Speciality materials company Trinseo reported a third-quarter net loss of USD 87 million, driven largely by restructuring and other charges totalling USD 26 million. 

This follows recently announced restructuring efforts aimed at streamlining operations. The company posted an adjusted EBITDA of USD 66 million, marking a USD 25 million increase year-over-year.

Despite a one percent year-over-year decline in net sales to USD 868 million, the company attributed an eight percent decrease in sales to intentional reductions in low-margin areas like polystyrene and latex binders. However, a seven percent increase from higher raw material prices partially offset this decline.

Commenting on the company’s third-quarter performance, President and Chief Executive Officer of Trinseo, Frank Bozich said, “As expected, market conditions and Adjusted EBITDA were sequentially similar to the prior quarter. Despite continued weak demand in many of our end markets, particularly building and construction and appliances, we saw significant year-over-year profitability improvement largely as a result of our restructuring actions and continued moderation of European input costs.”

Third Quarter Performance by Segment

Engineered Materials: The segment posted a 12 percent rise in net sales, reaching USD 207 million, driven by increased sales volume in consumer electronics and medical applications. Adjusted EBITDA for the segment rose by USD 20 million to USD 25 million, benefiting from improved margins and a favourable product mix.

 Latex Binders: Net sales increased eight percent to USD 242 million, primarily due to higher prices that offset a drop in sales volume for paper and carpet applications. Adjusted EBITDA increased by USD 8 million to USD 26 million, reflecting improved margins and a positive regional and product mix.

Plastics Solutions: Net sales rose three percent year-over-year to USD 268 million, driven by higher raw material costs. Adjusted EBITDA climbed USD 11 million to USD 28 million, aided by higher fixed cost absorption and inventory builds in preparation for the closure of the virgin polycarbonate facility in Stade, Germany.

Polystyrene: This segment saw a 28 percent year-over-year decline in net sales to USD 151 million, impacted by a 35 percent decrease in volume after the closure of the Terneuzen, Netherlands, facility and a reduction in low-margin sales. Adjusted EBITDA rose by USD 5 million to USD 4 million due to higher margins and cost savings from the Terneuzen facility exit.

Fourth Quarter Outlook

Trinseo projects a net loss of between USD 71 million and USD 81 million in the fourth quarter, with adjusted EBITDA expected to range from USD 40 million to USD 50 million. Bozich noted that while fourth-quarter EBITDA is anticipated to dip from year-end seasonality, restructuring benefits should sustain profitability above prior-year levels. The company also expects positive free cash flow due to seasonal working capital improvements.

Commenting on the fourth quarter outlook, Bozich said, “We expect Adjusted EBITDA to be sequentially lower from year-end seasonality, but still higher than the prior year due to the benefits from our restructuring initiatives. We also expect free cash flow to turn positive in the fourth quarter due to typical seasonal working capital improvements.”

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Michelin’s engineering expertise and premium urban tyres have been instrumental in enhancing the performance and reducing downtime for Big Bus Tours’ newly converted electric bus fleet in London. As the world's largest open-top sightseeing company, Big Bus Tours faced a significant challenge after converting 20 Ankai double-decker buses from diesel to electric with drivetrain specialist Equipmake. While this conversion met London's emission rules, the new batteries added 800 kg, altering the weight distribution and creating concerns about tyre loading, especially on the steer axle.

Seeking a solution, service provider Tructyre brought in Michelin's specialists. Carl Williams, Manager of Customer Engineering Support at Michelin, along with Territory Business Manager Ian Roberts, performed a detailed weighing analysis. This study accounted for passenger numbers and axle loads to define the ideal tyre pressures. Their report confirmed that the original tyres were inadequate for the new demands, prompting Big Bus Tours to upgrade all wheels on its Ankai buses to MICHELIN X InCity EV Z tyres.

The results were so impressive that the company has now fitted most of its 56-bus London fleet with these tyres. The MICHELIN X InCity EV Z tyres are specifically designed for urban electric buses, providing key benefits including robust resistance to kerb damage, reliable all-weather grip and low rolling resistance for optimised energy efficiency and cost savings. This successful collaboration has supported Big Bus Tours, which has global operations across more than 25 cities.

Jon Reed, Head of Engineering – Europe, Big Bus Tours, said, "Michelin said to us that from a cost, as well as a duty cycle, perspective ‘the MICHELIN InCity EV Z is the best tyre for you’. And it has been. They are performing well, and we’ve had zero complaints of road noise. We seem to be getting less sidewall damage too. While we are paying more for them initially than our previous brand of tyres, the cost is worth it. We’re getting much longer life out of them.”

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India’s tyre industry has secured a stronger foothold in the global market, with four domestic manufacturers ranked among the world’s top 20, according to the latest Global Tyre Report released by Tire Business based on 2024 sales.

MRF was the highest-placed Indian company, taking the 13th spot worldwide. Apollo Tyres followed at 14th, while JK Tyre & Industries ranked 19th. CEAT entered the top 20 for the first time, securing 20th position and underscoring the country’s growing influence in the global tyre trade.

“The presence of four Indian tyre companies among the world’s top 20 is a matter of immense pride for the Indian manufacturing ecosystem. It reflects not only the scale we have achieved, but also the focus on technology and global competitiveness that Indian companies have pursued. This milestone is a validation of India’s emergence as a global hub for high-quality, value-driven tyre manufacturing,” said Mr Rajiv Budhraja, Director General of the Automotive Tyre Manufacturers Association (ATMA).

Indian companies have been steadily climbing the global rankings over the past decade. Apollo Tyres has moved up three places since 2013, while JK Tyre has advanced six positions in the same period. CEAT has shown the fastest recent progress, rising three spots in just the last year.

The country’s manufacturing strength is also reflected in its industrial footprint. China leads with 158 tyre plants, followed by India with 67 and the United States with 44. This places India as the world’s second-largest tyre manufacturing base by number of plants.

In Asia, MRF holds the second-largest manufacturing footprint with 10 plants, trailing only Bridgestone, which operates 19. Indian companies have also built strong positions in specialised and high-performance categories. MRF is the world leader in racing tyre manufacturing with three plants. It also ranks second in motorcycle tyres with four plants, followed by CEAT with three. In the farm tyre segment, MRF again ranks second globally with seven factories.

Investment has played a central role in this expansion. Apollo Tyres recorded the highest capital expenditure globally as a share of sales, reinvesting 59% into expanding and modernising its operations. MRF also ranked among global leaders, with capex exceeding 10% of sales.

Long-term prospects remain robust. A recent report by ATMA and PwC India, titled Viksit Bharat 2047: Vision and Roadmap for the Indian Tyre Industry, forecasts that India’s tyre production could nearly quadruple by 2047, while industry revenues may grow nearly twelvefold to about ₹1,300,000 crore.

“With strong domestic demand, rising exports and policy support under the vision of a Viksit Bharat, we are confident that Indian tyre manufacturers will continue to move up global rankings and play a defining role in the future of global mobility,” Mr Budhraja added.

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In a significant move to bolster its international profile, Linglong Tire has entered a global partnership with Chicago Bulls, the iconic NBA team. This alliance represents a strategic advancement in the company's global sports marketing, building upon previous high-profile sponsorships with Chelsea FC and Real Madrid. The primary objective is to substantially enhance brand recognition for its product lines, including Green Max, Atlas and Evoluxx, across the crucial North American market, with promotional activities also extending into Europe.

This marketing initiative is strategically aligned with the company's operational expansion, notably a new manufacturing facility under construction in Brazil, which is expected to optimise supply chains and support a drive for increased market share in the Americas. The collaboration has been designed to create meaningful fan engagement through co-developed activation strategies. These will include immersive experiences such as joint basketball camps and interactive tours, aiming to forge a powerful connection with a global community passionate about basketball and high-quality, innovative tyres.

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The Yokohama Rubber Co., Ltd. has confirmed a continued partnership that will see its US subsidiary, Yokohama Tire Corporation, provide ADVAN racing tyres for three Porsche one-make racing series in 2026. This multi-series agreement includes the Porsche Sprint Challenge North America by Yokohama, the Porsche Sprint Challenge USA West by Yokohama and the Porsche Endurance Challenge North America. All three are sanctioned by the United States Auto Club (USAC) and function as key developmental categories within the Porsche Motorsport Pyramid, featuring race-prepared vehicles such as the 911 GT3 Cup and the 718 Cayman GT4 RS Clubsport.

The upcoming 2026 season represents a significant milestone, marking the sixth consecutive year Yokohama has been the control tyre supplier for the North America and USA West series and the third straight year for the Endurance Challenge. The company will support the competitors with its ADVAN A005 for dry tracks and the ADVAN A006 for wet weather conditions across a combined schedule of numerous events. This ongoing involvement is a strategic initiative designed to bolster the profile and recognition of the ADVAN brand throughout the important North American market.

This commitment to one-make racing extends beyond the Porsche family. Yokohama Rubber is also the official control tyre supplier for the recently launched Mustang Cup, reinforcing its active role and investment in North American motorsport. Through these high-profile partnerships, Yokohama aims to enhance brand power by associating its ADVAN products with some of the most exciting and competitive racing series on the continent.

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