The Saudi Arabia Tire Market is expecting around 8% CAGR during 2022-27, cites MarkNtel Advisors in their recent research report. The market is driven by increasing construction projects throughout the country due to the growing government focus on infrastructural developments in line with Saudi Vision 2030 for economic diversification away from the oil & gas sector. It, in turn, is augmenting the need for medium & heavy commercial vehicles and fueling the demand for tires.
Besides, with the growing influx of tourists, pilgrims, & migrants, the commercial sector is undergoing rigorous developments associated with airports, hotels, restaurants, shopping malls, etc. It, in turn, is instigating the demand for construction equipment & tires and encouraging the market leaders to expand their tire imports & distribution capacities to suffice the burgeoning end-user requirements across Saudi Arabia.
Moreover, favorable policies laid out by the Saudi government for foreign investments toward establishing manufacturing facilities in the country is another crucial aspect projected to boost the sales of tires and fuel the overall market expansion in the coming years, further states the research report, “Saudi Arabia Tire Market Analysis, 2022.”
Growing Application of Passenger Cars for Cab Services to Drive the Saudi Arabia Tire Market
The improving economic conditions of people & their growing interest in private ownership of vehicles are driving the sales of passenger cars for local commute & symbolize high status. It, in turn, is positively impacting the demand for passenger car tires across Saudi Arabia.
Besides, with the growing influx of tourists, pilgrims, and migrants in the country, the need for passenger cars for commercial services like cabs/taxis are rising rapidly. Since such applications demonstrate longer driving hours & early signs of tire wear & tear, their timely repairs & replacements are essential, which, in turn, is augmenting the demand for aftermarket tires and fueling the overall market growth through 2027.
The leading players in the Saudi Arabia Tire Market include Hankook, Bridgestone, Goodyear, Michelin, Continental, Nexen, Toyo, Kumho, Apollo.
Key Questions Answered in the Research Report