TeardownSeptember 15, 20262 min read

Pirelli, Pyrum, BASF and Synthos: A Tyre Loop With an Accounting Step in the Middle

Four companies, six steps, and one link where the recycled content is attributed rather than physically traced. The pyrolysis is real. The loop is partly bookkeeping.

Pirelli, Pyrum, BASF and Synthos: A Tyre Loop With an Accounting Step in the Middle
01

Announced on 22 July 2026 and described as Europe's most comprehensive tyre-to-tyre project. The chain is worth walking through carefully, because the strongest and weakest links are both in it.

02

The six steps

End-of-life tyres are collected across Germany from Driver retail outlets, motorsport, and Pirelli's Breuberg plant. Pyrum pyrolyses them — thermal decomposition without oxygen — producing recovered carbon black and tyre pyrolysis oil.

Tyre pyrolysis. The technology has been running commercially for years; the question is always yield and oil quality.
Tyre pyrolysis. The technology has been running commercially for years; the question is always yield and oil quality.Photo: Zzkysb, CC BY-SA 3.0

The recovered carbon black is upgraded and goes straight back into Pirelli's European tyre production, partially replacing virgin carbon black. That is a physical loop. A molecule from an old tyre ends up in a new one.

The oil goes to BASF, where it is co-fed with fossil feedstock into a steam cracker to make butadiene and styrene. Synthos turns those into ISCC PLUS-certified synthetic rubber. Pirelli puts the rubber back into tyres.

Five physical steps and one attribution step.
Five physical steps and one attribution step.
03

Where it stops being physical

Mass balance is a legitimate accounting convention, not a fraud. But a tyre sold as circular under it contains recycled molecules only in the sense that someone, somewhere in the system, put an equivalent amount in.

A steam cracker cannot keep one feedstock separate from another. Pyrolysis oil enters a stream carrying overwhelmingly fossil naphtha, and the outputs are chemically identical regardless of origin. BASF's Ccycled system therefore assigns the recycled share on paper: if 3 percent of the input was pyrolysis oil, 3 percent of the output can be sold as recycled.

The oil is real and it is moved. What happens to it inside the cracker is where physical traceability ends.
The oil is real and it is moved. What happens to it inside the cracker is where physical traceability ends.Photo: Lav Ulv, CC BY 2.0
04

The numbers that are not there

0
processing volumes, yields or displacement rates published
~1 billion
end-of-life tyres generated worldwide each year, for scale

No tonnage. No yield. No share of virgin carbon black displaced beyond the word "partially". No third-party life-cycle assessment behind Pyrum's claim of virtually no emissions — a claim about a high-temperature thermal process that would normally be the first thing independently measured.

05

Fragility

Collection is Germany-only. Processing spans Germany, Belgium and Poland across four companies. Every link is a commercial agreement rather than an owned asset, which is efficient until one party's economics change. Pyrolysis oil markets in particular move with crude; when naphtha is cheap, the cracker has no cost reason to take it.

The input side is not the constraint. It never has been.
The input side is not the constraint. It never has been.Photo: US National Archives, public domain
06

The fair reading

The carbon black route is a real, physical, displaced-virgin-material loop, and it deserves more attention than it is getting. The rubber route is an accounting construct layered on a chemical process that cannot do otherwise. Announcing them together as one closed loop flatters the weaker half.

References and image credits
  1. 01BASF — Pirelli, Pyrum, Synthos and BASF partner to transform end-of-life and scrap tyres into recycled materials

Photo: Zzkysb, CC BY-SA 3.0 · Photo: Lav Ulv, CC BY 2.0 · Photo: US National Archives, public domain