Transparency Market Research has published a new report on the global rubber tire market for the forecast period of 2019-2027 According to the report, the global rubber tire market is projected to be valued at US$ 195 Bn by 2027, expanding at a CAGR of ~5% during the forecast period.
Global Rubber Tire Market: Insights
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According to the report, the global rubber tire market is expected to expand owing to a rise in the sales of vehicles around the world.
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Economic expansion has propelled investments in infrastructure as well as spending on the agriculture sector. Rise in the sales of off-the-road vehicles, such as agriculture tractors, construction & mining vehicles, and industrial vehicles, is projected to boost the rubber tire market.
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The production of vehicles has been increasing, globally, for the last five years, due to a rise in the demand for passenger vehicles, worldwide. This, in turn, has been fueling the demand for rubber tires.
Expansion of Global Rubber Tire Market
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Rise in the disposable income of consumers has resulted in more highway travel, which has resulted in growth in total vehicle miles travelled (VMT). Total miles driven by vehicles in the U.S rose from 3.01 trillion miles in 2007 to 3.21 trillion miles in 2018. Increased number of miles driven has boosted the replacement demand for tires.
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Increasing individual affluence is prompting automakers to offer more number of vehicle models. Automakers are offering various facelifts and models to maintain a competitive edge. Vehicle models are also available with varied tire sizes, thus increasing the fitment per model. Rise in the customization of vehicles is boosting the sale of tires, and thereby, expanding the rubber tire market.
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Based on rim size, the global rubber tire market has been classified into <11″, 12″ – 17″, 18″ – 21″, 22″ – 25″, 29″ – 49″, and 51″ – 63″. In terms of revenue, the 18″ – 21″ segment held a dominant share of the global rubber tire market in 2018. Rise in the sales of SUVs and consumer demand for larger wheels has driven the increased demand for 18″ In 2018, SUV sales contributed to 36% of total global passenger vehicle sales.
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Based on tire type, the global rubber tire market has been divided into radial, bias, and solid. The radial segment held a prominent share of the global rubber market in 2018, due to their use in passenger vehicles, and the presence of a large number of passenger vehicles on the roads. The bias segment held a considerable share of the market due to the preference for bias tires in construction & mining vehicles and agriculture tractors, owing to their low price and thicker sidewalls.
