Press Release

The GCC OTR Tire Market to Flourish at a CAGR of Around 4.2% During 2024-30

The GCC OTR Tire Market is anticipated to grow at a CAGR of about 4.2% during the forecast period of 2024–30, cites MarkNtel Advisors in the recent research report. The surge in market growth is attributed to the GCC governments' increasing focus on infrastructure development as a method of diversifying their economies away from oil and gas. The government is investing in construction projects in Saudi Arabia, the United Arab Emirates, Qatar, Oman, and other countries. The rising construction is increasing the demand for vehicles such as trucks, excavators, and bulldozers, which in turn raises the demand for OTR tires. Furthermore, governments are enacting favorable policies to stimulate international investments and driving manufacturers to build OTR tire production plants to cater to expanding end-user demand, hence fueling market growth & expansion in the region.

Furthermore, the strategic location of GCC nations along major shipping routes necessitates significant investment in port infrastructure to facilitate global trade. As a result, some GCC countries, like the UAE and Qatar, have invested in port expansion and modernization to handle larger boats and boost cargo handling capacity. This rising infrastructure in the region's commerce and logistics sector is driving up demand for OTR tires, which are used in port operations to handle containers, large freight, and logistics activities. Heavy machinery, such as forklifts and excavators, rely largely on OTR tires, hence augmenting the size & volume of the GCC OTR Tire Market.

Furthermore, the development of new mining projects in countries such as Kuwait and Saudi Arabia is increasing the demand for heavy mining vehicles. The growing need for minerals and metals is driving mining exploration activities in the GCC countries, resulting in increased demand for large off-road vehicles.

Heavy mining equipment relies on OTR tires to handle undulating terrain and mining sites, causing regular damage to the tires. With frequent wear and tear, the requirement for replacement tires arises, resulting in the expansion of the market, further states the research report, “The GCC OTR Tire Market Analysis, 2024.”

GCC OTR Tire Market Segmentation Analysis:

Ports Segment Holds Major Market Share

Based on the end users, the market is segmented into construction, industrial, mining, agriculture, and ports. Among them, the ports segment is leading the market and is anticipated to hold a major share of the GCC OTR Tire Industry in the coming years. Due to an expansion of trade agreements with nations like Canada, the United States, the European Union, and others, trade between the GCC and other countries rose significantly between 2018 and 2022. The necessity for port development to handle the enormous volume of shipments delivered and received has expanded as a result of the GCC's ascent to prominence in international trade, which is driving overall port expansion plans. The building of ports like Hutchison Ports Sohar and Mubarak al-Kabeer Port has increased demand for earthmoving off-highway (OTR) trucks for tasks like leveling, excavation, and digging. After these projects are finished, material-handling equipment like forklifts becomes essential to operations, further propelling the segment's growth.

The UAE to Lead the GCC OTR Tire Market

The UAE is expected to hold a considerable market share due to the UAE's unique geographic location as a global trade hub, which promotes easy access to worldwide markets and allows for efficient import and export of OTR tires. OTR tires are also in great demand due to the UAE's booming building sector. Large sums of money have been set aside by the UAE government for the development of new cities and public infrastructure. Numerous building projects, such as Ceil Dubai and Burj Binghatti, have been rising in the nation, driving up construction activity. Because road rollers and other construction equipment regularly experience wear and tear, the need for OTR tires is rising across the nation. Due to the increased need for new OTR tires in cars, manufacturers are now supplying OTR tires nationwide, which is driving the market's growth.

GCC OTR Tire Market Competitive Landscape

With strategic initiatives, such as mergers, collaborations, and acquisitions, the leading market companies, Pirelli Tyre S.p.A., Goodyear Middle East & Africa, Bridgestone MEA, Continental Middle East DMCC, Titan International Inc., Michelin, The Yokohama Rubber Co., Ltd, JK Tire & Industries Ltd., Trelleborg, Triangle Group, and others are looking forward to strengthening their market positions.

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 region?
4. How has the industry been evolving in terms of geography & solution adoption?
5. How has the competition been shaping up across various countries?
6. How have 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?