Automotive Tire Market Size was valued at USD 134.9 Billion in 2023. The automotive tire market industry is projected to grow from USD 151.08 Billion in 2024 to USD 334.1 Billion by 2032, exhibiting a compound annual growth rate (CAGR) of 10.42% during the forecast period (2024 - 2032). Tires with low rolling resistance and advancements in tire manufacturing technology are the key market drivers enhancing the market growth.
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
Increased competition among tire manufacturers is driving the market CAGR for automobile tire. Significant automakers continue to invest in emerging nations due to low labour costs, which further lower production costs and help to meet the expanding demand for vehicles. The tire industry has grown dramatically over the last ten years because to increased demand for automobiles and the usage of collaborative and consolidation manufacturing in the tire industry. At the same time, the automotive sector has grown at an exponential rate.
As a result, the automobile tire industry expands. Hankook Tire has created the "Dynapro AT2" for off-road and on-road SUVs. These tires perform admirably in all driving conditions due to their quietness, comfortable ride, and powerful off-road capability.
The automotive industry has recently undergone considerable expansion as a result of rapid industrialization, which has increased sales of commercial vehicles such as trucks, tractors, and trailers. Rising disposable income and living standards also have an impact on the growing sales of luxury passenger automobiles and premium category bikes. Furthermore, it is expected that sales of electric vehicles will increase during the forecast period. Electric car sales are further supported by the lowering cost of electric vehicle components such as batteries, transmissions, and alternators.
Furthermore, global automotive sector consolidation, which results in mergers and acquisitions between international and domestic vehicle manufacturers, boosts the growth of the automotive industry, influencing the car tire market share. As a result, the expansion of the vehicle industry is predicted to increase overall demand for tires.
The Auto Tire Market segmentation, based on vehicle type includes 13"_15", 16"_ 18", 19"_21", >21". The 16"_ 18" segment contributed the largest amount to the market and is expected to increase at a CAGR of 4.1% during the forecast period. The rim sizes on most passenger and commercial vehicles range from 16 to 18 inches. Because there is more rubber on the road, these tires have better traction, especially for vehicles carrying more than average weight.
The Automotive Tire Market segmentation, based on season, includes store winter, summer, all-season. The all-season segment was the largest contributor to the market and is expected to grow at a CAGR of 4.2% over the projected period. These tires are designed to withstand every weather condition, whether summer or winter. They are carefully developed with a unique and robust tread that lasts longer and can run on any terrain. All-season radials, like winter tires, provide excellent traction on wet surfaces.
The Automotive Tire Market segmentation, based on propulsion type, includes store ICE, EV. EV category had a significant market share. Electric vehicles have minimal operating expenses because they have fewer moving parts to maintain, and they are also very environmentally friendly because they consume little or no fossil fuels (petrol or diesel). While some EVs used lead acid or nickel metal hydride batteries, lithium ion batteries are now considered the standard for modern battery electric vehicles because they have a longer lifespan and are excellent at retaining energy, with a self discharge rate of only 5% per month.
The Vehicle Tire Market segmentation, based on vehicle type, includes passenger cars, LCV, HCV. In 2022, the passenger cars segment dominated the industry with a revenue share of more than 40%. Passenger car demand is mostly determined by economic factors such as exchange rate fluctuations, GDP growth, inflation levels, and changes in government policies.
The Car Tire Market segmentation, based on distribution channel, includes store OEM, Aftermarket. The aftermarket category was the largest contributor and is expected to expand at a CAGR of 4.5% during the projection period. Automotive OEMs are pre-installed channel kinds in which the tires, rims, and many services are installed with the vehicle when it is delivered to the customer.
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
By region, the study provides the market insights into North America, Europe, Asia-Pacific and the Rest of the World. In 2022, the North American car tire industry dominated the market, accounting for more than 40% of total sales. Because of the quantity of tire manufacturers cooperating with SUV and passenger car makers in the region. Furthermore, rising demand for off-roading tires among sports enthusiasts is propelling regional market growth.
Further, the major countries studiedin the market reportare The US, Canada, German, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
Europe’s auto tire market accounts for the second-largest market share due to the presence of several vehicle OEMs, since many of the world's largest automakers have manufacturing units in Europe. Further, the German vehicle tire market held the largest market share, and the UK auto tire market was the fastest growing market in the European region
The Asia-Pacific Auto Tire Market is expected to grow at the fastest CAGR from 2024 to 2032. This is because of rising domestic consumption and shifting norms, and cheap labour. Moreover, China’s automobile tire market held the largest market share, and the Indian automobile tire market was the fastest-growing market in the Asia-Pacific region.
Leading market players are investing heavily in R&D to expand their product lines, which will help the auto tire market, grow even more. Market participants are also undertaking a variety of strategic activities to expand their global footprint, with important market developments including new product launches, contractual agreements, mergers and acquisitions, higher investments, and collaboration with other organizations. To expand and survive in a more competitive and rising market climate, automobile tire industry must offer cost-effective items.
Manufacturing locally to minimize operational costs is one of the key business tactics used by manufacturers in the global car tire industry to benefit clients and increase the market sector. In recent years, the car tire industry has offered some of the most significant advantages to medicine. Major players in the auto tire market, including Kurho Tire (South Korea) , Giti Tire (Singapore), Maxxis International (Taiwan) . Nexen Tire Corporation (South Korea) and others, are attempting to increase market demand by investing in R&D operations.
Michelin is a French multinational tyre manufacturer headquartered in Clermont-Ferrand, France, in the Auvergne-Rhône-Alpes region. It is the world's second largest tyre manufacturer, trailing only Bridgestone, and larger than both Goodyear and Continental. It also owns the Kléber tyre company, Uniroyal-Goodrich Tire Company, SASCAR, Bookatable, and Camso trademarks in addition to Michelin. Michelin is also recognized for its Red and Green travel guides, roadmaps, the Michelin stars awarded to restaurants by the Red Guide for their culinary, and its company mascot Bibendum, informally known as the Michelin Man, who is a humanoid made of tyres. In June 2021, Michelin has introduced the MICHELIN Primacy 4ST tires in India. The tyre has excellent wet grip because to its revolutionary tread pattern, which incorporates 1.5X more grooves to eliminate more water. The next version of Silent Rib Technology has interlocking bands between tread blocks, giving in a smoother ride and enhanced comfort. Additionally, the new technique reduces the sound of air pumping during tire rolling.
Apollo Tyres Limited is a multinational Indian tyre manufacturer headquartered in Gurugram, Haryana. It was founded in 1972, and its first plant opened in Perambra, Chalakudy, Kerala (India). The organization today has five manufacturing facilities in India, one in the Netherlands, and one in Hungary. It has almost 5,000 dealerships in India, with over 2,500 of them being exclusive stores. The company earns 69% of its revenue in India, 26% in Europe, and 5% in other countries. In April 2021, Apollo Tires has announced the introduction of a new tire line in India under the Dutch brand Vredestein. Designed for high-performance motorbikes and luxury cars. With the introduction of these new tires, the company intends to dominate the premium car tire industry.
August 9, 2023: Continental reported robust earnings in the Tires group sector and a high order intake of around €8.6 billion in the Automotive sector at the end of the second quarter of 2023. While the Automotive group's earnings fell short of projections mostly because of currency effects and ongoing extra freight expenses, the ContiTech group sector produced strong results. In addition, the second quarter's inflation-related price talks are still going on. Continental has modified its forecast for sales in the Tires group sector and for consolidated sales due to changed market expectations in the tire replacement industry. The adjusted EBIT margin expectation is still unchanged. As a result, the technology company anticipates higher consolidated earnings in the year's second half.
| Report Attribute/Metric | Details |
| Market Size2023 | USD 134.9 Billion |
| Market Size 2024 | USD 151.08 Billion |
| Market Size2032 | USD 334.1 Billion |
| Compound Annual Growth Rate (CAGR) | 10.42% (2024-2032) |
| Base Year | 2023 |
| Market Forecast Period | 2024-2032 |
| Historical Data | 2018- 2022 |
| Market Forecast Units | Value (USD Billion) |
| Report Coverage | Revenue Forecast, Market Competitive Landscape, Growth Factors, and Trends |
| Segments Covered | Rim Size, Season, Propulsion Type, Vehicle Type, Distribution Channel, and Region |
| Geographies Covered | North America, Europe, AsiaPacific, and the Rest of the World |
| Countries Covered | The US, Canada, German, France, UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil |
| Key Companies Profiled | Michelin (France), Bridgestone (Japan), Continental AG (Germany), Hankook Tire (South Korea) , Pirelli & C S.p.A. (Italy), Toyo Tire Corporation (Japan), Kurho Tire (South Korea) , Giti Tire (Singapore), Maxxis International (Taiwan) . Nexen Tire Corporation (South Korea). |
| Key Market Opportunities | Governments are continually updating standards. Regulations concerning passenger safety. |
| Key Market Dynamics | Increased vehicle production drives sales. |
Automotive Tire Market Highlights:
Frequently Asked Questions (FAQ) :
The Automotive Tire Market size was valued at USD 120.5 Billion in 2022.
The global market is projected to grow at a CAGR of 10.42% during the forecast period, 2024-2032.
North America had the largest share of the global market
The key players in the market are Kurho Tire (South Korea) , Giti Tire (Singapore), Maxxis International (Taiwan) . Nexen Tire Corporation (South Korea).
The passenger cars category dominated the market in 2022.
The aftermarket category had the largest share of the global market.
Leading companies partner with us for data-driven Insights.
Kindly complete the form below to receive a free sample of this Report
Senior Research Analyst She has over 5 years of rich experience, in market research and consulting providing valuable market insights to client. hands on expertise in management consulting, and extensive knowledge in domain including ict, automotive & transportation and aerospace & defense. she is skilled in go-to market strategy, industry analysis, market sizing, in depth company profiling, competitive intelligence & benchmarking and value chain amongst others.
Get in Touch
© 2024 Market Research Future ® (Part of WantStats Reasearch And Media Pvt. Ltd.)
