Asia Pacific to drive global tyre market to reach $ 298 bn by 2021

The global automotive tyre market is estimated to reach $ 298.15 billion by 2021 from $ 188.37 billion in 2014 at a CAGR of 6.8 percent during the period from 2015 to 2021, according to a recent market research report published by Transparency Market Research (TMR).
 
Asia Pacific has been the largest market for automotive tyre due to growing demand for vehicles across countries including China, India, Japan, and Australia. Rapid growth of two wheelers and passenger vehicles has also augmented the growth of the market in this region, according to TMR report.
 
Though the global automotive tyre industry is a mature market, it still has the potential for robust growth over the next few years. In the aftermath of global economic recession, the market had witnessed a significant decline. However, in the last couple of years, the automotive industry has been picking up pace and in turn, has boosted the demand for tyres. Introduction of technologically modified green tyres is fuelling the growth of the global automotive tyre market owing to their advanced features such as better grip and durability.
   
The rise in commercial and passenger vehicles has fuelled the demand from the global automotive tyre market. Rapid advancements in technology and the growing demand for ecologically viable tyres have further augmented the growth of the market. During 20115-2021, the demand for luxury and sports utility vehicles, coupled with growing focus on consumer safety and stringent government regulations, is expected to play an important role in the expansion of the market, said TMR in the report.
 
As per the report, advancements in technology have propelled the demand for radial tyres and this product segment holds the majority of the market.
 
In 2014, passenger vehicles dominated the overall market and this application is anticipated to register robust growth during 2015-2021 owing to the high demand for passenger vehicles across Asia Pacific and Europe. In countries such as the US, Germany and France, passenger vehicles are most commonly used. High per capita income and changing lifestyle are expected to propel the demand for passenger vehicles in these countries.