Global Tire Material Market was valued at USD 79.91 Bn in 2019 and is expected to reach USD 124.32 Bn by 2027 at a CAGR of 5.68% over the forecast period 2020-2027.
Global Tire Material Market Dynamics
Automotive Companies are using various tires for vehicles depending on the season and environment. The Automotive tire is made of various materials like synthetic and natural rubber, fabric and wire, as well as carbon black along with other chemical compounds. The global automotive industry is slowly recovering, especially in the major economies such as US, China, India, Japan, and Germany where profits and sales are recovering following the recent Covid 19 economic crisis. By 2025, global profits for automotive OEMs are expected to rise by almost 50 percent. The new profits will come mainly from growth in emerging markets and well developed markets such as the US. Europe, Japan, and South Korea will remain steady in terms of growth. Various factors such as growing automotive vehicle production globally, growing disposable income& changing demographic trends, increasing research and development on eco- friendly tire material are driving the market growth over the forecast period. Moreover, flourishing manufacturing, mining, construction and oil and gas sector is increasing demand for heavy commercial vehicles and light commercial vehicles which is expected to create lucrative opportunities tire material market over the forecast period.