Press Release

The South East Asia OTR Tire Market to Grow at a CAGR of Around 4.3% During the Forecast Period

The South East Asia OTR Tire Market is anticipated to grow at a CAGR of about 4.3% during the forecast period of 2024-30, cites MarkNtel Advisors in the recent research report. Southeast Asian nations are witnessing a surge in population growth due to the arrival of expatriates in the region. This population growth is facilitating the requirement for residential units in the country. As a result, the real estate contractors & developers are building the apartments & villas in the country. These construction activities utilize the OTR vehicles to transport the building & construction materials owing to which the tires undergo tire wear & tear. Therefore, to maintain the optimal functionality of the OTR vehicles, the contractors ensure that these vehicles undergo frequent tire wear & tear, leading to the growth of the Southeast Asia OTR Tire market. 

Moreover, these nations are major exporters of agricultural products to foreign countries. As a result, the contribution of the agricultural sector to the overall GDP is higher. Therefore, to ensure economic development, the governing bodies of these countries are boosting agricultural activities. The authorities are providing substantial funds to modernize the equipment to increase the crop harvest. As a result, several farmers in the region are increasingly purchasing & utilizing tractors to enhance their agricultural production. The extensive utilization of OTR vehicles during agricultural activities is facilitating the demand for OTR tires, augmenting the Southeast Asia OTR Tire Market.

Furthermore, the initiation of new mining projects in Southeast Asian nations like Thailand and Indonesia is further stimulating the demand for heavy mining vehicles since mineral exploration activities essentially require OTR vehicles. Therefore, the escalating exploration of minerals and metals is intensifying the demand for large off-road vehicles. Moreover, the substantial funds allocation in the mining sector would continue to bolster mining activities in the region. Given the rugged terrain and challenging mining environments, heavy mining equipment heavily depends on OTR tires, ultimately propelling the market growth, further states the research report, further states the research report, “Southeast Asia OTR Tire Market Analysis, 2024.”

Ports Segment Holds a Major Market Share

Based on the end user, the market is segmented into construction, industrial, mining, agriculture, and ports. Of them all, the ports hold the major share of the market and are expected to lead the market in the coming years. The trade activities in Southeast Asian countries are significantly growing. As a result, the official port development authorities in the region are allocating funds to expand the ports. These expansion activities to cater to the growing trade activities are resulting in the extensive usage of OTR vehicles, resulting in tire wear & tear. Therefore, to maintain the operational efficiency of these vehicles, the contracts are frequently replacing their OTR tires, contributing to market growth.

Furthermore, to trade the products in more quantities, the authorities are using mega-container ships. The transition towards larger ships is necessitating the demand for reliable port infrastructure. Therefore, more ports in the region would continue to develop, intensifying the requirement for durable and high-performance OTR and positioning the ports segment as a leading end user.

Indonesia to Lead OTR Tire Industry in the Region

Geographically, Indonesia holds a considerable market share in the South East Asia OTR market. The governing authorities in the country are increasingly laying initiatives to boost the establishment of local industrial units to amplify economic growth. As a result, several industrial & production facilities are being set up in the country. The construction of these units is facilitating the requirement for OTR vehicles & tires, driving the market growth. Moreover, the official authorities are easing the tax policies, fostering a favorable business environment in the country. This resulted in the foreign companies to set up their commercial offices in the country. This surging construction of commercial buildings is leading to a higher demand for heavy-duty machinery. Consequently, this is enhancing the OTR tire demand and enlarging the market size of Indonesia's OTR Tire market.

Competitive Landscape

With strategic initiatives such as mergers, collaborations, and acquisitions, the leading market companies, including Pirelli Tyre S.p.A., Goodyear Southeast Asia Pvt. Ltd., Bridgestone Tire Co., Ltd., Continental AG, Titan International Inc., The Yokohama Rubber Co., Ltd., Trelleborg Thailand Company Limited, Triangle Group, Balkrishna Industries Limited (BKT), MRF tires, 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 & product adoption?
5. How has the competition been shaping up across various countries?
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?