In a few short years, the tyre industry has changed direction on recyclates in its new tyres. Not so long ago, engineers were saying “never” when asked about the use of recovered carbon black, or other recycled materials. Now, it seems like a race to tie up supply agreements.
With the conclusion of the contract with Continental, there are now long-term serial supply contracts for all of Pyrum’s core products, in addition to the contract for the supply of pyrolysis oil to BASF SE.
Pascal Klein, CEO of Pyrum Innovations AG, said; “The long-term supply contract is a huge step for our company. We have now concluded serial supply contracts for all core products. As with our pyrolysis oil, the demand for our rCB is much greater than we can currently meet. Therefore, we will expand our production capacities in the next few years and expect to triple our capacities already this year with the commissioning of production lines II and III at our site in Dillingen. Potential partners and interested parties now have the certainty that both end products – oil and rCB – have a market that will buy the products. This is the final component to start rolling out the plants in large-scale production.”
The contract with Continental follows the joint development agreement that has already been in place for a year, the aim of which is, among other things, to further optimise and expand the recycling of used tyres through pyrolysis. Since then, Pyrum Innovations has proven in various audits to meet basic automotive industry standards and, for example, recently received ISO 14001 certification for its environmental management system. In addition, Continental has already held a strategic minority stake in Pyrum Innovations since its IPO in 2021. In the long term, Pyrum and Continental are aiming for a circular economy concept for the recycling of end-of-life tyres in order to reduce the use of fossil raw materials as well as CO2 emissions in the production and recycling of tyres.