The Europe Tire market is poised to grow at a healthy CAGR of approximately 5%, in value terms over the course of the next five years. The sales of tires from the aftermarket segment accounted for approximately 80% of the overall tire demand in the region, as of 2019.
As of 2019, the demand for tires from the original equipment manufacturers remained stable for passenger cars but the demand for tires from the medium and heavy commercial vehicle category witnessed a decline during September 2019. The demand for tires in the replacement market dominates the demand category for tires in the region, but the demand remained dynamic in the third quarter of 2019 due to heavy imports from Asian countries such as China, Japan and India, etc. The growth of the market is also supported by trending demand for tires manufactured with the incorporation of green materials. The incorporation of green materials and technologies is expected to enhance the performance of all-season tires, thereby, supporting growth in the demand for automotive tires in Europe.
According to MarkNtel Advisors’ research report titled “Europe Tire Market Analysis, 2020”, the European region holds broad spectrum of opportunities for the tire industry. However, since the introduction of private labelling by the European Union to see the performance indicators such as wet grip, fuel efficiency and noise emission on tire has transformed the demand patterns for tires in the region and it is expected to back the demand for labelled tires, during the forecast period. Europe has witnessed an augmented demand for SUV tires in the passenger car segment. The demand for SUV tires witnessed growth at a rate of 9%, in value terms, during the recent past. Moreover, increasing demand for large rim sizes has also propelled the demand for tires in the after sales market or the replacement demand. The 16-inch and 17-inch wheels are expected to experience fastest growth in demand in the SUV segment, during the next five years.
Intensive competition and threat for new competitors from online mode of sales, car dealers, IAM garages or mass merchandisers, tire branding policy by the European Union, and expansion of B2C business have posed challenges for tire manufacturers to maintain their profit margins, unlike other automotive components. Thus, for a traditional tire retailer in the region, it is advisable to avoid bulk purchase of tires, rather, to further expand service portfolio.
Key Questions Answered in the Market Research Report
Market Outlook, Segmentation and Statistics
Frequently Asked Questions
Q. What is the historical year, base year and forecast year considered in the research report Europe Tire Market?
A. The historical data has been provided since 2015, while the base year is 2019 and the data is forecasted up-to 2025.
Q. What are the units or denomination for measuring market value and volume in the report?
A. The market size/industry size or the market value is measured in terms of USD Billion, while the market volume is measured in terms of Unit sold (Million Units).
Q. What would be the growth rate or CAGR of Europe Tire Market during 2020-25?
A. The market size of Europe Tire Market during 2020-25 is forecast to be around 5%.
Q. Who are the key competitors or players operating in Europe Tire Market?
A. Continental, Bridgestone, Pirelli, Yokohama, Double Coin, Nokian, Cooper and few others are the leading players in the Europe Tire Market.
Q. Does the report scope cover tire rim size wise market statistics also?
A. Yes, the scope of the report encompasses detailed tire rim size wise statistics such as market size, market segmentation, market overview based on various subcategories.
Q. Which Vehicle type segment would emerge as an opportunity area for players in Europe Tire Market?
A. Passenger car and light commercial vehicle segment captured a considerable market share in the Europe Tire Market.
Q. Which Tire type segment would emerge as an opportunity area for players in Europe Tire Market?
A. On the basis of tyre type, radial tires still capture a major market share the medium-heavy vehicles and the OTR vehicles segment.
Q. Which Rim Size segment would emerge as an opportunity area for players in Europe Tire Market?
A. Based on the rim size, the 16 inch and 17 inch wheels are expected to experience fastest growth in demand in the SUV segment, during the next five years. These manufacturers are focused on providing distinctive looks to their vehicles in addition to lower rolling resistance and better-wet traction.
