Report Overview

Growing popularity of China-made tires in the country, increasing production and sales of various types of vehicles, and rapid adoption of technology advancements could boost the growth of Botswana tire market during the forecast period between 2023 and 2029.

Botswana Tire Market - Industry Trends & Forecast Report, 2029

Botswana tire market size was estimated at USD 319.32 million in 2022. During the forecast period between 2023 and 2029, Botswana tire market size is projected to grow at a CAGR of 4.21% reaching a value of USD 422.62 million by 2029. The key drivers of the expansion of the Botswana tire market are rising sales of passenger, luxury, and electric cars (EVs) as a result of rapid urbanization and rising consumer purchasing power. Demand for premium-grade tires with a longer operational life, improved stability and reliability, and exceptional puncture resistance is growing as a result of greater attention on driver and passenger safety as well as an increase in fatal traffic accidents. Major players are introducing airless, light, and 3D-printed versions. Much effort is being placed into recovering and recycling old Tires to decrease their environmental impact and save a large portion of the energy needed to make new Tires. More transportation and logistical tasks are being accomplished to deliver shipments on time. In turn, this promotes market expansion. A rise in agriculture output is expected to offer the sector significant room for expansion.

Botswana Tire Market - Overview

A tire is a ring-shaped, circular auto part that holds a wheel rim and is inflated with compressed air. Wire, silica, carbon black, steel, natural or synthetic rubber, and other materials are used to make it. It shifts the weight of the vehicle from the axle to the ground and adds stability by reducing vibrations and improving shock absorption. It improves the vehicle's performance, mileage, passenger safety, and wear and tear. It is now frequently available in a variety of sizes and variants depending on the type of vehicle.

Growth Drivers

Increasing Focus on Safety and Fuel Economy

In response to rising safety concerns, numerous nations are establishing strict tire performance restrictions, including fuel savings and wet grip-related braking distance reduction. Manufacturers of tires have a great opportunity to create tires that adhere to specifications. As a result of more frequent technology advancements, producers are creating very efficient Tires that raise cars' total fuel efficiency. Tire manufacturers utilize self-inflating and low rolling resistance (LRR) technologies to increase safety and fuel efficiency. More people are using pneumatic tires as a strategy to increase fuel efficiency. Safety and fuel economy are the two main concerns for pneumatic tires, which are expected to be in high demand in the years to come. As a result of increased safety and fuel efficiency concerns, it is expected that the companies will have tremendous development potential.

Restraints

Volatile Raw Material Prices

Rising crude oil prices, fluctuating raw material costs, and higher input costs due to scarcity of natural rubber, among other factors, are putting pressure on the Botswana tire market. As many raw materials for tire are derived from crude oil, the price of crude oil affects the value of those raw materials. The primary raw materials used in tire production, primarily synthetic and natural rubber, also account for the majority of tire manufacturing costs. Botswana's crude oil prices have recently risen dramatically across the board. As a result, it is projected that in the upcoming years, the cost of synthetic rubber and other raw derivatives used in the manufacture of tires would rise.

Impact of COVID-19 on Botswana Tire Market

In 2020, the value of the passenger tire sector was significantly reduced as a result of the global coronavirus pandemic. Due to temporary shutdowns of production lines in several industries, including the automotive and car industries, as well as disruptions in the raw material supply chain, tire manufacturing was temporarily suspended, which restricted the growth of the passenger tire market. Due to the forced production halts at large businesses, such as Bridgestone and Goodyear, sales of passenger tires have decreased.

Botswana Tire Market

Segmental Coverage

Botswana Tire Market - By Vehicle Type

Botswana tire market is divided into Passenger Cars, Light Commercial Vehicles, Buses & Trucks, Medium & Heavy Commercial Vehicles, Off the Road (OTR), Two Wheelers, and Three Wheelers segments. A vehicle's ability to accomplish tasks such as supporting its weight, transferring accelerating and deceleration forces to the ground, changing and maintaining direction, and absorbing shock from the road's surface. During the anticipated era, passenger automobiles and light commercial vehicles will rule the market. One of the main factors boosting tire demand in Botswana is the market growth of passenger cars, particularly in emerging economies.

Botswana Tire Market - By Demand

Botswana tire market is divided into OEM and Replacement segments based on demand. The OEM segment holds a higher market share, and this trend is expected to continue during the forecast period. OEMs are actively investing in R&D to produce lightweight, environmentally friendly tires that meet regulatory standards. OEM tires are always of the highest quality and can be used for a variety of purposes. It performs admirably outside of the showroom due to its design objectives of being quiet, robust, and practical on the road. As a result, the OEM market segment is expected to dominate the industry in the coming years.

Botswana Tire Market - By Tire

Radial and Bias tires segments make up the majority of the Botswana tire market. The radial segment, which includes tubeless tires, made for a significant percentage of the Botswana tire market in terms of revenue. As tubeless tires have a modest rate of deflation and minimal rolling resistance, they are typically found on bikes. The need for tubeless tires is anticipated to increase throughout Botswana as tube tires use more gasoline than tubeless tires.

Botswana Tire Market – By Sales Channel

The Botswana tire market is segmented into Dealer/Exclusive Outlets, Online, and Others based on the sales channel. Of these, the online segment has the highest market share, due large e-commerce platforms, such as Amazon and eBay, are increasingly becoming major sales channels that help the Botswana tire market expand. To sell tires online, tire manufacturers are also creating web portals. All of these elements will contribute to the Botswana tire market's expansion.

Botswana Tire Market – By Rim Diameter

On basis of the sales channel, Botswana tire market is divided into Up to 12”, 12.1” to 15”, 15.1.” to 18”, 18.1” to 20”, and Above 20” segments.

Botswana Tire Market – By Price

On basis of the price, Botswana tire market is divided into Low (Up to USD 90), Medium (USD 91–140), and High (Above USD 140) segments.

Botswana Tire Market – By Season

On basis of the season, Botswana tire market is divided Summer, Winter, and All Seasons segments.

Competitive Landscape

Competition in Botswana tire market is intense. Major competitors in the market include Bridgestone Corp., Continental Tires, Dayton Tires, Firestone Tires, BF Goodrich Tires, Cooper Tires, Dunlop Tires, Goodyear, Hankook, and Kumho Tires. The key strategies used by these market leaders are new product launches, mergers & acquisitions, and alliances. To expand their market share, these companies are also focusing on investing in innovations, collaborations, and expansions.

Recent Developments

• In August 2022 - Bridgestone and AWS announce strategic relationship focused on platform development and launching new customer solutions.

Scope of the Report

By Vehicles

• Passenger Cars

• Light Commercial Vehicles

• Buses & Trucks

• Medium & Heavy Commercial Vehicles

• Off the Road (OTR)

• Two-Wheelers

• Three-Wheelers

By Demand

• OEM

• Replacement

By Tire

• Radial

• Bias

By Sales Channel

• Dealer/Exclusive Outlets

• Online

• Others

By Rim Diameter

• Up to 12”

• 12.1” to 15”

• 15.1.” to 18”

• 18.1” to 20”

• Above 20”

By Price

• Low (Up to USD 90)

• Medium (USD 91–140)

• High (Above USD 140)

By Season

• Summer

• Winter

• All Seasons