Leading the Charge: How Automotive Brands Can Drive Australia's Circular Tyre Economy

With no domestic tyre manufacturing since 2010, Australia now imports 740,000 tonnes annually – 20 million passenger tyres, 8.5 million truck and bus tyres, and 750,000 off-the-road tyres. Roughly one in six of these tyres arrives already fitted to vehicles, making automotive brands integral players in the tyre lifecycle. Yet only two automotive brands – Mercedes-Benz and Porsche – treat tyre stewardship as part of their value proposition, despite it being one of the most visible and regular touchpoints with vehicle owners throughout ownership. 

The numbers reveal both the challenge and the opportunity: Australia generates 537,000 tonnes of used tyres each year, yet only 26% find productive domestic end markets through reuse or recycling. When it comes to the 190,000 tonnes of used passenger car tyres Australia generated in 2023/24, 3% are reused, 9% are recycled, 77% are burnt as fuel, and 11% go to landfill, or are stockpiled or dumped.  

For automotive brands, this isn't about altruism. It's about recognising that tyre stewardship is already embedded in your customer relationship – and turning that into a competitive advantage before regulation or consumer expectations force your hand. 

Tyre Product Stewardship 

Tyre Stewardship Australia (TSA) stands at the forefront of this opportunity as Australia's national tyre product steward. Our mission is clear: to maximise the circular value of resources in used tyres. Operating the national voluntary Tyre Product Stewardship Scheme, over the past 11 years, we've built a network of over 1,700 participants across the entire tyre supply chain – from tyre importers and retailers to collectors, recyclers, automotive brands and fleet managers. 

We particularly commend the two automotive brands – Mercedes-Benz and Porsche – that take voluntary responsibility for their tyres through the Tyre Product Stewardship Scheme. They demonstrate that automotive brands can – and should – own the full lifecycle of products they bring to market. 

In Australia, automotive brands that choose to participate in the Tyre Product Stewardship Scheme contribute a modest $0.25c per equivalent passenger unit on every passenger, bus, and truck tyre they import with vehicles. In comparison, Canada’s state-based tyre product stewardship schemes levy between A$4.50-7 per passenger tyre to fund recycling and environmental initiatives.  

The levies contributed by Mercedes-Benz and Porsche, alongside those of many of the world’s largest tyre manufacturers, enable TSA to operate a number of programs that create the infrastructure for transforming how we manage end-of-life tyres. These brands are part of a comprehensive ecosystem that maintains Australia's best practice standards for responsible used tyre management, reduces environmental and health impacts, and builds markets for tyre-derived materials.  

The TSA Accreditation Program forms the backbone of responsible tyre management, creating a trusted network of 1,733 tyre retailers, collectors, recyclers, fleet operators and local councils. With 85% of tyre recycling occurring through our accredited network, we build consumer confidence and market integrity that benefits all participating brands. 

Porsche has taken their tyre product stewardship responsibility one step beyond choosing to contribute to the Scheme by also achieving 100% dealer network accreditation, ensuring that every service centre in its network operates within TSA's responsible tyre management framework. They’re demonstrating leadership that educates consumers and drives sustainable behaviour change. 

TSA also reinvests contributor funds into Market Development activities that create tangible outcomes. Since 2014, TSA has allocated over $11 million across 76 projects spanning roads, civil infrastructure, manufacturing, research and rail applications. This program is crucial because it creates real demand for tyre-derived materials, turning waste into valuable resources. From rubber-modified asphalt that makes roads more durable to innovative surfacing products for aged care facilities, these investments prove that end-of-life tyres can become high-value materials. 

The Opportunity Ahead 

In August 2024, the Federal Chamber of Automotive Industries (FCAI) and Motor Trades Association of Australia (MTAA) unveiled their comprehensive study on end-of-life vehicle management, revealing that approximately 850,000 motor vehicles reach end-of-life annually, generating around 1.36 million tonnes of waste. Their proposed product stewardship scheme for vehicles shows the industry's recognition that circular economy approaches are essential for sustainable operations. 

This broader industry movement toward stewardship makes tyre product stewardship a natural complementary initiative. While vehicles represent the larger waste stream, tyres present a more immediate opportunity for automotive brands to demonstrate leadership and gain experience with product stewardship frameworks. 

The data reveals tremendous opportunities for industry expansion in tyre stewardship. Toyota, as Australia's largest vehicle importer with a 20% market share, alongside other major brands like Mazda (9%), Ford (7%), Hyundai (7%), and Kia (6%), represent enormous potential for the automotive industry to drive meaningful change in one of the nation's most significant waste challenges. 

A Partnership Invitation 

TSA stands ready to partner with automotive brands committed to genuine product stewardship.  

The circular tyre economy isn't just an environmental imperative – it's a business opportunity. Brands that engage now position themselves as industry leaders, build consumer trust, and contribute to genuine solutions while managing their product lifecycle risks. 

For automotive brands ready to take responsibility for their tyres from import to end-of-life, TSA offers proven pathways, established networks, and the expertise to make a meaningful impact.  

Contact TSA today to discover how we can help your brand contribute to Australia's circular tyre economy. Together, we can turn waste into opportunity and environmental responsibility into competitive advantage.