Russia's tyre recycling industry has grown significantly in recent years due to increasing environmental concerns and government regulations aimed at reducing landfill waste. The country generates millions of tonnes of used tyres annually, with many initiatives focusing on recycling them into rubber granules, fuel and construction materials. Key players in the industry include local companies and a few foreign investments with major recycling plants concentrated around Moscow and other industrial regions.

However, the Russian Far Eastern region, referred to the vast, easternmost part of the country that borders the Pacific Ocean, still struggles to deal with the disposing of end-of-life (EOL) tyres.

According to Ecostar Factory Co-founder Sergei Lazarev, “Vladivostok, the largest city in Russia's Far East, ranks fifth in the country for vehicles per capita, making it the region's leader in vehicle density. This results in a growing volume of waste tyres annually, posing a significant environmental challenge. Due to the vast distances, transporting used tyres to recycling facilities in central Russia is prohibitively expensive, inflating both the recycling costs and the prices of products made from recycled materials. The lack of local recycling infrastructure exacerbates the problem, underscoring the need for regional solutions to manage tyre waste more efficiently and sustainably.”

“With 15 years of experience in tyre recycling, our company is well-positioned to meet the growing demand for tyre recycling in the Russian Far East. The new facility will allow us to recycle over 10,000 tonnes of ELT annually and meet market needs accurately. We also plan to double this capacity within the next five years, which is especially crucial in regions like the Russian Far East, where transportation costs are high and local recycling infrastructure is lacking. This expansion will help address regional tyre waste challenges more effectively,” he added.

A total of USD 500,000 was invested in the new tyre recycling unit, financed through a mix of 30 percent capital and 70 percent bank loans. The seven percent interest rate, subsidised by the Primorye Government Guarantee Fund and the Federal Government Fund for SMEs, highlights the strategic backing you’ve received. Specialising in recycling ELT tyres into rubber crumb, this setup not only aligns with growing sustainability efforts but also demonstrates the effectiveness of public-private cooperation in fostering business expansion and environmental impact in Russia’s Far East.

The Far East and Arctic Development Corporation (FEDC) played a crucial role in the tyre recycling project’s success by providing a 17.3-acre land lot and essential infrastructure. This included telecommunications, access roads, power supply, water supply, water disposal and natural gas supply. Additionally, FEDC offered tax benefits, making it a key partner in the project’s development, facilitating smoother operations and reducing overhead costs. This comprehensive support has been instrumental in advancing the project in the Russian Far East.

Promoting recycling

The company's operations, which focus on recycling ELT tyres without thermal methods like pyrolysis due to environmental concerns, were nearly derailed when the ruble-dollar exchange rate doubled in 2022, making equipment and construction prohibitively expensive.

Despite purchasing Chinese machinery, adjustments were needed due to differences in tyre composition, particularly the amount of cord fibre. The company plans to recycle 20 years’ worth of accumulated tyre waste and supply crumb rubber to playgrounds, stadiums and road projects, boasting the only facility in the region certified to meet government sanitary standards.

With no direct competitors in the Primorye region, the company remains committed to expanding operations despite these challenges.

Answering how the new plant supports broader recycling goals, Lazarev said, “The new plant supports the broader goals of the company by serving as a central hub for tyre recycling in the Russian Far East. We operate facilities in five regions including Magadan, Kamchatka, Sakhalin, Khabarovsk and Primorye and plan to upgrade them within the next three years to produce rubber chips, which will be transported to the main facility in Primorye for further processing. Additionally, we aim to invest in research and development to develop additives for bitumen, enhancing its use in road construction projects. This strategy is key to expanding recycling capabilities beyond 10,000 tonnes annually and promoting sustainable infrastructure development.”

The company will source tyre waste primarily from transportation and tyre service companies. To ensure quality, it has implemented a comprehensive management system designed to produce clean, precisely sized crumb rubber. The triple cleaning process removes metal and cord fibre, while its proprietary qualification system ensures four specific size fractions of crumb rubber are achieved.

Alluding to European Union (EU) directive on crumb rubber infill ban, he noted, “Regarding the EU ban on rubber crumb in artificial turf, Russia has no such restrictions. In fact, a recent Russian government act (08/28/2024) mandates the use of rubber crumb in sports infrastructure and road construction. We have also obtained a special health certificate allowing the use of its crumb rubber in outdoor playground construction.”

Addressing challenges

Russia imports tyres primarily from China, which is the largest supplier, offering a wide range of products including passenger, truck and industrial tyres. South Korea follows, known for its high-quality passenger and performance tyres, while Japan contributes advanced technology and speciality tyres. Belarus, as a neighbouring country, exports various tyre products, particularly for commercial vehicles. Turkey has also been increasing its market presence with competitive prices and quality. Additionally, some European Union countries export tyres to Russia, although trade dynamics are influenced by tariffs and geopolitical factors.

Such a wide array of tyres poses challenge for recyclers. Commenting on the same, the executive said, “The plant was initially scheduled to open in August 2023. The company faced significant challenges due to currency fluctuations, infrastructure delays and regulatory hurdles. Despite purchasing Chinese machinery, adjustments were needed due to differences in tyre composition between China and Japan, particularly the amount of cord fibre. The lack of suitable land with the necessary infrastructure and meeting strict ecological standards are further obstacles.”

“We are currently facing a staff shortage across all skill levels, from low-skilled to highly qualified personnel. To address this, we plan to recruit workers from other regions of Russia and internationally. Recently, we hired five individuals from India on one-year contracts, providing them with comprehensive benefits that include accommodation, food, transportation and work uniforms. We aim to attract even more skilled workers this year to strengthen our team,” he added.

Ecostar's plant aligns seamlessly with Russia's broader waste management and environmental objectives, particularly in the Far East. It supports the government's strategy for a circular economy, which is reinforced by new legislation regulating the use of recycled materials in the production of goods and services. Additionally, the government has introduced the concept of ‘green purchases’, mandating that government agencies and state-owned companies procure a minimum quantity of products made from recycled materials. This initiative emphasises the importance of integrating recycled materials into the economy, enhancing sustainability efforts across the region.

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Continental has once again received recognition from the CDP for its transparent and proactive approach to environmental stewardship, securing an ‘A-‘ rating for climate action and supply chain management. Formerly known as the Carbon Disclosure Project, this independent non-profit evaluates corporate environmental impact using a rigorous scoring system that ranges from ‘A’ for leadership to ‘D’ for initial disclosure. Continental’s latest score reflects its strong performance in reducing CO₂ emissions, advancing low-carbon innovation and promoting sustainability across its supplier network. The company also maintained a ‘B’ rating in water management for the second year in a row, underscoring its consistent efforts in this area.

For over 15 years, Continental has taken part in CDP assessments, which help investors and other stakeholders gauge how effectively companies are addressing environmental challenges. In the climate category, CDP considers factors such as emissions reduction initiatives, environmental policies and the influence a company exerts on its suppliers’ sustainability practices. Continental’s rating affirms its commitment in each of these areas.

A cornerstone of the company’s climate strategy is its participation in the RE100 initiative, through which it has sourced green electricity since 2020. This includes power generated from on-site solar installations as well as electricity procured through regional and grid-wide power purchase agreements. These contracts not only ensure a steady supply of renewable energy and price stability but also contribute to the expansion of new wind and solar projects. Together, these efforts help reduce Scope 2 emissions. Further energy savings are achieved through efficiency upgrades such as better insulation of production equipment, LED lighting retrofits and systematic leak detection and repair.

In water management, Continental has made significant progress by reducing water withdrawal per metric tonne of product by more than 10 percent between 2020 and 2025. This reduction, equivalent to 197 million litres, was accomplished through measures like water reuse, treatment and more efficient usage across its facilities.

The company also prioritises traceability and transparency in its raw material supply chains. It enforces strict sourcing standards, engages directly with local producers – for instance, by training smallholder farmers in sustainable natural rubber cultivation – and employs digital tools to monitor and improve supply chain integrity. Additionally, Continental invests in alternative materials to lessen its environmental footprint. These include silica derived from rice husk ash, tall oil from paper production and polyester fibres made from recycled PET bottles collected in regions lacking bottle deposit systems.

Jorge Almeida, Head of Sustainability, Continental Tires, said, “We constantly optimise production, products and processes through all phases of a tyre’s life cycle – from raw-material sourcing and manufacturing to use and end-of-life management. We are committed to climate action in our own operations and through close collaboration with our suppliers.”

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Tolins Tyres Limited reported a rise in quarterly revenue as demand recovered across retreading materials and new tyre segments.

Revenue for the three months to 31 December 2025 increased 33.8 percent year on year to INR 933 million, while earnings before interest, tax, depreciation and amortisation (EBITDA) rose to INR 142 million. Net profit declined to INR 105 million from INR 109 million a year earlier.

For the first nine months of the financial year, revenue rose 11.8 percent to INR 2.49bn. EBITDA fell to INR 366 million from INR 426 million, and net profit declined to INR 268 million from INR 294 million.

Tolins Tyres said growth in the quarter was supported by higher volumes in domestic markets and increased contribution from recently launched agricultural tyres. The India business remained the main source of revenue, while UAE operations contributed steadily.

Dr K V Tolin, promoter, chairman and managing director of Tolins Tyres Limited, said, “Q3 FY26 marked a strong rebound in performance with robust year-on-year revenue growth and clear recovery in volumes across both retread and new tyre segments. The deferred demand witnessed in Q2 has meaningfully converted into orders during the quarter, reflecting improved customer sentiment and normalized buying patterns following the GST revision.

The agricultural segment delivered encouraging traction, with our newly launched tractor rear tyre range beginning to contribute meaningfully to revenues. The increasing share of tractor tyres in our overall mix validates our strategic focus on expanding presence in high-demand farm tyre categories. Distribution expansion and deeper engagement with institutional customers further supported volume growth across key markets.

For the nine-month period, the Company has demonstrated resilience and improved operational momentum. With demand visibility strengthening, a diversified customer base, and continued cost discipline, we believe Tolins Tyres is well-positioned to sustain growth in the coming quarters while maintaining focus on margin stability and operational efficiency.”

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Eastern Treads Limited has appointed Navas Meeran as managing director following the expiry of the tenure of M E Mohamed.

Meeran’s appointment took effect from the close of business on 14 February  2026 and is subject to shareholder approval. Mohamed ceased to hold office on the same date on completion of his term.

Eastern Treads said its key managerial personnel now comprise Navas Meeran as Managing Director, Devarajan Krishnan as Chief Financial Officer and Abil Anil as Company Secretary.

The company stated that Meeran has more than 33 years’ experience in the tyre retreading industry and previously held roles including Chairman of the Confederation of Indian Industry’s southern region and membership of its national council.

It added that Shereen Navas, a Director of the company, is the spouse of Meeran.

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The UK’s enhanced verification system for waste tyre exports is failing to ensure compliance, with fewer than 25 percent of consignments meeting reporting requirements, according to government data cited by the Tyre Recovery Association.

In a letter to Mary Creagh, Minister For Waste And Recycling, the association said the majority of exported end-of-life tyres (ELTs) remain untracked after shipment, despite strengthened rules introduced in 2025.

Parliamentary answers published on 12 February show 3,281 Annex VII export notifications were authorised from October 2025. Of 1,891 consignments past the eight-week reporting deadline, 1,370 returned no post-shipment information. Of those that did respond, 458 met required standards, leaving more than 75 percent of recent whole-tyre exports undocumented.

The data, disclosed in response to questions tabled by Tessa Munt, also indicate limited enforcement. The association said there was no evidence the Environment Agency had removed non-compliant receiving sites from its approved list or issued stop notices to brokers failing to submit documentation.

The Tyre Recovery Association urged the UK to adopt a “shred-only” export policy modelled on Australia’s December 2021 ban on exporting whole or baled tyres. Under that regime, tyres must be processed into shred or crumb of no more than 150 mm before export.

The group said at least 150,000 tonnes of licensed domestic recycling capacity remained unused because of weak enforcement of existing rules. It also called for removal of the T8 waste-tyre exemption, arguing the low-cost permit for small-scale operators had been widely abused and created an uneven market for compliant recyclers.

Peter Taylor, Secretary-General of the Tyre Recovery Association, said: “A new system with a 75% failure rate is not a solution. Despite the Government’s best intentions to sharpen the Environment Agency’s teeth, the new enhanced verification measures are being ignored by brokers and operators who continue to fuel unregulated pollution overseas.

“The only way to secure the integrity of our waste stream and protect the environment is to move beyond paperwork and mandate a ‘shred-only’ export policy. A model with proven success in Australia.

“We now know recent efforts to improve enforcement of existing rules still have a long road to travel before signs of success. The legitimate operators in the UK continue to be disadvantaged and significant domestic capacity lies idle.

“2026 must be the year that the UK stops exporting its environmental responsibilities – bring in the Australian model and build a robust, truly circular UK economy for tyres.”

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