Global Tire Market Size Bwc20179

Global Tire Market Size Bwc20179

Global Tire Market Size By Type (Radial and Bias), Application (Passenger Cars, Light Commercial Vehicles, Heavy Commercial Vehicles, and Two Wheelers), By Demand Category (OEM vs. Replacement), By Region (North America, Europe, Asia Pacific, South America, and the Middle East & Africa), (Trend Analysis, Market Competition Scenario & Outlook, 2016-2027.

  • Published Date: October 2020
  • Report ID: BWC20179
  • Available Format: PDF
  • Page: 178

Report Overview

Global Tire Market Size - Industry Trends & Outlook Report 2027

Global Tire Market is estimated to be USD 298.30 Billion by 2027 from USD 222.16 Billion in 2020, at a CAGR of 4.30% from 2020 to 2027. The global tire market is being determined by the growing production and request for vehicles due to the rising population and increasing one-use incomes. The increasing demand for lightweight vehicles is coming from developing economies like China, India, and East Europe, with South America continuing its rescue after the industry's losses in 2016. China is a top car market and is one of the leading markets for passenger vehicles in the country. The country's robust car industry is helping its tire market, making China the largest tire market in the world in 2017. It accounted for nearly half the industry. India, another primary tire market, is also seeing a rising demand for automobiles and is expected to be the third-largest automobiles market by 2021. The Indian tire industry is predictable to see a 7-9% growth in requests in the prediction period. It sees a rising demand not just from the domestic market but also from the growing overseas market. Thus, the surge in exports is also motivating the Indian tire market.

 Global Tire Market: Market Outlook and Trends

The tire is the round vehicle constituent made of rubber used to shield the wheel's rim outwardly. The tire's main function is to defend the wheel rim and offer tractive force amid the road surface and the vehicle. Since it is manufactured from rubber, it also delivers a flexible cushion, thereby falling the influence of the vibrations and absorbing the vehicle's shock. Rubber tire consists of tread, jointless cap piles, beads, and other materials, including synthetic rubber, carbon black, and fabric. There is a growth in the demand for tires exponentially due to the rise in vehicle manufacturers' request to provide to the surge in the obligation of vehicles across all segments. Thus, the tired request is ultimately ruled by automobile production. The global tire market is driven by an increase in automotive production & sales across diverse vehicles segment and a rise in rivalry among tire manufacturers. Besides, the outline of progressive technology in the manufacturing process is expected to push the automotive tire market's development. However, factors such as unstable prices of raw materials and growths in the market of retreading tires are predictable to obstruct the market's development. Further, advancement in technology and fuel efficiency and safety worries joined with the government support is predictable to create many chances for the development and extension of the market.

Source : Blueweave Consulting

Global Tire Market 

Growth Drivers

Increase in Automotive Production & Sales 

Recently, the automobile industry has been undergoing rapid evolution owing to speedy progress, which has led to a growth in the sale of profitable vehicles such as trucks, tractors, and trailers. Besides, the rise in one-use income of people and developments in the standard of living are the factors that surge the sale of luxurious passenger cars and premium segment bikes. Furthermore, electric vehicle sales are predicted to rise throughout the forecast period. Also, a decrease in electric vehicle parts such as a battery, transmission, and alternators propel the sale of electric vehicles. Thus, a surge in demand for vehicles across all segments among consumers leads to a rise in automobiles and tires associated with it. Moreover, the global alliance of the automotive sector that results in mergers and acquisitions among international and domestic vehicle manufacturers boosts the development of the automotive industry, inducing the automotive tire market. Therefore, the development of the automobile sector is expected to rise the overall demand for tires.   


Unstable Prices of Raw Materials

Raw materials to manufacture tires include petroleum strengthening materials such as nylon and polyester. Also, rubber (natural and synthetic) is the essential element mandatory to manufacture tires, which witnesses high-cost differences. The materials used to produce rubber tires are tread, textile cord ply, jointless cap plies, steel-cord for belt plies, Bead reinforcement, apex, and core. Also, it contains steel wire, synthetic rubber, natural rubber, and carbon black along with the petrochemical strengthening materials such as polyester, fabric, nylon, steel, and rayon. The valuing of these raw materials plays a vital role in determining the complete price of the tire. These metals' prices vary irregularly due to global economic ups and downs in the market, as these are operated on a community exchange basis. Inflation and surge in demand for these raw materials fuel their prices in the fresh past. Besides, players who serve in the automotive tire market require many raw materials to overcome the demand for the tire from the automotive industry. Ambiguity in the pricing of these raw materials proves to be a significant limitation for the development of the rubber tire market globally.

Impact of COVID-19 in industry

The automotive & transportation industry is among the barest verticals to the continuing COVID-19 eruption and is currently amidst unparalleled uncertainty. COVID-19 is predictable to significantly impact the supply chain and product requests in the automotive sector. The industry's worry has moved on from being placed on supply chain disturbance from China to the overall slump in the request for automotive products. The demand for commercial vehicles is predictable to plummet with the shutdown of all non-essential services. Furthermore, changes in consumer buying conduct due to doubt nearby the pandemic may have severe consequences for the industries near upcoming growth. Meanwhile, liquidity shortfall and cash crunch have already impacted fleet operators' sales, which is further expected to widen over the next few months. We are unceasingly monitoring the COVID-19 pandemic and measuring its impact on the automotive & transportation industry's development.

Global Tire Market: Segmentation

Radial tire began as a dominant section in 2015 and accounted for over 75% of the same year's complete revenue. The radial tire controls the market due to several benefits such as lower fuel ingesting, less ground compaction and harm, greater output, decrease in replacement, and reduced machine upkeep costs.

The passenger Cars (PC) segment dominated the industry with over 40% revenue share in 2015. Requests for passenger cars are mainly particular to economic circumstances dictated by variation in exchange rates, GDP development, inflation levels, and government policy changes. Besides, volatile fuel prices and the transportation infrastructure also tend to influence demand for passenger cars. The universal need for PC is predictable to increase traction over the future, driven by the refining economic outlook in the U.S. and emerging markets such as China and India.

Global Tire Market: Regional Insights

Asia-Pacific is the leading player and holding more than half of the market share. China is the central hub for business through industries and one of the firmest rising economies in the world. The request for materials like coal, iron ore, gold, and copper are growing. As a result, the demand for mining truck tires has gone up as well. Besides, investments in the mining sector are predictable to help as a good opportunity for heavy-duty tire manufacturers. The country started feeling recovery in mining production, with the help of advanced technologies, in 2016. The surge in the mining production is likely to push demand for new building machinery in fields by replacing old machinery, which is additionally powering the mining tires' demand.

Competitive landscape

The leading players in the Tire Market include Bridgestone Corporation (Japan), Goodyear Tire & Rubber Company (United States), Continental AG (Germany), Michelin (France), and Sumitomo Rubber Industries (Japan) and other prominent players.

Recent Development

  • Tokyo (September 25, 2020): Bridgestone Corporation announced that it plans to discontinue supply of kart tires* effective December 31, 2022.

  • Hanover, October 21, 2020: JoinPlas, the joint venture between technology company Continental and system supplier aft automotive, impressed the 18th Materialica Design + Technology Award judges with a synthetic modular coupling system for thermal management in vehicles.


Scope of the Report


Attribute Details
Years Considered Historical data – 2016-2018
Base Year – 2019
Forecast – 2020 – 2027
Facts Covered Revenue in USD Billion
Market Coverage U.S, Canada, Germany, UK, France, Italy, Spain, Brazil, Mexico, Japan, South Korea, China, India, UAE, South Africa, Saudi Arabia .
Product/Service Segmentation By Type, By Application, By Demand Category, By Region
Key Players The leading players considered for market analysis are Bridgestone Corporation (Japan), Goodyear Tire & Rubber Company (United States), Continental AG (Germany), Michelin (France) and Sumitomo Rubber Industries (Japan) and many others.


 By Type

ü Radial

ü Bias

By Application

ü Passenger Cars

ü Light Commercial Vehicles

ü Heavy Commercial Vehicles

ü Two Wheelers

By Demand Category


ü Replacement

By Region

ü North America

ü Europe

ü Asia Pacific

ü South America

ü Middle East & Africa




1.    Research Framework

1.1. Research Objective

1.2. Product Overview

1.3. Market Segmentation

2.    Research Methodology

2.1. Qualitative Research

2.1.1.     Primary & Secondary Sources

2.2. Quantitative Research

2.2.1.     Primary & Secondary Sources

2.3. Breakdown of Primary Research Respondents, By Region

2.3.1.     Secondary Research

2.3.2.     Primary Research

2.4. Breakdown of Primary Research Respondents

2.5. Market Size Estimation

2.6. Assumption For The Study

2.7. Market Breakdown & Data Triangulation

3.    Executive Summary

4.    Global Tire Market Insights

4.1. Industry Value Chain Analysis

4.2. DROC Analysis

4.2.1.     Growth Drivers

4.2.2.     Restraints

4.2.3.     Opportunities

4.2.4.     Challenges

4.3. Technological Landscape

4.4. Regulatory Framework

4.5. Company Market Share Analysis,2019

4.6. Porter’s Five forces analysis

4.6.1.     Bargaining Power of Suppliers

4.6.2.     Bargaining Power of Buyers

4.6.3.     Threat of New Entrants

4.6.4.     Threat of Substitutes

4.6.5.     Intensity of Rivalry

4.7. Strategic Outlook

5.    Global Tire Market Overview

5.1. Market Estimates & Forecast By Value, 2016-2026

5.1.1.     By Value (USD)

5.2. Market Share & Forecast


       5.2.1. By Type





                     5.2.2. By Application Passenger Cars Light Commercial Vehicles Heavy Commercial Vehicles Two Wheelers


                     5.2.3. By Demand Category





                     5.2.4. By Region


                        North America


                        Asia Pacific

                        South America

                        Middle East & Africa


6.    North America Tire Market

6.1. Market Estimates & Forecast By Value, 2016-2026

6.1.1.     By Value (USD)

6.2. Market Share & Forecast

6.2.1.     By Type

6.2.2.     By Application

6.2.3.     By Demand Category

6.2.4.     By Country         U.S         Canada

7.    Europe Tire Market

7.1. Market Estimates & Forecast By Value, 2016-2026

7.1.1.     By Value (USD)

7.2. Market Share & Forecast

7.2.1.     By Type

7.2.2.     By Application

7.2.3.     By Demand Category

7.2.4.     By Country         Germany         U.K         France         Italy         Rest of Europe

8.    Asia Pacific Tire Market

8.1. Market Estimates & Forecast By Value, 2016-2026

8.1.1.      By Value (USD)

8.2. Market Share & Forecast

8.2.1.     By Type

8.2.2.     By Application

8.2.3.     By Demand Category

8.2.4.     By Country         China         India         Japan         South Korea         Rest of APAC

9.    South America Tire Market

9.1. Market Estimates & Forecast By Value, 2016-2026

9.1.1.     By Value (USD)

9.2. Market Share & Forecast

9.2.1.     By Type

9.2.2.     By Application

9.2.3.     By Demand Category

9.2.4.     By Country         Brazil         Mexico         Argentina         Rest of Latin America

10. Middle East & Africa Tire Market

10.1.   Market Estimates & Forecast By Value, 2016-2026

10.1.1.   By Value (USD)

10.2.   Market Share & Forecast

10.2.1.   By Type

10.2.2.   By Application

10.2.3.   By Demand Category

10.2.4.   By Country      Saudi Arabia      UAE      South Africa      Rest of MEA


11. Company Profile (Company Overview, Financial Matrix, Product landscape, Key Personnel, Key Competitors, Contact Address, and Strategic Outlook)*

·         Bridgestone Corporation (Japan)

·         Goodyear Tire & Rubber Company (United States)

·         Continental AG (Germany)

·         Michelin (France)

·         Sumitomo Rubber Industries (Japan)

·         Other prominent players.



12. Strategic Recommendation

*Financial Details Not Be Captured in Case of Unlisted Companies

**The segmentation and the companies are subjected to modifications based on the in-depth secondary for the final deliverable

Market Segmentation

 By Type

ü Radial

ü Bias

By Application

ü Passenger Cars

ü Light Commercial Vehicles

ü Heavy Commercial Vehicles

ü Two Wheelers

By Demand Category


ü Replacement

By Region

ü North America

ü Europe

ü Asia Pacific

ü South America

ü Middle East & Africa

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