SRI set to launch Dunlop tires in Europe as it targets early delivery of 2030 goals

Kobe, Japan – Sumitomo Rubber Industries (SRI) expects to launch the delivery of Dunlop-branded tires in Europe later this year as it progresses its 10-year growth strategy RISE 2035. 

In a 30 June update, the Japanese group said it expects its business profit to begin growing from 2026 and is aiming to exceed its 2027 targets while bringing forward the delivery of its 2030 goals.

The group said it was implementing measures to "steadily grow business profits from 2026," while accelerating initiatives across premium tires, manufacturing, digital transformation (DX) and intellectual property.

As previously reported by ERJ, the 10-year plan, unveiled in March 2025, is centred on growing the proportion of premium tires to 60% of total tire sales, from 40% in 2024; while building new “revenue pillars” in non-tire and other growth areas. (ERJ report)

Overall, the Japanese group aims to see 70% of its earnings derived from tires by 2035, with the other 30% coming from non-tire developments.

At the same time, the group aims to achieve a business profit margin of over 10% in 2027, rising to 15% between 2030 and 2035.

Dunlop expansion

In its latest update, SRI said the key pillars of the strategy continue to remain the same, with the expansion of the Dunlop brand at the centre of focus.

SRI said premium products are now expected to account for 51% of tire sales in 2026, surpassing its 2027 goal of 50% a year ahead of schedule.

The increase is being driven by sales of ‘Synchro Weather’ all-season tires in Japan, launches of new Dunlop products in North America and Australia, planned market entry in Europe this year, and growth in OE business in Japan and China.

"We have received strong expectations from OEMs for Dunlop's brand strength, technological capabilities, and production capacity," SRI said.

The group added that it would build on this momentum by strengthening local development capabilities and enhancing product value in global markets.

For instance, a “second wave” of Dunlop products is planned for North America this year.

In Europe, meanwhile, the company said it will commence sales of Dunlop tires in 2026 while "strengthening local development structure."

On the manufacturing side, SRI said it was accelerating investment in production equipment for high-performance tires while continuing to upgrade existing factories under its "in-house new factory" strategy.

The company highlighted its Sun-Titan manufacturing system, introduced at its largest production facility in Thailand, which improves productivity. (ERJ report)

The system also supports the manufacture of lightweight tires with improved fuel efficiency, extended EV driving range and lower environmental impact, according to SRI.

The group now intends to deploy the manufacturing concept globally as it upgrades production capacity for premium products.

On the supply side, SRI said it aimed to establish a supply system capable of responding to customer demand “in a short period of time.”

Pointing to its decision to cease production in the US in 2024, SRI said it “rapidly and steadily” transferred production to “higher-quality and more cost-competitive plants in Japan and Asia.”

This, it said, enabled the group to continue its supply to meet customer needs.

“We are actively promoting replacement investments at major plants, shifting from existing equipment to production facilities for high-performance tires,” SRI added.

DX and intellectual property

Digital transformation and intellectual property were also identified as key enablers of the group's long-term growth strategy.

The company said DX was a "key management priority", supporting data-driven management, digitalisation of operations and the expansion of solution-based services.

Through digital technologies across manufacturing, sales and R&D, SRI said it aims to accelerate new product development, optimise its global production system while reducing costs.

Meanwhile, the company's intellectual property department was reorganised in January to accelerate DX in patent management.

SRI said digital technologies would strengthen the quality of its intellectual property strategy, while ensuring intellectual property remains "a source of competitive advantage even in a rapidly changing environment."

To support future growth, SRI has also established a new Innovation Promotion Department to accelerate commercialisation of new technologies and create what it described as "new experience value created from rubber."