A tire is a ring-shaped component that surrounds a wheel's rim to transfer a vehicle's load from the axle through the wheel to the ground and to provide traction on the surface traveled over. Most tires, such as those for automobiles and bicycles, are pneumatically inflated structures, which also provide a flexible cushion that absorbs shock as the tire rolls over rough features on the surface. Tires provide a footprint that is designed to match the weight of the vehicle with the bearing strength of the surface that it rolls over by providing a bearing pressure that will not deform the surface excessively.
The earliest tires were bands of leather, then iron (later steel) placed on wooden wheels used on carts and wagons. A skilled worker, known as a wheelwright, would cause the tire to expand by heating it in a forge fire, place it over the wheel and quench it, causing the metal to contract back to its original size so that it would fit tightly on the wheel. The first patent for what appears to be a standard pneumatic tire appeared in 1847 lodged by the Scottish inventor Robert William Thomson. However, this never went into production. The first practical pneumatic tire was made in 1888 on May Street, Belfast, by Scots-born John Boyd Dunlop, owner of one of Ireland's most prosperous veterinary practices. Synthetic rubbers were invented in the laboratories of Bayer in the 1920s. In 1946, Michelin developed the radial tire method of construction.
Tires may be classified according to the vehicle type they serve, like a commercial truck tire or bicycle tire. They may be distinguished by the load they carry and by their application, e.g. to a motor vehicle, aircraft, passenger car, or bicycle. The two leading tire brands in terms of Tire Market Share are Bridgestone and Michelin. You can find Tire Market Size, Tire Market Share, automotive tire demand, and other trends and statistics below and you can learn more about T4's strategy consulting services here.
The chart shows the Tire Market Size over a forecast period from 2019 to 2027. In 2020, the size of the Tire Industry was $117B and is projected to grow 4% in 2021. From 2019 to 2027 the Tire Industry growth is projected to average 4% per year. Bridgestone and Michelin are the two leading vendors in terms of Tire Market Share. These estimates were made before the Coronavirus (COVID-19) pandemic. The short term impact of COVID-19 on the Tire market growth will likely be High because after countries were in lockdown city streets became empty. The number of car trips dropped dramatically, leading to a consequent drop in the need for new tires or tire replacements. The long term impact of COVID-19 on the Tire market growth beyond the COVID-19 pandemic will likely be Beneficial because, after the covid-19 outbreak, social distancing will remain for a long while, leading to a possible boost in new car sales, more new drivers, which means more tires to sell and replace. This will result in favor of the tire market. Request help with obtaining the source for this data and learn more about T4's strategy consulting services here.
The chart shows Tire Market Share in 2018. Tire Market Share is Concentrated among a few vendors. The leading vendor in terms of Tire Market Share was Bridgestone with $28B market revenue in 2018, followed by Michelin with $26B Tire market revenue, Goodyear with $15B market revenue, Continental with $13B, and Sumitomo with $7B. Get help with market research for the Tire market, including the source for this Tire Market Share chart and learn more about T4's strategy consulting services here.
The tire market growth and tire demand is driven by the increase in new car sales for personal or commercial uses and the need for new tire replacements. The key factors driving the replacement tire market are increased average life of vehicles, growing miles driven per year, increasing concern towards maintenance and safety, technological advancements leading to longer life of tires, and other factors.
Learn about T4's Consulting servicesThe Automotive Tire Industry is a Mature market composed of a few competitors. Bridgestone market revenue was $28B of the automotive Tire market in 2018. Bridgestone is headquartered in Tokyo, Japan. Bridgestone Group has 181 production facilities in 24 countries. The company focuses on Tires and Tubes for Passenger cars, trucks and buses, construction and mining vehicles, Industrial machinery, Agricultural machinery, Aircraft, Motorcycles and scooters, and others; Automotive parts, Retreading materials and services, Automotive Maintenance and Repair services, Raw materials for tires and Others. Michelin's market revenue was $26B of the market in 2018. Michelin has a presence in over 170 countries around the world and employs 127 thousand people. Michelin produced 200 million tires a year in 2019 in 69 production facilities worldwide. Goodyear market revenue was $15B of the Tire market in 2018. Goodyear tires are manufactured for automobiles, commercial trucks, light trucks, motorcycles, SUVs, race cars, airplanes, farm equipment, and heavy earth-mover machinery. Goodyear operates approximately 1,100 tire and auto service center outlets where it offers its products for retail sale and provides automotive repair and other services. Goodyear manufactures its products in 47 facilities in 21 countries. Continental market revenue was $13B of the Tire market in 2018. Continental employs 245 thousand people worldwide. Continental sells tires for automobiles, motorcycles, and bicycles worldwide. Continental also produces tires for mountain bikes and rubber soles for Adidas running shoes.
T4's research team can help you learn more about the Tire industry with market analysis, competitive analysis, commercial Due Diligence, and other market research needs. This includes deeper analysis on competitors in the Tire market, including: Bridgestone, Michelin, Goodyear, Continental, Pirelli, Hankook, Sumitomo, Yokohama, Maxxis; research into related topics such as Automobile, Insurance, Autonomous Vehicle Insurance, Pick up trucks, Advance Tires, Airplanes; or additional support in the Automotive Sector or other Sectors. Learn more about T4's strategy consulting services here.
