Tire Market

Market Overview:

The global tire market size reached 2,388 Million Units in 2023. Looking forward, IMARC Group expects the market to reach 3,012 Million Units by 2032, exhibiting a growth rate (CAGR) of 2.5% during 2024-2032. The growing awareness among individuals about safety, technological advancements, and new product launches by key manufacturers represent some of the key factors driving the market.

Technological Advancements in Production of Premium Quality Tires Augmenting the Market Growth

The tire market has been experiencing continuous growth on account on technological advancements in the manufacturing of premium quality tires. The rising adoption of equipment automation and big data is propelling the growth of the market. In addition, several manufacturers are using single-stage tire building processes through automation due to cost-effectiveness and the production of high-quality tires. They are also introducing monitoring tools to enhance the productivity and reduce the exposure to hazards.

Competitive analysis such as market structure, market share by key players, player positioning, top winning strategies, competitive dashboard, and company evaluation quadrant has been covered in the report. Also, detailed profiles of all major companies have been provided. The market structure is consolidated with few international players operating in the industry for majority of the market share. The low product differentiation and switching cost attract new entrants to invest in this market.

What is a Tire?

A tire refers to a circular shaped component of a vehicle that comprises a rim and compressed air. It is manufactured from various natural and synthetic materials, such as rubber, wire, cotton, glass, silica, carbon black, and steel. It is widely available as tubed and tubeless tires and has a bead, bead filler, belts, body ply, inner liner, sidewall, and tread. It assists in supporting the load of the vehicle, providing cushions against shocks, and dealing with forces that are acting on the vehicle during its motion. It aids in enhancing the performance of a vehicle and improving mileage and passenger safety. Besides this, it provides grip, improves vehicle handling on mountain roads, and facilitates braking. As it is widely available and offers low rolling resistance, the tire is utilized in passenger cars, two-wheelers, three-wheelers, off-the-road (OTR), and light, medium, and heavy commercial vehicles across the globe. 

COVID-19 Impact:

The COVID-19 pandemic outbreak has caused a severe problem for the tire industry due to lockdowns in various countries. Several production plants temporarily suspended their manufacturing operations and social distancing and lockdown caused downscale in production, which temporarily paused the overall output. Operational capacities also scaled down due to shortage of labors and disruption in supplies of raw materials. Apart from this, the demand for tire from numerous end-user industries, such as construction, industrial, agriculture, and mining, declined due to shutting down of construction activities and warehouses with the economic slowdown and supply-side issues. Moreover, the pandemic threatened the logistical and transportation activities and restrictions on on-road movement impacted the tire supply in the short term and limited the growth of the market.

Tire Market Trends:

At present, the rising production and sales of passenger and commercial vehicles around the world represent one of the key factors supporting the growth of the market. Besides this, the growing demand for tires due to the increasing popularity of road trips among the masses is offering a positive market outlook. Additionally, there is a rise in the number of road accidents due to damaged and low-quality tires across the globe. This, coupled with the increasing demand for premium quality tires to reduce accidents, ensure the safety of individuals, and save money on fuel, is propelling the growth of the market. Apart from this, the rising adoption of electric vehicles (EVs) and fuel-efficient alternatives are offering lucrative growth opportunities to industry investors. Moreover, the increasing demand for tires due to the rising number of logistics and transportation activities to deliver packages on time is positively influencing the market. In addition, various benefits offered by tires, such as enhanced stopping power, improved overall safety, and better handling, are contributing to the growth of the market. Apart from this, the wide availability of tires through offline and online distribution channels is strengthening the growth of the market. Furthermore, key players are introducing airless or non-pneumatic tires that can carry heavy loads while maintaining a smooth ride with minimal turf tear, which is bolstering the growth of the market.

Key Market Segmentation:

IMARC Group provides an analysis of the key trends in each sub-segment of the global tire market report, along with forecasts at the global, regional and country level from 2024-2032. Our report has categorized the market based on design, end-use, vehicle type, distribution channel, and season.

Design Insights:

• Radial Market
• Bias Market
   

The report has provided a detailed breakup and analysis of the tire market based on the design. This includes radial market and bias market. According to the report, radial tires represented the largest segment as they absorb the bumps, impacts and shocks, and provide better comfort to the rider In addition, the demand for radial tires is largely influenced by its better fuel efficiency. Moreover, there is a rise in the demand for radial tires due to their heat, wear, and cut resistant properties.

End-Use Insights:

• OEM Market
• Replacement Market
   

A detailed breakup and analysis of the tire market based on the end-use has also been provided in the report. This includes OEM market and replacement market. According to the report, replacement market accounted for the largest market share as replacement tires have low maintenance cost as compared to conventional tires. In addition, the increasing miles travelled by a vehicle per year and the wear and tear caused by it is catalyzing the demand for replacement market.

Vehicle Type Insights:

• Passenger Cars
• Light Commercial Vehicles
• Medium and Heavy Commercial Vehicles
• Two Wheelers
• Three Wheelers
• Off-The-Road (OTR)
   

A detailed breakup and analysis of the tire market based on the vehicle type has also been provided in the report. This includes passenger cars, light commercial vehicles, medium and heavy commercial vehicles, two wheelers, three wheelers, and off-the-road (OTR). According to the report, passenger cars accounted for the largest market share due to the increasing production of passenger cars across the globe. In addition, the growing integration of autonomous safety systems in passenger cars is positively influencing the market.

Distribution Channel Insights:

• Offline
• Online
   

A detailed breakup and analysis of the tire market based on the distribution channel has also been provided in the report. This includes offline and online. According to the report, offline accounted for the largest market share as it provides more choices and better price and offers various discounts to the customers as compared to online. In addition, offline purchase provides real-time or face-to-face expert advice, which is supporting the market growth.

Season Insights:

• All Season Tires
• Winter Tires
• Summer Tires
   

A detailed breakup and analysis of the tire market based on the season has also been provided in the report. This includes all season tires, winter tires, and summer tires. According to the report, summer tires accounted for the largest market share as they are more suitable for sporty cars as compared to other tires. In addition, the increasing demand for summer tires as they provide improved stability and traction is propelling the growth of the market.

Regional Insights:

• North America
  • United States
  • Canada
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Australia
  • Indonesia
  • Others
• Europe
  • Germany
  • France
  • United Kingdom
  • Italy
  • Spain
  • Russia
  • Others
• Latin America
  • Brazil
  • Mexico
  • Argentina
  • Colombia
  • Chile
  • Peru
  • Others
• Middle East and Africa
  • Turkey
  • Saudi Arabia
  • Iran
  • United Arab Emirates
  • Others
     

The report has also provided a comprehensive analysis of all the major regional markets, which include North America (the United States and Canada); Asia Pacific (China, Japan, India, South Korea, Australia, Indonesia, and others);Europe (Germany, France, the United Kingdom, Italy, Spain, Russia, and others); Latin America (Brazil, Mexico, Argentina, Colombia, Chile, Peru, and others); and the Middle East and Africa (Turkey Saudi Arabia, Iran, United Arab Emirates, and Others). According to the report, Asia Pacific was the largest market for tire. Some of the factors driving the Asia Pacific tire market included low production cost, easy availability of cheap labor and well-established key players in the industry. The demand for tires is rising in APAC region as China is increasingly focusing on mining activities and raw material procurement, which is supporting the market growth.

Competitive Landscape:

The report has also provided a comprehensive analysis of the competitive landscape in the global tire market. A. Some of the companies covered include:

• The Michelin Group
• Bridgestone Corporation
• Continental AG
• The Goodyear Tire and Rubber Company
• Sumitomo Corporation
• Pirelli Tyre S.p.A
• Yokohama Tire Corporation
• Hankook Tire and Technology Co., Ltd.
• Toyo Engineering Corporation
• Kumho Tyre (Australia) Pty Ltd.
   

Please note that this only represents a partial list of companies, and the complete list has been provided in the report.

Report Coverage:

Key Benefits for Stakeholders:

• IMARC’s report offers a comprehensive quantitative analysis of various market segments, historical and current market trends, market forecasts, and dynamics of the tire market from 2018-2032.
• The research study provides the latest information on the market drivers, challenges, and opportunities in the global tire market.
• The study maps the leading, as well as the fastest-growing, regional markets. It further enables stakeholders to identify the key country-level markets within each region.
• Porter's five forces analysis assist stakeholders in assessing the impact of new entrants, competitive rivalry, supplier power, buyer power, and the threat of substitution. It helps stakeholders to analyze the level of competition within the tire industry and its attractiveness.
• Competitive landscape allows stakeholders to understand their competitive environment and provides an insight into the current positions of key players in the market.