Market Definition
The automotive industry in Bahrain prominently & directly impacts the tire industry. Hence, any fluctuations in demand for vehicles like Passenger Cars, Light Commercial Vehicles, Buses & Trucks, Medium & Heavy Commercial Vehicles, Off the Road (OTR), & Two Wheelers, among others, reflect on the growing or declining production & sales of tires in the country.
Market Insights
The Bahrain Tire Market is projected to grow at a CAGR of around 5.43% during the forecast period, i.e., 2022-27. The growth of the market is driven primarily by the increasing number of large-scale projects by the government in line with Bahrain Vision 2030 for infrastructural development, which, in turn, is surging the demand for commercial vehicles & directly impacting the production & sales of robust tires. According to the International Trade Administration, some major government projects in Bahrain include the following:
| Report Coverage | Details |
|---|---|
| Study Period | Historical Data: 2017-20 |
| Base Year: 2021 | |
| Forecast Period: 2022-27 | |
| CAGR(2022-27) | 5.43% |
| Key Companies Profiled | Continental, Bridgestone, Yokohama, Hankook, Goodyear, Michelin, Kumho, Pirelli, Sumitomo, Toyo |
| Unit Denominations | USD Million/Billion |
Besides, the swift economic improvements and increasing inclination of people toward private ownership of vehicles are demonstrating a substantial rise in passenger car sales. As a result, it is augmenting the demand for tires in the country and stimulating the overall market growth. Moreover, with this escalation, the market is generating growth opportunities for automakers & tire manufacturers to enhance their production & distribution capacities to meet the burgeoning consumer requirements and, in turn, drive the market through 2027.
Impact of Covid-19 on the Bahrain Tire Market
The emergence of Covid-19 in 2020 had a calamitous effect on most industries across Bahrain, and the tire industry was no exception, yet, it sustained amidst the crisis. While the government imposed stringent movement restrictions & lockdowns to curb the spread of this dreadful disease, the leading players in the market witnessed several unprecedented challenges associated with the production and distribution of tires across the country.
Besides, supply chain disruptions led to the unavailability of raw materials like rubber & crude required for manufacturing tires. It caused delayed deliveries of pre-produced tires, adversely affected tire imports & exports, and substantial revenue losses for the leading market players.
However, since the economy of Bahrain relies massively on the construction sector, the government did not suspend any industrial operations associated with the same. It, in turn, augmented the demand for heavy commercial vehicles & construction vehicles and escalated the sales of their tires. As a result, the leading players in the market witnessed a hike, which, in turn, enabled the tire industry to sustain amidst the crisis.
Market Segmentation
Based on the Season:
Amongst both, All-Season tires are projected to dominate the Bahrain Tire Market with the largest share during 2022-27. It owes principally to their capabilities to run all year round, which eliminates the need for seasonal tire changes. With benefits like flexibility, adaptability, budget-friendly, durability, & easy maintenance, all-season tires are viewed as a reliable solution in vehicles and a preferred choice among vehicle owners across Bahrain.
Moreover, the demand for all-season tires is anticipated to witness a rapid acceleration owing to growing vehicle sales in the country, which would instigate leading tire manufacturers to expand their production capacities to meet the burgeoning end-user requirements across Bahrain. Hence, manufacturers are actively producing all-season tires for all vehicle types, ranging from passenger cars to heavy vehicles & pickup trucks, which, in turn, is projecting lucrative growth opportunities for the market in the coming years.
Based on Type of Vehicles:
Here, Medium & Heavy Commercial Vehicles are projected to acquire the largest share in the Bahrain tire Market during the forecast period. It attributes principally to the increasing government focus on infrastructural developments in line with its Bahrain Vision 2030. Due to this, the country is undergoing rigorous construction activities associated with airports, corporate offices, malls, smart cities, etc. It, in turn, is playing a crucial role in augmenting the demand for Medium & Heavy Commercial vehicles across construction sites and positively influencing the production & sales of tires. Besides, since the country's oil sector is vast, several ongoing exploration & production activities and mining projects are also contributing to the burgeoning demand for these vehicles, thereby projecting significant growth prospects for the market during 2022-27.
Key Questions Answered in the Market Research Report:
Frequently Asked Questions
A. The Bahrain Tire Market is projected to grow at a CAGR of around 5.43% during 2022-27.
A. What are the prominent factors driving and restraining the growth of the Bahrain Tire Market through 2027?
A. The accelerated development of high-performance tires & rapidly expanding tire imports & exports is an emerging trend in the Bahrain Tire Market.
A. All-Season Tires are anticipated to emerge as an area of remunerative opportunities for the leading players in the Bahrain Tire Market over the forecast years.
