Global Tire Industry
The global tire industry plays a large role in the worldwide automotive industry.
Tire Market Key Segments
Increased demand is a result of increasing global vehicle use prompted by rising levels of income, leading to higher rates of vehicle ownership. OEM and replacement motor vehicle tires demand, in particular for light vehicles, will continue to grow in tandem with car ownership.
Demand for bicycle and motorcycle tires in emerging nations represents the largest percentage of sales in the industrial and other tire market segment.
Tires for use in other sectors – such as for airplanes, mining equipment, agriculture, and construction – as well as services around tires (repair, replace, etc.) will also contribute to overall industry growth. Tires used in these sectors account for less of the global tire market than motorcycle and bicycle tires. Tire market growth in this region will benefit from foreign investment in tire manufacturing. Industry players will continue to move to the Asia-Pacific region due to room to boost local market sales together with the low cost of labor throughout the region.
Regional Tire Market Share
As the market is mature, there is unlikely to be much change over coming years. Industry players will seek to boost sales through new product distribution opportunities and by improving their product mix. Eastern and Northern Europe represent the region with the best growth potential.
India’s tire market growth will be driven by rising demand for automobile products. Obstacles to growth in the Indian tire industry include rising raw material prices. Leading players currently operating in India’s tire market include CEAT, Apollo Tyres, MRF, and Tyre and Industries.
Saudi Arabia’s tire market continues to grow due to rising rates of automobile ownership, increasing GDP and a booming used-car industry, reports TechSci Research.
Asia-Pacific leads the global tire market. Most of China’s tire demand is for non-motor vehicle tires, though the country represents the second-highest sales of motor vehicle tires after the US.
