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The India Two-Wheeler Tires Market was valued at USD 2.84 Billion in 2024, and is expected to reach USD 5.42 Billion by 2030, rising at a CAGR of 11.40%. The Indian two-wheeler tires market is experiencing significant growth, fueled by a rapid increase in the number of two-wheeler vehicles on the road, as well as the rising disposable income of consumers. Speak directly to the analyst to clarify any post sales queries you may have.
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Motorcycles and scooters remain a popular mode of transportation due to their affordability, fuel efficiency, and suitability for congested urban environments. This trend is expected to continue, pushing the demand for high-quality tires. As more individuals in rural and semi-urban areas embrace two-wheelers for daily commutes and leisure, the market for replacement tires and upgrades also grows. Tire manufacturers are focusing on creating products that offer better performance, fuel efficiency, and longer life, catering to the expanding demand.
Several factors are driving the growth of the two-wheeler tires market in India. The growing preference for electric vehicles (EVs), including electric scooters, is reshaping tire demand, as these vehicles require specialized tires that can handle different performance requirements. Furthermore, the expansion of delivery and logistics services, particularly in e-commerce, has led to a surge in the use of two-wheelers for business purposes. This has increased the need for durable and high-performance tires to withstand the demands of frequent usage and varying road conditions. Consumer awareness about the importance of tire quality, safety, and maintenance is also encouraging tire replacements more frequently, contributing to market growth.
The market faces several challenges, including the high cost of raw materials like rubber, which can affect pricing and profitability for tire manufacturers. Additionally, there is stiff competition from both domestic and international players, leading to price wars and margin pressures. The demand for advanced, eco-friendly tires presents another challenge, as manufacturers need to invest in research and development to produce sustainable products without compromising on performance.
Despite these challenges, opportunities for growth remain abundant, especially with the increasing demand for technologically advanced tires, such as tubeless tires, that offer better performance, fuel efficiency, and safety. Manufacturers who can adapt to shifting consumer preferences and emerging trends will continue to thrive in the competitive landscape. These factors are driving the market in the forecast period 2025-2030.
Market Drivers
Growth in Two-Wheeler Sales
The demand for two-wheelers in India has surged in recent years, driven by their affordability and convenience. With a significant number of young, working professionals and rural populations opting for motorcycles and scooters, the market has expanded substantially. The two-wheeler segment continues to be a major contributor to the automotive industry. As more people prioritize fuel efficiency and low maintenance, these vehicles become the preferred mode of transport, directly influencing the demand for tires. The continuous rise in vehicle ownership, supported by increased disposable income and changing lifestyles, boosts the tire market as well. This trend reflects a steady growth trajectory for the industry, especially as the country’s infrastructure develops, leading to smoother roads that encourage more two-wheeler usage.Demand for Fuel-Efficient Tires
As fuel prices rise, consumers are seeking ways to reduce their overall transportation costs. One of the keyways to achieve this is through the use of fuel-efficient tires, which improve the fuel economy of two-wheelers. These tires are designed to reduce rolling resistance, which in turn reduces fuel consumption. With growing awareness of environmental issues and the rising cost of living, consumers are more inclined to invest in tires that help reduce their carbon footprint while also saving on fuel. This demand for fuel-efficient products has motivated manufacturers to innovate and improve their tire technology, driving the growth of the market.Technological Advancements in Tires
The tire industry in India is witnessing significant technological innovations, focusing on improving performance, durability, and safety. The introduction of features like tubeless tires, radial tires, and tires with improved tread patterns has captured the market's attention. These technological advancements enhance the performance of two-wheelers, especially for users who face varied road conditions, from highways to rough urban streets. Furthermore, the development of specialized tires for electric two-wheelers, which require different performance characteristics, has opened up a new avenue of growth. Tires with advanced tread designs offer better grip and stability, ensuring safer rides, particularly on wet or slippery roads. As technology continues to evolve, it provides a competitive edge for manufacturers that can introduce cutting-edge products.Shift Toward Electric Two-Wheelers
The growing interest in electric vehicles (EVs), especially electric scooters and bikes, is influencing the demand for specialized tires. Electric two-wheelers have unique requirements in terms of tire performance, especially with factors like torque, battery weight, and speed. As EV adoption increases, manufacturers are adjusting their tire designs to meet the specific needs of electric vehicles. This shift presents a significant opportunity in the tire market as the demand for EV-specific tires grows. Consumers opting for electric two-wheelers tend to look for products that promise lower maintenance costs and higher efficiency, prompting tire companies to innovate in ways that align with these preferences.Expanding E-commerce and Delivery Services
The rise of e-commerce and the expansion of delivery services have led to an increase in the number of two-wheelers used for commercial purposes. Delivery personnel, especially in urban areas, rely on motorcycles and scooters to deliver goods, which results in a higher demand for durable tires. These vehicles endure more wear and tear due to constant use, making the need for high-performance, long-lasting tires crucial. As the delivery ecosystem continues to evolve, it opens up new opportunities for tire manufacturers to provide specialized products that cater to this growing sector. The convenience of quick and reliable delivery services has transformed the way consumers shop, which in turn drives the need for more robust two-wheeler tires.Key Market Challenges
High Raw Material Costs
One of the biggest challenges for the two-wheeler tires market in India is the fluctuating cost of raw materials, such as rubber and steel. Rubber, the primary material for tire manufacturing, is subject to price volatility, often influenced by factors like weather conditions, supply chain disruptions, and global demand. This instability in material costs puts pressure on manufacturers, who face difficulties in maintaining profit margins without raising prices. As the cost of raw materials increases, tire manufacturers have to balance the need to keep tires affordable for consumers while maintaining product quality. Rising input costs can also discourage investment in research and development for new products or technologies.Intense Market Competition
The Indian two-wheeler tire market is highly competitive, with both domestic and international players vying for market share. This intense competition leads to price wars, with brands constantly undercutting each other to offer the most affordable products. While this benefits consumers in terms of price, it places a significant strain on manufacturers’ profit margins. In addition to pricing pressure, tire companies must continuously innovate and offer superior products to differentiate themselves. The race to offer the best value for money, coupled with a growing number of brands entering the market, intensifies the challenge for established players to maintain a leading position.Rising Environmental Concerns
As the world focuses more on sustainability, the tire industry is also facing pressure to reduce its environmental impact. Consumers and governments are demanding products that are more eco-friendly, encouraging manufacturers to explore alternatives to traditional tire materials. The disposal of used tires is another environmental challenge, as tires are difficult to recycle and often contribute to landfill waste. Manufacturers are being pushed to develop recyclable and biodegradable tire solutions, which can be costly and require significant research. As the demand for greener products increases, tire companies must adapt to meet these expectations without compromising on performance or safety, presenting both challenges and opportunities for innovation.Adoption of Advanced Tire Technologies
Despite the growing demand for new tire technologies, the cost of developing and integrating advanced technologies remains a challenge. Tires with advanced features like self-healing, better tread life, or enhanced grip require substantial investments in R&D and production capabilities. Moreover, the implementation of these technologies is a complex process, as manufacturers must ensure that these innovations can be integrated into their existing product lines. This high upfront investment can be a deterrent for smaller or less financially stable companies. While the long-term benefits of advanced tire technologies are clear, the challenge lies in balancing cost with innovation, especially for companies that cannot afford heavy R&D investments.Regulatory and Safety Standards
The Indian tire industry faces the challenge of adhering to the increasingly stringent safety and regulatory standards set by the government. These regulations govern aspects like tire quality, material usage, performance, and safety. Complying with these standards requires constant updates to manufacturing processes, testing procedures, and materials used in tires. For smaller manufacturers, keeping up with these regulations can be an expensive and time-consuming endeavor. Furthermore, non-compliance can lead to legal issues and damage to brand reputation. As regulations continue to evolve, the challenge for tire manufacturers is to stay ahead of compliance requirements while ensuring their products meet consumer expectations.Key Market Trends
Focus on Lightweight Tires
One of the emerging trends in the two-wheeler tire market is the development of lightweight tires. As two-wheeler manufacturers continue to improve the efficiency and performance of their vehicles, the need for lightweight, high-performance tires has increased. Lightweight tires reduce the overall weight of the vehicle, which in turn improves fuel efficiency, handling, and performance. These tires are particularly popular in electric two-wheelers, where weight reduction plays a critical role in enhancing battery performance and extending the range of the vehicle. This trend is expected to grow as consumers demand products that offer a balance of performance, efficiency, and durability.Increasing Use of Radial Tires
Radial tires have gained significant popularity in India due to their superior performance, durability, and comfort. These tires offer better handling and a smoother ride, making them a preferred choice for many two-wheeler users. Radial construction helps distribute the load more evenly, reducing tire wear and improving fuel efficiency. As more consumers become aware of the advantages of radial tires, their adoption is expected to grow, especially for high-performance motorcycles and scooters. The trend towards radial tires is also supported by advancements in tire manufacturing technology, which enables the production of radial tires at competitive prices.Smart Tires and Digital Integration
The trend of integrating digital technologies into tires is gaining momentum in the two-wheeler market. Smart tires equipped with sensors can provide real-time data on tire pressure, temperature, wear, and overall performance. This technology allows riders to monitor tire conditions through smartphone apps, improving safety and convenience. Smart tires help prevent issues such as under-inflation or overloading, which can lead to accidents. As consumers demand more safety features and connectivity in their vehicles, the market for smart tires is likely to expand. Tire manufacturers are exploring ways to incorporate this technology into their product offerings to stay competitive in an increasingly tech-driven market.Sustainability and Eco-Friendly Tires
Sustainability is becoming a significant trend in the tire industry, driven by both consumer demand and regulatory pressure. Manufacturers are focusing on developing eco-friendly tires made from renewable materials, such as sustainable rubber and biodegradable compounds. These tires are designed to have a lower environmental impact throughout their lifecycle, from production to disposal. As consumers become more environmentally conscious, they are looking for products that align with their values, pushing tire manufacturers to adopt greener practices. The shift towards sustainable tires is not only a response to consumer demand but also a way for manufacturers to comply with stricter environmental regulations and enhance their brand reputation.Customization and Performance-Oriented Tires
As the two-wheeler market becomes more diverse, there is a growing trend toward customization. Riders are increasingly seeking tires that offer specific performance characteristics, such as better grip, improved handling, or enhanced off-road capabilities. This trend is especially evident in the growing popularity of premium motorcycles and adventure bikes, which require tires designed for specific performance needs. Tire manufacturers are responding by offering a broader range of tires that cater to different riding styles and conditions. Customization in terms of design and performance allows consumers to tailor their riding experience, making this trend a key driver in the market.Segmental Insights
Vehicle Type Insights
The Indian two-wheeler tires market is segmented by vehicle type into motorcycles and scooters/mopeds, with each segment catering to distinct consumer needs and preferences. Motorcycles, commonly used for both commuting and recreational purposes, require tires that offer durability, performance, and safety. These vehicles often face varied road conditions, from highways to rough urban streets, prompting the need for tires designed for stability, grip, and longer life. Motorcycle tires are engineered to withstand higher speeds, heavier loads, and more rigorous usage, which makes them a crucial element in ensuring the safety and efficiency of the vehicle. Consumers in this segment tend to prioritize performance features such as tread patterns, handling, and braking performance, especially for motorcycles used for long-distance travel or off-road conditions.Scooters and mopeds, on the other hand, cater primarily to urban commuters looking for convenience, fuel efficiency, and affordability. These vehicles are ideal for short-distance travel and are favored for their ease of maneuverability in congested city traffic. Tires for scooters and mopeds are generally designed for lighter loads, lower speeds, and enhanced fuel efficiency. In many cases, tires for these vehicles focus on providing a comfortable and smooth ride, as well as excellent grip on both paved and uneven surfaces. Given the high volume of short trips taken by users, tire durability and wear resistance are also critical factors.
The demand for tires in these two segments reflects differing usage patterns and consumer priorities. While motorcycle tire development focuses on performance and road handling in a variety of conditions, scooter and moped tire design emphasizes comfort, fuel efficiency, and affordability. As the demand for both types of vehicles continues to grow, manufacturers are increasingly focusing on offering specialized products that cater to the unique requirements of each vehicle type. The tire market for both motorcycles and scooters/mopeds continues to evolve, driven by consumer preferences for better performance, safety, and value.
Regional Insights
The Northern region of India dominated the two-wheeler tire market in 2024, driven by the region's large population, rapid urbanization, and increasing demand for affordable and efficient transportation. Key states such as Uttar Pradesh, Punjab, Haryana, and Delhi are at the forefront of this growth. The preference for motorcycles and scooters in these areas is largely fueled by the need for cost-effective and convenient mobility, especially in densely populated cities and towns where traffic congestion is a common issue. Two-wheelers serve as an ideal solution for quick commutes and efficient navigation through crowded urban streets.Uttar Pradesh, with its vast population and a mix of urban and rural areas, stands as a critical contributor to the Northern region's tire market. The rising disposable incomes in the state, along with the growing trend of owning motorcycles for daily commuting, contribute significantly to the demand for two-wheeler tires. The increasing number of small businesses and local delivery services in both urban and rural parts of the state further propels the need for durable and reliable tires. The demand for two-wheeler tires in the region remains high, driven by the frequent replacement needs due to the intensive use of vehicles.
Delhi, the national capital, also plays a pivotal role in the market, with the city’s high population density and rapid urban growth. The demand for two-wheelers is driven by the city's need for flexible and fast transportation options. In addition, the government's initiatives to promote electric vehicles (EVs) in Delhi have created new opportunities for tire manufacturers, as electric two-wheelers require specialized tires for better performance and durability. The Northern region’s dominance is further enhanced by the growing adoption of electric two-wheelers, adding to the overall tire market’s expansion.
Rural areas in the North also contribute to the market's growth, as motorcycles and scooters are essential for transportation in these regions. With increasing rural incomes and greater access to financing, demand for two-wheeler tires is expected to rise steadily. The presence of a wide distribution network and easy access to tire retailers ensures that the Northern region will maintain its dominance in the two-wheeler tire market through 2024 and beyond.
Key Market Players
- MRF Limited
- CEAT Limited
- TVS Srichakra Limited
- JK Tyre & Industries Ltd.
- Apollo Tyres Limited
- Bridgestone India Private Limited
- Michelin Group
- Pirelli & C. S.p.A.
- Ralco Tyres Limited
- Maxxis Rubber India Private Limited
Report Scope:
In this report, the India Two-Wheeler Tires Market has been segmented into the following categories, in addition to the industry trends which have also been detailed below:India Two-Wheeler Tires Market, By Vehicle Type:
- Motorcycle
- Scooter/Moped
India Two-Wheeler Tires Market, By Propulsion Type:
- ICE
- BEV
India Two-Wheeler Tires Market, By Demand Category:
- OEM
- Replacement
India Two-Wheeler Tires Market, By Region:
- North India
- West India
- South India
- East India
Competitive Landscape
Company Profiles: Detailed analysis of the major companies present in the India Two-Wheeler Tires Market.Available Customizations:
With the given market data, the publisher offers customizations according to a company's specific needs. The following customization options are available for the report.Company Information
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Table of Contents
1. Introduction
2. Research Methodology
3. Executive Summary
4. Voice of Customer
5. India Two-Wheeler Tires Market Outlook
6. North India Two-Wheeler Tires Market Outlook
7. West India Two-Wheeler Tires Market Outlook
8. South India Two-Wheeler Tires Market Outlook
9. East India Two-Wheeler Tires Market Outlook
10. Market Dynamics
12. Competitive Landscape
13. Strategic Recommendations/Action Plan
Companies Mentioned
- MRF Limited
- CEAT Limited
- TVS Srichakra Limited
- JK Tyre & Industries Ltd.
- Apollo Tyres Limited
- Bridgestone India Private Limited
- Michelin Group
- Pirelli & C. S.p.A.
- Ralco Tyres Limited
- Maxxis Rubber India Private Limited
Table Information
Report Attribute | Details |
---|---|
No. of Pages | 85 |
Published | November 2024 |
Forecast Period | 2024 - 2030 |
Estimated Market Value ( USD | $ 2.84 Billion |
Forecasted Market Value ( USD | $ 5.42 Billion |
Compound Annual Growth Rate | 11.4% |
Regions Covered | India |
No. of Companies Mentioned | 10 |