Nokian Tyres long-term growth strategy
Nokian Tyres aims to get back to EUR 2 billion growth track with strong profits. Focus continues to be on high value segments, especially on premium winter tires.
Nokian Tyres’ long-term strategy centers on organic growth in the Nordic countries, North America and Central Europe. Expanding capacity together with market relevant high-quality products and enhancing commercial capabilities will boost topline growth. Margin improvement will be driven by increasing sales volume and average sales price.
The rebuilding of the company is driven by organic growth, with a strong portfolio of new products at its core.
With respect to passenger car tires, the company’s growth strategy is divided into two phases: investment phase and growth phase. In 2023, passenger car tire sales volumes decreased significantly due to the sale of the Russia operations. Therefore, rebuilding production capacity during the investment phase is integral to achieving the EUR 2 billion net sales target.
In 2024, the company continued its strategic investments to increase capacity. The new passenger car tire factory in Romania reached the planned milestones on time and will start to support passenger car tire sales from 2025 onwards. In addition, the investment phase at the US factory was finalized in 2024, enhancing the company’s capabilities to produce tires tailored for North American consumers.
In the growth phase from 2026 onwards, expanding capacity combined with the introduction of new top-performing products and enhanced operational excellence will underpin the company's progress toward the financial targets.
In the Heavy Tyres business, the focus is on expanding capacity and strengthening distribution in Central Europe and North America. Widening product portfolio and enhanced digital capabilities support long-term growth. Vianor supports the sales and premium brand position in the Nordic countries.
Nokian Tyres’ competitive position is based on its ability to continually develop new, innovative and sustainably manufactured products. In 2024, Nokian Tyres launched several upgraded tires with safety, sustainability, and performance being the key drivers of the product development. With market relevant product offerings and a robust innovation pipeline, Nokian Tyres is well-positioned to meet evolving consumer expectations.
