Kenya Tire Market Analysis, 2021

Kenya Tire Market Analysis, 2021

By Vehicle Type (Passenger Cars (SUV, Sedan, Hatchback & Bakkies), Light Commercial Vehicles (LCV) (Light Trucks, Light Buses, Pickup Trucks & Vans), Medium & Heavy Commercial Vehicles (Bus, Truck), T Read more

  • Tire
  • Mar 2021
  • 134
  • TR10240

Market Definition

The tire industry in Kenya is experiencing rapid expansion, principally due to massive tire imports, majorly from countries like China, entwined with the increasing competition from American & European countries. Besides, the active participation of prominent automakers & tire manufacturers in the import, production, & distribution of tires for an extensive range of vehicles is another aspect playing a crucial role in expanding the tire industry of Sudan. Moreover, the immense support from the government through investments & favorable policies is projecting new companies & investments in Kenya and contributing to the growth of the tire industry.

Market Insights

The Kenya Tire Market is projected to grow at a CAGR of around 5.5% during the forecast period, i.e., 2021-26. The growth of the market is likely to be driven primarily by the improving economy of Kenya, increasing purchasing power & changing living standards of people, i.e., displaying their greater inclination toward vehicle ownership. It, in turn, is boosting the sales of vehicles and directly impacting the tire industry in the country.

Besides, various favorable government policies are helping in stimulating the import business for tires and attracting Foreign Direct Investments (FDIs) into the country. Moreover, the advent of new technologies in tires for high performance and the constant launch of new vehicle models are also likely to boost the automotive & tire industries in the country. 

Furthermore, the active participation of the leading tire manufacturers in introducing new low-cost tires to beat the dominance of Chinese brands and benefit the cost-sensitive population is another prominent aspect projected to boost the tire market in Kenya over the forecast years.

Report Coverage Details
Study Period Historical Data: 2016-19
Base Year: 2020
Forecast Period: 2021-26
CAGR(2021-26) 5.5%
Key Companies Profiled Michelin Kenya Sdn Bhd, Giti Tire Pte. Ltd., MRF, Pirelli & C.S. p.a, Goodyear Tire & Rubber Industries, Sumitomo Rubber Industries, Ltd., Maxxis Tires Kenya, Kumho Tyre, Apollo Tyres Ltd., Bridgestone Middle East & Africa FZE
Unit Denominations USD Million/Billion

Kenya Tire Market Analysis, 2021

Key Trends in the Kenya Tire Market

Owing to the massive import business for tires & automobiles, favorable government policies, & expanding vehicle fleet, among other factors, Kenya holds great potential to enhance vehicle sales and generate growth prospects for the tire industry in the coming years.

  • Escalating demand for motorbikes
  • Falling penetration of low-cost Chinese tires 
  • The mounting distribution network for automobiles
  • Growing demand for Radial tires

Impact of Covid-19 on the Kenya Tire Market

The advent of Covid-19 in 2020 had a decelerating effect on most industries, and the Kenya Tire Market was no exception. With the imposition of stringent movement limitations, lockdown, cross-border trade restrictions by the government to curb the spread of this dreadful disease, the market witnessed several unprecedented challenges. Since the tire industry in Kenya is driven majorly by imports, trade restrictions severely impacted the supply of tires across the country.

Besides, the transportation & logistic services were also hampered amidst the crisis, which, in turn, resulted in significant delays in the deliveries of pre-produced tires, unavailability of raw materials, and massive demand & supply gaps.

However, with the gradually declining number of Covid-19 cases, the government uplifted the restrictions and allowed the recommencement of tire manufacturing operations. As a result, the leading players resumed production & distribution across the country to recover from revenue losses & meet the burgeoning consumer demand for tires. This revival is anticipated to encourage the market players to bridge the demand & supply gap and fuel the market growth in the coming years.

Market Segmentation

Based on the Vehicle Type:

  • Passenger Cars
  • Light Commercial Vehicles (LCV)
  • Medium & Heavy Commercial Vehicles
  • Two Wheelers
  • Off the Road (OTR)

Amongst them all, passenger cars acquired the largest share in the Kenya Tire Market, and the same trend is likely in the coming years. It owes principally to the growing demand for private vehicle ownership, i.e., displaying a mounting fleet of passenger vehicles.

It, in turn, is instigating automakers to increase their production & import capabilities to meet the escalating consumer requirements for passenger cars. Hence, this burgeoning demand is positively influencing the production & distribution of tires along with their availability & affordability across the country.

Besides, since a large population in the country is cost-sensitive, the sales of second-hand passenger cars are gaining swift momentum across the country and driving the tire market. Hence, based on these aspects, the Kenya Tire Market is all set to witness significant growth with the burgeoning adoption of passenger cars over the forecast years.

Based on the Demand Type:

  • OEM
  • Replacement

Here, the Replacement demand is anticipated to display the fastest growth in the Kenya Tire Market during the forecast period. It attributes principally to the country being highly dependent on tire imports due to the unavailability of automotive & tire manufacturing facilities, i.e., displaying the scarcity of OEMs (Original Equipment Manufacturers).

Besides, benefits like easy availability of an extensive range of tires under different budgets for all vehicle types are also likely to stimulate the replacement market growth. Moreover, growing awareness about the significance of timely tire replacement & maintenance is another crucial aspect projected to augment the replacement demand and fuel the overall market growth during the forecast period.

Key Questions Answered in the Market Research Report:

  1. What are the overall statistics or estimates (Overview, Size- By Value, Forecast Numbers, Segmentation, Shares) of the Kenya Tire Market?
  2. What are the region-wise industry size, growth drivers, and challenges?
  3. What are the key innovations, opportunities, current & future trends, and regulations in the Kenya Tire Market?
  4. Who are the key competitors, their key strengths & weaknesses, and how do they perform in the Kenya Tire Market based on the competitive benchmarking matrix?
  5. What are the key results derived from surveys conducted during the Kenya Tire Market study?

Frequently Asked Questions

A. The Kenya Tire Market is projected to grow at a CAGR of around 5.5% during 2021-26.

A. Passenger cars are projected to emerge as an area of remunerative opportunities for the leading players in the Kenya Tire Market through 2026.

A. Rapidly growing vehicle fleet entwined with increasing competition between prominent tire manufacturers to bring low-cost tires & beat the Chinese dominance is the key growth opportunity anticipated to drive the Kenya Tire Market in the coming years.

  1. Introduction
    1. Product Definition
    2. Research Process
    3. Assumptions
    4. Market Segmentation
  2. Preface
  3. Executive Summary
  4. Impact of COVID-19 on Kenya Tire Market
  5. Expert Verbatim-Interview Excerpts of industry experts
  6. Kenya Tire Market Analysis, 2016-2026F
    1. Market Size & Analysis
      1. Revenues in (USD Billion)
      2. Units Sold in Million
    2. Market Share & Analysis
      1. By Vehicle Type
        1. Passenger Cars
          1. SUV
          2. Sedan
          3. Hatchback & Bakkies
        2. Light Commercial Vehicles (LCV)
          1. Light Trucks
          2. Light Buses
          3. Pickup trucks & Vans
        3. Medium & High Commercial Vehicles
          1. Bus
          2. Truck
        4. Two Wheelers
          1. Moped
          2. Scooters
          3. Motorcycles
        5. Off the Road (OTR)
          1. Earthmoving Equipment
          2. Material Handling Equipment
          3. Industrial & Mining Equipment
      2. By Demand Type
        1. OEM
        2. Replacement
      3. By Type of Tire
        1. Radial
        2. Bias
      4. By Season
        1. All Season
        2. Summer
      5. By Sales Channel
        1. Online
        2. Dealers/ Exclusive Outlets
        3. Others
      6. By Rim Size
        1. Upto 12
        2. 12.1” to 15”
        3. 15.1.” to 18”
        4. 18.1” to 20”
        5. 20.1” to 22.5”
        6. 22.6” to 26”
        7.  26.1” to 35”
        8. 35.1” to 47”
        9. Above 47”
      7. By Price Category
        1. Low
        2. Medium
        3. High
      8. By Company
        1. Market Shares, By Revenue
        2. Strategic Factorial Indexing
        3. Competitor Placement in MarkNtel Quadrant
    3. Market Attractiveness Index
      1. By Type of Vehicle
      2. By Demand Type
      3. By Type of Tire
      4. By Season
      5. By Sales Channel
      6. By Rim Size
      7. By Price Category
      8. By Country
    4. By Competitors
      1. Total Units Sold
      2. Market Share
  7. Kenya Passenger Car Tire Market Outlook, 2016-2026F
    1. Market Size & Analysis
      1. Units Sold in Million
      2. Revenues in USD Billion
    2. Market Share & Analysis
      1. By Type of Vehicle
        1. Sedan
        2. SUV
        3. Hatchbacks & Others
      2. OEM Vs Replacement
      3. By Radial Vs Bias
      4. By Season
      5. By Sales Channel
      6. By Tire Rim Size
      7. By Leading Companies
    3. Passenger Car Tire Market Attractiveness Indexing
      1. By Type of Vehicle
      2. By Season
      3. By Sales Channel
  8. Kenya Light Commercial Vehicle Tire Market Outlook, 2016-2026F
    1. Market Size & Analysis
      1. Units Sold in Million
      2. Revenues in USD Billion
    2. Market Share & Analysis
      1. By Type of Vehicle
        1. Light Trucks
        2. Light Buses
        3. Pick-Up Trucks & Vans
      2. OEM Vs Replacement
      3. By Radial Vs Bias
      4. By Season
      5. By Sales Channel
      6. By Tire Rim Size
      7. By Leading Companies
    3. Light Commercial Vehicle Tire Market Attractiveness Indexing
      1. By Type of Vehicle
      2. By Season
      3. By Sales Channel
  9. Kenya Medium & Heavy Commercial Vehicle Tire Market Outlook, 2016-2026F
    1. Market Size & Analysis
      1. Units Sold in Million
      2. Revenues in USD Billion
    2. Market Share & Analysis
      1. By Type of Vehicle
        1. Trucks
        2. Bus
      2. OEM Vs Replacement
      3. By Radial Vs Bias
      4. By Season
      5. By Sales Channel
      6. By Tire Rim Size
      7. By Leading Companies
    3. Medium & Heavy Commercial Vehicle Tire Market Attractiveness Indexing
      1. By Type of Vehicle
      2. By Season
      3. By Sales Channel
  10. Kenya Two-Wheeler Tire Market Outlook, 2016-2026F
    1. Market Size & Analysis
      1. Units Sold in Million
      2. Revenues in USD Billion
    2. Market Share & Analysis
      1. By Type of Vehicle
        1. Motorcycles
        2. Scooters & Mopeds
      2. OEM Vs Replacement
      3. By Radial Vs Bias
      4. By Season
      5. By Sales Channel
      6. By Tire Rim Size
      7. By Leading Companies
    3. Two-Wheeler Tire Market Attractiveness Indexing
      1. By Type of Vehicle
      2. By Season
      3. By Sales Channel
  11. Kenya OTR Vehicle Tire Market Outlook, 2016-2026F
    1. Market Size & Analysis
      1. Units Sold in Million
      2. Revenues in USD Billion
    2. Market Share & Analysis
      1. By Type of Vehicle
        1. Earth Moving Equipment
        2. Construction & Agricultural Vehicle
        3. Material Handling Equipment
      2. OEM Vs Replacement
      3. By Radial Vs Bias
      4. By Season
      5. By Sales Channel
      6. By Tire Rim Size
      7. By Leading Companies
    3. OTR Vehicle Tire Market Attractiveness Indexing
      1. By Type of Vehicle
      2. By Season
      3. By Sales Channel
  12. Kenya Tire Market Value Chain Analysis
    1. Key Stakeholders in Value Chain
    2. Margin at Various Levels
  13. Kenya Tire Market Regulations, Policies, Regulation, Product Benchmarks
  14. Kenya Tire Market Trends & Insights
  15.   Tire Market Dynamics
    1. Drivers
    2. Challenges
    3. Impact Analysis
  16. Kenya Tire Market Hotspot & Opportunities
  17.  Kenya Tire Market Key Strategic Imperatives for Success & Growth
  18. Kenya Tire Market Import & Export Statistics
  19. Competition Outlook
    1. Competition Matrix
      1. Product Portfolio
      2. Target Markets
      3. Research & Development
      4. Strategic Alliances
      5. Strategic Initiatives
    2. Company Profiles of Top Companies (Business Description, Product Segments, Business Segments, Financials, Strategic Alliances/ Partnerships, Future Plans)
      1. Michelin Kenya Sdn Bhd
      2. Giti Tire Pte. Ltd.
      3. MRF
      4. Pirelli & C.S. p.a
      5. Goodyear Tire & Rubber Industries 
      6. Sumitomo Rubber Industries, Ltd.   
      7. Maxxis Tires Kenya
      8. Kumho Tyre
      9. Apollo Tyres Ltd.
      10. Bridgestone Middle East & Africa FZE
  20.  Disclaimer
Kenya Tire Market Segmentation