Technological advancements in the automotive industry have brought sensors into tires to enable drivers to procure real-time information on the tire condition and enhance the vehicle's overall safety. Smart Tires are more like a new tire-related service model that brings greater efficiency for vehicle owners than conventional tires, and they are gaining traction across different regions worldwide.
The Global Smart Tires Market is expected to grow at a considerable CAGR during the forecast period, i.e., 2022-27. With constant advancements in technologies and a growing inclination toward automation, the automotive sector is nowhere behind and is undergoing significant developments in vehicles & their components like tires. As a result, smart tires are gaining increasing popularity and penetrating the global market.
|Study Period||Historical Data: 2017-20|
|Base Year: 2021|
|Forecast Period: 2022-27|
|Regions Covered||North America: The US, Canada, Mexico|
|South America:Brazil, Others|
|Europe: China, Germany, France, Italy, U.K., Spain, Others|
|Asia-Pacific: China, Japan, South Korea, India, Australia, Others|
|Middle East & Africa: UAE, Saudi Arabia, South Africa, Others|
|Key Companies Profiled||
Bridgestone, Continental, Goodyear, Michelin, Pirelli, Yokohama
|Unit Denominations||USD Million/Billion|
These tires aid in reducing heat build-up, monitoring vehicle safety & driving hours, & tread-wear, among others, and these are the prominent reasons behind their escalating demand worldwide. In addition, governments of different countries are actively investing in developing advanced technologies for tires to avail their commercialization in connected vehicles and ensure greater safety.
Integrating sensors into tires for gathering real-time information about the vehicle and monitoring different aspects like tire pressure, load capacity, tread wear, & deformation in order to enhance vehicle safety are other prominent aspects driving the global market.
Furthermore, the increasing utilization of technologies like Artificial Intelligence (AI) in tires is encouraging the leading tire manufacturers to invest in several research & development activities to build a new material for tires to reduce the heat build-up, which projects lucrative growth prospects for the global market through 2027.
Impact of Covid-19 on the Global Smart Tires Market
The advent of Covid-19 in 2020 had a catastrophic effect on the automotive & tire industry worldwide, which introduced several unprecedented challenges for the leading players in the Global Smart Tire Market.
Since governments of different countries imposed stringent movement restrictions, lockdowns, & suspended all kinds of business operations, tire manufacturers worldwide witnessed raw material supply chain disruptions, delivery delays, & price fluctuations, coupled with a temporary halt on R&D activities associated with smart tires. It, in turn, resulted in massive financial losses for them and a severe decline in the market growth amidst the crisis.
However, with the gradual decline in Covid-19 cases, restrictions were uplifted & business operations go recommenced, which enabled tire manufacturers to resume their business operations & research projects and facilitated the global market to attain its usual growth pace.