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Automotive Tires Market Size, Share, Growth & Industry Analysis, By Tire Design (Radial, Bias, Non-pneumatic/ Airless), By Vehicle Type (Passenger Cars, Light Commercial Vehicles, Heavy Commercial Vehicles, Two-Wheelers), By Application, By Rim Size, By Propulsion, By End User and Regional Analysis, 2025-2032
Pages: 240 | Base Year: 2024 | Release: August 2025 | Author: Versha V.
Automotive tires are vehicle components that provide traction, absorb shocks, and support the vehicle’s load while ensuring road safety and fuel efficiency. These products are designed using various materials and structures to match different driving conditions, performance standards, and durability requirements.
The market includes radial, bias, and non-pneumatic tires manufactured for passenger cars, commercial vehicles, two-wheelers, and off-road equipment. The market serves on-road and off-road usage across OEM and aftermarket channels, with demand influenced by rim size and propulsion type such as internal-combustion, electric, and hybrid vehicles.
The global automotive tires market size was valued at USD 180.04 billion in 2024 and is projected to grow from USD 185.34 billion in 2025 to USD 234.77 billion by 2032, exhibiting a CAGR of 3.44% during the forecast period.
The growth is driven by rising vehicle production, increasing demand for replacement tires, and advancements in tire technology that improve durability, fuel efficiency, and safety. Expanding electric vehicle adoption and greater focus on performance and sustainability are further accelerating product innovation and market expansion across regions.
Major companies operating in the automotive tires market are Bridgestone, Michelin, The Goodyear Tire & Rubber Company, Continental Reifen Deutschland GmbH, Pirelli & C. S.p.A., Sumitomo Rubber Industries, Ltd., Hankook Tire & Technology, THE YOKOHAMA RUBBER CO., LTD., TOYO TIRE CORPORATION, Giti Tire, NANKANG RUBBER TIRE CORP., LTD., Balkrishna Industries Limited, Deestone-Tires, DOUBLE STAR TIRE, and Triangle Tire Co., Ltd.
The market is driven by the increasing demand for all-season tires across passenger and commercial vehicles. These tires provide consistent performance in varying weather conditions, reducing the need for seasonal changeovers. Advancements in material engineering and tread design are improving durability, fuel efficiency, and driving comfort.
OEMs and fleet operators are adopting all-season tires to streamline inventory and maintenance costs. Companies are expanding all-season offerings to align with diverse market demands and deliver greater year-round value to consumers.
Growing Demand for High-Performance Tires
Rising preference for enhanced vehicle handling and speed stability has driven the demand for high-performance tires. These tires deliver superior grip, braking accuracy, and responsiveness, making them essential for sports and performance vehicles. Standard tires often lack the precision and control required in high-speed or aggressive driving conditions.
High-performance tires address this need through specialized tread patterns, advanced rubber compounds, and reinforced internal structures that improve traction and durability.
Fluctuating Raw Material Costs Impacting Tire Production
The automotive tires market faces a significant challenge due to fluctuating raw material costs. Prices of key inputs such as natural rubber, synthetic rubber, and carbon black remain unstable, leading to unpredictable production expenses and margin pressures.
To mitigate this, manufacturers are adopting strategic sourcing agreements, exploring alternative materials, and leveraging advanced manufacturing technologies to improve cost efficiency and reduce dependency on volatile raw inputs.
Specialized Tires for Electric Vehicles
The automotive tires market is undergoing a significant transformation due to the rising adoption of electric vehicles (EVs). EV-specific tires are engineered with features such as low rolling resistance, reinforced structures for heavier battery loads, and optimized tread patterns to reduce road noise. These design elements enhance driving efficiency and align with the performance demands of electric drivetrains.
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Segmentation |
Details |
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By Tire Design |
Radial, Bias, Non-pneumatic/ Airless |
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By Vehicle Type |
Passenger Cars, Light Commercial Vehicles, Heavy Commercial Vehicles, Two-Wheelers, Off-the-Road & Specialty (OTR, Agriculture, Mining, Racing) |
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By Application |
On-Road, and Off-Road (Construction, Mining, Agriculture) |
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By Rim Size |
15–20 Inches, Below 15 Inches, Above 20 Inches |
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By Propulsion |
Internal-Combustion Vehicles, Electric Vehicles, Hybrid Vehicles |
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By End User |
Aftermarket (Replacement, Retread), OEM |
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By Region |
North America: U.S., Canada, Mexico |
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Europe: France, UK, Spain, Germany, Italy, Russia, Rest of Europe |
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Asia-Pacific: China, Japan, India, Australia, ASEAN, South Korea, Rest of Asia-Pacific |
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Middle East & Africa: Turkey, U.A.E., Saudi Arabia, South Africa, Rest of Middle East & Africa |
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South America: Brazil, Argentina, Rest of South America |
Based on region, the market has been classified into North America, Europe, Asia Pacific, Middle East & Africa, and South America.
North America automotive tires market share stood at 54.30% in 2024 in the global market, with a valuation of USD 97.76 billion. The dominance is due to the region’s high vehicle ownership rate and strong automotive production base, which drives consistent demand across OEM and aftermarket channels.
Major tire manufacturers operate extensive production and distribution facilities across the U.S., supporting large-scale supply to meet demand from passenger cars, light trucks, and commercial vehicles. Moreover, continuous investments in manufacturing technology and product innovation by the key market players is driving market growth across the region.
Europe automotive tires industry is poised to grow at a CAGR of 2.66% over the forecast period. The growth is driven by tire manufacturers expanding production facilities and R&D capabilities across key European countries to strengthen regional supply. Moreover, the presence of leading tire manufacturers that are actively investing in advanced manufacturing plants, automation, and localized R&D centers is further driving the growth of the market.
These investments are targeted towards reducing lead times and respond faster to evolving vehicle standards. These expansions are enabling manufacturers to serve OEM contracts more efficiently while addressing region-specific requirements such as winter tire performance and sustainability targets.
Key players in the automotive tires industry are focusing on product innovation and regional expansion to strengthen their market position. Companies are developing high-performance sporty tires designed for enhanced grip, speed stability, and cornering control to meet the rising demand from performance vehicles and premium passenger cars.
Manufacturers are expanding production facilities in regions with growing automotive assembly operations to reduce delivery times and improve supply chain efficiency.
Strategic investments in localized R&D centers are helping companies tailor tire designs to regional road conditions, vehicle types, and regulatory standards. In addition, partnerships with local distributors and OEMs are enabling faster market access and stronger brand presence across competitive regions.
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