Rubber & tire industry in numbers

 PROJECTS

Russia’s JSC Avangard is to build a 'giant tire’ factory in the Omsk region. The RUB41.5bn (€450m) facility, in the ‘Avangard’ special economic zone. Production is scheduled to start in Q1/28, with the plant set to produce around 10,500 extra-large tires per year for mining and related equipment.

Aeolus is to raise up to Yuan1.1bn (€130m) from specific investors to fund an ongoing Yuan1.4bn giant off-the-road (OTR) tire project at its Jiaozuo, China site. It will add production capacity for 20k units/yr. The site can currently produce 130k/yr OTR tires and 1.2m/yr TBRs but is being converted so that, within two years, capacity will be 261k OTR tires and 200k/yr TBRs.

MARKETS & BUSINESS

*Segment operating income; **EBIT; *** EBITDA

Nokian Tyres reported a strong H1/25, on stronger sales, pricing, new capacity and cost-cutting. Q2/25 sales rose 5.8% year-on-year – 6.9% with comparable currencies – to €343m, while earnings (segment operating income) grew 30.6% to €26.3m. H1/25 sales rose 9.2% year-on-year growth to €613.2m, while earnings surged 56.5% to €7.8m.

Datwyler posted  H1/25 sales down 2.9% year-on-year to CHF563.0m (€604m) due mainly to appreciation of the Swiss franc. Earnings (EBIT) increased 2.1% to CHF68.9m as gains in healthcare and food & beverage segments offsetting weaker demand in the automotive industry.

Trelleborg posted Q2/25 sales down 2% year-on-year at SEK8.55bn (€756m), as a 7% negative exchange rate impact offset a 6% gain from “structural changes.” Earnings (EBITDA) fell 1% to SEK1.58bn, including a SEK104m currency impact. The group noted  “continued uncertainty” driven by global geopolitical tensions and unclear future international trade terms.

Hexpol AB posted a 17% year-on-year decline in Q2/25 earnings (EBIT) to SEK756m (€67.3m), on sales 8.3% lower at around SEK5bn. For H1/25, sales fell 3.6% to SEK10.3bn, while earnings dipped 12% to SEK1.6bn – on lower demand in North America, due to tariffs uncertainty.

China exported nearly 3.5bn units of ‘new pneumatic rubber tires’ during  H1/25, up 5.5% year-on-year, according to official Chinese customs data: volumes up 4.5% to 471kt and export value up 4.9% to Yuan83.45bn.

French biotech company Carbios is to supply enzymatically recycled PET monomers to Indorama Ventures. The feedstock will be used to produce polyester fibre for Michelin tire reinforcement. Monomer production will be at a Carbios unit in Longlaville, France. 

SHARE PRICES

Leading tire manufacturers’ share-price trends

Leading rubber product manufacturers’ share-price trends

MATERIALS

Natural rubber

In its latest monthly digest, the Rubber Trade Association of Europe (RTAE) described June 2025 as a “quiet month” for natural rubber trading. Prices for TSR 20 grade drifted lower, from below 160.00 €cents/kg CIF to close just below 150.00 €cents/kg CIF. Reviewing end-user markets, RTAE said car sales in Europe had fallen “and with tariff barriers to the USA [there is] little prospect of any improvement soon.”

Natural rubber futures have remained firm, driven by a mix of fresh speculative buying and short covering, according to Japan Exchange Group (JPX). Prices strengthened over the week ended 18 July, as several producing countries experienced heavy rainfall. Rubber prices were also supported by stable crude oil prices and by the development of China vehicle sales in June.

JPX: Selected rubber futures price trends on major trading exchanges

(ERJ calculation for selected futures) 

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