by The global KSA Tire Market is estimated to be valued at US$ 4288.49 Mn in 2023 and is expected to exhibit a CAGR of 11.% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
Tires are essential components of vehicles which are responsible for providing traction to wheels. Different types of tires are available in the market based on vehicle requirements such as passenger cars, light commercial vehicles, medium & heavy commercial vehicles, and off-road vehicles. Demand for high-quality and durable tires is growing in the KSA market owing to increasing vehicle fleet.
Market key trends:
One of the key trends fueling the growth of the KSA tire market is rising sales of off-road vehicles. Off-road vehicles such as all-terrain vehicles (ATVs), utility terrain vehicles (UTVs), dirt bikes, and snowmobiles are gaining popularity in the recreational activities in the deserts and rugged terrains of KSA. Special off-road tires manufactured by companies are designed to provide high traction on loose surfaces like sand and dirt. These tires have aggressive tread patterns and reinforced sidewalls to handle rugged use in off-road conditions. The sales of off-road vehicles are expected to grow significantly in the coming years in KSA, thereby driving the demand for off-road tires during the forecast period.
Segment Analysis
The KSA tire market is segmented by type into OEM and replacement tires. The replacement tires segment dominates the market and accounted for nearly 60% share in 2022. The segment is expected to grow at a higher CAGR during the forecast period due to growing vehicle parc and average age of tires in the country. The replacement tires need to be changed frequently to ensure safety and smooth ride, bolstering demand in the segment.
Key Takeaways
Market size
Global KSA Tire Market Size is expected to witness high growth, exhibiting CAGR of 11% over the forecast period, due to increasing vehicle production and sales. Stringent government regulations regarding fuel-efficiency and safety will further propel the market growth.
Regional analysis
The Central region dominates the KSA Tire market with over 35% share due to concentration of major automakers in Riyadh and Qassim. The Western region is expected to grow at the fastest pace during the forecast period owing to expansion of industrial facilities and transportation infrastructure development in Jeddah and Madinah.
Key players
Key players operating in the KSA Tire market are The Bridgestone Group, Hankook Tire Company, Apollo Tires Ltd., Michelin Group, Toyo Tire & Rubber Company Ltd., Goodyear Tire and Rubber Company, Yokohama Rubber Company Ltd., Pirelli & C SpA Company, Cooper Tire & Rubber Company, and Continental AG. These companies are focusing on diversifying their product portfolio and expanding manufacturing facilities to strengthen market presence.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
