Sumitomo Rubber Industries to launch Dunlop tire deliveries in Europe, accelerating 2030 goals

Sumitomo Rubber Industries (SRI) has announced plans to begin Dunlop-branded tire deliveries in Europe later this year, marking a key milestone in its RISE 2035 growth strategy. The Japanese tire giant revealed in a June 30 update that it expects business profits to start growing from 2026, aiming to exceed its 2027 targets while bringing forward its 2030 goals. SRI’s 10-year plan, unveiled in March 2025, focuses on expanding premium tire sales to 60% of total tire revenue by 2035, up from 40% in 2024, while diversifying into non-tire revenue streams. The company targets a business profit margin of over 10% by 2027, rising to 15% between 2030 and 2035, with 70% of earnings derived from tires and 30% from non-tire developments. The Dunlop brand expansion is central to this strategy, with premium products expected to account for 51% of tire sales in 2026—surpassing the 2027 goal of 50% a year ahead of schedule. Growth drivers include the Synchro Weather all-season tire in Japan, new Dunlop launches in North America and Australia, and the planned European market entry in 2026. SRI highlighted strong OEM demand for Dunlop’s brand strength, technological capabilities, and production capacity, with plans to strengthen local development and enhance product value globally. A second wave of Dunlop products is scheduled for North America in 2026, while Europe will see the commencement of Dunlop tire sales in 2026 alongside efforts to bolster local development structures. Manufacturing upgrades are a priority, with SRI accelerating investments in high-performance tire production equipment and upgrading existing factories under its “in-house new factory” strategy. The company’s Sun-Titan manufacturing system, introduced at its largest facility in Thailand, improves productivity and supports the production of lightweight tires with better fuel efficiency, extended EV driving range, and lower environmental impact. SRI plans to deploy this system globally as it scales premium product capacity. On the supply side, the group aims to establish a responsive supply chain, having rapidly transferred production from the US to higher-quality and more cost-competitive plants in Japan and Asia after ceasing US operations in 2024. SRI is also promoting replacement investments at major plants, shifting from existing equipment to facilities dedicated to high-performance tires. Digital transformation (DX) and intellectual property are identified as critical enablers of long-term growth. DX is a key management priority, supporting data-driven decision-making, operational digitalization, and the expansion of solution-based services. SRI aims to accelerate new product development, optimize its global production system, and reduce costs through digital technologies across manufacturing, sales, and R&D. The company reorganized its intellectual property department in January to accelerate DX in patent management, ensuring IP remains a competitive advantage amid rapid industry changes. To further drive innovation, SRI established a new Innovation Promotion Department to accelerate the commercialization of new technologies and create “new experience value created from rubber.”