The swiftly expanding automotive sector in Oman is the most prominent aspect influencing its tire industry. Hence, the growing sales of passenger cars, light commercial, medium & heavy commercial, Off-the-Road (OTR) vehicles, & two wheelers in the country are positively influencing the demand for radial & bias tires, the easy availability of which is boosting the tire industry of Oman.
The Oman Tire Market is projected to grow at a CAGR of around 3.3% during the forecast period, i.e., 2021-26. The growth of the market is likely to be driven primarily by the increasing construction activities in Oman owing to the escalating government focus on infrastructure developments in line with Oman Vision 2030, i.e., propelling the need for heavy commercial vehicles & construction equipment. It, in turn, is stimulating the demand for tires and driving the market.
|Study Period||Historical Data: 2016-19|
|Base Year: 2020|
|Forecast Period: 2021-26|
|Key Companies Profiled||Bridgestone Corporation, Sumitomo Rubber, Compagnie Générale Des Établissements Michelin, Yokohama Rubber, Pirelli & C.Spa, Hankook Tire Co., Toyo Tire & Rubber Company Ltd., Continental, Apollo Tyres, Goodyear Tires|
|Unit Denominations||USD Million/Billion|
Besides, since the country is rich in oil, the rising number of mining, exploration, & production activities are other crucial aspects soaring the demand for mining equipment and boosting the demand for Off-the-Road (OTR) tires.
Moreover, the burgeoning vehicle sales in Oman owing to swiftly improving economic conditions & living standards, purchasing power, & growing inclination of people toward vehicle ownership are also projected to boost the market through 2026.
Impact of Covid-19 on the Oman Tire Market
The advent of Covid-19 in 2020 had a catastrophic impact on the Oman Tire Market. The imposition of stringent movement restrictions, travel bans, & lockdown by the government led to several unprecedented challenges like disruptions in the supply chain of raw materials, shortage of manpower, demand-supply gaps, delays in distribution, & shut down of manufacturing units. As a result, the leading players in the industry observed massive financial losses amidst the crisis.
However, with the upliftment of restrictions & recommencement of business operations, the leading market players are witnessing lucrative opportunities and have increased the demand for tire imports to meet the burgeoning requirements across the country. In the coming years, they are likely to play a crucial role in bringing back the usual growth pace of the market.