Tires Market Summary

The global tires market size was estimated at USD 143.06 billion in 2024 and is projected to reach USD 173.93 billion by 2030, growing at a compound annual growth rate (CAGR) of 3.4% from 2025 to 2030. This growth is largely fueled by the steady expansion of the global automotive industry, particularly in emerging economies where an increase in disposable income, rapid urbanization, and rising vehicle ownership are contributing to a higher demand for various types of tires, ranging from passenger car tires to commercial and specialty tires used across diverse industries.

The electric vehicle (EV) segment is also playing a critical role in driving market demand, as the transition toward sustainable mobility accelerates. EVs require specialized tires that feature low rolling resistance to improve battery efficiency, as well as enhanced durability to withstand the unique weight distribution and torque characteristics of electric drivetrains. This demand has encouraged manufacturers to innovate and develop tire technologies specifically designed for electric mobility, boosting the market's overall growth potential.

Ongoing infrastructure development and urban expansion projects are further contributing to the rising demand for commercial vehicle tires. Sectors such as construction, logistics, and public transportation rely on commercial trucks and buses, which in turn generate substantial demand for durable and performance-oriented tires. Simultaneously, the surge in e-commerce activities has amplified the need for light commercial vehicles, leading to increased consumption of replacement and OEM tires in last-mile delivery and freight transport applications.

Key Market Trends & Insights

• In terms of distribution channel, the aftermarket segment led the global market, holding the largest revenue share of 63.3% in 2024. This dominance is attributed to the growing global vehicle parc and the regular need for tire replacements driven by factors such as road wear, climate variations, and individual driving patterns. Consumers are also becoming more proactive in maintaining vehicle safety and performance, which includes timely replacement of worn-out tires.
• Based on vehicle type, the passenger cars segment accounted for the largest revenue share of 32.6% in 2024. The increasing popularity of personal mobility, coupled with rising consumer awareness of tire quality and performance, is bolstering demand for fuel-efficient and technologically advanced tires. Innovations in radial and tubeless tire designs further support the segment's growth by offering benefits such as improved safety, better fuel economy, and enhanced ride comfort.
• The tires market in North America is expanding steadily, supported by the continued growth of the automotive sector and increased vehicle ownership in both the United States and Canada. Demand for high-performance tires tailored for passenger vehicles, SUVs, and electric vehicles remains strong. These trends reflect a growing emphasis on fuel efficiency, advanced traction, and vehicle safety, pushing manufacturers to supply increasingly sophisticated tire options.
• In the United States, rising disposable income and consumer preference for vehicle maintenance have contributed to sustained demand in the tire replacement market. The growth in both passenger and light truck vehicle segments has created a robust environment for tire manufacturers, particularly in urban and suburban areas where transportation infrastructure continues to evolve.
• Asia Pacific dominated the global tires market in 2024, accounting for the largest revenue share of 44.3%. This regional dominance is due to the region's dynamic automotive industry and the increasing adoption of both passenger and commercial vehicles across countries like China, India, Japan, and Southeast Asia. Rapid urbanization, infrastructure development, and rising middle-class income levels are key factors driving vehicle demand, which directly fuels tire consumption in the region.
• In Europe, the market is evolving with a focus on innovation and the integration of smart tire technologies. With the growth of connected and autonomous vehicles, European tire manufacturers are investing in the development of intelligent tires that use embedded sensors to relay real-time data on pressure, temperature, tread condition, and road feedback. These advancements align with the continent’s stringent safety standards and sustainability goals.
• The Middle East and Africa region is anticipated to experience a significant growth rate during the forecast period. Industrial growth, along with expansion in the agricultural sector, has heightened demand for specialized tires. Heavy-duty machinery used in mining, construction, and agriculture sectors requires robust tire solutions capable of enduring tough terrain and extended usage. As countries in the region modernize infrastructure and mechanize agriculture, the need for suitable tires will continue to grow.

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Market Size & Forecast

• 2024 Market Size: USD 143.06 Billion
• 2030 Projected Market Size: USD 173.93 Billion
• CAGR (2025-2030): 3.4%
• Asia Pacific: Largest market in 2024

Key Companies & Market Share Insights

Leading industry players are actively enhancing their product portfolios and global reach through mergers, acquisitions, product launches, and technological innovations. Companies are focusing on improving tire performance, sustainability, and smart features to align with emerging automotive trends and regulatory requirements.

• Michelin is among the leading global players, offering a diverse range of tires that include products for passenger cars, commercial trucks, industrial and agricultural vehicles, motorcycles, aviation, and motorsports. Its high-performance tires cater to both general and specialized applications such as Formula 1 and endurance racing, reinforcing its strong global presence.
• Bridgestone Corporation is another prominent player, producing tires for passenger vehicles, commercial trucks, off-the-road machinery, and specialty industrial applications. Known for its leadership in run-flat technology and environmentally friendly products, Bridgestone has also invested in sustainable practices like guayule-based natural rubber to minimize environmental impact while maintaining tire quality and performance.
• Emerging participants such as Continental AG and Sumitomo Corporation are expanding their global footprint. Continental AG is recognized for its high-performance and all-season tires, as well as innovations like ContiSeal self-sealing and ContiSense smart sensor-enabled tires. These advancements are designed to enhance safety, performance, and fuel efficiency in passenger and commercial vehicles.
• Sumitomo Corporation focuses on providing high-quality tires under brands like Dunlop and Falken. Its product offerings include tires for passenger vehicles, light trucks, and performance cars. Sumitomo’s emphasis on advanced rubber compounding and energy-efficient designs makes it a key player in addressing the growing needs of electric and hybrid vehicle manufacturers.

Key Players

• The Michelin Group
• Bridgestone Corporation
• Continental AG
• The Goodyear Tire and Rubber Company
• Sumitomo Corporation
• Pirelli Tyre S.p.A
• Yokohama Tire Corporation
• Hankook Tire and Technology Co., Ltd.
• Toyo Engineering Corporation
• Kumho Tyre (Australia) Pty Ltd.

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Conclusion

The global tires market is poised for stable growth driven by rising automotive demand, technological advancements, and the shift toward electric mobility. Specialized tires for EVs, smart tire solutions, and innovations in radial and tubeless technology are shaping product development. The aftermarket segment dominates due to tire replacement needs, while Asia Pacific leads globally in consumption. Key players focus on sustainability and performance, targeting both conventional and emerging mobility sectors. As global infrastructure, e-commerce, and transportation needs evolve, the demand for durable, efficient, and intelligent tire solutions will continue to expand, solidifying the tire market’s critical role in modern mobility systems.