(MENAFN- GlobeNewsWire - Nasdaq) The Saudi Arabia Smart Tire Market is poised for growth driven by the increasing adoption of electric and connected vehicles, government initiatives under Vision 2030, and smart city projects like NEOM. Demand is fueled by the integration of IoT in tire monitoring, enhanced safety features, and the need for predictive maintenance in fleets.Dublin, Oct. 17, 2025 (GLOBE NEWSWIRE) -- The "Saudi Arabia Smart Tire Market, By Region, Competition, Forecast and Opportunities, 2020-2030F" report has been added to ResearchAndMarkets's offering.
The Saudi Arabia Smart Tire Market was valued at USD 6.06 Billion in 2024, and is expected to reach USD 8.51 Billion by 2030, rising at a CAGR of 5.80%. The Saudi Arabia smart tire market is experiencing robust growth, driven by a combination of technological advancements, regulatory initiatives, and a growing emphasis on road safety and fleet efficiency.
![]()
Increasing adoption of electric and connected vehicles across the Kingdom is fueling the demand for smart tires, which offer real-time monitoring, predictive maintenance, and enhanced performance. Government-led initiatives under Saudi Vision 2030 to modernize the transportation sector, coupled with stringent safety regulations and inspection mandates, are prompting OEMs and fleet operators to adopt smart tire technologies more widely. Moreover, the rise of fleet management solutions, especially in logistics and ride-sharing services, has intensified the need for intelligent tires that help reduce operational costs, improve fuel efficiency, and extend tire life through predictive analytics.
A significant trend is the integration of IoT and cloud-based platforms with smart tire systems, enabling continuous data tracking and enhancing vehicle connectivity. The growing penetration of TPMS (Tire Pressure Monitoring Systems) in both luxury and mid-range vehicles is another key growth catalyst, especially as consumers become more aware of the importance of tire health for overall vehicle performance. Global players such as Continental, Michelin, and Bridgestone are increasing their regional presence through partnerships and distribution networks, making smart tires more accessible in the Saudi market. The replacement segment is seeing steady traction due to rising consumer preference for technologically advanced aftermarket products.
Furthermore, the harsh climatic conditions and challenging terrains of Saudi Arabia are pushing demand for durable, sensor-integrated tire solutions that can offer enhanced safety and performance under extreme conditions. Local automotive service providers and tech startups are also collaborating with global manufacturers to offer value-added smart tire solutions tailored to regional needs.
As the Kingdom's urban mobility sector expands - fueled by megaprojects like NEOM and a growing push toward smart cities - the role of intelligent tire technologies is expected to become even more prominent. With increasing digitization, the integration of AI and machine learning in tire monitoring is expected to further optimize vehicle dynamics and driver safety. The convergence of these macroeconomic, technological, and regulatory factors is expected to sustain strong growth momentum for the Saudi Arabia smart tire market in the coming years.
Government Initiatives under Vision 2030 and Transport Modernization
One of the most powerful drivers of the Saudi Arabia smart tire market is the Kingdom's progressive national development strategy, Vision 2030, which includes aggressive investment in transport infrastructure and automotive innovation. The government's emphasis on modernizing the mobility sector is leading to rapid adoption of intelligent technologies such as smart tires, which align with goals for improved safety, efficiency, and sustainability.
The Public Transport Authority (PTA) and Saudi Standards, Metrology, and Quality Organization (SASO) are enforcing more stringent vehicle safety and inspection protocols, pushing for broader integration of tire pressure monitoring systems (TPMS) and smart sensors in both commercial and passenger vehicles. Additionally, initiatives to reduce road accidents - a significant national concern - are encouraging the use of advanced driver assistance systems (ADAS) and smart tire technologies that proactively warn users about pressure loss, tread wear, and temperature anomalies.
The government's investments in large-scale smart city projects like NEOM, Red Sea Global, and Qiddiya are expected to integrate smart transportation grids with connected vehicle ecosystems, including the widespread use of real-time tire performance monitoring. These urban infrastructure advancements are not only setting the stage for widespread adoption of intelligent mobility solutions but are also creating regulatory environments that support long-term growth in the smart tire segment. Furthermore, government-backed incentives and partnerships with global automotive OEMs are facilitating the localization of smart mobility technologies, thus accelerating the deployment of smart tires across different vehicle categories in the Kingdom.
High Cost of Smart Tire Technology and Limited Affordability in Mass Market Segments
One of the most significant challenges constraining the widespread adoption of smart tire technologies in Saudi Arabia is the high cost of smart tires and sensor systems, especially in comparison to conventional tires. Smart tires embedded with TPMS, RFID chips, accelerometers, and other advanced sensors are priced at a premium, making them less attractive to budget-conscious consumers and small fleet operators. The upfront cost for intelligent tires, combined with the need for compatible vehicle infrastructure or digital platforms to interpret the data, creates a financial barrier for large-scale adoption - particularly in the replacement market where cost is often a key purchasing factor.
While luxury car OEMs are increasingly offering smart tires as standard equipment, the broader mid-range and economy segments, which constitute a significant portion of the market, still view the technology as optional or non-essential. Additionally, fleet operators managing older vehicles or operating in rural or less developed areas often lack the capital to invest in smart tire upgrades or associated telematics systems. As a result, despite the long-term cost savings offered through fuel efficiency and reduced maintenance, the high initial investment continues to limit the penetration of smart tires in Saudi Arabia's mass market, especially outside major urban hubs like Riyadh, Jeddah, and Dammam.
Integration of Smart Tires with Telematics and Fleet Management Platforms
A major emerging trend in the Saudi Arabia smart tire market is the integration of smart tire systems with advanced telematics and fleet management platforms, especially within the commercial vehicle and logistics sector. As Saudi Arabia's logistics and delivery ecosystem evolves, fleet operators are increasingly adopting integrated digital platforms to manage operations more efficiently. Smart tires equipped with real-time pressure, temperature, and wear sensors are now being connected to centralized telematics dashboards, allowing fleet managers to continuously monitor tire performance across dozens or even hundreds of vehicles.
This trend is helping companies shift from reactive to predictive maintenance, where tire-related issues are identified and addressed proactively before they result in costly downtime or accidents. Additionally, integration with GPS tracking systems and cloud-based analytics enables dynamic routing based on vehicle condition, road risk, and load management - improving both safety and productivity.
As Saudi Arabia invests in modern transport corridors such as the NEOM logistics network, the demand for digitally optimized fleets is growing rapidly. International and domestic fleet operators are aligning with this trend by partnering with smart tire manufacturers to deploy sensor-based monitoring in line with Vision 2030's goals of sustainability and smart infrastructure. Furthermore, the rise of mobile apps and IoT dashboards customized for the Saudi market is helping facilitate real-time alerts and tire data visualization for fleet managers and drivers alike, pushing smart tire solutions further into the mainstream.
Key Attributes:
CONTACT:
CONTACT:
Laura Wood,Senior Press Manager...
For E.S.T Office Hours Call 1-917-300-0470
For U.S./ CAN Toll Free Call 1-800-526-8630
For GMT Office Hours Call +353-1-416-8900
Comments
No comment