Effective from November 2012, the European Union (EU) made it a requirement for tyres sold in the EU market to include a tyre label that specify their fuel consumption, wet grip and noise ratings.

The label will use a classification from the best (green category 'A') to the worst performance (red category 'G'). The new initiative is part of the Energy Efficiency Action Plan drafted in 2009, which is designed to improve the energy performance of products, buildings and services to reduce energy consumption by 20% until 2020.

The measure is believed to be a way to disadvantage the lower cost Asian tyre brands in the EU market. They are usually a lot cheaper than the European-made tyre but pales in comparison with the European brands in most aspects.

According to the European Tyre and Rubber Manufacturers