Commercial Vehicle Tires Market Forecasts to 2028 - Global Analysis By Product, Terrain, Sales Channel, Application, End User (Aftermarket, Original Equipment Manufacturer ), and By Geography

According to Stratistics MRC, the Global Commercial Vehicle Tires Market is expected to growing at a CAGR of 5.6% during the forecast period. The tires are the only module of a vehicle which comes in direct contact with the road. Tires in commercial vehicles are equipped to handle all sort of rough conditions including sand, unpaved roads, dirt and rocks can even be the norm in some places. They are exposed to numerous inappropriate environments and road conditions that involve the manufacturers to manufacture specific tires for a meticulous environment and whether conditions such as winter, all-season, and summer tires.

Market Dynamics:

Driver:

Advancement of technology in the manufacturing process of the tires

Advancements in tire manufacturing technology, such as the exploit of nanotechnology, are aimed at dropping the rate of wear and tear of tires. The use of such higher manufacturing technologies makes the tires more durable, gives them superior performance, and provides enhanced comfort to the vehicle. Nanotechnology is used in the manufacturing of high-performance tires as well as normal tires. Thus, the tires can purpose in a wide range of temperatures and have advanced heat resistance. Moreover, a slick racing tire with abridged stride is used on dry tracks as it guarantees the slightest traction by providing the most considerable contact casing to the road. An additional development in the manufacturing process of the tire is with the lower-tech development in the tire, and it could lead to a more considerable impact on the market. The threads of tire are baked during the manufacturing process; the color recognition lets you know when it's time to replace the tires, providing additional safety to the end-users.

Restraint:

Volatility in raw material pricing

Volatility in raw material pricing is expected to continue to dampen commercial vehicle tire market growth. The prerequisite for achieving a duty-free procedure poses commercial and conformity challenges for both vehicle and parts manufacturers. Price instability and the demand-supply gap in the raw materials required for production of commercial vehicle tires. Surging prices of butadiene and EPDM rubber due to a limited production is expected to cause a trickle-down effect in the commercial vehicle tire market. Although tire manufacturing companies are continuously investing in developing sustainable materials, the volume of waste produced due to tires currently is mounting. Stringent government guidelines involving tire manufacturing companies for investing in research and development of effective and sustainable waste management solutions are anticipated to incur additional costs for manufacturers.

Opportunity:

Increasing demand for construction machinery tires

Over the last few years, the demand for construction machineries such as wheel loaders, cranes, bulldozers, and others has been primarily driven by an increase in the volume of construction projects and expanding construction budgets, particularly in developing countries around the world. This is providing the enormous opportunities to the market for commercial vehicle tires. The demand for tire retreads has also been increasing for these vehicles, as fleet managers/operators continue to leverage retread programs to reduce the operating costs. Moreover, continued economic growth in several developed and developing countries, combined with attractive financing conditions fueled by low-interest rates, is expected to boost average global construction industry revenues, propelling the commercial vehicle tires market.

Threat:

Increasing preference for 6x2 axles

The increasing preference for fuel efficiency, as well as the growing strictness of vehicle emission systems, drives the predilection for commercial fuel-efficient trucks that do not compromise on load pulling capacity. As a result, vehicle manufacturers have resorted to produce more truck models with 6x2 axle driveline configurations. Though, a 6x2 axle driveline reduces the number of axles used in a truck and, as a result, the number of commercial vehicle tires required. For this reason, the market will face challenges due to the increasing preference for 6x2 axle drivelines in heavy commercial vehicles during the forecast period.

The agriculture segment is expected to be the largest during the forecast period

The agriculture segment is estimated to have a lucrative growth owing to increasing investments in agriculture and increasing demand for the supply of genetically modified seeds, advanced fertilizers, and other Agri-commodities to farmers in remote regions and providing transportation trucks to bring crops & products from farmers to the local & regional markets is further substantiating the growth of the commercial vehicle tire market in the forecast years. To boost the productivity on the lands of agriculturally deprived economies and to meet the food need of growing population, OEMs are trying to build machineries installed with IoT, GPS and Automation techniques to gain more from the land.

The light commercial vehicle (LCVs) segment is expected to have the highest CAGR during the forecast period

The light commercial vehicle (LCVs) segment is anticipated to witness the fastest CAGR growth during the forecast period, due to the increased usage of these vehicles in developing countries has played a major role in boosting sales of LCV tires. Light trucks and vans are used extensively by small businesses to transport goods, people, etc., across various regions. They require good driving comfort as well as superior traction on different terrains such as mud, sand, or snowy roads.

Region with highest share:

North America is projected to hold the largest market share during the forecast period owing to growing awareness about the importance & benefits of timely inspection & maintenance of vehicles & tires and the large number of commercial vehicles are used to transport goods across various locations in North America, hence enhancing demand for better-designed tires that provide superior traction and stability over uneven terrains. The US leads the commercial vehicle tires market with the largest share. It owes principally to the extensive presence of prominent automakers & tire manufacturers in the country, indulged actively in the production & distribution of new vehicles & tires and stimulating the market growth.

Region with highest CAGR:

Asia Pacific is projected to have the highest CAGR over the forecast period owing to the increased population and rising disposable income coupled with an intense focus on development activities by most companies. The sales of heavy trucks in Asia Pacific region grew by 1.4% to 27872 units in 2019 compared to 27493 units in 2018. Growing electrification of commercial vehicles in countries such as China is also expected to drive the growth of commercial vehicle tire market in the country. China has a fleet of more than 425,000 electric buses.

Key players in the market

Some of the key players profiled in the Commercial Vehicle Tires Market include Continental AG, Trelleborg Corporation, Bridgestone Corporation, Hankook Tire and Technology Group, Sumitomo Corporation, The Michelin Group, Goodyear Tyre and Rubber Company, Balkrishna Industries Limited, Pirelli & C. S.p.A, Cooper Tire & Rubber, ATG Tires Private Limited, The Yokohama Rubber, McLaren Industries, MRF Limited, JK Tyre & Industries, and Apollo Tyres.

Key Developments:

In July 2021, Hankook has announced that it will be supplying tires for the first electric SUV from Volkswagen, the ID.4, which will be fitted with the Ventus S1 Evo 3 EV, designed especially for electric vehicles & the demands of their drive systems.

In Jan, 2021, Michelin North America, Inc., announced that Purcell Tire & Rubber Company would join the MICHELIN Commercial Service Network (MCSN), Michelin Retread Technologies, Inc. (MRTI), and Oliver Rubber Company, LLC (Oliver) retreading networks. The partnership would enable Michelin to secure a relationship across our entire line of business-to-business on- and off-road products and services.

In Oct, 2020, Continental AG announced winning tire technology award for its CARE tire concept for electric robotaxis. The "Journey to Automation" award was presented by the European Rubber Journal (ERJ). Conti CARE tire concept is cloud-based connectivity that offers fleet operators particularly efficient solutions for electric mobility management.

Classifications Covered:

• Rim Diameter (<20 Inch)
• Rim Diameter (20 to 45 Inch)
• Rim Diameter (45 to 65 Inch)

Products Covered:

• Bias Tyre
• Radial Tyre

Tire Positions Covered:

• Drive
• Steer
• Trailer

Vehicle Weights Covered:

• Less Than 3.5 Tons
• 3.5 Tons To 16 Tons
• More Than 16 Tons

Materials Covered:

• Natural Rubber
• Nylon Cord Fabric and Wire
• Styrene Butadiene Rubber
• Poly Butadiene Rubber

Terrains Covered:

• Off-Road
• On-Road

Vehicle Types Covered:

• Light Commercial Vehicle (LCVs)
• Medium and Heavy Commercial Vehicle (M&HCVs)

Sales Channels Covered:

• Online
• Offline

Applications Covered:

• Construction
• Transport
• Agriculture
• Mining

End Users Covered:

• Aftermarket
• Original Equipment Manufacturer (OEM)

Regions Covered:

• North America
  • US
  • Canada
  • Mexico
• Europe
  • Germany
  • UK
  • Italy
  • France
  • Spain
  • Rest of Europe
• Asia Pacific
  • Japan
  • China
  • India
  • Australia
  • New Zealand
  • South Korea
  • Rest of Asia Pacific
• South America
  • Argentina
  • Brazil
  • Chile
  • Rest of South America
• Middle East & Africa
  • Saudi Arabia
  • UAE
  • Qatar
  • South Africa
  • Rest of Middle East & Africa

What our report offers:

• Market share assessments for the regional and country-level segments
• Strategic recommendations for the new entrants
• Covers Market data for the years 2020, 2021, 2022, 2025, and 2028
• Market Trends (Drivers, Constraints, Opportunities, Threats, Challenges, Investment Opportunities, and recommendations)
• Strategic recommendations in key business segments based on the market estimations
• Competitive landscaping mapping the key common trends
• Company profiling with detailed strategies, financials, and recent developments
• Supply chain trends mapping the latest technological advancements

Free Customization Offerings:

All the customers of this report will be entitled to receive one of the following free customization options:

• Company Profiling
  • Comprehensive profiling of additional market players (up to 3)
  • SWOT Analysis of key players (up to 3)
• Regional Segmentation
  • Market estimations, Forecasts and CAGR of any prominent country as per the client's interest (Note: Depends on feasibility check)
• Competitive Benchmarking
  • Benchmarking of key players based on product portfolio, geographical presence, and strategic alliances