Automotive Tubeless Tire Market Trends
Growth Drivers
- Increased Safety and Reliability of Tubeless Tires– According to the data by the World Health Organization, between 20 and 50 million more people suffer non-fatal injuries in road accidents. Tires are the only contacts that are responsible for grip, balance, and traffic safety. The tubeless tires with liquid sealant across the ribs are useful to hold the desired air pressure levels. The improved technology has made the tires detect or monitor the interaction with the road and inform the driver about altering the road surface. The tubeless tires provide you time to handle the situation of puncture before an incident happens. The tubeless tire doesn’t get flat immediately after puncture as the other tires.
- Rise of Expenditure on Vehicle Maintenance – The expenditure on maintaining a vehicle raised to more than USD 2,000 in 2019 from 1000 in 1997 i.e., about 85% with a 3% growth per year.
- Growing Import and Export of Tires- Developing countries like China, Vietnam, Thailand and India are the top exporters of rubber tubes and tires. According to the International Trade Center, in 2021, the total export value of tires of rubber amounted to USD 2,652,628.
- Growing Demand for Electric Vehicles– Electric vehicles, including the newly introduced electric bikes, are trending in the market. The sales share of new electric cars grew from 1% in 2015 to 14% in 2020.
- Improved Fuel Efficiency provided by Tubeless Tires–Properly inflated tires help to conserve fuel, by lowering fuel consumption of the vehicle. It is estimated that use of tubeless tires will decrease fuel consumption by 0.2% for four tires for one pound of pressure decrease. Even milage can be increased by an average of 0.6% up to 3%.
Challenges
- High Prices of Raw Materials –The cost of natural rubber increased by 6% and synthetic rubber increased by more than 25% in 2021.
- Shortage of Labor in Developed Countries
- Stringent Regulations on Use of Rubber in Some Countries
Tubeless Tire Market: Key Insights
The chemical industry is a major component of the economy. According to the U.S. Bureau of Economic Analysis, in 2020, for the U.S., the value added by chemical products as a percentage of GDP was around 1.9%. Additionally, according to the World Bank, Chemical industry in the U.S. accounted for 16.43% to manufacturing value-added in 2018. With the growing demand from end-users, the market for chemical products is expected to grow in future. According to UNEP (United Nations Environment Programme), the sales of chemicals are projected to almost double from 2017 to 2030. In the current scenario, Asia Pacific is the largest chemical producing and consuming region. China has the world’s largest chemical industry, that accounted for annual sales of approximately more than USD 1.5 trillion, or about more than one-third of global sales, in recent years. Additionally, a vast consumer base and favourable government policies have boosted investment in China’s chemical industry. Easy availability of low-cost raw material & labour as well as government subsidies and relaxed environmental norms have served as a production base for key vendors globally. On the other hand, according to the FICCI (Federation of Indian Chambers of Commerce & Industry), the chemical industry in India was valued at 163 billion in 2019 and it contributed 3.4% to the global chemical industry. It ranks 6th in global chemical production. This statistic shows the lucrative opportunity for the investment in businesses in Asia Pacific countries in the upcoming years.
|
Base Year |
2024 |
|
Forecast Year |
2025-2037 |
|
CAGR |
6.3% |
|
Base Year Market Size (2024) |
USD 185.14 billion |
|
Forecast Year Market Size (2037) |
USD 409.67 billion |
|
Regional Scope |
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