Servis Tyres, Pakistan’s top tyre manufacturer, is expanding globally with a focus on motorcycle, bicycle and agricultural tyres. With a presence in 50+ countries, it drives growth through strategic joint ventures, advanced technology and sustainability. While facing industry challenges, Servis leverages cost advantages and international certifications to stay competitive.

MARKET POSITION AND PRODUCTION CAPACITY

Servis Tyres has established itself as Pakistan’s leading tyre manufacturer and exporter, currently serving more than 50 countries globally. The company strategically specialises in motorcycle, bicycle and agricultural tyres, positioning itself in niche markets rather than competing directly with global giants like Michelin and Bridgestone in the passenger car segment.

“We are producing approximately 1.5 million motorcycle tyres annually, with 75 percent supplying the domestic market and 25 percent for export,” states Muhammad Ali Mirza, Head of International Business at

PAKISTAN’S MANUFACTURING SUCCESS STORY

Servis Tyres, Pakistan’s top tyre manufacturer, is expanding globally with a focus on motorcycle, bicycle and agricultural tyres. With a presence in 50+ countries, it drives growth through strategic joint ventures, advanced technology and sustainability. While facing industry challenges, Servis leverages cost advantages and international certifications to stay competitive.

Servis Tyres. Key export destinations include Brazil, South American markets and North African countries including Egypt, Nigeria, Tunisia and Morocco.

The agricultural tyre segment follows a similar strategy, with exports directed to markets including Brazil, Egypt, Syria, Iraq and Afghanistan, though domestic consumption remains the primary focus for this product line.

STRATEGIC EXPANSION AND JOINT VENTURES

A significant milestone occurred in 2023 when Servis formed a joint venture with China’s Long March to establish Pakistan’s first truck bus radial (TBR) tyre manufacturing facility. This partnership marked a crucial development for Pakistan’s industrial base, bringing advanced technology and increased production capacity.

The ownership structure highlights Servis Group’s ambition and negotiating power. “We are the majority stakeholder at 51 percent, while Long March holds around 45 percent” explains Mirza. “They provide the technology, and we handle production.”

This rapid scaling demonstrates the company’s execution capability. “We started our TBR plant with 800,000 tyres per year in 2023. After one year, we expanded to 1.5 million tyres annually, and by the end of 2025, we will reach 2.4 million tyres per year,” Mirza states. The company has already captured most of Pakistan’s TBR replacement market while establishing export channels to Brazil and South America.

QUALITY STANDARDS AND INTL CERTIFICATION

For a tyre manufacturer with global ambitions, meeting stringent international quality and safety standards is essential. Servis has invested heavily in this area, obtaining certifications including DOT (US Department of Transportation), INMETRO (Brazil), E-marks (Europe) and various ISO certifications (9001, 14001, 17025).

“We have the only laboratory in Pakistan accredited to European standards,” Mirza notes. “We produce our lab reports internally, and they are valid throughout Europe.” This testing infrastructure provides a crucial competitive advantage, allowing the company to validate products for international markets without relying on external verification.

MARKET OPPORTUNITIES AND FUTURE GROWTH

The company has identified Pakistan’s passenger car radial (PCR) tyre segment as its next potential growth area. Currently, no domestic manufacturer fully serves this market, with General Tyre producing only for original equipment manufacturers and replacement needs met primarily through Chinese imports.

“Now we believe the market is large enough to initiate a PCR production facility,” Mirza reveals. “The shifting global trade environment may accelerate this development. Because of increasing tariffs in the US, it’s become very attractive for Chinese manufacturers to broaden their scope for international markets, creating potential partnership opportunities.”

Pakistan’s automobile market is evolving beyond its traditional dominance by Japanese brands (Toyota, Honda and Suzuki). Recent government policy changes have created openings for new entrants including Hyundai, Kia, MG, Haval Motors and Cherry Group, all establishing assembly plants in Pakistan. This diversification creates new opportunities for domestic tyre suppliers.

SUSTAINABILITY INITIATIVES

Servis has implemented several environmental sustainability measures in line with global industry practices. “Approximately 40 percent of our electricity consumption now comes from solar energy,” Mirza states. The company also maintains stringent facility management protocols, with international customers frequently commenting on the cleanliness of their manufacturing facilities compared to industry norms.

INDUSTRY CHALLENGES AND COMPETITIVE LANDSCAPE

Despite its success, Servis faces significant challenges. “The major challenge is that the industry is still considered a commodity business,” Mirza explains, necessitating continuous cost reduction and efficiency improvements. Competition from China and other countries remains intense, with both countries’ manufacturers increasing product quality while maintaining aggressive pricing.

Raw material sourcing presents another challenge, as most natural rubber must be imported. This dependency creates both cost and supply chain vulnerabilities, requiring sophisticated procurement strategies.

The company leverages Pakistan’s competitive advantages to maintain profitability. “The labour cost in Pakistan is the cheapest in the whole region,” Mirza points out. “We benefit from that alongside economies of scale, maximising our internal efficiencies.”

Government support also helps offset some disadvantages through export incentives, subsidised electricity, preferential financing schemes and duty drawbacks on imported raw materials. The government’s attention to the sector reflects its growth potential. “Right now, the tyre business is growing at around a 40 percent aggregate rate for exports,” Mirza notes.

CORPORATE STRUCTURE AND SOCIAL RESPONSIBILITY

Servis Tyres operates within the larger Servis Group, one of Pakistan’s top 15 business conglomerates, with origins in footwear manufacturing. “Tyres contribute approximately 60 percent of the business, with footwear representing 35 percent,” Mirza states. “The group’s financial strength provides crucial advantages. The financing we generate comes primarily from internal sources, with minimal bank investment.”

Beyond business operations, Servis Group maintains strong corporate social responsibility programmes. “We operate hospitals, schools and medical colleges that provide 90 percent free education to deserving students, and hospitalisation also is free for them,” Mirza explains.

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Bridgestone India announced the winners of the 5th Edition of its Mobility Social Impact Awards (MSIA) 2025 in Pune, celebrating organisations that use mobility for social good.

The top honour in the Road Safety Innovation and Excellence category went to ALERT (Amenity Lifeline Emergency Response Team) from Chennai for empowering over 450,000 citizens with emergency response skills. Safety Research Foundation (SRF), based in Pune, received a Jury Commendation for its BRACE Project, which transforms school zones with safety audits and infrastructure upgrades.

In the Empowerment of Vulnerable Communities category, The Association of People with Disability (APD), Bengaluru, won the top honour for its Rehab on Wheels initiative, which provides last-mile rehabilitation services.

The winners were presented with their awards by social worker Dr. Girish Kulkarni, founder of Snehalaya.

Hiroshi Yoshizane, Group President, Bridgestone Asia Pacific and Managing Director, Bridgestone India, said: “It is a privilege to honour these changemakers who are redefining mobility for social good. Their work reflects our shared commitment to building inclusive, safe, and empowered communities.”

Jeya Padmanaban, Founding Trustee, Safety Research Foundation (SRF), said, “We are truly honoured to receive the Jury Commendation at the Bridgestone Mobility Social Impact Awards 2025. The BRACE Project reflects our belief that road safety must begin at the community level, where awareness and infrastructure meet action. This recognition strengthens our resolve to continue building safer environments for children and fostering a culture of responsibility and care on our roads.”

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Linglong Tire has announced the promotion of Alessio Iacovelli to Deputy Director of Replacement Sales for Western Europe, effective 1 September 2025. In this elevated role, Iacovelli will take on leadership of the regional sales team with a mandate to accelerate business development. His key objectives will include forging strategic alliances and implementing programmes to strengthen customer loyalty. Iacovelli will report directly to Lisa Zhao, the Director of Replacement Sales for Western Europe, and will collaborate with her to manage key markets, including Germany, the UK, Italy and Spain.

Iacovelli, who began his career with Goodyear and Nexen, first joined Linglong Tire at the end of 2022 as a Sales Manager. In that capacity, he demonstrated significant success in developing the Southern European aftermarket, where he expanded the brand's footprint, defined effective growth strategies and secured robust partnerships with distributors. This strategic appointment and the restructuring of the sales leadership underscore Linglong Tire's intensified focus on achieving its ambitious growth targets across the European continent.

Iacovelli said, "I am very pleased to have been promoted to Deputy Director Replacement Sales West Europe at Linglong Tire. We have fantastic products such as the Sport Master 4S and the Sport Master Winter, both successfully tested in the recently published tyre tests. We have a state-of-the-art development centre in Germany and a new tyre plant in Europe and are successful in original equipment – ideal conditions for achieving our ambitious goals together with my team and the colleagues in Hannover and continuing to grow, especially in Europe."

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German synthetic rubber maker ARLANXEO has launched consultations with worker representatives over the potential closure of its Port Jerome facility in France, citing persistent weak demand and declining competitiveness in the European chemicals industry.

The company, which is majority-owned by Saudi Aramco, had begun an information and consultation period with the Works Council at the site, located in northern France. A final decision on the closure will be taken after the mandatory consultation process concludes and approval is obtained from the French labour authorities, DREETS.

“The European chemical industry continues to face persistent weak demand and declining competitiveness driven by rising costs, unbalanced global markets, and increased regulatory pressure,” said Stephan van Santbrink, ARLANXEO chief executive.

“These conditions have generated a significant burden on the sector across the regional value chain. ARLANXEO has not been an exception to these challenges. The Port Jerome site has remained in a structurally loss-making position. Despite numerous improvement efforts, we do not foresee a viable path to a sustained structural improvement.”

The company did not disclose how many jobs would be affected by a potential closure, nor did it provide details on the facility’s production capacity or annual output.

Van Santbrink acknowledged the impact on workers, saying: “We recognise the impact a potential closure may have on our employees, and we regret the need to consider these steps. We will continue to treat all employees with respect. If we decide to cease operations at the site, we will do our utmost to assist in finding alternative solutions for all impacted employees. In addition, we intend to provide impacted employees with a social plan which reflects their valued contribution to ARLANXEO.”

The announcement adds to a growing list of European chemical producers struggling with high energy costs, sluggish demand and competition from lower-cost producers in Asia and the United States.

ARLANXEO said it would work closely with all affected internal and external stakeholders to minimise the impact of the intended closure.

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Continental's Tires group sector has strengthened its leadership team with two key internal appointments, effective 1 September 2025. Jana Striezel has been named the new head of global purchasing for Continental Tires, while Dennis Bellmund has assumed leadership of the global original equipment business for both passenger and commercial vehicles. Both executives will report directly to Christian Kötz, the member of Continental AG's Executive Board who leads the Tires group sector.

In her new capacity, Striezel will oversee worldwide strategic and operational purchasing. She brings extensive experience from the automotive industry, having previously held several procurement management roles at Renault, where she led purchasing for the Renault brand and its alliance with Nissan and Mitsubishi in Europe. Her career began at Volkswagen in 2014.

Bellmund, who has a 25-year tenure with Continental, steps into his role following the departure of his predecessor, Manja Greimeier, to the ContiTech sector. His extensive background within the company includes recent responsibility for Continental’s tyre retail operations, alongside prior leadership roles in EMEA supply chain management and sales direction for the European replacement tyre business. These appointments signal a strategic reinforcement of Continental's tyre division leadership.

Kötz said, “We’re delighted to welcome Jana Striezel, a highly skilled manager, to our team. She brings extensive expertise in international procurement and will focus on driving forward our purchasing strategy. In Dennis Bellmund, our global original equipment business has gained a highly experienced leader. Thanks to his many years at Continental, he is familiar with our company and our customers’ needs from many different angles. On behalf of the entire management team, I wish both of them every success in their new roles and look forward to working together.”

“On behalf of the entire team, I would like to thank Manja Greimeier for her successful leadership of our original equipment business and wish her all the best and continued success,” added Kötz.

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