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50 Fastest Growing Companies of the Year 2018

For Sustainability, We Must All Tread Lightly: TYROMER

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Last year, more than one billion scrap tires were generated throughout the world. Tire rubber is vulcanized and cannot be reused easily and moreover, there are no large markets for scrap tires or scrap tire rubber. Consequently, half of scrap tire rubber is burned for its fuel value. Though governments offer financial incentives to stimulate the use of scrap tire rubber in downcycled products, the products are often not viable post-incentive. With improving living standards in countries such as China and India, the scrap tire problem will become a recurring and escalating problem all over the globe and this is where Tyromer steps in.

With its socially responsible and environmentally sustainable technology, Tyromer solves this problem by developing a rubber devulcanization technology solution to scrap tire management and recover a valuable resource.

Inception of Tyromer

Costas Tzoganakis, CTO of Tyromer invented a rubber devulcanization technology that does not require chemical solvents or devulcanization chemicals. This meant that it was possible for the first time to practice large-scale rubber devulcanization in an environmentally sustainable way. Costas is also a professor of Chemical Engineering at the University of Waterloo where he maintains an active research program in processing and modification of polymers.

Tyromer was established in 2009, by the University of Waterloo, Canada. From the beginning, Sam Visaisouk, CEO of the company, chose to develop the technology specifically to devulcanize scrap tire rubber for reuse, predominantly in tire production. Because the tire industry consumes over 50% of global rubber supply, any recycled rubber that cannot be used in tire production will face the same fate as any other rubber recycling initiatives – no market.

Amidst the proprietary know-how and trade secrets in the high-tech tire industry, Tyromer chose an open innovation and collaboration business model, so it can understand the requirement of the tire industry through collaboration and partnership, to develop a devulcanized rubber that can be used in tire production.

Birth of the Brainchild

Tyromer scaled up the lab invention into an industrial process in which scrap tire rubber crumb is continuously converted to TDP (Tire-Derived Polymer) via its supercritical carbon dioxide extrusion process. The conversion is rapid (2 minutes) and complete (~100%), and no chemical solvents or devulcanization chemicals are used. The Tyromer devulcanization process does not damage the rubber molecules so TDP has excellent dynamic properties for tire application.

In collaboration with AirBoss Rubber Compounding, a leading custom rubber compounder with a diverse customer base, TDP is now commercially used at 20% as a virgin rubber compound replacement in OTR (Off-The-Road) tire retreading compounds. This is the first time recycled rubber has been used at more than about 5% in tires. Because TDP production is energy efficient (0.4 kWh/kg), every ton of TDP used in tires provides a 50-ton reduction in GHG emission.

Tyromer collaborated with a global brand upon the success of TDP in OTR retreading, to commercialize TDP in new truck and passenger tires. Recently, collaboration was established with a global leader in OTR production to customize TDP for large-scale implementation. Currently, it is collaborating with another global brand to use TDP as a circular material to bring the circular economy to truck tire retreading. Retreads represent 44% of truck tires sold.

Tyromer’s Vision

The company strongly believes that it can make a positive impact on global scrap tire management. People, including the tire producers, want a socially responsible and environmentally sustainable way to deal with scrap tires and have shown support for Tyromer’s vision to return scrap tire rubber to new tires. For Tyromer to succeed, TDP must deliver a financial advantage with minimal implementation disruption. Cost reduction drives adoption and collaboration facilitates implementation.

Hurdles Crossed

Tyromer had to overcome many challenges in its initial years. It was difficult to find investments on rubber processing innovation since rubber does not sound like ‘modern technology’ and also due to the NIMBY (not in my backyard) attitude. The rubber industry itself is skeptical of devulcanization due to many prior false promises. There is confusion on rubber devulcanization vs. rubber reclaiming and the Chinese reclaimed rubber gives recycled rubber a bad name. To overcome these challenges, Tyromer used open innovation and collaboration to develop, validate and commercialize its first TDP for use in OTR retreading.

Taste of Success

Tyromer chose a licensing strategy for global implementation because scrap tire is a global problem. It is focused on collaborating with global brands to create demand for TDP and establish licensed TDP production operations to supply local or regional customers. Tyromer also operates JV to showcase or introduce a new business model such as the circular economy for truck retreading.

Future Roadmap

In 2018, Tyromer will establish licensed TDP production operations in China, Saudi Arabia, Turkey and the former Soviet Bloc. The Company is developing a JV in California to demonstrate the circular economy in truck tire retreading. TDP will be used in truck and passenger tires by a global brand in high percentages.

Based in Ontario, Canada which has a large automotive sector, Tyromer will be developing automotive polymers using TDP as a base polymer for companies to meet higher recycled content demand from auto producers.

Men behind the breakthrough TDP

Sam Visaisouk, Ph.D., CEO: Sam specializes in the commercialization of university-developed technology through open innovation and collaboration. His expertise spans the spectrum of commercialization: technology assessment and positioning, business model driven patent and trademark strategy, business and financial modeling, financing and deal structuring, lean startup operation, product visioning, development, validation and launch, industry collaboration and business development.

Costas Tzoganakis, Ph.D., P.Eng. CTO: Costas is a professor of Chemical Engineering at the University of Waterloo with industry experience in polymer engineering, modeling and simulations of polymer processing, reactive extrusion and rubber devulcanization. He is the inventor of the Tyromer supercritical carbon dioxide assisted twin-screw extrusion technology for continuous rubber devulcanization without chemical solvents or devulcanization chemicals.

“To grow, we must improve and develop products in collaboration with customers to support their sustainability and growth agenda.”

 

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