Global Market Size, Forecast, and Trends Highlights Over 2025 – 2037
Tire Material Market size was over USD 100.1 billion in 2024 and is poised to exceed USD 191.1 billion by 2037, growing at over 5.1% CAGR during the forecast period i.e., between 2025-2037. In the year 2025, the industry size of tire material is estimated at USD 104.18 billion.
The rising production of tires and the growing demand for tire replacements from developing countries is projected to propel the market demand. According to statistics, the global tire industry produced around 2.35 billion tires in 2021.
In recent years, the demand for automobiles has increased owing to the growing middle-class population and income. Increased vehicle production, increased demand for commercial vehicles, increased use of advanced materials, and technological advances all are projected to contribute to market growth. The global automotive industry is growing with increasing vehicle production in emerging markets and with this the market is also expected to rise.
Tire Material Market: Growth Drivers and Challenges
Growth Drivers
- Growing Demand for Fuel-Efficient Tires - As concerns about environmental sustainability grow, so does the demand for fuel-efficient tires that reduce CO2 emissions. Fuel-efficient tires also have environmental benefits such as reducing CO2 emissions and air pollution. Fuel-efficient tires can reduce CO2 emissions by up to 4% compared to standard tires, according to the US Environmental Protection Agency.
- Increasing Improvements in Rubber Chemistry and Tire Design - Rubber chemistry has improved significantly in recent years with the development of new compounds and additives that improve tire performance. There have been major advances in tire design, including the use of new materials such as high-performance polymers, and the introduction of new manufacturing processes such as 3D printing. These innovations have made the tire more durable, with lower rolling resistance, and better performing in both wet and dry conditions.
- Investment by Government in Technological Advancement – Government authorities from all across the world are offering investment for enhanced and better technological advancement in tire manufacturing with automotive engineering.
Challenges
- Tires Effects on Environment - The large amount of solid waste generated from tires is a major concern. Old tires contain heavy metals and chemicals that leach out when these tires break down into the atmosphere. The mutagenic and carcinogenic properties of some of these chemicals have been recognized. Another risk of leaching is soil contamination. As the ground around these old tires can quickly become contaminated with the polluting chemicals they release. These environmental issues are expected to hamper the tire material market expansion in the upcoming times.
- Changing Consumer Preferences
- Scaling of Production Costs by Automobile Manufacturers
Tire Material Market: Key Insights
|
Base Year |
2024 |
|
Forecast Year |
2025-2037 |
|
CAGR |
5.1% |
|
Base Year Market Size (2024) |
USD 100.1 billion |
|
Forecast Year Market Size (2037) |
USD 191.1 billion |
|
Regional Scope |
|
Tire Material Segmentation
End User (Passenger Cars, Trucks, Buses, LCV)
The passenger car segment in the tire material market is set to account for the largest revenue share of 35% by the end of 2037. Passenger vehicles require a variety of tire materials to handle different driving conditions such as wet, dry, and snow, and to provide excellent fuel economy, handling, and durability. Moreover, a noteworthy surge in the sales of private cars worldwide along with wider demand for sustainable, environment-friendly tire substances and high production of tires are significant factors supporting the market expansion of this segment. In 2021, India produced 39 million units of tires for passenger vehicles.
Type (Elastomers, Reinforcing Fillers, Plasticizers, Chemicals, Metal Reinforcements, Textile Reinforcements)
Tire tire material market is anticipated to account for the largest revenue share by the end of 2037 in terms of type segmentation. The growth of this segment can be attributed owing to the demand from the automotive industry is constantly increasing. Polyurethane elastomers are natural and synthetic rubbers used in the manufacture of tires. Butadiene is used in the production of rubber due to its low rolling resistance and high abrasion resistance.
Our in-depth analysis of the global tire material market includes the following segments:
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Type |
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End User |
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Customize this ReportTire Material Industry- Regional Synopsis
APAC Market Analysis
Asia Pacific industry is anticipated to dominate majority revenue share of 35% by 2037. Additionally, India is one of the largest tire producers in the region, with numerous domestic and international players such as MRF, JK Tires, CEAT, Michelin, Pirelli, and Apollo Tires. Moreover, the companies in the region are moving towards eco-friendly and sustainable products which are set to boost the market further. For instance, Bridgestone a Japanese tire manufacturer introduced its latest eco-friendly range of tires under the brand name Ecopia – EP850 for SUVs and EP150 for passenger vehicles.
North American Market Statistics
The tire material market in the North America region is anticipated to account for a significant revenue share of 28% by the end of 2037. The North America tire materials market is a significant market driven by stringent environmental regulations. The market is primarily determined by a large number of tire manufacturers and suppliers in the region. North America tire manufacturers use a variety of tire materials including natural rubber, synthetic rubber, steel, textiles, and chemicals.
Companies Dominating the Tire Material Market
- Cabot Corporation
- Company Overview
- Business Strategy
- Key Product Offerings
- Financial Performance
- Key Performance Indicators
- Risk Analysis
- Recent Development
- Regional Presence
- SWOT Analysis
- Lanxess AG
- JSR Corporation
- N.V. Bekaert S.A.
- Chevron Corporation
- Nynas AB
- PetroChina Company Limited
- Koninklijke Philips N.V.
- Goodyear Tire & Rubber Company
- Birla Tyres, Carlisle Companies Inc.
In the News
- Cabot Corporation announced that it will raise the prices for all carbon black products that are used in industrial rubber products and tire-based applications in the Europe, Middle East, and Africa region, effective from July 2021.
- The Goodyear Tire & Rubber Company, an American multination tire manufacturing business declared that it is going under a partnership agreement with next generation chemical and energy company named Monolith in order to develop carbon black from methane for tires.
Author Credits: Rajrani Baghel
- Report ID: 3537
- Published Date: Nov 15, 2024
- Report Format: PDF, PPT
