Sweden and Norway enter a joint venture to advance tyre recycling

Swedish Tyre Recycling and Norwegian Tyre Recycling are entering into a joint venture for the management of end-of-life tyres in both countries. All operational activities will be coordinated through Bon Orbit, a jointly owned company between the two parties. The shared ambition is to increase the supply of high-quality recycled raw materials and accelerate the development of new circular applications.

For a long time, Swedish Tyre Recycling’s goal has been to increase material recovery and raise the value of recycled tyre materials. Since the organisation established a processing facility in Linköping in 2023 — where rubber, steel and textile are extracted from end-of-life tyres — significant progress has been made towards realising these goals. At the same time, demand for recycled tyre materials has continued to grow.

To take the next step in this development, Swedish Tyre Recycling are entering into a joint venture with Norwegian Tyre Recycling, which collects around 60,000 tonnes of tyres annually. Combined with Sweden’s 90,000 tonnes, the new structure creates strong conditions for meeting market needs.

Norwegian Tyre Recycling is now a co-owner of Bon Orbit, which until recently was a wholly owned subsidiary of Swedish Tyre Recycling. Bon Orbit will operate as an independent company, responsible for managing raw material flows, developing the market, and strengthening the circular economy within tyre recycling in both Sweden and Norway.

– We have seen how well the processing model works in Sweden. Through this joint venture with Norsk Dekkretur, we are taking an important step towards handling larger volumes, developing higher-quality materials, and creating new, innovative uses for recycled resources, says Fredrik Ardefors, CEO of Swedish Tyre Recycling.

– This collaboration marks an important milestone for Norway. Through Bon Orbit, we gain access to greater capacity and, together with Sweden, can build an even stronger solution for circular tyre management. It benefits both the environment and the market, says Per-Kristian Nauste, CEO of Norwegian Tyre Recycling.

As part of the initiative, Bon Orbit is building Europe’s largest indoor production facility for recycled tyre materials. The facility will be located in western Sweden and is expected to be commissioned in autumn 2026. Recruitment for several key positions has already begun.

– The new facility will set a new market standard and strengthen our global position. We are bringing together resources, expertise and innovation under one roof while creating 20–30 new jobs, says Peter Selemark, CEO of Bon Orbit.

The producer responsibility for tyres remains with Swedish Tyre Recycling in Sweden and Norwegian Tyre Recycling in Norway.

For more information, please contact:
Peter Selemark, CEO, Bon Orbit +46 (0)70 552 86 36
Jonna Jansson, Communicator, Swedish Tyre Recycling +46 (0)70 845 82 18