Tires Trends and Forecast
The future of the global tires market looks promising with opportunities in the passenger car/ light truck, commercial tires (trucks), and commercial tires (off-highway) markets. The global tires market is expected to reach an estimated $29.6 billion by 2030 with a CAGR of 3.2% from 2024 to 2030. The major drivers for this market are growing demand for high-performance tires owing to increasing popularity of road trips among the masses, stringent environmental regulations, and increasing global production and sales of both passenger and commercial cars.
• Lucintel forecasts that bias tires will remain the larger segment over the forecast period.
• APAC will remain the largest region over the forecast period.
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Emerging Trends in the Tires Market
Technological advancements and environmental considerations define the futuristic path that the tires market is going to traverse. Five of the most pertinent trends are as follows:
• Smart Tires: Smart tires with embedded sensors provide real-time data on tire conditions, hence improving safety and performance. Smart tires monitor parameters like pressure, temperature, and tread depth that enable proactive maintenance for further enhancement of safety while driving.
• Ecological Materials: The trend toward ecological materials is becoming increasingly popular. The manufacturers seek alternatives like bio-based rubbers and the use of recycled material. This trend meets environmental concerns and regulatory pressures that aim to reduce the carbon footprint of tire manufacturing.
• Tires for Electric Vehicles: Specially designed tires for electric vehicles are under development to meet the needs of higher torque and increased weight. In light of the automotive industryÄX%$%Xs strategic shift toward electrification, these tires are being designed with a greater motive toward performance, safety, and an extended range for EVs.
• Recycling technologies: the application of technologies involved with recycling will reduce waste and lower pressure on nature. New technologies have to be developed for efficient reprocessing of the old tires into new products or raw materials underpinning the circular economy, which eliminates the disposal of the old tires into the environment.
These are the trends reshaping the tires market, which are driving innovation to meet regulatory standards and to meet consumer demands for safety, performance, and sustainability.
Recent Developments in the Tires Market
The tires market is evolving rapidly with advancements in technology and changing consumer needs. Here are five recent developments:
• Adoption of Smart Tires: Smart tires with embedded sensors are becoming more common, providing real-time data on tire health and performance. This development enhances vehicle safety and operational efficiency, as drivers can receive alerts and maintenance suggestions.
• Focus on Sustainability: Tire manufacturers are increasingly adopting eco-friendly practices, including the use of sustainable materials and processes. This trend reflects growing environmental awareness and regulatory pressures to reduce carbon footprints.
• Expansion of EV Tire Market: The rise of electric vehicles (EVs) is driving demand for specialized tires designed to accommodate unique performance requirements of EVs, such as handling higher torque and providing longer driving ranges.
• Advancements in Tire Recycling: New technologies for recycling tires are emerging, aiming to convert used tires into valuable raw materials or products. This development supports a circular economy and reduces the environmental impact of tire waste.
These developments are significantly impacting the tires market, driving technological progress, enhancing sustainability, and meeting evolving consumer needs.
Strategic Growth Opportunities for Tires Market
Tires market presents opportunities for growth in many application areas. Five key growth opportunities have been identified:
• EVs: The increasing adoption of EVs opens a chance for the development of new types of tires that will enhance performance and safety; this could be in terms of higher torque, longer-range tires, and other specifications required by the growing EV market.
• Fleet Management: Fleet management companies can benefit by using tires that are enabled with advanced features of real-time monitoring and predictive maintenance, which automatically enhances fleet efficiency and thereby reduces high downtime and operational cost.
• Aftermarket Tire Services: The aftermarket tires have various value-added services that need to be upgraded and customized according to demand. Better tire options are available, and with more diversified services offering real consumer and vehicle-specific needs, several opportunities for companies exist.
• Sustainable Tire Solution: There is a lot of concern over the impact of tires on the environment. A huge opportunity exists in developing and marketing sustainable tire solutions, including those made from ecological materials, among others, that are easily recycled.
These growth tendencies in the tires market are rising along with the market, while ensuring innovation, increased services, and attention to sustainability and performance requirements.
Tires Market Driver and Challenges
These technological advances, economic conditions, and regulatory factors drive some of the leading drivers and challenges in the tires market.
The factors responsible for driving the tires market include:
1. Increased Technological Innovation: Continuous development in tire technology, like smart tires and other enhanced materials, is one of the major factors for market growth with improved performance and safety.
2. Growth in Electric Vehicles: The increasing volume of electric vehicles is creating demand for specialist tires that is driving new opportunities for manufacturers.
3. Sustainability Trends: There is growing awareness of environmental sustainability that encourages eco-friendly tire innovations and applications in tune with global regulatory standards and increasingly environmentally-conscious consumers.
4. Economic Growth: Increasing disposable incomes and growing vehicle ownership in emerging markets spur demand for tires and overall market growth.
Challenges in the tires market are:
1. Material Costs: Fluctuations in the costs of raw materials, including natural rubber and synthetic polymers, further add variability to the production process and erode profitability for tire manufacturers.
2. Regulatory Compliance: Meeting regulatory standards, which vary from region to region, can be both intricate and expensive; thus, even the global tire manufacturers sometimes find it challenging.
All of these drivers and challenges shape innovation, growth strategies, and adherence to regulatory compliance, forming trends in the tires market and affecting the future course of the industry.
List of Tires Companies
Companies in the market compete on the basis of product quality offered. Major players in this market focus on expanding their manufacturing facilities, R&D investments, infrastructural development, and leverage integration opportunities across the value chain. Through these strategies tires companies cater increasing demand, ensure competitive effectiveness, develop innovative products & technologies, reduce production costs, and expand their customer base. Some of the tires companies profiled in this report include-
• The Michelin
• Bridgestone
• Continental
• The Goodyear Tire and Rubber
• Sumitomo
• Pirelli Tyre
• Yokohama Tire
• Hankook Tire and Technology
• Toyo Engineering
• Kumho Tyre
Tires by Segment
The study includes a forecast for the global tires by product, application, and region.
Tires Market by Product [Analysis by Value from 2018 to 2030]:
• Bias Tired
• Radial Tires
Tires Market by Application [Analysis by Value from 2018 to 2030]:
• Passenger Car/ Light Truck
• Commercial Tires (Trucks)
• Commercial Tires (Off-Highway)
Tires Market by Region [Analysis by Value from 2018 to 2030]:
• North America
• Europe
• Asia Pacific
• The Rest of the World
Country Wise Outlook for the Tires Market
The global tires market sees significant changes from the storms of technological innovation, shifting consumer preference, and environmental regulations. Following is an overview of recent activity in the five key countries that are:
• United States: Sustainability has been a growing trend in the U.S. tire market, with major manufacturers investing in much green material and practices. Innovations like tire recycling and low-rolling resistance tires abound to help drivers be more fuel-efficient and environmentally friendly.
• China-China equally focuses on increasing the adoption of smart tires fitted with sensors that provide real-time data on tire performance. It also focused on expanding high-performance tires for passenger and commercial vehicles to cater to increasing domestic demand and exports.
• Germany: The automotive industry in Germany has been influential in running the high-pressure piston regime for the market in tires for the electric vehicle lineup. Specialized EV tires, supporting higher torque and enabling longer ranges, have become the current trend in this region. The market focuses strongly on advanced tire technologies and sustainability.
• India: Because more people are owning vehicles and infrastructural development is in full swing, the tire market is booming in India. Most users are looking for reasonable yet durable tires. Manufactures are also trying to innovate with tire designs and materials able to satisfy different kinds of road conditions:.
• Japan: Japan is far ahead in the implementation of advanced tire technologies, such as self-sealing and run-flat tires. Since there is an increasing city drive, the focus is on safety and performance parameters of the vehicles getting better with technological advancements.
Features of the Global Tires Market
Market Size Estimates: Tires market size estimation in terms of value ($B).
Trend and Forecast Analysis: Market trends (2018 to 2023) and forecast (2024 to 2030) by various segments and regions.
Segmentation Analysis: Tires market size by product, application, and region in terms of value ($B).
Regional Analysis: Tires market breakdown by North America, Europe, Asia Pacific, and Rest of the World.
Growth Opportunities: Analysis of growth opportunities in different product, application, and regions for the tires market.
Strategic Analysis: This includes M&A, new product development, and competitive landscape of the tires market.
Analysis of competitive intensity of the industry based on Porter’s Five Forces model.
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FAQ
Q1. What is the tires market size?
Answer: The global tires market is expected to reach an estimated $29.6 billion by 2030.
Q2. What is the growth forecast for tires market?
Answer: The global tires market is expected to grow with a CAGR of 3.2% from 2024 to 2030.
Q3. What are the major drivers influencing the growth of the tires market?
Answer: The major drivers for this market are growing demand for high-performance tires owing to increasing popularity of road trips among the masses, stringent environmental regulations, and increasing global production and sales of both passenger and commercial cars.
Q4. What are the major segments for tires market?
Answer: The future of the global tires market looks promising with opportunities in the passenger car/ light truck, commercial tires (trucks), and commercial tires (off-highway) markets.
Q5. Who are the key tires market companies?
Answer: Some of the key tires companies are as follows:
• The Michelin
• Bridgestone
• Continental
• The Goodyear Tire and Rubber
• Sumitomo
• Pirelli Tyre
• Yokohama Tire
• Hankook Tire and Technology
• Toyo Engineering
• Kumho Tyre
Q6. Which tires market segment will be the largest in future?
Answer: Lucintel forecasts that bias tires will remain the larger segment over the forecast period.
Q7. In tires market, which region is expected to be the largest in next 5 years?
Answer: APAC will remain the largest region over the forecast period.
Q.8 Do we receive customization in this report?
Answer: Yes, Lucintel provides 10% customization without any additional cost.
This report answers following 11 key questions:
Q.1. What are some of the most promising, high-growth opportunities for the tires market by product (bias tires and radial tires), application (passenger car/ light truck, commercial tires (trucks), and commercial tires (off-highway)), and region (North America, Europe, Asia Pacific, and the Rest of the World)?
Q.2. Which segments will grow at a faster pace and why?
Q.3. Which region will grow at a faster pace and why?
Q.4. What are the key factors affecting market dynamics? What are the key challenges and business risks in this market?
Q.5. What are the business risks and competitive threats in this market?
Q.6. What are the emerging trends in this market and the reasons behind them?
Q.7. What are some of the changing demands of customers in the market?
Q.8. What are the new developments in the market? Which companies are leading these developments?
Q.9. Who are the major players in this market? What strategic initiatives are key players pursuing for business growth?
Q.10. What are some of the competing products in this market and how big of a threat do they pose for loss of market share by material or product substitution?
Q.11. What M&A activity has occurred in the last 5 years and what has its impact been on the industry?
For any questions related to Tires Market, Tires Market Size, Tires Market Growth, Tires Market Analysis, Tires Market Report, Tires Market Share, Tires Market Trends, Tires Market Forecast, Tires Companies, write Lucintel analyst at email: helpdesk@lucintel.com. We will be glad to get back to you soon.