Most people hand over their worn tyres at the shop and never think about them again. The reality of where they end up is more complicated, and more interesting, than you might expect.
Australia generates around 537,000 tonnes of used tyres every year. That is a substantial amount of rubber looking for somewhere to go. The good news is that most passenger and truck tyres are collected and processed. The bad news is that “collected” does not always mean recycled.
Right now, only about 17 per cent of recovered tyres are actually turned into new products, things like rubber crumbing for sports surfaces or road construction material. The majority, around 40 per cent, are shipped overseas and burned as fuel. That at least keeps rubber out of landfill.
The system that runs it all is voluntary, and that is a problem
Australia has a scheme called the Tyre Product Stewardship Scheme. Companies that import tyres are supposed to contribute to a levy that funds the broader work of finding what to do with rubber once it has been collected, processing infrastructure, end-market development, and research into better recycling outcomes.
The scheme is run by an organisation called Tyre Stewardship Australia.
The catch is that participation is not required by law. And a significant number of importers simply do not join. Companies responsible for 47 per cent of replacement tyre imports have never contributed to the levy. They get the benefit of a functioning collection system without paying into it. The industry calls these companies free-riders.
There is a push underway to change this. In 2026 a parliamentary inquiry will be examining the tyre recycling industry, with hearings held in Canberra, Perth, and Melbourne. The federal government is reviewing existing waste legislation. New South Wales has already passed its own law, the Product Lifecycle Responsibility Act 2025, which creates a model other states could follow.
Mining tyres are a separate problem entirely
Passenger tyres are one thing. Mining tyres are another. A single tyre from a large haul truck can weigh seven tonnes. Australia produces enormous numbers of them, particularly in Western Australia and Queensland. And historically, more than 95 per cent have ended up buried or stockpiled at the mine site.
That is starting to change. A dedicated facility in Port Hedland, operated by a company called Tyrecycle, is now processing up to 30,000 tonnes of mining tyres each year. It breaks them down into 60-kilogram chunks, which are then trucked back to Perth for further processing. It is the first facility of its kind in the country at that scale.
Rio Tinto ran trials in the Pilbara earlier this year, diverting 800 tonnes of large tyres and conveyor belts away from onsite burial and into road construction material. Small numbers relative to the overall problem, but a proof of concept that is being watched closely by the rest of the industry.
What is still not working
The infrastructure for passenger tyres is reasonably established. The infrastructure for mining and agricultural tyres is still catching up.
Overall within the system several practical problems remain unsolved. This is where motorists need to be mindful of the problem and the true cost to their communities.
When you buy a new tyre in Australia, a small levy is included in the price. That money goes toward the cost of collecting your old tyre responsibly, making sure it enters the system rather than ending up dumped or buried. Unfortunately, not all tyre retailers have the tyres collected and not all collectors behave responsibly.
Illegal dumping by rogue collectors costs local councils around 6.5 million dollars a year in clean-up fees. Some operators collect tyres from retailers and workshops and then dump them rather than paying for legitimate processing. There is currently little stopping them.
On farms, the economics make things difficult. Transporting a tractor tyre hundreds of kilometres to a recycling facility often costs more than the tyre is worth. Many end up burned or buried on the property. High transport costs in regional areas are a recurring obstacle that no single company can solve on its own.
End-markets are also thin. Crumb rubber from recycled tyres needs buyers, roads that use it, surfaces that specify it, products that require it. Without rules that mandate its use in government procurement, the demand side stays weak and the economics of recycling stay marginal.
What it means for you
If you have your tyres changed at a reputable retailer, your old tyres will almost certainly enter the collection and recycling system. The levy-funded work that Tyre Stewardship Australia has done means most workshops can take comfort knowing there is a path to responsible disposal.
What happens after that depends on the tyre and where you are. A passenger tyre in a metropolitan area has a reasonable chance of being processed into crumb rubber or tyre derived fuel. A large agricultural tyre in a remote area has much less certainty.
The honest answer is that the system is improving but not yet where it needs to be. The voluntary model has reached its limits. Whether a mandatory scheme follows depends on what comes out of the current parliamentary inquiry and whether state and federal governments choose to act on it.
For now, the most useful thing a driver can do is use a legitimate retailer and ask whether their old tyres go to an accredited collection service. Most will. A few won’t. Asking the question is a reasonable way to ensure you only support tyre retailers who take the end-of-life tyre problem as seriously as you do in Australia.
