According to a recent research report published by MarkNtel Advisors, the Global Commercial Vehicle Tire Market is set to register around 5.29% CAGR during 2023-28. The mounting demand for commercial vehicles in mining, oil & gas, logistics, e-commerce, and public transportation sectors, the high degree of digitalization, and improving transportation networks are the prime aspects projected to drive the market in the forecast years, particularly across North America, Europe, & the Asia Pacific.
These regions are witnessing rapid industrialization & urbanization, which is why commercial vehicle tires are being produced & sold increasingly and, in turn, propelling the overall market expansion. In addition, growing production of pickup trucks & vans, light buses, and heavy trucks & buses, rapidly expanding public transit, and the increasing penetration of EVs (Electric Vehicles) in India, Brazil, & Japan are other prominent aspects anticipated to boost the commercial vehicle tire industry in the coming years.
Radial Tires and Cargo Transportation Hold the Largest Market Share
Radial tires offer multiple functional benefits like better traction, enhanced stability at high speed, better load handling, and superior heat dissipation over cross-ply/bias tires. Although their market share is highest in countries like the US, China, the UK, France, etc., they are witnessing increasing penetration in emerging countries.
On the other hand, the logistics sector, which heavily relies on commercial vehicles to transport goods in different geographies, is rapidly expanding worldwide. As a result, cargo transportation is the largest application of commercial vehicle tires. Moreover, the evolution of e-commerce platforms & exclusive online stores is another prominent reason behind the dramatic expansion of the logistics sector through the high acquisition of cargo fleets. Therefore, trends like mounting sales of radial tires and their surging use for cargo transportation are augmenting the growth of the commercial vehicle tire industry.
Due to Burgeoning Automotive Production, Asia-Pacific is the Largest Commercial Vehicle Tire Market
Asia-Pacific is witnessing rapid expansion of manufacturing facilities of BMW AG & Volkswagen Group, which owes to the easy availability of cheap labor, lenient emission & safety norms, low production costs, and favorable government initiatives for FDIs. In view of these aspects, the region has become an automotive hub in recent years. Coupled with this is a large influx of public investments in China, India, South Korea, & Japan to address the aging transportation infrastructure, population density, & traffic congestion, i.e., driving the Asia-Pacific Commercial Vehicle Tire Market.
The key companies in the Global Commercial Vehicle Tire Market include Bridgestone Corporation, Compagnie Générale des Établissements Michelin SCA, Continental AG, The Goodyear Tire & Rubber Company, The Yokohama Rubber Company Ltd., Pirelli & C. S.p.A, Hankook Tire & Technology, Kumho Tire, Sumitomo Rubber Industries, Ltd., Zhongce Rubber Group Co. Ltd., CEAT Limited, MRF Tyres, JK Tyre & Industries, and Apollo Tyres Limited.
Key Questions Answered in the Research Study: