PUBLISHER: The Business Research Company | PRODUCT CODE: 1436750
PUBLISHER: The Business Research Company | PRODUCT CODE: 1436750
Tires, circular rubber components fitted onto vehicle wheels, provide traction and stability on various surfaces for smooth vehicle operation.
The primary categories of tires include bias tire, radial tire, and belted bias. A bias tire is constructed with cord plies that run perpendicular to the tread's center line. These tires are available through various distribution channels, both online and offline, and find application across a broad spectrum, including cars, bicycles, motorcycles, buses, trucks, heavy equipment, aircraft, and other vehicles. They serve as both replacement tires and original equipment manufacturer (OEM) tires.
The tire market research report is one of a series of new reports from The Business Research Company that provides tire market statistics, including tire industry global market size, regional shares, competitors with a tire market share, detailed tire market segments, market trends and opportunities, and any further data you may need to thrive in the tire industry. This tire market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.
The tire market size has grown steadily in recent years. It will grow from $204.71 billion in 2023 to $214.43 billion in 2024 at a compound annual growth rate (CAGR) of 4.7%. The growth observed in the historic period was influenced by various factors, including the expansion of the automotive industry, consumer preferences emphasizing performance and safety, adherence to regulatory standards, economic conditions impacting buying behavior, and the replacement tire market. These elements collectively contributed to the growth witnessed during that period in the tire industry.
The tire market size is expected to see steady growth in the next few years. It will grow to $253.9 billion in 2028 at a compound annual growth rate (CAGR) of 4.3%. In the projected forecast period, growth is expected to be fueled by various factors, notably the increasing adoption of electric vehicles (EVs), advancements in autonomous vehicle technologies, initiatives promoting circular economy practices, innovations in tire materials aligned with sustainability goals, and growing considerations related to climate change impact.
Anticipated growth in vehicle production is set to drive the tire market forward. Vehicle production involves mass-producing identical models of cars, trucks, vans, and SUVs. Tires play a crucial role in a vehicle's suspension and steering system, supporting vehicle loads, transmitting traction and braking forces, absorbing road shocks, and maintaining direction. Notably, the European Automobile Manufacturers' Association reported a 5.5% increase in U.S. passenger car sales to 11.9 million units in 2021. With global car production reaching 63.2 million units in 2021, escalating vehicle production significantly drives the tire market.
The surge in transportation activities is expected to drive the tire market's growth. Transportation activities encompass moving goods, people, or services via various modes such as roads, railways, airways, or waterways, significantly impacting tire market demand. For instance, Statistics Canada reported a 16.3% rise in Canada's urban transit trips to 136.0 million in October 2023 compared to October 2022. Consequently, the escalating transportation activities propel the tire market's expansion.
Technological advancements shape the trajectory of the tire market. Industry leaders concentrate on novel technologies to solidify their market stance. For instance, Zhongce Rubber Group, a Chinese tire manufacturer, introduced the EV Pro line-up in February 2023. This line of tires incorporates Zuper Silent technology, leveraging noise-absorbing compounds for all-season tire quietness. Additionally, features such as BPOT technology enhance handling with a larger contact area at high speeds, while Mixing Technology optimizes grip and stability. The Gen II Hybrid Silane Compound improves mileage, and the DMOT Design Theory reduces rolling resistance, contributing to overall tire performance.
Innovations in the tire market emphasize solutions tailored for electric vehicle (EV)-ready commercial tires, aligning with evolving consumer needs and market trends. Specifically designed and optimized for electric-powered commercial vehicles, these tires offer heightened durability and efficiency. For instance, in March 2022, Goodyear Tire & Rubber Company launched the Endurance RSA ULT and Fuel Max RSA ULT tires. These tires cater to higher load capacities of electric commercial vehicles, addressing last-mile delivery sector demands driven by e-commerce growth, fleet savings, and sustainability targets. The Electric Drive Ready Endurance RSA ULT, a premium all-position tire, caters to last-mile delivery vehicles, showcasing Goodyear's inaugural commercial tire badge suitable for both EVs and traditional fuel-powered work vehicles.
In June 2021, Goodyear Tire & Rubber Company, a US-based tire manufacturer, successfully acquired Cooper Tire & Rubber Company for $2.8 billion. This strategic move aims to fortify Goodyear's global leadership while amplifying investments in new mobility and fleet solutions. Cooper Tire & Rubber Company, also based in the US, specializes in tire manufacturing.
Major companies operating in the tire market report are Sumitomo Corporation, Continental AG, Bridgestone Corporation, Michelin Group, The Goodyear Tire and Rubber Company, Maxxis International, Yokohama Tire Corporation, Pirelli Tyre SpA, Zhongce Rubber Group Co. Ltd., Cheng Shin Rubber Ind. Co. Ltd., Sailun Group Co. Ltd., Apollo Tyres Ltd., Trelleborg AB, MRF Limited, Kumho Tyre Pty. Ltd., Shandong Linglong Tire Co. Ltd., Linglong Tire Co. Ltd., Cooper Tire & Rubber Company, Nexen Tire Corporation, Hankook Tire and Technology Co. Ltd., Nokian Tyres PLC, Toyo Engineering Corporation, Double Coin Holdings Ltd., JK Tyre & Industries Ltd., CEAT Limited, Triangle Tyre Co. Ltd., Guizhou Tyre Co. Ltd., Alliance Tire Group, Aeolus Tyre, GT Asia Pacific Holdings Pte. Ltd., Federal Corporation, JINYU Tire Group Co. LTD.
Asia-Pacific was the largest region in the tire market in 2023. The regions covered in the tire market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
The countries covered in the tire market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.
The tire market consists of the sale of touring tires, track and competition tires, all-terrain, and specialty tires. Values in this market are 'factory gate' values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.
The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).
The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.
Tire Global Market Report 2024 from The Business Research Company provides strategists, marketers and senior management with the critical information they need to assess the market.
This report focuses on tire market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.
Where is the largest and fastest growing market for tire ? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward? The tire market global report from the Business Research Company answers all these questions and many more.
The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market's historic and forecast market growth by geography.
The impact of sanctions, supply chain disruptions, and altered demand for goods and services due to the Russian Ukraine war, impacting various macro-economic factors and parameters in the Eastern European region and its subsequent effect on global markets.
The impact of higher inflation in many countries and the resulting spike in interest rates.
The continued but declining impact of covid 19 on supply chains and consumption patterns.