Automotive Tire Market Growth,Trends And Forecast To 2030

(MENAFN- Straits Research) A tire is a round rubber component used to cover the rim of a vehicle's wheel externally. The tire's primary purpose is to protect the wheel rim and provide traction between the road surface and the vehicle. Since it is made of rubber, it also provides a flexible cushion, lessening the vibrations' impact and absorbing the vehicle's shock. The components of rubber tires are tread, jointless cap heaps, beads, and other materials, such as synthetic rubber, carbon black, and fabric. The worldwide automotive tire market is propelled by the rise in automotive production and sales across various vehicle segments and the intensifying competition among tire producers. In addition, the incorporation of cutting-edge technologies into the manufacturing process is projected to accelerate the expansion of the automobile tire industry.
Market Dynamics
Increase in Automotive Production and Sales across Different Vehicles Segment to Drive the Global Automotive Tire Market
Due to growing industrialization, the automobile industry has recently experienced fast growth, which has led to a surge in sales of commercial vehicles such as trucks, tractors, and trailers. In addition, increases in people's standard of living and disposable income contribute to the rise in sales of luxury passenger cars and premium sector motorcycles. In addition, sales of electric vehicles are anticipated to expand during the projection period. Additionally, the falling prices of electric vehicle components such as batteries, transmissions, and alternators drive the market for these cars. Thus, increasing consumer demand for vehicles across all categories increases the production of autos and tires. In addition, the worldwide consolidation of the automotive sector, which results in mergers and acquisitions between foreign and domestic vehicle manufacturers, contributes to the expansion of the automotive industry, which impacts the automobile tires market. . Consequently, the growth of the vehicle industry is anticipated to raise the global demand for the tire.
Fuel Efficiency and Safety Concerns to Provide Opportunities for the Global Automotive Tire Market
Governments are enacting severe tire performance regulations to enhance safety concerns, including fuel efficiency and wet traction-related braking distance reduction. As a result, tire manufacturers will have numerous growth chances to introduce tires that comply with regulatory rules. As a result, as technical breakthroughs expand, manufacturers are developing tires that improve the overall fuel efficiency of automobiles. "Kumho Tire Co., Inc. introduced Ecsta PA31" pneumatic tires for high-performance automobiles such as sport sedans and coupes. In the past, driving ATVs and UTVs on roads was prohibited for safety reasons. However, new laws and ordinances are now being passed around the world to permit the operation of these vehicles on roads. For instance, the Sauk County Board in the United States has abolished the 2013 ATV and UTV vehicle ordinance and replaced it with a new one. Consequently, supportive government rules for such cars will likely stimulate future industry expansion.
Key Highlights

The global automotive tire market was valued at USD 122 billion in 2021 and is projected to reach USD 180 billion by 2030, registering a CAGR of 4.3% during the forecast period (2022 – 2030).
By season type, the global automotive tire market is divided into summer, winter, and all-season tires. The all-season segment was the highest contributor to the market and is estimated to grow at a CAGR of 4.2% during the forecast period.
By vehicle type, the global automotive tire market is divided into passenger, commercial, and electric vehicles. The commercial vehicles segment is further bifurcated into light & heavy commercial vehicles. The passenger car segment was the highest contributor to the market and is estimated to grow at a CAGR of 4.3% during the forecast period.
By rim size, the global automotive tire market is categorized into less than 15 inches, 15 to 20 inches, and more than 20 inches. The 15-20 inch segment was the highest contributor to the market and is estimated to grow at a CAGR of 4.1% during the forecast period.
By distribution channel, the global automotive tire market is bifurcated into OEM and aftermarket. The aftermarket segment was the highest contributor and is estimated to grow at a CAGR of 4.5% during the forecast period.

Regional Insights
By region, the global automotive tire market is analyzed across North America, Europe, Asia-Pacific, and LAMEA. Asia-Pacific was the highest revenue contributor and is estimated to grow at a CAGR of 4.5%. Due to the rising demand for automobiles in emerging Asian countries, the automobile industry is one of the fastest-growing. In the Asia–Pacific area, tire production is anticipated to expand quicker. The rise of the vehicle industry in this region is fueled by a significant increase in disposable income, which has improved living conditions. In addition, low labor costs and easy access to raw materials are anticipated to cut tire production costs in Asia-Pacific. This is prompting tire manufacturers to expand their market presence in this region. Increases in production capacity and demand for light and heavy cars in nations such as China, Japan, India, and South Korea bolster the demand for automobiles with modern features. This is anticipated to stimulate tire demand during the forecast period.

The North American region is the third largest. North America includes the United States, Canada, and Mexico. The North American car market is regarded to be mature. Manufacturers in North America are attempting to reduce labor costs by increasing capital expenditures or migrating to regions with easy access to raw resources. The expansion of the North American tire market is fueled by the initiatives of significant automakers to create sophisticated tires for passenger vehicles. In addition, an increase in emphasis on reducing carbon footprints and an increase in demand for fuel-efficient automobiles drive the expansion of the automotive tire industry.
Europe is the second largest market. The Europe automotive tire market is projected to reach USD 50 billion by 2030, growing at a CAGR of 4.3%. The European tire business is one of the world's most expansive and inventive sectors. Regular advancements in tire technology enhance the European tire market's competitiveness. The European automobile industry is vibrant and competitive. This is mainly owing to the presence of many automobile OEMs, as many of the world's largest automakers have manufacturing plants in Europe. The amount of light commercial vehicle penetration is increased in all regions. European automobile manufacturers are concentrating on technological advancements for more effective safety measures and improved driving quality. In addition, firms are implementing features that improve their vehicles' fuel economy, fueling the expansion of the European automotive tire market. The growth of the automotive tire market is driven by an increase in vehicle operating life and a rise in automobile sales across all categories.
Competitive Landscape
The key players profiled in the global automotive tire market are Bridgestone Corporation, Continental corporation, MICHELIN, Pirelli Tyre C. S.p.A. (China National Chemical Corporation), The Goodyear Tire & Rubber Company, Toyo Tire Corporation, Sumitomo Rubber Industries Ltd, The Yokohama Rubber Co., Ltd, Hankook Tire & Technology Co., Ltd. and Nokian Tyres plc.
Recent Developments by Key Players

September 2022 - Bridgestone Brazil announced a new investment in its Camacari, Bahia-based tire manufacturing facility. To meet the increasing market demand for high-performance tires, the business is investing more than R$ 270 million in the modernization and expansion of the production, bringing the total stated investments since 2021 for the Bahia plant to more than R$ 970 million.
August 2022 - Bridgestone and AWS Announce Strategic Relationship Focused on Platform Development and Launching New Customer Solutions.

Global Automotive Tire Market: Segmentation
By Season Tire Type

Summer
Winter
All-season

By Rim size

Less than 15 inch
15-20 inch
More than 20 inch

By Vehicle Type

Passenger Vehicle
Commercial Vehicle
Light commercial vehicle
Heavy Commercial Vehicle
Electric Vehicle

By Distribution Channel Type

OEM
Aftermarket

By Region

North America
Europe
Asia-Pacific
LAMEA

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