Automotive Green Tires Market by Vehicle Type (PC, LCV, Trucks and Buses), Rim Size (13-15”, 16-18”, 19-21” and >21”), Propulsion Type (ICE and EV), Application (On-road and off-road), Sales Channel & Region - Global Forecast to 2028

Automotive Green Tires Market by Vehicle Type (PC, LCV, Trucks and Buses), Rim Size (13-15”, 16-18”, 19-21” and >21”), Propulsion Type (ICE and EV), Application (On-road and off-road), Sales Channel & Region - Global Forecast to 2028

The global automotive green tires market size is projected to grow from USD 11.5 billion in 2023 to USD 15.8 billion by 2028, at a CAGR of 6.5%. Governments around the world are increasingly imposing regulations on fuel efficiency and emissions. These regulations are driving demand for green tires, which are designed to reduce fuel consumption and emissions. Green tires are made from sustainable materials and can help to improve fuel efficiency, reduce emissions, and extend the life of tires. The growing demand for green tires is creating new opportunities for tire manufacturers and suppliers.

The Heavy Trucks segment is estimated to grow at a noticeable CAGR during the forecast period

Heavy trucks are used to transport heavy goods and include, trailers and towing trucks. The weight carrying capacity of heavy trucks is more than that of LCVs. Heavy trucks have more than four tires. In August 2023, Bridgestone Corporation launched Greatec M703 Ecopia which is ultra-wide base tire designed for long-haul and regional commercial vehicles. It is designed with a high-density, ultra-wide tread pattern and a long-wearing compound to provide high mileage over its service life. Green tires can also have a longer lifespan than traditional tires. This can save money on replacement costs, especially for vehicles that are used for a lot of hauling. In May 2022, Goodyear announced to eliminate petroleum-based materials from its high-end tires for heavy trucks Both Europe and the US have stringent regulations and standards for vehicle safety, including tire quality and maintenance. These regulations encourage the use of higher-quality tires that are designed to be more durable and efficient which will drive the market. The environmental regulations for the reduction of CO2 emissions across the globe are expected to drive the demand for green tires in heavy trucks.

16-18” segment is likely to dominate the automotive green tires market during the forecast period

Growing logistics industry is creating new opportunities for 16–18” tires, due to increase in sales of LCVs. Logistics companies require vehicles that can handle heavy loads, with difficult terrains, and larger tires can provide better traction and performance. The logistics industry is constantly evolving, and the types of vehicles used to transport heavy loads are also evolving. As new technologies emerge, new types of vehicles are being developed that can transport heavy loads more efficiently and safely. Many OEMs are developing new technologies, such as run-flat tires and self-inflating tires, which are mostly offered in 16–18"" rim-size tires. This could lead to an increase in demand for these tires, as they offer a number of advantages over traditional tires. Hence, the green tires market will grow

Asia Pacific shows high growth potential for automotive green tires market

China is considered as the manufacturing hub for the automotive industry. This, in turn, is estimated to drive the growth of the green tire market in the Asia Pacific region. In the past few years, the Asia Pacific region has experienced an increase in the demand for luxury or premium segment vehicles. Asia Pacific has emerged as a production hub for major tire manufacturing companies such as Continental (Germany), Goodyear (US), Cooper (US), Pirelli (Italy), Michelin (Singapore), Bridgestone Corporation, Yokohama, Hankook Technology Group Co. Ltd. (South Korea), Nokian (Finland), Apollo Tyres (India), and Sumitomo Rubber Industries (Japan) as of June 2023. In 2021, Asahi Kasei, a Japanese company announced to produce sustainable solution-polymerized styrene-butadiene rubber (S-SBR) for eco friendly tires.

In-depth interviews were conducted with CEOs, marketing directors, other innovation and technology directors, and executives from various key organizations operating in the automotive green tires market. The break-up of the primaries is as follows:

By Company Type: Tier 1 – 80%, OEMs – 20%

By Designation: Director Level – 10%, C Level Executives – 60%, and Others – 30%

By Region: North America – 10%, Europe – 20%, Asia Pacific – 60% South America – 5%, Middle East and Africa – 5% and

The automotive green tires market comprises major manufacturers such as Bridgestone Corporation (Japan), Michelin (France), Goodyear (US), Pirelli (Italy), Continental (Germany), etc.

Research Coverage:

The study covers the automotive green tires market across various segments. It aims at estimating the market size and future growth potential of this market across different segments such as green tires propulsion, vehicle type, rim size, application, sales channel, and region. The study also includes an in-depth competitive analysis of key market players, their company profiles, key observations related to product and business offerings, recent developments, and acquisitions.

This research report categorizes Automotive green tires Market by propulsion Type (ICE and EV), Sales Channel type (OEM and aftermarket), application (On-road and off-road), vehicle Type (Passenger Cars, Light Commercial Vehicles, Heavy Commercial Vehicles, Buses and Two-wheelers), Rim Size (13-15”, 16-18”, 19-21” and >21”), and Region (Asia Pacific, Europe, North America, South America and Middle East & Africa).

The report's scope covers detailed information regarding the major factors, such as drivers, restraints, challenges, and opportunities, influencing the growth of the automotive green tires market. A detailed analysis of the key industry players provides insights into their business overview, solutions, and services; key strategies; contracts, partnerships, agreements, new product & service launches, mergers and acquisitions, and recent developments associated with the automotive green tires market. Competitive analysis of SMEs/startups in the automotive green tires market ecosystem is covered in this report.

Reasons to buy this report:

The report will help the market leaders/new entrants in this market with information on the closest approximations of the revenue numbers for the overall automotive green tires market and the subsegments. This report will help stakeholders understand the competitive landscape and gain more insights to position their businesses better and to plan suitable go-to-market strategies. The report also helps stakeholders understand the market pulse and provides information on key market drivers, restraints, challenges, and opportunities.

The report provides insights on the following pointers:

Analysis of key drivers (Government initiatives for clean and green environment, Increasing vehicle range, Increase in fuel efficiency, High demand for low rolling resistance tires), restraints (Lack of awareness in emerging economies), opportunities (Green replacement tires, Development of green tires owing to stringent regulations), and challenges (Increasing number of mandatory tests to be performed before commercial use of tires, Structural limitation may impede future adoption) influencing the growth of the automotive green tires market.

Product Development/Innovation: Detailed insights on upcoming technologies, research & development activities, and new product & service launches in the automotive green tires market

Market Development: Comprehensive information about lucrative markets – the report analyses the automotive green tires market across varied regions.

Market Diversification: Exhaustive information about new products & services, untapped geographies, recent developments, and investments in the automotive green tires market

Competitive Assessment: In-depth assessment of market shares, growth strategies, and service offerings of leading players like Bridgestone Corporation (Japan), Michelin (France), Goodyear (US), Pirelli (Italy), Continental (Germany) among others in the automotive green tires market.