The global automotive tire sector has experienced a significant surge in recent years and is projected to reach an impressive $218.8 billion by 2030, demonstrating a steady compound annual growth rate (CAGR) of 3.8%. This information is based on the recent report “Automotive Tire Market by Rim Size, Season Type, Vehicle Type, Load Index, and Distribution Channel: Global Opportunity Analysis and Industry Forecast, 2021 to 2030” by Allied Market Research.
Various industry players such as Apollo Tyres Ltd, Bridgestone Corporation, Michelin, and The Goodyear Tire & Rubber Company are playing a significant role in driving the market’s growth. These players are continuously innovating and enhancing their product offerings to cater to the increasing demand for automotive tires worldwide.
The expansion of the automotive tire market can be attributed to the increased vehicle production in developing countries, leading to intensified competition among tire companies. Despite this positive trend, the market’s growth has been somewhat hindered by the growing demand for tire retreading and fluctuating raw material prices. However, the rise in electric vehicle usage and technological advancements have created new opportunities for key players in the industry.
When it comes to market segmentation, the report highlights the passenger vehicle segment as holding the largest market share in 2020 and projected to maintain its leading position during the forecast period. This is mainly due to the increased adoption of passenger vehicles in developing countries such as India and Brazil. Additionally, the electric vehicle segment is expected to exhibit the highest CAGR of 8.8% from 2021 to 2030.
In terms of distribution channels, the aftermarket segment accounted for the largest market share in 2020 and is expected to continue its dominance throughout the forecast period. This is driven by the regular need for tire replacement, leading to increased demand for automotive tires in the aftermarket segment.
Regionally, the Asia-Pacific region, followed by Europe and North America, held the highest market share in 2020 and is anticipated to experience the fastest CAGR of 4.5% during the forecast period. This is primarily due to the large fleet size for both passenger and commercial vehicles in the region.
The report also highlights the negative impact of the COVID-19 pandemic on the market’s growth, resulting in a temporary halt in tire manufacturing facilities, supply chain disruptions, raw material unavailability, and a decrease in automotive sales in the initial period.
To truly understand the trajectory of the automotive tire market, it is essential to stay informed through reports such as “Opportunity Analysis and Industry Forecast, 2020–2030” and other similar insightful updates.
In conclusion, the global automotive tire market is poised for significant growth, driven by factors such as the increasing demand for vehicles in developing economies and the rising adoption of electric vehicles. With the market set for expansion, industry players are intensifying their efforts to capitalize on the growing opportunities within the automotive tire sector.