SDAB and Norsk Dekkretur are entering into a joint venture for the management of end-of-life tyres in both countries
All operational activities will be managed by Bon Orbit, a joint venture established by both parties. The collective objective is to enhance the availability of premium recycled raw materials and expedite progress in emerging circular applications.
SDAB aims to boost material recovery and increase the value of recycled tyre materials. Since opening its Linköping facility in 2023, which extracts rubber, steel, and textiles from used tyres, SDAB has made significant progress. With growing demand, SDAB is now forming a joint venture with Norsk Dekkretur, combining Norway’s 60,000 tonnes and Sweden’s 90,000 tonnes of tyres to better meet market needs.
Norsk Dekkretur is now a co-owner of Bon Orbit, which until recently was a wholly owned subsidiary of SDAB. 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 SDAB.
“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,” added Per-Kristian Nauste, CEO of Norsk Dekkretur.
Bon Orbit is constructing Europe’s largest indoor facility for recycled tyre materials in western Sweden, with commissioning planned for autumn 2026. Recruitment for key roles is underway.
“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 SDAB in Sweden and Norsk Dekkretur in Norway.
