Press Release

Electric Vehicle Tire Market Growth from USD 3.1 Billion in 2023 to USD 13.4 Billion by 2030 at 18.7% CAGR

The Global Electric Vehicle Tire Market size was valued at USD 3.1 Billion in 2023 and is projected to reach USD 13.4 Billion by 2030. Along with this, the market is estimated to grow at a CAGR of around 18.7% during the forecast period, i.e., 2024-30., cites MarkNtel Advisors in the recent research report. Conventional fuel-based motor vehicles are one of the main reasons for the higher greenhouse emissions, air pollution, and environmental degradation. As a result, there is a growing need for alternative fuel sources or sustainable transportation and the consumers are increasingly transitioning towards the EVs, consequently accentuating the market growth.

Further, with the ongoing evolution in the EV industry, top tire manufacturers are increasingly introducing smart & intelligent tires. These tires are equipped with sensors that provide real-time information about the tire pressure & air. These smart tires help the consumer make decisions that help in enhancing the overall efficiency of the EVs. This, in turn, would continue to gain the attention of consumers, supporting market growth. Additionally, the top companies across the globe have introduced new electric automotive models. These new automobiles have different features & tire sizes. Thus, there is an increased requirement for EV tires that suits these automotive models.

Moreover, there has been a surge in oil prices in some regions due to the geopolitical tensions between nations. This has led the consumers to shift towards EVs, uplifting their sales. Consequently, this surge in electric automotive sales is supporting the demand for their tires & enlarging the market size. Furthermore, heightened consumer awareness regarding the advantages of EV tires, such as reduced rolling resistance, enhanced durability, improved tread designs, and increased load capacity, plays a pivotal role in driving their global demand. Moreover, additional attributes of EV tires such as prolonged vehicle lifespan, extended range, minimal maintenance requirements, and heightened safety features would continue to significantly contribute to their burgeoning sales even during coming years, further states the research report, “Global Electric Vehicle Tire Market Analysis, 2024.”

Global Electric Vehicle Tire Market Segmentation Analysis

Passenger Car to Dominate in Upcoming Years  

Based on the type of vehicle, the market is segmented into passenger cars, two-wheelers & three-wheelers, commercial vehicles, and others. Among them all, the passenger car holds a substantial share due to favorable government policies and incentives for electric automobile adoption. Along with this, there is a rise in the net disposable income of consumers. Owing to this, individuals are purchasing their vehicles for the daily commute. Besides, customers are becoming more aware of the detrimental effects of fossil-fuel-based cars, therefore, they are increasingly purchasing battery-based vehicles, expanding the global fleet size of EVs and accentuating the requirement for their tires.

Further, the ride-hailing & logistics companies are also laying the corporate sustainability goals. Owing to this, they are adding the EVs to their existing fleet. These fleets of these companies cover a large distance on a day-to-day basis. Therefore, the electric cars of these enterprises undergo frequent tire replacements to maintain the operational efficiency of the vehicle, supporting market growth.

North America to Outperform During Forecast Period

Geographically, North America holds a considerable share due to the rapidly expanding use of EVs in the region. Along with this, the widespread presence of major automakers and tire manufacturers is creating chances to offer new variations of EV tires, which would drive the market across North America in the future years. Furthermore, strict laws enacted by governments in various nations such as the United States and Canada to reduce carbon emissions are contributing to the expanding EV fleet size and, as a result, favorably impacting the regional market. Furthermore, strategic mergers and alliances between tire producers and automakers create a pool of lucrative opportunities for regional market growth through 2030. On the other hand, Europe is predicted to display the quickest market growth during 2024-30, owing to rigorous government policies for managing the surging levels of carbon emissions, i.e., leading to growing adoption of EVs and flourishing sales of EV tires across the region.

Competitive Landscape

With strategic initiatives, such as mergers, collaborations, and acquisitions, the leading market players, Continental AG, Bridgestone Corporation, Yokohama Rubber Company Ltd., Hankook Tire & Technology Group, The Goodyear Tire & Rubber Company, Michelin Group, Kumho Tire Company Inc., Pirelli & C. S.p.A, Toyo Tire Corporation, GITI Tire and others are looking forward to strengthening their market position.

Key Questions Answered in the Research Report

1. What are the industry’s overall statistics or estimates (Overview, Size- By Value, Forecast Numbers, Segmentation, Shares)?
2. What are the trends influencing the current scenario of the market?
3. What key factors would propel and impede the industry across the globe?
4. How has the industry been evolving in terms of geography & solution adoption?
5. How has the competition been shaping across various regions?
6. How have the buying behavior, customer inclination, and expectations from product manufacturers been evolving during 2019-30?
7. Who are the key competitors, and what strategic partnerships or ventures are they coming up with to stay afloat during the projected time frame?