Press Release

Mexico Tire Market to Grow Due to Surging Infrastructure Development

The Mexico Tire Market is projected to grow at a CAGR of 8.31% during the forecast period of 2024-30, cites MarkNtel Advisors in the recent research report. During the past few years, Mexico has experienced considerable economic growth due to a surge in strategic trade accords and foreign investment inflow. As the economic growth in the country expanded, the middle-class population with higher disposable income also witnessed a surge. This income surge has enabled more citizens in the country to afford cars, which subsequently is generating demand for passenger car tires in Mexico. 

Additionally, Mexico's economy has remained stable over time, drawing in foreign investors searching for safe investment possibilities. This has increased foreign direct investment (FDI) in Mexico's construction industry. Moreover, the construction sector received approximately USD 1,514 million in foreign capital inflows between January and September of 2022, stated the Mexican Ministry of Economy (SE). This is the strongest result for this particular period of time since 2017, when FDI totaled USD 2,627.8 million. The growth of construction activities driven by the higher inflow of foreign direct investment is accentuating the demand for the OTR & Heavy Commercial Vehicles (HCVs) and supporting the Mexico Tire Market growth. 

Also, to further support the nation's economic growth, the government is greatly increasing its investment in infrastructure development. Owing to this, the Mexican government is promoting this by designating large amounts of budget for infrastructure initiatives. This surge in the construction of infrastructural development projects is further driving up the use of medium and heavy commercial vehicles (MHCVs) and off-the-road (OTR) vehicles for site preparation, material transportation, and moving heavy equipment needed for major projects like roads and bridges. 

Further, due to the continuous rise in the construction projects in the nation, there would be a surge in the number of MHCVs and OTR vehicles, which would raise the need for tires made specifically for these vehicles in the forecast years, further states the research report, “Mexico Tire Market Analysis, 2024.”

Mexico Tire Market Segmentation Analysis

Medium and Heavy Commercial Vehicle Segment to Showcase Substantial Expansion

Based on the vehicle type segment, the market is further bifurcated into Passenger Car, Light Commercial Vehicle, Medium & Heavy Commercial Vehicle, Two-Wheeler, Three-Wheeler, Off the Road(OTR). The country has experienced significant economic growth over the last few years as a result of the fast expansion of the industrial sector. The need for Medium and Heavy Commercial Vehicles has expanded due to the expansion of the industrial sector and the necessity to transport materials and goods. As a result of this increase in vehicle utilization, this market's need for tires has increased.

Moreover, the fact that Mexico is home to numerous heavy vehicle manufacturers, it is anticipated to support the Mexican Tire Market and raise demand for tires in the forecast years, thus becoming one of the dominant market share holder.

Competitive Landscape

With strategic initiatives, such as mergers, collaborations, and acquisitions, the leading market players, including Bridgestone Corporation, Goodyear tyre and Rubber Company, Michelin, Continental Ag, Hankook Tire and Technology, Yokohama Rubber Co. Ltd, Cooper Tire Rubber Company, Pirelli Tyre S.p.A, Sumitomo Rubber Industries, Toyo tyre Corporation, Maxxis International 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 Mexico Tire Market?
3. What key factors would propel and impede the industry across the country?
4. How has the industry been evolving in terms of geography & product adoption?
5. How has the competition been shaping across country?
6. How has 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?