Feb 11, 2021
Passenger Cars to Hold Close to 50% Share in Tubeless Tires Market, with Mounting Demand from Electric Vehicles, Opines Fact.MR
by Team Fact.MR
Technological advancements will continue to change the automotive sector and provide a boost to associated industries. Shift towards electric vehicles will result in providing numerous market opportunities for tubeless tire manufacturers as well. Incentives provided by regional government to buyers as well as manufacturers for their steps towards anti-pollution policies will pave the path for a growing automotive industry. Favourable regulatory policies and incentives provided by regional governments will facilitate numerous opportunities for automotive industry.
Increasing adoption of mobility services will impact new car sales in the personal vehicle segment, while decline is anticipated to be compensated by increase in commercial car sales. Commercial cars undergo wear and tear more rapidly, resulting into shorter product replacement cycles. Furthermore, increasing awareness associated with advantages of tubeless tires over conventional tires will pave the path for the installation of tubeless tires from the aftermarket channel.
As per Fact.MR’s report, the global tubeless tires market is anticipated to progress at a steady 6% CAGR through 2030.
Key Takeaways from Tubeless Tires Market Study
- The global tubeless tires market is anticipated to add 1.8X value by 2030 as compared to 2020.
- Standard technology will account for a major chunk of the market, equivalent to two-third market share.
- The aftermarket sales channel segment is the fastest-growing in the market, owing to rapid growth in demand from emerging economies, especially in India and China.
- APEJ is set to dominate market revenue in 2020, and is expected to be the fastest-growing regional market, gaining 80 BPS in its market share by 2030 over 2020.
- Bias-based tubeless tires are anticipated to lose around 110 BPS during the forecast period.
- As a result of the COVID-19 outbreak, the tubeless tires market experienced -7% growth rate in 2020, with expectations around 6% for 2021. Overall, the market is set to recover by mid-2021.
- Radial tubeless tires will hold around 80% market share over the next ten years.
- Passenger vehicles will account for close to half of the demand for tubeless tires across the world.
- The market in the U.S. is projected to expand at a CAGR above 6% through 2030, while that in the U.K. at close to 8%.
- Germany is set to progress at a CAGR over 6%, while the market in China for tubeless tires is set to expand at nearly 8% over the next ten years.
“Shift toward greener technology will have a moderate impact on the market, as developing the necessary technology for next-generation vehicles will take some time and investment,” says a Fact.MR analyst.
Rising Complexity Influencing Greater Emphasis on Platform
The market is witnessing increasing complexity, influencing OEMs to increase their number of derivatives, especially in concealed sections such as chassis, core components, and body structures. New derivatives are currently witnessing heavy adoption in entry and value segments. This trend is expected to gain momentum; however, way too many derivatives can increase profitability pressures.
Furthermore, complex structure of radial tires as compared to that of bias tires would result in attracting additional operating costs for manufacturers. Adoption of connected and autonomous cars will increase risks associated with tire structure and current pavement conditions.
More Valuable Insights on Tubeless Tires Market
Fact.MR, in its new offering, presents an unbiased analysis of the global tubeless tires market, presenting historical demand data (2015-2019) and forecast statistics for the period of 2020-2030. The study divulges essential insights on the market on the basis of product type (radial and bias), vehicle type (two wheelers, passenger cars, LCVs, and HCVs), distribution channel (OEM and aftermarket), and technology (standard, powered, heated, and powered & heated), across six major regions of the world (North America, Latin America, Europe, Japan, Asia Pacific excl. Japan, and the Middle East & Africa).
About the Automotive Division at Fact.MR
Expert analysis, actionable insights, and strategic recommendations of the highly seasoned automotive team at Fact.MR helps clients from across the globe with their unique business intelligence needs. With a repertoire of over thousand reports and 1 million-plus data points, the team has analyzed the automotive industry across 50+ countries for over a decade. The team provides unmatched end-to-end research and consulting services. Reach out to explore how we can help.
For more information, refer to our market research report or contact the PR author.
Consultant - Automotive