A pneumatic tire having a component comprising: at least one rubber selected from polybutadiene rubber, styrene-butadiene rubber, synthetic polyisoprene rubber, and natural rubber; and from 1 to 30 parts by weight, per 100 parts by weight of rubber, of a terpolymer of: ethylene, an α-olefin, and a non-conjugated diene; the terpolymer having an ethylene content of greater than 80 percent by weight and a Mooney viscosity (ML 1+4 at 125° C.) of from 5 to 25 as measured by ASTM D-1646.