Tyre Market

The global tyre market is forecasted to see continued growth over the next eight years, with consumption trends on the rise. From 2022 to 2030, the market is expected to experience an increase in both volume and value. Countries like China, the United States, and India represent major players in tyre consumption and production. The market is driven by demand for tyres for motor cars, motorcycles or bicycles, and buses or lorries. Import and export prices are also on the rise, with noticeable fluctuations in certain years.

Market Forecast

Driven by increasing demand for tyres worldwide, the market is expected to continue an upward consumption trend over the next eight years. Market performance is forecast to retain its current trend pattern, expanding with an anticipated CAGR of +1.8% for the period from 2022 to 2030, which is projected to bring the market volume to 4.2B units by the end of 2030.

In value terms, the market is forecast to increase with an anticipated CAGR of +3.6% for the period from 2022 to 2030, which is projected to bring the market value to $257.9B (in nominal prices) by the end of 2030.

Consumption

World Consumption of Tyres

In 2022, the amount of tyres consumed worldwide shrank modestly to 3.6B units, waning by -4.7% on the year before. The total consumption volume increased at an average annual rate of +1.1% over the period from 2012 to 2022; the trend pattern remained relatively stable, with somewhat noticeable fluctuations being recorded throughout the analyzed period. As a result, consumption attained the peak volume of 3.8B units, and then contracted modestly in the following year.

The global tyre market revenue stood at $193.6B in 2022, approximately reflecting the previous year. This figure reflects the total revenues of producers and importers (excluding logistics costs, retail marketing costs, and retailers' margins, which will be included in the final consumer price). In general, consumption, however, continues to indicate a relatively flat trend pattern. Over the period under review, the global market reached the peak level in 2022 and is expected to retain growth in years to come.

Consumption By Country

The countries with the highest volumes of consumption in 2022 were China (795M units), the United States (491M units) and India (317M units), with a combined 44% share of global consumption. Mexico, Indonesia, Japan, Brazil, Iran, Germany, the UK, France, Italy and South Korea lagged somewhat behind, together accounting for a further 25%.

From 2012 to 2022, the most notable rate of growth in terms of consumption, amongst the key consuming countries, was attained by Iran (with a CAGR of +11.7%), while consumption for the other global leaders experienced more modest paces of growth.

In value terms, the United States ($31.6B), China ($23.2B) and India ($15.4B) appeared to be the countries with the highest levels of market value in 2022, with a combined 36% share of the global market. Mexico, Japan, Indonesia, Germany, the UK, Brazil, France, South Korea, Italy and Iran lagged somewhat behind, together comprising a further 27%.

Among the main consuming countries, Mexico, with a CAGR of +12.0%, saw the highest growth rate of market size over the period under review, while market for the other global leaders experienced more modest paces of growth.

The countries with the highest levels of tyre per capita consumption in 2022 were the United States (1,466 units per 1000 persons), the UK (1,240 units per 1000 persons) and Italy (1,156 units per 1000 persons).

From 2012 to 2022, the biggest increases were recorded for Iran (with a CAGR of +10.3%), while consumption for the other global leaders experienced more modest paces of growth.

Consumption By Type

Tyres for motor cars (2B units) constituted the product with the largest volume of consumption, comprising approx. 56% of total volume. Moreover, tyres for motor cars exceeded the figures recorded for the second-largest type, tyres for motorcycles or bicycles (932M units), twofold. Tyres for buses or lorries (451M units) ranked third in terms of total consumption with a 12% share.

From 2012 to 2022, the average annual rate of growth in terms of the volume of tyres for motor cars consumption amounted to +1.9%. For the other products, the average annual rates were as follows: tyres for motorcycles or bicycles (-0.9% per year) and tyres for buses or lorries (+1.9% per year).

In value terms, the largest types of tyres in terms of market size were tyres for motor cars ($99.1B), tyres for buses or lorries ($58.2B) and tyres for agriculture, forestry, construction, industry and other off the road vehicles ($23.5B), together accounting for 93% of the global market. Tyres for motorcycles or bicycles and tyres for aircraft lagged somewhat behind, together comprising a further 6.7%.

Among the main consumed products, tyres for aircraft, with a CAGR of +2.1%, recorded the highest rates of growth with regard to market size over the period under review, while market for the other products experienced more modest paces of growth.

Production

World Production of Tyres

In 2022, after two years of growth, there was decline in production of tyres, when its volume decreased by -4.6% to 3.7B units. Over the period under review, production, however, continues to indicate a relatively flat trend pattern. The most prominent rate of growth was recorded in 2021 when the production volume increased by 10% against the previous year. As a result, production reached the peak volume of 3.9B units, and then shrank slightly in the following year.

In value terms, tyre production reduced modestly to $183.3B in 2022 estimated in export price. Overall, production, however, recorded a relatively flat trend pattern. The pace of growth was the most pronounced in 2018 with an increase of 22%. Over the period under review, global production attained the maximum level at $230.5B in 2019; however, from 2020 to 2022, production failed to regain momentum.

Production By Country

China (1.3B units) constituted the country with the largest volume of tyre production, comprising approx. 36% of total volume. Moreover, tyre production in China exceeded the figures recorded by the second-largest producer, India (363M units), fourfold. The third position in this ranking was held by the United States (239M units), with a 6.5% share.

From 2012 to 2022, the average annual growth rate of volume in China totaled +2.5%. The remaining producing countries recorded the following average annual rates of production growth: India (-2.2% per year) and the United States (+0.5% per year).

Production By Type

Tyres for motor cars (2.1B units) constituted the product with the largest volume of production, comprising approx. 56% of total volume. Moreover, tyres for motor cars exceeded the figures recorded for the second-largest type, tyres for motorcycles or bicycles (999M units), twofold. The third position in this ranking was held by tyres for buses or lorries (434M units), with a 12% share.

For tyres for motor cars, production expanded at an average annual rate of +1.4% over the period from 2012-2022. For the other products, the average annual rates were as follows: tyres for motorcycles or bicycles (-1.0% per year) and tyres for buses or lorries (+0.6% per year).

In value terms, the largest types of tyres in terms of market size were tyres for motor cars ($96.2B), tyres for buses or lorries ($51.7B) and tyres for agriculture, forestry, construction, industry and other off the road vehicles ($23B), together accounting for 93% of global production. Tyres for motorcycles or bicycles and tyres for aircraft lagged somewhat behind, together accounting for a further 6.8%.

Tyres for motorcycles or bicycles, with a CAGR of +1.5%, saw the highest rates of growth with regard to market size among the main produced products over the period under review, while production for the other products experienced more modest paces of growth.

Imports

World Imports of Tyres

In 2022, the amount of tyres imported worldwide reduced slightly to 1.6B units, waning by -3.6% compared with the previous year. The total import volume increased at an average annual rate of +2.5% from 2012 to 2022; the trend pattern remained consistent, with somewhat noticeable fluctuations in certain years. The most prominent rate of growth was recorded in 2021 with an increase of 28% against the previous year. As a result, imports reached the peak of 1.7B units, and then dropped slightly in the following year.

In value terms, tyre imports expanded rapidly to $95.6B in 2022. In general, imports, however, continue to indicate a relatively flat trend pattern. The most prominent rate of growth was recorded in 2021 with an increase of 23% against the previous year. Global imports peaked in 2022 and are expected to retain growth in the immediate term.

Imports By Country

In 2022, the United States (284M units), distantly followed by Germany (134M units), Mexico (132M units) and France (75M units) represented the major importers of tyres, together constituting 39% of total imports. The Netherlands (67M units), Italy (64M units), the UK (60M units), Brazil (44M units), Spain (39M units), Canada (37M units), Poland (32M units), Australia (27M units) and Belgium (25M units) followed a long way behind the leaders.

Imports into the United States increased at an average annual rate of +3.4% from 2012 to 2022. At the same time, Mexico (+11.3%), the Netherlands (+6.4%), Poland (+4.2%), Spain (+3.6%), Italy (+2.7%), the UK (+2.3%), Australia (+1.6%), Germany (+1.6%), France (+1.3%) and Canada (+1.1%) displayed positive paces of growth. Moreover, Mexico emerged as the fastest-growing importer imported in the world, with a CAGR of +11.3% from 2012-2022. Brazil and Belgium experienced a relatively flat trend pattern. Mexico (+4.6 p.p.) significantly strengthened its position in terms of the global imports, while the shares of the other countries remained relatively stable throughout the analyzed period.

In value terms, the United States ($19.2B) constitutes the largest market for imported tyres worldwide, comprising 20% of global imports. The second position in the ranking was taken by Germany ($7.7B), with an 8% share of global imports. It was followed by France, with a 4.4% share.

In the United States, tyre imports increased at an average annual rate of +2.7% over the period from 2012-2022. The remaining importing countries recorded the following average annual rates of imports growth: Germany (-0.2% per year) and France (+0.5% per year).

Imports By Type

In 2022, tyres for motor cars (899M units) represented the major type of tyres, committing 56% of total imports. Tyres for motorcycles or bicycles (307M units) held a 19% share (based on physical terms) of total imports, which put it in second place, followed by tyres for buses or lorries (17%) and tyres for agriculture, forestry, construction, industry and other off the road vehicles (7.6%).

From 2012 to 2022, average annual rates of growth with regard to tyres for motor cars imports of stood at +2.1%. At the same time, tyres for buses or lorries (+5.8%), tyres for agriculture, forestry, construction, industry and other off the road vehicles (+2.3%) and tyres for motorcycles or bicycles (+1.5%) displayed positive paces of growth. Moreover, tyres for buses or lorries emerged as the fastest-growing type imported in the world, with a CAGR of +5.8% from 2012-2022. Tyres for buses or lorries (+4.6 p.p.) significantly strengthened its position in terms of the global imports, while tyres for motorcycles or bicycles and tyres for motor cars saw its share reduced by -2.1% and -2.2% from 2012 to 2022, respectively. The shares of the other products remained relatively stable throughout the analyzed period.

In value terms, tyres for motor cars ($46.9B), tyres for buses or lorries ($29.4B) and tyres for agriculture, forestry, construction, industry and other off the road vehicles ($15.3B) constituted the products with the highest levels of imports in 2022, with a combined 96% share of global imports. Tyres for motorcycles or bicycles and tyres for aircraft lagged somewhat behind, together comprising a further 4.2%.

In terms of the main imported products, tyres for motorcycles or bicycles, with a CAGR of +3.9%, recorded the highest rates of growth with regard to the value of imports, over the period under review, while purchases for the other products experienced more modest paces of growth.

Import Prices By Type

The average tyre import price stood at $60 per unit in 2022, picking up by 13% against the previous year. Over the period under review, the import price, however, continues to indicate a mild reduction. Global import price peaked at $71 per unit in 2012; however, from 2013 to 2022, import prices stood at a somewhat lower figure.

There were significant differences in the average prices amongst the major imported products. In 2022, the product with the highest price was tyres for aircraft ($579 per unit), while the price for tyres for motorcycles or bicycles ($11 per unit) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by motorcycle or bicycle tyre (+2.4%), while the other products experienced mixed trends in the import price figures.

Import Prices By Country

The average tyre import price stood at $60 per unit in 2022, growing by 13% against the previous year. In general, the import price, however, recorded a slight curtailment. Global import price peaked at $71 per unit in 2012; however, from 2013 to 2022, import prices failed to regain momentum.

Prices varied noticeably by country of destination: amid the top importers, the country with the highest price was Australia ($108 per unit), while Mexico ($30 per unit) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by Brazil (+1.1%), while the other global leaders experienced mixed trends in the import price figures.

Exports

World Exports of Tyres

After two years of growth, shipments abroad of tyres decreased by -3.5% to 1.7B units in 2022. The total export volume increased at an average annual rate of +1.1% from 2012 to 2022; the trend pattern remained relatively stable, with somewhat noticeable fluctuations being recorded throughout the analyzed period. The growth pace was the most rapid in 2021 with an increase of 19%. As a result, the exports reached the peak of 1.7B units, and then reduced modestly in the following year.

In value terms, tyre exports rose significantly to $92.1B in 2022. In general, exports, however, showed a relatively flat trend pattern. The pace of growth appeared the most rapid in 2021 with an increase of 21%. The global exports peaked in 2022 and are likely to continue growth in years to come.

Exports By Country

China was the main exporting country with an export of about 553M units, which finished at 33% of total exports. Thailand (137M units) ranks second in terms of the total exports with an 8.3% share, followed by Germany (5.4%). Indonesia (63M units), Vietnam (54M units), India (49M units), France (46M units), the Netherlands (44M units), South Korea (42M units), Poland (41M units), Japan (41M units), Romania (39M units) and Hungary (34M units) held a little share of total exports.

From 2012 to 2022, average annual rates of growth with regard to tyre exports from China stood at +2.9%. At the same time, Vietnam (+10.2%), Romania (+5.0%), Hungary (+4.9%), Thailand (+4.9%), the Netherlands (+3.7%), India (+3.2%), Poland (+2.3%) and Indonesia (+1.4%) displayed positive paces of growth. Moreover, Vietnam emerged as the fastest-growing exporter exported in the world, with a CAGR of +10.2% from 2012-2022. France experienced a relatively flat trend pattern. By contrast, Germany (-3.2%), Japan (-5.7%) and South Korea (-9.7%) illustrated a downward trend over the same period. From 2012 to 2022, the share of China, Thailand and Vietnam increased by +5.4, +2.5 and +1.9 percentage points, respectively. The shares of the other countries remained relatively stable throughout the analyzed period.

In value terms, China ($18.9B) remains the largest tyre supplier worldwide, comprising 20% of global exports. The second position in the ranking was taken by Thailand ($6.6B), with a 7.2% share of global exports. It was followed by Germany, with a 6.4% share.

From 2012 to 2022, the average annual growth rate of value in China totaled +1.7%. In the other countries, the average annual rates were as follows: Thailand (+7.2% per year) and Germany (-0.8% per year).

Exports By Type

In 2022, tyres for motor cars (933M units) represented the main type of tyres, achieving 56% of total exports. It was distantly followed by tyres for motorcycles or bicycles (374M units), tyres for buses or lorries (260M units) and tyres for agriculture, forestry, construction, industry and other off the road vehicles (92M units), together making up a 44% share of total exports.

Tyres for motor cars experienced a relatively flat trend pattern with regard to volume of exports. At the same time, tyres for buses or lorries (+3.0%) displayed positive paces of growth. Moreover, tyres for buses or lorries emerged as the fastest-growing type exported in the world, with a CAGR of +3.0% from 2012-2022. Tyres for agriculture, forestry, construction, industry and other off the road vehicles and tyres for motorcycles or bicycles experienced a relatively flat trend pattern. While the share of tyres for buses or lorries (+2.6 p.p.) increased significantly, the shares of the other products remained relatively stable throughout the analyzed period.

In value terms, tyres for motor cars ($44.9B), tyres for buses or lorries ($29.6B) and tyres for agriculture, forestry, construction, industry and other off the road vehicles ($13.4B) constituted the products with the highest levels of exports in 2022, with a combined 95% share of global exports. Tyres for motorcycles or bicycles and tyres for aircraft lagged somewhat behind, together comprising a further 4.7%.

Among the main exported products, tyres for motorcycles or bicycles, with a CAGR of +4.8%, recorded the highest rates of growth with regard to the value of exports, over the period under review, while shipments for the other products experienced more modest paces of growth.

Export Prices By Type

The average tyre export price stood at $56 per unit in 2022, with an increase of 11% against the previous year. Over the period under review, the export price, however, saw a relatively flat trend pattern. The most prominent rate of growth was recorded in 2018 an increase of 28% against the previous year. The global export price peaked at $66 per unit in 2014; however, from 2015 to 2022, the export prices stood at a somewhat lower figure.

Prices varied noticeably by the product type; the product with the highest price was tyres for aircraft ($744 per unit), while the average price for exports of tyres for motorcycles or bicycles ($9.8 per unit) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by motorcycle or bicycle tyre (+4.0%), while the other products experienced more modest paces of growth.

Export Prices By Country

In 2022, the average tyre export price amounted to $56 per unit, picking up by 11% against the previous year. Over the period under review, the export price, however, saw a relatively flat trend pattern. The growth pace was the most rapid in 2018 an increase of 28% against the previous year. Over the period under review, the average export prices hit record highs at $66 per unit in 2014; however, from 2015 to 2022, the export prices remained at a lower figure.

Prices varied noticeably by country of origin: amid the top suppliers, the country with the highest price was Japan ($131 per unit), while Indonesia ($32 per unit) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by South Korea (+7.0%), while the other global leaders experienced more modest paces of growth.

Source: IndexBox Market Intelligence Platform