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The truck and bus radial (TBR) tire market offers robust performance advantages such as improved fuel efficiency, durability, and safety, which are highly sought after for commercial vehicles. TBR tires provide an optimum combination of load carrying capacity and cornering stability at high speeds. They offer low-rolling resistance and long tread-life, reducing the operating costs of fleet owners.
The global TBR tire market size is estimated to be valued at US$ 17.96 Bn in 2024 and is expected to exhibit a CAGR of 7.1% over the forecast period of 2024 to 2031.
Key Takeaways
Key players operating in the Truck And Bus Radial (TBR) Tire Market Growth are Apollo Tyres, Balkrishna Industries Limited, Bridgestone Corporation, China National Tire & Rubber Co., Ltd., Continental AG, Cooper Tire & Rubber Company, Giti Tire, The Goodyear Tire & Rubber Company, Hankook Tire & Technology Co. Ltd., Kumho Tire Co., Inc., MICHELIN, Nokian Tyres plc., Pirelli & C.S.p.A., Sumitomo Rubber Industries, Ltd., Toyo Tire Corporation, Yokohama Rubber Industries Co., Ltd., ZC Rubber, Prometeon Tyre Group S.R.L.
The key opportunities in the TBR tire market include growing international trade, rising demand from logistics sector, and increasing investments in public transportation systems across developing nations. Technological advancements such as reinforced sidewalls, all-steel construction and improved tread compounds are enhancing the performance of TBR tires.
Market Drivers
Growth of the automotive industry across the globe is one of the major drivers of the TBR tire market. Rapid industrialization and rising infrastructure development activities are augmenting the demand for commercial vehicles for transportation and construction purposes. This in turn is propelling the sales of TBR tires. Expanding fleet sizes of trucks, buses, trailers and off-road vehicles will continue to support the market growth over the forecast period.
Current Challenges in Truck and Bus Radial (TBR) Tire Market
The truck and bus radial tire market is facing challenges due to rising commodity prices, supply chain disruptions caused by the Covid-19 pandemic and geopolitical issues. Raw material costs especially synthetic and natural rubber have increased significantly putting pressure on profit margins of tire manufacturers. The ongoing war between Russia and Ukraine has further exacerbated supply chain issues and increased fuel costs affecting the commercial vehicle industry. This has negatively impacted demand for replacement tires in 2022.
SWOT Analysis
Strengths: Growing international trade and rising fleet operations of trucks and buses create steady replacement demand.
Weaknesses: Market is highly competitive with presence of global leaders and regional players. Price fluctuations of raw materials can impact profitability.
Opportunities: Switch from bias tires to superior radial tires in developing markets offer opportunities for market growth. Increasing usage of renewable materials for tire manufacturing presents new opportunities.
Threats: Economic slowdowns affect transportation sector leading to reduced demand. Stringent fuel efficiency and emissions norms require R&D investments.
Geographical Regions of Concentration
North America and Europe account for around 50% of the global TBR tire market value currently led by the US, Germany, France and the UK. Significant fleet operations and high replacement rates drive demand in these developed regions.
Fastest Growing Regions
Asia Pacific region is expected to see strongest growth during the forecast period with a CAGR of over 8%. Countries like China, India and Indonesia will be major contributors to market expansion supported by growing commercial vehicle production and sales. Infrastructure development across APAC is augmenting transportation sector growth.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
