited is doubling down on digital transformation and research investments as it seeks to counter margin pressure from soaring raw material costs that halve annual profits.

The Delhi-based firm reported a profit after tax of INR 84.1 million for fiscal 2025, down 49.8 percent from INR 167.5 million, but outlined ambitious expansion plans centred on automation and product innovation during its annual general meeting.

“We are indeed in the era of digitalisation, automation, and AI,” Vijay Shrinivas, CEO of the company, said, announcing a complete automation of the mixing process at its Himachal Pradesh plant to eliminate human intervention and enhance consistency.

The company has invested in a state-of-the-art R&D facility established after the COVID period, which has already yielded results with the launch of Win Master, a new retreading product unveiled at Bharat Mobility in January 2025.

“This product is a direct outcome of our R&D initiatives and offers exceptional performance—delivering approximately 80 percent to 90 percent of the life of a new tyre,” the CEO said, adding its effectiveness had been demonstrated across several fleet operators.

Digital Infrastructure Overhaul

Indag has undertaken a comprehensive digital transformation over the past three years, transitioning from traditional ERP systems to SAP while implementing Salesforce.com for customer relationship management and automated compliance tools.

The company is targeting a 100 percent paperless environment at its plant level. It has partnered with e-Fleets to monitor real-time performance of approximately 6,000 tyres used by large fleet customers, generating valuable cost-per-kilometre data.

“This initiative has enabled Indag to collect valuable data on tyre performance... allowing the Company to effectively demonstrate the benefits of retreading to fleet owners and operators,” the company said.

Network Expansion Strategy

The company is aggressively expanding its retreader network across India, having connected with over 3,000 retreaders under loyalty programmes compared to its previous base. It operates 15 depots nationwide with plans to enhance reach and penetration further.

“Our company’s primary objective is to engage with these operators, educate them on cost-saving opportunities and demonstrate measurable benefits,” the CEO explained, targeting large fleet owners facing rising fuel, toll and operational costs.

Operational Excellence Drive

Beyond digitisation, Indag has improved operational efficiency by reducing its working capital cycle from 120 days to 70 days over five years, significantly better than the industry average of 100-110 days. The company achieved this through strict forecasting, improved vendor negotiations and reducing Days Sales Outstanding from 70 to 35 days.

Market Positioning

The investment strategy comes as India’s fragmented retreading industry faces consolidation pressure. About 11 million tyres are retreaded annually by over 10,000 retreaders, down from 13,000 previously, compared to the United States where just 650 retreaders process 16 million tyres.

“GST and demonetisation have really helped our industry to consolidate and formalise,” the CEO said, noting customers increasingly demand formal invoicing and standardised practices.

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Dunlop Tyres South Africa has appointed Marcia Noxolo Veronica Mayaba as its new commercial director, effective November 2025, as the company moves to sharpen its strategic execution in sales, retail, marketing and technical services.

Mayaba, one of South Africa’s most prominent automotive executives, brings decades of leadership experience and a resume marked by industry firsts including becoming the country’s first Black female CEO in automotive retail. Her previous roles span senior positions at Eqstra Fleet Management, Isuzu Motors South Africa, Lindsay Saker VW and Audi and Barloworld’s multi-brand operations.

The move forms part of Dunlop’s medium to long-term growth agenda as it competes for market share in a tightening industry landscape.

Lubin Ozoux, CEO of Dunlop Tyres South Africa said: “Marcia brings a distinctive  blend of empathy, strategic insight, and commercial acumen. Her passion for developing people, her deep understanding of the automotive ecosystem, and her commitment to ethical leadership align perfectly with Dunlop’s purpose-driven culture. We’re so excited to welcome her to the leadership team and look forward to the impact she will make in driving our business and dealer partnerships forward.”

Mayaba framed the appointment as both professional and personal, citing the automotive sector as a platform for economic mobility. “Dunlop embodies heritage, integrity and resilience, values that deeply resonate with me. My first meeting with Lubin and the Exco immediately felt like a fit a culture anchored in people, continuous improvement and long-term sustainability. Joining Dunlop is not just a career move; it’s a continuation of my purpose to build stronger, values-based ecosystems within the automotive landscape,” Mayaba said.

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Nokian Tyres gathered nearly 100 workshop representatives from five partner companies at the Hakka Ring, its year-round testing facility in Santa Cruz de la Zarza, Spain, to highlight its latest advances in all-season tyre technology and exchange views on market trends and industry challenges. The company said the test center, designed for all-weather performance evaluation, reflects its focus on safety, performance and sustainability throughout the year.

During the event, Iberia Country Manager Luis Miguel Cabanas presented brand updates, new product developments and future strategic direction. Partners were given the opportunity to drive the Seasonproof 2, the company’s newest all-season flagship tyre. Manufactured at Nokian Tyres’ zero carbon emissions factory in Romania, the Seasonproof 2 has been independently tested and verified by TUV SUD, Tyre Reviews and WhatTyre, and utilises up to 38 percent renewable, recyclable and ISCC PLUS–certified materials.

The tyre features the company’s latest innovations aimed at improving traction, precision and efficiency in varying conditions including technology designed to balance summer handling with winter grip, adaptive tread design for better performance in changing weather and a new compound optimised for durability, wet grip and fuel economy.

The event culminated with high-speed test runs on the 7-kilometre oval circuit with 40-degree banked corners, providing what the company described as an impressive demonstration of speed, control and overall driving performance. Nokian Tyres said the showcase strengthened relationships with key partners and reinforced its commitment to leading sustainable innovation in the all-season segment.

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Nokian Tyres gathered nearly 100 workshop representatives from five partner companies at the Hakka Ring, its year-round testing facility in Santa Cruz de la Zarza, Spain, to highlight its latest advances in all-season tyre technology and exchange views on market trends and industry challenges. The company said the test center, designed for all-weather performance evaluation, reflects its focus on safety, performance and sustainability throughout the year.

During the event, Iberia Country Manager Luis Miguel Cabanas presented brand updates, new product developments and future strategic direction. Partners were given the opportunity to drive the Seasonproof 2, the company’s newest all-season flagship tyre. Manufactured at Nokian Tyres’ zero carbon emissions factory in Romania, the Seasonproof 2 has been independently tested and verified by TUV SUD, Tyre Reviews and WhatTyre, and utilises up to 38 percent renewable, recyclable and ISCC PLUS–certified materials.

The tyre features the company’s latest innovations aimed at improving traction, precision and efficiency in varying conditions including technology designed to balance summer handling with winter grip, adaptive tread design for better performance in changing weather and a new compound optimised for durability, wet grip and fuel economy.

The event culminated with high-speed test runs on the 7-kilometre oval circuit with 40-degree banked corners, providing what the company described as an impressive demonstration of speed, control and overall driving performance. Nokian Tyres said the showcase strengthened relationships with key partners and reinforced its commitment to leading sustainable innovation in the all-season segment.

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Hankook Tire and Technology reported consolidated revenue of KRW 5.4127 trillion and operating profit of KRW 585.9 billion for the third quarter of 2025, the company said in a statement.

Tyre business sales rose 11.2 percent year-over-year to KRW 2.7070 trillion, while operating profit climbed 10.4 percent to KRW 519.2 billion, marking the company’s highest-ever quarterly performance.

Hankook attributed growth to stronger demand across global replacement and OE markets and a rising mix of high-inch tyres. Lower raw material and logistics costs helped cushion the impact of US automotive parts tariffs.

Hanon Systems, which has been fully consolidated into Hankook Tire’s results since the first quarter, generated KRW 2.7057 trillion in revenue, up 8.2 percent from a year earlier. Operating profit reached KRW 95.3 billion, an increase of 1.7 percent year-over-year and 48.2 percent quarter-over-quarter.

High-inch (18 inches and above) passenger car and light truck tyres accounted for 47.4 percent of segment sales in the quarter, up 2.6 percentage points from a year earlier. EV tyre sales represented 27 percent of the total, a 7-point increase year-over-year.

Hankook continued expanding OE fitments for premium EVs, citing supply agreements for the Porsche Macan, Xiaomi YU7, BMW iX, New i4 and New X3. The company now equips about 50 global automotive brands across more than 290 models.

Hankook’s EV-focused iON line-up and Ventus performance range won EV Tire of the Year and Performance Tire of the Year at the UK-based WhatTyre Awards, reinforcing its technology leadership.

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