Global Agriculture Tires Market - 2023-2030

Global Agriculture Tires Market - 2023-2030

Global Agriculture Tires Market reached US$ 10.38 billion in 2022 and is expected to reach US$ 15.93 billion by 2030, growing with a CAGR of 5.5% during the forecast period 2023-2030.

Agricultural tires are used for agricultural machineries such as tractors, harvesters, trailers and others. Tires play an essential role in the performance of agricultural machines. There is a growing demand for tires that are more fuel-efficient, durable and puncture-resistant. These tires provide better fuel economy, performance and driver comfort in farming vehicles.

Growing demand for food is one of the prime reasons for the increased need for mechanization within the agricultural sector. Farmers are increasingly adopting precision agriculture practices, which is driving the demand for tires that are compatible with GPS and other guidance systems. The increasing demand for agricultural machinery, rising farm income and the growing adoption of advanced agricultural practices. In addition, the rise of e-commerce is creating new opportunities for the sale of agricultural tires.

Asia-Pacific dominated the global agricultural tires market. The agricultural landscape in China and India is undergoing a significant shift. Shrinking rural populations and rising labor costs are making manual farming less viable, pushing the demand for machinery. Farmers' increasing disposable income and government support are fueling this trend, allowing for investment in efficient solutions in the region.

Dynamics

High Need for Better Agricultural Practices

The global agricultural tire market is experiencing a surge, driven by a rising population and a rise in demand for adopting more intelligent farming practices. With a rising global population, the demand for food production is constantly increasing. This necessitates increased efficiency and productivity in agricultural practices use of more machines. This is driving demand for specialized tractors, harvesters and combine tires.

Modernization and precision agriculture are gaining momentum, requiring machinery equipped with advanced features like GPS and automation. The practices like GPS-guided tractors and targeted fertilizer use require tires with low rolling resistance and reduced soil compaction, maximizing efficiency and minimizing environmental impact. As the demand for sustainable and efficient food production grows, the market for advanced agricultural tires is expanding globally.

New Product Introductions

Agricultural tires are gaining immense demand in all parts of the world with the increasing need for agricultural machinery. To meet the growing demands for machinery, manufacturers are coming up with new and innovative product laucnhes that help in meeting the changing end-user necessities. The key players in the market are investing in research and development to develop new and innovative tires that meet the needs of farmers to produce effective agricultural tires.

The new product introductions with increased capabilities, increasing efficiency and functionalities drive the market growth. For instance, in February 2022, a French multinational tyre manufacturing company added a new product to thier portfolio with the launch of, the New EVOBIB Agricultural Tire. The product is a combination of improved longevity, sustainable traction, reduced soil compaction, and lower fuel consumption.

High-Cost for Agriculture Tires

The agriculture tire market is hindered by unpredictable costs. The raw materials like rubber, nylon, and steel experience price fluctuations that squeeze manufacturers' profits, making it harder to offer affordable tires to farmers. Agricultural tires are built with robust materials and complex tread designs to withstand harsh conditions and heavy loads. This can make them significantly more expensive than regular tires used for passenger vehicles or light trucks.

The high upfront cost of agricultural tires can put a strain on the budgets of farmers, particularly small and medium-scale ones. This can be a barrier to adopting new tires, even when replacements are necessary, potentially leading to safety concerns and reduced efficiency. This can discourage farmers from replacing worn tires, potentially impacting safety and efficiency.

Segment Analysis

The global agriculture tires market is segmented based on construction, type, component, equipment horsepower, application, end-user and region.

Wide Range Of Applications Of Tractors Within The Agricultural Industry

The global agriculture tires market is segmented based on combined harvesters, tractors, trailers, sprayers, loaders and others. The tractors segment accounted for the largest share in the global agriculture tires market. Tractors hold a significant share of the market owing to a wide range of applications of tractors within the agricultural industry. Tractors are used in agriculture for various applications such as ploughing, tilling, sowing and harrowing.

Tractors are the workhorses of modern farms, used for a vast array of tasks that require significant power and traction. This translates into a high demand for agricultural tires specifically designed to handle these diverse applications. Tractors use diverse tire options depending on their specific function and operating environment. This variety, encompassing features like tread patterns, size, ply rating, and construction materials, caters to the specific needs of various agricultural tasks.

The increase in launches of new technology of tires for tractors is booming the segment growth. For instance, Continental AG, a German multinational automotive parts manufacturing company introduced the VF TractorMaster in February 2022. The product is the largest tractor tire of its kind, with a diameter of 2,147 millimetres. The tire weighs about 475 kg and can handle a load of 10,300 kg.

Geographical Penetration

High Demand for the Agricultural Machinery in Asia-Pacific

Asia-Pacific is the leading region of the market owing to increased mechanization and the growing agriculture sector. The increasing growth of agriculture in India and China also adds fuel to the regional market demand. According to the India Brand Equity Foundation, in India, agriculture is the primary source of livelihood for ~55% of the population. Due to its diverse agro-climatic conditions, India has a wide-ranging demand for various agricultural machinery with wide agricultural productions.

According to the Ministry of Agriculture and Farmer's Welfare, the estimation of area, production and yield of major crops in India is a total of 127.13 million hectares of area of foodgrains and 25.65 million hectares of oilseeds and others. The higher the crop area utilized the higher the crop production increases, which positively drives the demand for agricultural tires for their applications in massive crop ranges.

Competitive Landscape

The major global players in the market include Yokohama TWS, Michelin, Apollo Tyres Ltd, Balkrishna Industries Limited (BKT), YOKOHAMA OFF-HIGHWAY TIRES AMERICA, INC., Mitas, Xuzhou Armour Rubber Company Ltd, Titan International, Inc., Bridgestone Americas Tire Operations, LLC. and Continental Corporation.

COVID-19 Impact Analysis

The COVID-19 pandemic had both positive and negative impact on the global agriculture tires market. The initial lockdowns and economic diversions created a financial crisis for farmers limited farmer purchasing power to buy agricultural machinery that use agricutltural tires. The disruptions in the supply chain activities and reduced demand have a negative impact on the market growth.

On the other side, there was a high focus on local production, e-commerce, and precision agriculture technologies presenting exciting new opportunities for the global agriculture tires market. The pandemic highlighted the need for better local production, propelling various regional tire manufacturing and benefiting markets. Furthermore, the pandemic's emphasis on efficiency fueled demand for tires compatible with precision agriculture technologies.

By Construction
• Bias Tires
• Radial Tires

By Type
• Compact Tractors
• Utility Tractors
• Harvesting Equipment
• Implement Tires

By Equipment Horsepower
• 0-80HP
• 81-200HP

By Application
• Combine Harvester
• Tractors
• Trailers
• Sprayer
• Loaders
• Others

By End-User
• Replacement/Aftermarket Tires
• Original Equipment Tires

By Region
• North America
U.S.
Canada
Mexico
• Europe
Germany
UK
France
Italy
Russia
Rest of Europe
• South America
Brazil
Argentina
Rest of South America
• Asia-Pacific
China
India
Japan
Australia
Rest of Asia-Pacific
• Middle East and Africa

Key Developments
• In August 2022, Yokohama Rubber Co., Ltd., the Japanese tire manufacturer, introduced its new production plant in Visakhapatnam, India. The new plant supports the company's expansion into producing off-highway tires, specifically those used in agriculture and other equipment.
• In March 2022, The Yokohama Rubber Co., Ltd., the Japanese tire manufacturer and Trelleborg Wheel Systems Holding AB, a global supplier of tires and complete wheels for agricultural and forestry machines entered into a share purchase agreement to acquire all shares of Trelleborg Wheel Systems Holding AB.
• In April 2021, Michelin launched its Agribib Row Crop IF agriculture tires into the market. Michelin's new Agribib Row Crop IF tires handle heavier loads, grip better, and reduce soil compaction, making them a win for productivity and the environment.

Why Purchase the Report?
• To visualize the global agriculture tires market segmentation based on construction, type, component, equipment horsepower, application, end-user, as well as understand key commercial assets and players.
• Identify commercial opportunities by analyzing trends and co-development.
• Excel data sheet with numerous data points of agriculture tires market-level with all segments.
• PDF report consists of a comprehensive analysis after exhaustive qualitative interviews and an in-depth study.
• Product mapping available as excel consisting of key products of all the major players.

The global agriculture tires market report would provide approximately 78 tables, 73 figures and 225 pages.

Target Audience 2023
• Manufacturers/ Buyers
• Industry Investors/Investment Bankers
• Research Professionals
• Emerging Companies