Retreading reduces the need for new tyre production and lowers material and energy consumption.
Retreading as a path to a circular future.
Through smart reuse, lower demand for virgin material, and cleaner fleet operations, retreading is helping transform the way mobility meets climate responsibility.
Why it matters
Retreading directly reduces tyre waste, lowers material demand, and cuts emissions across logistics-heavy industries.
Three pillars of circular economy
Reduce • Reuse • Recycle • Retread
A worn tyre can be revitalized and put back into service through a precision retreading process.
Retreading helps reuse valuable rubber and reduces waste, while supporting circular material flows.
Retreading is a green and sustainable alternative to new tyres, blending craftsmanship with innovation.
What is retreading?
Retreading is a green and sustainable alternative to new tyres.
Retreading is a technical process of high precision and craftsmanship used to rejuvenate an old worn-out tyre into a renewed one. It is widely adopted in both commercial vehicles and aviation, where high-performance reuse of tyre assets is essential.
Tyre retreading is largely done in commercial vehicles, which account for roughly 80% of the market. Trucks account for 60-65%, while buses account for 15-20%. Off-highway tyres, including tractors, account for about 12-15%.
Market usage
Commercial
Aviation
Retreading - strong pillar of a circular economy
Retreading saves resources and cuts emissions.
57
litres
of oil saved on every tyre
44
kgs
of rubber saved on every tyre
136
kg
of COâ‚‚ prevented on every tyre
New tyre
- • 100 Kg CO₂
- • Raw material: 20 Kg CO₂
- • Transport: 64 Kg CO₂
- • Tyre manufacturing process: 184 Kgs CO₂
Retread tyre
- • 21 Kg CO₂
- • Raw material: 8 Kg CO₂
- • Transport: 19 Kg CO₂
- • Tyre manufacturing process: 48 Kgs CO₂
Retreading will accelerate India’s goal of carbon neutrality
A major reduction in oil, rubber and COâ‚‚ use.
FY24
1 Cr tyres retreaded
Reduction of 57 Cr litres of oil usage
FY28
1.3 Cr tyres retreaded
Reduction of 74 Cr litres of oil usage
Impact
Savings of 44 Cr KGs of rubber
Preventing 136 Cr KGs of COâ‚‚ emission
Opportunity
Savings of ~57 Cr KGs of rubber
Preventing 177 Cr KGs of COâ‚‚ emission
With the continued commitment of the Indian retreading industry to provide safe and sustainable alternatives to new tyres, we expect a major reduction in the usage of natural resources like oil, natural rubber and emissions of COâ‚‚.
Challenges
The industry must scale with quality and trust.
Grossly underpenetrated and fragmented, with only about 35% of tyres being retreaded by organised retreaders in India, compared to 80% in developed markets such as USA.
Untrained and ill-equipped small and fragmented retreaders continue to limit quality consistency and scale.
Common myths still exist: retreaded tyres are unsafe, do not perform as well as new tyres, and don’t last as long.
As a result, several OEMs and corporations do not actively support retreading as a mainstream concept.
Fueling our acceleration: a call for NITI Aayog’s support
Policy support to unlock India’s circular mobility opportunity.
EPR: Urge CPCB and MoEFCC to implement an EPR credit system to retreaders in the EPR portal.
Common Standards: implement common standards for retreader and retread material manufacturers to improve industry quality and organisation.
Nationwide Training Program: provide assistance in training retreaders across India for mandatory implementation of EPR policy and BIS standards.
Carbon Credit Monetization: develop a framework for fleet owners and operators to monetize carbon credits and incentivize sustainable practice.
A case study – a fleet’s journey towards sustainability
Fleet transformation through retreading at scale.
30,000+
tyres retreaded
17+
lacs litres of oil usage reduced
13+
lacs kgs of rubber usage reduced
40+
lacs kgs of COâ‚‚ emissions reduced
INDAG partnered with a 1,200+ vehicle fleet operator in April 2023 to deliver nationwide retreading solutions. One-stop shop: premium retread materials and strict process control through audited retreaders across 11 locations in India. The fleet operator increased average tyre retreading from 52% to 65% in a year.
Retreading industry in India vs USA
Opportunity is still larger than today’s penetration.
India
Approx. 10 million tyres retreaded every year
Only 1/3rd of the market is organised (10K+ retreaders)
USA
Approx. 16 million tyres retreaded every year
80% of the market is organised (650 retreaders)
How government around the world are promoting retreading
Incentives and support are accelerating circular mobility.
Germany
€2.4 million grant given to Rigdon, a German retreader, to construct a state-of-the-art passenger tyre retreading plant.
USA
A bill proposes a 30% tax credit per retreaded tyre for fleets, aiming to reduce reliance on imported tyres and boost domestic manufacturing.
