Tire Material Market Report 2025

The tire material market size has grown strongly in recent years. It will grow from $89.28 billion in 2024 to $94.21 billion in 2025 at a compound annual growth rate (CAGR) of 5.5%. The growth in the historic period can be attributed to evolution of tread compounds, discovery of silica compounds, demand for high-performance tires, development of synthetic rubber, shift to radial tires.

The tire material market size is expected to see strong growth in the next few years. It will grow to $119.49 billion in 2029 at a compound annual growth rate (CAGR) of 6.1%. The growth in the forecast period can be attributed to shift towards 3d printing and customization, demand for fuel-efficient tires, increasing focus on tire recycling and circular economy, continue emphasis on sustainable materials. Major trends in the forecast period include sustainable and eco-friendly materials, advancements in nanotechnology, developing high-performance tires, focus on lightweight materials, shift towards electric and hybrid vehicles.

An expected rise in motor vehicle production is anticipated to drive the growth of the tire materials market in the future. A motor vehicle encompasses any vehicle, tractor-trailer, or semi-trailer that is mechanically powered and used for transporting goods on roadways. Tires play a crucial role by providing traction for acceleration and braking while also minimizing vibration transmission to the vehicle's body. For example, a report published by the European Automobile Manufacturers' Association (ACEA) in May 2023 noted that worldwide motor vehicle production reached 85.4 million in 2022, reflecting a 5.7% increase compared to 2021. Additionally, the International Organization of Motor Vehicle Manufacturers, a national trade association representing 36 countries, reported that total production of cars and commercial vehicles rose from 80.14 million in 2021 to 85.02 million in 2022. Consequently, the increase in motor vehicle production is fueling the expansion of the tire materials market.

A significant driver for the tire materials market is the increased emphasis on fuel efficiency and reduced emissions. Tire materials play a crucial role in enhancing fuel efficiency by reducing rolling resistance, which translates to lower fuel consumption. Additionally, improved tire materials contribute to reduced emissions of harmful pollutants and greenhouse gases, aligning with global sustainability goals. The International Energy Agency reported in March 2023 that carbon dioxide (CO2) emissions from industrial processes and energy combustion increased by 0.9% or 321 million tons in 2022 compared to the previous year. The tire materials market responds to the automotive industry's focus on achieving fuel efficiency and emission reduction targets.

The rising demand for eco-friendly tire materials is a key trend gaining traction in the tire materials market. Eco-friendly products typically incorporate recycled materials sourced from natural origins. Major players in the tire materials sector are concentrating on developing innovative eco-friendly tire products to enhance their market positions. For example, in March 2024, GRI, a prominent Sri Lankan manufacturer of specialty tires for agriculture, material handling, and construction machinery, introduced its next generation of eco-friendly specialty tires that contain a high percentage of sustainable materials. The company's GREEN XLR EARTH series, designed for sustainable agriculture, now includes 87.3% sustainable materials, while the ULTIMATE GREEN XT, a sustainable tire for material handling, features an impressive 93.5% sustainable material content.

Leading companies in the tire materials market are prioritizing innovative products, such as a demonstration tire made from 90% sustainable materials, to boost their revenues. This demonstration tire has been approved for public road use and could lead to fuel savings and reduced carbon emissions. For instance, in January 2023, Goodyear Tire & Rubber Company, a US-based tire manufacturer, unveiled a demonstration tire composed of 90% sustainable materials. It has been shown that this tire exhibits lower rolling resistance compared to a reference tire made from traditional materials, potentially resulting in improved fuel efficiency and a reduced carbon footprint. With 17 highlighted ingredients across 12 distinct components, this tire marks a significant advancement toward Goodyear's 2030 goal of being the first in the industry to utilize only sustainable materials. The demonstration tire, featuring 90% sustainable materials, aims to promote environmental sustainability and innovation in the tire industry by offering enhanced fuel savings and a lower carbon footprint.

In April 2024, Continental, a Germany-based technology firm focused on automotive solutions, acquired EMT Púchov s.r.o. for an undisclosed sum. This acquisition bolsters Continental’s internal capabilities in mold-making technologies, enabling the company to independently manufacture tire molds for various applications as required. EMT Púchov s.r.o. is a Slovakia-based company that specializes in mold manufacturing.

Major companies operating in the tire material market are Orion Engineered Carbons LLC, SIBUR International GmbH, SRF LIMITED, Exxon Mobil Corporation, Teijin Aramid B.V., Birla Carbon Black Limited, Metro Tyre & Industries Limited, Federal Corporation Sdn Bhd, Nokian Tyres PLC, Bekaert Industries India Limited, Cabot Corporation, JSR Corporation, Kuraray Co. Ltd., LANXESS AG, Phillips Carbon Black Limited, PetroChina Company Limited, Solvay SA, Continental AG, The Goodyear Tire & Rubber Company, Michelin & Cie. SCA, Bridgestone Corporation, Sumitomo Rubber Industries Ltd., The Yokohama Rubber Co. Ltd., Hankook Tire & Technology Co. Ltd.

Asia-Pacific was the largest region in the tire material market share in 2024 and is expected to be the fastest-growing region in the forecast period. The regions covered in the tire material market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the tire material market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

Tire material constitutes various components like synthetic and natural rubber, fabric, steel cables, and chemical compounds, including carbon black.

The primary types of tire materials encompass elastomers, reinforcing fillers, plasticizers, chemicals, metal reinforcements, textile reinforcements, among others. Elastomers possess rubber-like characteristics, enabling materials to regain their original shape after undergoing stress. Tires are available in multiple forms, such as solid, pneumatic, and retreated, designed for different vehicle categories like two-wheelers, rickshaws, passenger cars, trucks, buses, utility vehicles, and more, catering to both personal and commercial vehicle applications.

The tire material market research report is one of a series of new reports that provides tire material market statistics, including tire material industry global market size, regional shares, competitors with a tire material market share, detailed tire material market segments, market trends and opportunities, and any further data you may need to thrive in the tire material industry. This tire material market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

The tire material market consists of sales of tire materials by light to medium tires including winter tires, all-season tires, all-terrain tires, mud terrain tires, high-performance tires, and run-flat tires. Values in this market are ‘factory gate’ values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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