Environment Minister Nick Smith has announced the Government will provide funding to explore recycling options for used tyres.
It will give $133,000 to the Product Stewardship Foundation to work with tyre industry importers and retailers to identify the best way to recycle and re-use used tyres.
Dr Smith says there is a significant environmental problem in New Zealand with the disposal of about four million tyres annually, 85% of which end up in landfills.
He says possibilities include processing the tyres for road surfacing products, converting them into floor tiles, useable fuels and recycling the steel.
The Government expects to receive the report detailing options by April next year.