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Apollo Tyres to End Tire Production in Enschede by 2026 Amid Cost Pressures

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Apollo Tyres to End Tire Production in Enschede by 2026 Amid Cost Pressures

SHERIDAN, WYOMING – May 6, 2025 – Consumers across Europe may soon see changes in their tire supply chain as Apollo Tyres NL BV announces plans to end all tire production at its Enschede facility in the Netherlands by summer 2026. The decision, while difficult, comes in response to unsustainable economic conditions that have impacted the company’s ability to continue manufacturing competitively in the region.

What This Means for European Tire Buyers

Apollo Tyres, known for producing high-quality tires for both passenger cars and agricultural vehicles, cited soaring energy and labor costs, combined with inflation and reduced demand, as key factors in its decision. While this may sound like industry news, it holds real-world implications for consumers—especially those accustomed to Apollo’s Spacemaster and agricultural tire lines.

Rising production costs and competitive pricing pressure from lower-cost manufacturers have made it increasingly challenging for the Enschede plant to operate profitably. For buyers, this could eventually lead to shifts in product availability and possibly pricing—though Apollo remains committed to maintaining its high standards for customer service throughout the transition.

Company Pledges Transparent Communication

Apollo Tyres has taken a respectful and deliberate approach to this move. The company has formally submitted a request for advice to its Works Council, a required step in the Netherlands for major operational changes. All employees have been informed, and the consultation process is now underway.

“Submitting the request for advice to the Works Council on the intended decision to discontinue production has been enormously difficult,” said Benoit Rivallant, president at Apollo Tyres NL. “In the last couple of years, we have implemented several initiatives to reduce costs at Enschede. These initiatives resulted in some savings, but most of these were completely negated due to the ever-increasing inflation.”

Apollo Tyres also emphasized its ongoing responsibilities to all stakeholders, including employees, customers, and suppliers. Rivallant continued, “We take our obligations toward our employees and the Works Council very seriously. We have engaged with them in line with these obligations and will continue to do so.”

What Consumers Can Expect Going Forward

While production in Enschede is planned to wind down by mid-2026, Apollo Tyres is reassuring its customers that it’s business as usual for now. The company has committed to:

  • Maintaining existing customer relationships without disruption
  • Continuing its communications with suppliers and partners
  • Focusing on seamless service and delivery during the transition

Apollo Tyres NL is part of Apollo Tyres Ltd., an India-based global tire manufacturer headquartered in Gurugram. With this strategic change, the company is likely to refocus its European operations through more cost-effective manufacturing hubs, ensuring that its product lines remain available and competitive for everyday consumers.

Looking Ahead With Confidence

Though transitions like these can raise concerns, Apollo Tyres is clearly prioritizing responsibility and transparency. For customers, this means they can continue to count on Apollo’s tire performance and service—while the company recalibrates for a more sustainable future.

To stay informed or explore Apollo’s range of products, learn more at https://www.apollotyres.com.