Exclusive Interview

Bailac: A Century of Tyre Retreading in Chile

Since 1925, Chile’s Bailac evolved from a small family workshop into a multinational leader in tyre retreading. With operations spanning Chile, Argentina, and Brazil, the company has been instrumental in developing the region’s retreading industry, particularly in mining. As Bailac nears its centenary, Eduardo Bailac reflects on its history, expansion, and the future of retreading in Latin America and beyond.

100 Years of Excellence

Reaching 100 years is more than a milestone for Bailac—it is a testament to its commitment to quality and innovation. Eduardo Bailac attributes this longevity to customer trust and a dedicated team: “This is just the beginning of a future filled with opportunities,” he says.

Eduardo’s introduction to the tyre industry came at an early age. At 14, he and his brothers spent their summers working in the family’s retreading plant while their friends enjoyed the beach. These experiences instilled a deep understanding of the trade, from reaming to scraping. Driven by a passion for rubber technology, Eduardo later pursued a degree in Chemical Engineering, a field that would prove invaluable when he officially joined Bailac in 1985. His initial focus was on commercial sales, including Firestone and Michelin tyres. By 1998, he had launched a truck and bus radial (TBR) retreading plant, and in 2004, he assumed responsibility for off-road tyre retreading—an area crucial to Chile’s mining sector.

His technical expertise was key in refining the retreading process for giant mining tyres. However, his earliest memory of tyres dates back much earlier. As a child, he and his brother deflated a customer’s tyre while playing near their home, which was adjacent to the family’s plant. Their father’s stern reprimand served as an early lesson in tyre maintenance—one that would shape his career.

A Business Built on Innovation

Bailac’s story began with Eduardo’s grandfather, Pascual Bailac, who learned the art of vulcanisation while working at a rubber factory in Spain. Seeking better opportunities, he emigrated to Argentina in 1921, establishing a small tyre repair and retreading workshop. His son, Leopoldo Bailac, grew up in the business and, in 1952, while visiting Chile, recognised a gap in the market. He relocated and founded a retreading plant the same year.

In 1953, Pascual and other family members moved to Chile, closing their Argentine operation due to economic instability. By the 1950s, Bailac had already adopted the slogan: “We give new life to your faithful tyres.” Leopoldo ran a retreading plant and manufactured and sold machinery, including moulds and scrapers, helping to establish retreading in Chile.

Expansion and Growth

From its beginnings in Argentina, Bailac steadily expanded. By the 1960s, the company had four plants in Chile and later re-established operations in Argentina in 2011, followed by Brazil. While attempts to enter the US and Mexican markets were less successful, they provided valuable industry insights.

The 1960s saw Bailac thrive in Santiago, becoming a key player in retreading truck and urban bus tyres. Its branding featured a cheerful kangaroo alongside the slogan: “For a long jump or a short hop, Recauchajes Bailac.” By the mid-1960s, the company had begun specialising in larger tyres for mining and construction.

The late 1960s saw significant change in Chilean mining with the arrival of large dump trucks. Previously, minerals were transported by train, but as dumpers became the preferred method, mining companies required local retreading services. In 1967, Bailac was invited to set up a plant near Chile’s largest mining operation, and the financing contract was signed in the Empire State Building in New York.

By 1969, Bailac had established a major retreading facility in Iquique, marking a step into the mining sector. In the 1970s, the shift to radial truck tyres increased demand further. The company operated two large plants: one in Iquique and another in Santiago, nearly 1,800 km south. Bailac expanded rapidly during the 1990s mining boom. New plants were established in Colina (Santiago) in 1992, Baquedano (Antofagasta) in 1994, and Tierra Amarilla (Copiapó) in 1996.  A global milestone came in 1990 when Bailac became the first company in the world to retread giant 57-inch rim tyres for loaders.

Pioneering New Retreading Solutions

Bailac’s next breakthrough occurred in 2004 during a severe shortage of off-road tyres. The company expanded its capabilities to retread dumper truck tyres, including 49-, 51-, and 57-inch rims, and became the first in the world to retread the massive 53/80R63 tyre. The company also pioneered the Top Cap retread, a technique later adopted under various trade names in other mining regions. This innovation cemented Bailac’s reputation as a leader in mining tyre retreading. The company invested heavily in high-tech retreading machinery in 2018, enhancing efficiency and production capacity. Bailac maintained strong relationships with suppliers, particularly Brazilian rubber manufacturer Vipal, and maintained high-quality standards throughout.

The Future of Tyre Retreading in Chile

Eduardo Bailac sees the industry’s future divided into two key segments: truck and road tyres and off-road tyres used in mining, ports, and forestry.

Quality improvements and stricter certification have made retreaded tyres safer and more reliable in the truck and road sector. However, the influx of cheap, low-quality tyres has reduced retreading volumes. Eduardo stresses the need for stronger regulations to prevent substandard products from entering the market.

Looking ahead to 2030, Bailac anticipates a generational shift. As a family business, the great-grandchildren of its founder are now being trained to carry the legacy forward. Eduardo’s brothers manage tyre-related mining services, presenting further diversification opportunities. The next generation is expected to drive international expansion through direct operations or strategic partnerships. Eduardo remains optimistic about the industry’s future, particularly as retreading gains recognition as a key contributor to the circular economy. Bailac’s plants are already authorised to issue environmental recovery certificates, reinforcing the company’s role in sustainable production.

As global environmental regulations tighten, the demand for retreading is set to grow. Bailac is well-positioned to meet this demand across all tyre sectors, ensuring a more sustainable future for the industry.

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