Mexico Off-the-Road Tire Market Research Report: Forecast (2025-2030)

Market Definition

The off-road tires are a special type of tire customized for off-road surfaces. They are commonly installed in giant vehicles such as bulldozers, cranes, tractors, and loaders. These tires are best for unpaved surfaces such as sand, mud, and gravel, as deep tread provides more traction.

Market Insights & Analysis: Mexico Off-the-Road Tire Market (2025-30):

The Mexico Off-the-Road Tire Market size was valued at around USD 0.90 billion in 2024 and is projected to reach USD 1.31 billion by 2030. Along with this, the market is estimated to grow at a CAGR of around 4.01% during the forecast period, i.e., 2025-30. Factors such as frequent technological advancements, growth in logistics and port infrastructure expansion, and development in the construction sector have impacted the growth of the off-the-road tire market positively. The agricultural sector of the country also boosts the growth of the market, owing to the considerable need for Off-the-road tires in agricultural equipment and vehicles.

The country is home to some of the largest OEMs of agriculture and off-road equipment. OEMs, like Agco, John Deere, etc., are present in the country to manufacture OTR vehicles such as agricultural equipment. Therefore, the demand for OTR tires from OEMs is consistent and robust. Apart from demand generated from agri-equipment manufacturers, the OTR tire market is also registering an uptick driven by replacements. This is due to the need for multiple replacements of these tires owing to the damage caused by excessive usage on such rough terrain.

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Moreover, the country’s agricultural activities are driven by the growing agri-food exports in various countries across the globe, with the US being the dominant importer. Tomatoes, avocados, tequila, and beer are the top-most exported agricultural products in Mexico. The agri-food exports experienced a 14th consecutive record high growth, growing by 3.9% in 2024, compared to 2023. Hence, as the agricultural activities will increase, the demand for OTR tires will also rise owing to increased deployment of farming vehicles and equipment on the farms.

Additionally, there are various OTR companies that are investing in the development of their products, in expansion of their facilities, and in new technologies, to enhance their market position. For instance, in 2024, ZC Rubber declared the construction of a production facility in Saltillo, a city in Mexico, where it aimed to manufacture 50 thousand tons of off-road tires annually.

Mexico Off-the-Road Tire Market Driver:

Increasing Construction Activities Fueling the Demand for Off-the-Road Tires – The country is recording a considerable rise in construction activities due to many new projects aligned in the coming years. Increasing construction activities mean the accelerated number of deployments of construction vehicles such as dumpers, earthmoving equipment, excavators, and others with OTR tires fixed on them.

 The construction sector is the best prospect industry sector for Mexico due to the rising construction projects. The Mexican construction sector achieved 15.6% growth in 2024, from the previous year, which was more than the national economy’s growth rate of 3.2%, as stated by the Mexican Chamber of the Construction Industry (CMIC). This expansion is largely driven by significant investments in infrastructure projects, including highways, railways, ports, and airports. Moreover, as per the Mexican Association of Industrial Parks (AMPIP) (2024), above USD 3 billion has been allocated for construction projects of 50 private industrial parks. The project is focused on the development of storage centers, factories, and distribution centers.

Mexico has free federal highways & bridges built around 50 years ago and is aging with time. Due to the aging infrastructure, the condition of the rural roads in Mexico has worsened. These deteriorating road conditions are reducing vehicle average speed & contributing to road accidents in the country. As a result, the government of Mexico is actively investing in its construction projects for the upgradation of the road infrastructure across the country. These developments would boost the utilization of OTR equipment in the forthcoming years

Henceforth, factors such as public and private investments coupled with government support have fueled the construction activities in the country. This, in turn, reflects the high growth that the OTR tire market will gain during the forecasted period due to the accelerating construction activities.

 Mexico Off-the-Road Tire Market Opportunity:

Plan to Enhance Industrialization in the Southern Part of the Country to Provide New Growth Opportunities – Southern Mexico, which has been historically less developed than the northern regions, is now a focal point for the government's industrialization efforts. In 2023, the government unveiled the Inter-Oceanic Corridor initiative, which involves the creation of over 10 new industrial parks connecting the Pacific port of Salina Cruz in Oaxaca state to the Gulf coast hub of Coatzacoalcos in Veracruz state. As part of this plan, the government is offering incentives like tax waivers on rent & value-added taxes (VAT) to attract businesses to the corridor. The construction phase of these industrial parks would present a substantial demand for Off-the-Road (OTR) tires, as they are indispensable for the heavy machinery & equipment used in construction, including excavators, bulldozers, loaders, and various other types of OTR vehicles.

Mexico Off-the-Road Tire Market Challenge:

Rising Demand for Retreading Off-the-Road Tires – The increasing adoption of retreading Off-the-Road Tires acts as a challenging factor for new tire manufacturers by reducing demand. Various top companies have established their retreading OTR tire plants in Mexico, such as Michelin established its first retreading tire plant in 2022, responding to increased demand for these tires. The life of OTR tires is increased by the retreading process, which offers the end-users the benefit of reusing their tires for a longer period. This reduces the need for the purchase of new tires.

Additionally, around 30% to 50% lower prices of retreading tires in comparison to brand new tires encourage end-users to choose the former option. This inclination of end-users towards retreading tires owing to the cost benefit, pressurizes new tire manufacturers to reduce the prices of new tires or introduce innovative features to gain a competitive edge from retreading tire providers. Thus, the advancements in retreading tire technology and their durability have resulted in their increased acceptance and have reduced the replacement rate of new off-the-road tires in the country, thereby restraining the market’s growth.

Mexico Off-the-Road Tire Market Trend:

Increasing Demand in Port Activities – Increasing port activities in Mexico have influenced contractors to increase the deployment of cargo lifting and moving machinery. This will facilitate a smooth and uninterrupted functioning of port activities. Lifting and moving equipment integrates harsh terrain tires so that the tires can bear the weight of heavy containers and cargoes and can move them smoothly from one place to another.

Mexico's strategic geographic location, with access to both the Pacific Ocean & the Caribbean Sea, has led to the establishment of more than 20 seaports along its Atlantic coast & approximately 12 on its Pacific coast. The port activities in Mexico have flourished in recent years. Mexico currently operates 40 commercial ports, with the movement registered as nearly 300 million tons of cargo in 2023. Several major ports like Lázaro Cárdenas and Manzanillo saw considerable growth from 2022 to 2025. Lázaro Cárdenas registered a growth of 35% in cargo volume, while Manzanillo registered a 10% increase.

As these port activities are increasing, the need for efficient equipment for the proper handling of cargoes at commercial ports has risen. Various port equipment, such as container handlers, straddle carriers, terminal tractors, forklifts, and others, is dependent on incredibly powerful, harsh terrain tires. Thus, these tires are gaining traction in the port sector in recent years.

Mexico Off-the-Road Tire Market (2025-30): Segmentation Analysis

The Mexico Off-the-Road Tire Market study of MarkNtel Advisors evaluates & highlights the major trends and influencing factors in each segment. It includes predictions for the period 2025–2030 at the country level. Based on the analysis, the market has been further classified as:

Based on the Type of Equipment:

• By Type of Equipment
  • Earth Moving Equipment
    • Excavator
    • Grader
    • Loader
    • Bulldozer
    • Road roller
  • Material Handling Equipment
    • Crane
    • Forklifts
  • Agricultural Equipment
    • Tractors
    • Combines
    • Others

Of them all, earthmoving equipment holds the largest market share of around 39% in the Mexico Off-the-Road Tire market, owing to the increasing number of mining and construction projects. The country is witnessing population growth due to the rising arrival of expatriates from other North American nations. This increasing population is elevating the requirement for proper accommodation facilities, as a result, real estate developers are constructing residential apartments & complexes in the country. According to DENUE 2024, Residential Building Construction registered 7,786 economic units. The states with the highest number of economic units were Jalisco (591), Ciudad de México (497), and Nuevo León (496). Such residential construction is augmenting the demand for earthmoving vehicles in the country since these vehicles are essentially used during the construction for site preparation, excavation & land development.

Additionally, there has been a considerable growth in mining activities in the country in the past decade. It has eventually boosted the deployment of earthmoving equipment for moving excavated material, material-handling, and transportation, and restoring the land. There are a number of mining projects planned and being invested in, in Mexico, such as Torex Gold's Media Luna project, Luca Mining’s Tahuehueto project, and Sonoro Gold’s Cerro Caliche projects. These projects will focus on the mining of gold, silver, and copper, and once the projects begin, the demand for mining-related equipment will also considerably rise.

The extensive usage of these vehicles leads to higher tire wear & tear, due to which the need for frequent replacements arises, thereby enhancing the OTR tire demand. This will consequently uplift the Off-the-Road tire demand in the earthmoving equipment segment in the forecasted years.

Based on Type of Tire:

• Bias
• Radial

Among them, radial tire holds more than 60% share in the Mexican OTR tire market.  Radial tires have such a construction that the tread and sidewall operate independently, unlike bias tires. This leads to better performance and stability, even on unpaved off-road. Heavy-duty vehicles working on construction sites, mining sites, or agricultural sites require highly stable, lower rolling resistance, and incredibly performing tires that can bear the harsh environment of these sites. This requirement has led to a higher preference for radial tires as they provide longer tread life and better performance in comparison to bias tires.

These increased radial tire preferences have also encouraged OTR manufacturers to incline their focus on radial tires. These tires provide better fuel efficiency, which minimizes the operating costs for the end-users. Therefore, industries that have other miscellaneous expenses prefer to use these tires to reduce their operating costs, enhancing their market share. Owing to a longer tread-life of these tires, the replacement needs are lower, eventually reducing expenses on frequent replacements.

Mexico Off-the-Road Tire Industry Recent Development:

• July 2024: OTR Wheel Engineering, Inc. completed the construction of the new facility in Apodaca, Mexico, strategically selected to supply OEM customers with products and services such as tire mounting, sequencing, just-in-time supply, and warehousing on a local basis.
• February 2024: YOKOHAMA announced that it purchased the Off-the-Road tyre (hereafter OTR) business of The Goodyear Tire & Rubber Company.

Gain a Competitive Edge with Our Mexico Off-the-Road Tire Market Report

1. Mexico Off-the-Road Tire Market Report by MarkNtel Advisors provides a detailed & thorough analysis of market size & share, growth rate, competitive landscape, and key players. This comprehensive analysis helps businesses gain a holistic understanding of the market dynamics & make informed decisions.
2. This report also highlights current market trends & future projections, allowing businesses to identify emerging opportunities & potential challenges. By understanding market forecasts, companies can align their strategies & stay ahead of the competition.
3. Mexico Off-the-Road Tire Market Report aids in assessing & mitigating risks associated with entering or operating in the market. By understanding market dynamics, regulatory frameworks, and potential challenges, businesses can develop strategies to minimize risks & optimize their operations.

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