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Finshots Daily
Can rubber tyres really go green?
Dec 17, 2024
Tyre manufacturers are grappling with the challenge of becoming more sustainable. Rising rubber prices and demand complicate their green transition. The podcast delves into the importance of using sustainable materials and the environmental impact of tyre wear. Innovative efforts like incorporating rice husk ash are highlighted, alongside the durability concerns they present. The industry’s struggle with rolling resistance and certain harmful chemicals adds another layer of complexity to making tyres eco-friendly.
08:45
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Quick takeaways
- The tire production industry is grappling with supply challenges due to weather-induced drops in natural rubber output from major producers.
- Manufacturers are investing in sustainable materials and recycling methods, yet addressable issues like microplastic pollution from tire wear remain significant hurdles.
Deep dives
Challenges of Natural Rubber Supply
Natural rubber is essential to tire production, comprising 20-40% of a tire's weight, yet its supply is facing significant challenges. The world's major producers, Thailand and Indonesia, have encountered unexpected production drops due to poor weather, leading to volatility in global rubber prices. This instability is exacerbated by logistical challenges, including delays in shipments caused by geopolitical conflicts, which have increased freight costs and disrupted supply chains. As a result, tire manufacturers have paused rubber purchases, causing prices to plummet, further complicating their profitability amid rising demand in the booming Indian automobile market.
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