- Company signs long-term supply agreement with LD Carbon Co., Ltd., to expand its use of recycled raw materials
SEOUL, South Korea, May 7, 2025 – NEXEN TIRE, a leading global tire manufacturer, announced that it has signed a long-term supply agreement with LD Carbon Co., Ltd., a resource circulation and material recycling firm, for recovered carbon black (rCB).
Through this partnership, NEXEN TIRE will use this collaboration to boost the adoption of sustainable materials. LD Carbon’s recovered carbon black is generated by pyrolyzing end-of-life tires in an oxygen-free environment, a process that reuses end-of-life tires as feedstock and supports resource circulation. By expanding its use of recovered carbon black in place of petroleum-based carbon black, NEXEN TIRE is increasing the share of recycled raw material in its tire manufacturing.
The use of recovered carbon black is particularly significant because carbon black is a key component of a tire’s raw materials and plays a critical role in tire strength and durability. Replacing petroleum-based carbon black with recycled alternatives is a strategic step that maintains product performance a process that reuses end-of-life tires as feedstock and supports resource circulation. The Company has gradually increased its use of recovered carbon black, and with this deal, it aims to further increase the proportion of recycled raw materials in its products.
NEXEN TIRE plans to use recovered carbon black from production facilities across the world, including China, the Czech Republic, and factories in Korea. NEXEN TIRE is developing a circular resource structure guaranteeing a consistent supply of recycled materials and incorporating them into its global manufacturing chain. This initiative strengthens sustainability throughout the value chain, from raw material procurement to manufacturing, and aligns with the company's commitment to improving worldwide sustainable management standards.
Strengthening a circular supply chain is also expected to boost NEXEN TIRE’s worldwide competitiveness. The European Union’s planned Ecodesign for Sustainable Products Regulation (ESPR) will mandate the use of sustainable materials in tire manufacture. By proactively establishing a sustainable raw material supply chain, NEXEN TIRE is well-positioned to strengthen its competitiveness, particularly in Europe, where the Company generates around 40% of total sales.
“Expanding the usage of recovered carbon black is a strategic step that demonstrates our commitment to ESG management and proactive response to global environmental concerns,” said John Bosco (Hyeon Suk) Kim, CEO of NEXEN TIRE. “We will continue to accelerate the transition to eco-friendly materials and establish a tire manufacturing system that has a low environmental effect from production to disposal.”