Global Automotive OE Tyres and Wheels Market Growth, Share, Size, Trends and Forecast (2024 - 2030)

The global automotive original equipment (OE) tires and wheels market has been experiencing significant growth owing to several key factors. Firstly, the expanding automotive industry, particularly in emerging economies such as China, India, and Brazil, has been a major driver. As these countries witness rapid urbanization and rising disposable incomes, the demand for vehicles has surged, consequently boosting the demand for OE tires and wheels.

Technological advancements in tire and wheel manufacturing have enhanced the performance, durability, and safety of automotive components. Innovations such as run-flat tires, low rolling resistance tires, and lightweight alloy wheels have gained popularity among consumers, driving the market further.

Increasing concerns regarding vehicle safety and regulations mandating the use of advanced safety features have propelled the adoption of OE tires and wheels that comply with stringent quality standards. Manufacturers are focusing on developing products that meet these requirements while also catering to the preferences of consumers for aesthetics and customization options.

The growing trend towards electric vehicles (EVs) and autonomous driving has created new opportunities in the OE tires and wheels market. EVs require specialized tires to accommodate the unique characteristics of electric propulsion systems, such as higher torque and weight distribution, while autonomous vehicles demand tires and wheels with advanced sensor integration for enhanced performance and safety. As automakers continue to invest in these technologies, the demand for OE tires and wheels tailored to specific vehicle types is expected to rise, driving further market growth.

Global Automotive OE Tyres and Wheels Segment Analysis

In this report, the Global Automotive OE Tyres and Wheels Market has been segmented by Vehicle Type, Wheel Material, Tyre Material, Vehicle Class, Wheel Size and Geography.

Global Automotive OE Tyres and Wheels Market, Segmentation by Vehicle Type

The Global Automotive OE Tyres and Wheels Market has been segmented by Vehicle Type into Commercial Vehicles and Passenger Vehicles.

Commercial vehicles constitute a significant portion of the automotive OE tires and wheels market. These vehicles include trucks, buses, and other heavy-duty vehicles used for transportation of goods and passengers. The demand for OE tires and wheels in the commercial vehicle segment is influenced by factors such as fleet renewal cycles, economic conditions, and regulatory mandates related to safety and emissions. Moreover, advancements in tire technology aimed at enhancing durability, fuel efficiency, and load-bearing capacity are driving the adoption of OE tires and wheels in commercial vehicles.

Passenger vehicles encompass a wide range of automobiles including sedans, hatchbacks, SUVs, and luxury vehicles. The passenger vehicle segment is characterized by diverse consumer preferences, driving patterns, and regional variations, which influence the demand for OE tires and wheels. Factors such as comfort, performance, aesthetics, and fuel efficiency play a crucial role in the selection of OE tires and wheels for passenger vehicles. Additionally, the proliferation of electric and hybrid vehicles is reshaping the OE tires and wheels market, with a growing emphasis on eco-friendly materials and low rolling resistance tires to optimize energy efficiency.

Global Automotive OE Tyres and Wheels Market, Segmentation by Wheel Material

The Global Automotive OE Tyres and Wheels Market has been segmented by Wheel Material into Alloy, Carbon Fibre, Steel and Others.

The global automotive OE (original equipment) tyres and wheels market is experiencing significant segmentation based on wheel material, with several materials playing crucial roles in meeting diverse consumer needs and industry standards. Among these materials, alloy wheels stand out as a popular choice due to their lightweight properties, which enhance vehicle performance and fuel efficiency. Alloy wheels are also known for their aesthetic appeal, offering a sleek and modern look that appeals to a wide range of consumers across various vehicle segments.

In recent years, carbon fibre has emerged as a cutting-edge material for automotive wheels, particularly in high-performance and luxury vehicle segments. Carbon fibre wheels offer exceptional strength-to-weight ratio, providing superior handling and responsiveness on the road. Moreover, carbon fibre's inherent properties contribute to reducing unsprung mass, enhancing overall vehicle dynamics and driving experience. Despite being relatively expensive compared to other materials, the demand for carbon fibre wheels is expected to rise steadily as automotive manufacturers prioritize performance and innovation.

Steel wheels continue to maintain a significant presence in the automotive OE tyres and wheels market, particularly in budget-friendly vehicle segments and commercial vehicles. Known for their durability and cost-effectiveness, steel wheels offer robust performance in various driving conditions, making them a preferred choice for fleet operators and consumers seeking practicality and reliability. While steel wheels may lack the lightweight and aesthetic qualities of alloy and carbon fibre counterparts, they remain a staple in the automotive industry, catering to specific market segments and utility-focused consumers.

The Others category encompasses a range of wheel materials beyond alloy, carbon fibre, and steel, including materials such as magnesium alloy, forged aluminum, and hybrid composites. These alternative materials cater to niche markets and specialized applications, offering unique combinations of performance, durability, and aesthetics. As automotive technology continues to evolve and consumer preferences evolve, the segmentation of the OE tyres and wheels market by wheel material is expected to witness further diversification, with manufacturers exploring new materials and manufacturing techniques to meet the demands of modern vehicles and discerning consumers.

Global Automotive OE Tyres and Wheels Market, Segmentation by Tyre Material

The Global Automotive OE Tyres and Wheels Market has been segmented by Tyre Material into Natural Rubber and Synthetic Rubber.

Natural rubber, derived from latex extracted from rubber trees, has been a traditional choice for tyre manufacturing. Its inherent properties, such as elasticity and resilience, make it suitable for various road conditions, providing excellent traction and grip. Moreover, natural rubber tyres are often preferred for their eco-friendly attributes, as they are biodegradable and renewable, aligning with the growing emphasis on sustainability in the automotive sector.

Synthetic rubber has gained prominence in the automotive OE tyres and wheels market due to its versatility and enhanced performance characteristics. Synthetic rubber compounds offer superior resistance to wear, tear, and weathering, ensuring prolonged durability and reliability under challenging driving conditions. Additionally, manufacturers can tailor the properties of synthetic rubber to meet specific performance requirements, such as improved fuel efficiency, reduced rolling resistance, and enhanced wet traction, contributing to overall vehicle safety and efficiency.

The segmentation by tyre material reflects the ongoing advancements and innovations in tyre technology, driven by the quest for optimal performance, sustainability, and safety standards in the automotive industry. While natural rubber continues to hold significance for its eco-friendly credentials and traditional use, synthetic rubber presents a compelling alternative with its superior performance attributes and customizable properties, catering to diverse consumer preferences and market demands. As the automotive landscape evolves, stakeholders across the value chain are expected to leverage these material advancements to deliver innovative tyre solutions that address evolving customer needs while adhering to stringent regulatory requirements and sustainability objectives.

Global Automotive OE Tyres and Wheels Market, Segmentation by Vehicle Class

The Global Automotive OE Tyres and Wheels Market has been segmented by Vehicle Class into Luxury Vehicles, Economy Vehicles and Mid-Priced Vehicles.

Luxury Vehicles represent the premium end of the market, characterized by high-quality materials, advanced technology, and superior performance. Consumers of luxury vehicles prioritize factors such as comfort, style, and prestige, which influence their choice of tires and wheels. Manufacturers catering to this segment must focus on providing top-tier products that meet the demanding standards of luxury vehicle owners. This includes offering innovative features, such as run-flat tires or customizable wheel designs, to enhance the driving experience and differentiate their offerings in a competitive market.

Economy Vehicles target budget-conscious consumers who prioritize affordability and practicality. These vehicles are often characterized by their simplicity, fuel efficiency, and low purchase and maintenance costs. In this segment, tire and wheel manufacturers face materials, or offering standardized tire sizes to achieve economies of scale and meet the price-sensitive demands of economy vehicle manufacturers and consumers.

Mid-Priced Vehicles occupy the middle ground between luxury and economy vehicles, appealing to consumers seeking a balance of features, performance, and value for money. This segment represents a significant portion of the automotive market, encompassing a diverse range of vehicles from mainstream brands. Manufacturers targeting mid-priced vehicles must strike a balance between quality and affordability, offering reliable tires and wheels that meet the expectations of discerning consumers while remaining competitive in terms of pricing and value proposition.

Global Automotive OE Tyres and Wheels Market, Segmentation by Wheel Size

The Global Automotive OE Tyres and Wheels Market has been segmented by Wheel Size into 13-15 inches, 16-18 inches, 19-21 inches and Greater than 21 inches.

The 13-15 inches segment typically caters to compact cars and entry-level vehicles, prioritizing cost-efficiency and fuel economy. These smaller wheel sizes are popular in urban environments where maneuverability and parking space are at a premium. Manufacturers in this segment focus on producing lightweight yet durable wheels that offer adequate performance for everyday driving scenarios.

The 16-18 inches segment captures a broader range of vehicles, including sedans, SUVs, and some light trucks. Consumers in this segment often seek a balance between performance, comfort, and style. Therefore, manufacturers emphasize aspects such as ride quality, handling characteristics, and aesthetic appeal when designing wheels for this category.

The 19-21 inches segment targets premium and high-performance vehicles, where larger wheels are associated with enhanced traction, braking, and cornering capabilities. These sizes are often favored by enthusiasts and luxury car buyers who prioritize performance and exclusivity. Consequently, manufacturers in this segment focus on utilizing advanced materials and engineering techniques to deliver lightweight yet robust wheels that meet the demanding requirements of high-performance driving.

The segment comprising wheel sizes greater than 21 inches caters to ultra-luxury vehicles, supercars, and customized automobiles. These oversized wheels are synonymous with opulence, extravagance, and bespoke craftsmanship. Manufacturers operating in this niche segment face unique challenges related to engineering complex wheel designs, sourcing premium materials, and meeting the bespoke requirements of individual customers.

Global Automotive OE Tyres and Wheels Market, Segmentation by Geography

In this report, the Global Automotive OE Tyres and Wheels Market has been segmented by Geography into five regions; North America, Europe, Asia Pacific, Middle East and Africa and Latin America.

Global Automotive OE Tyres and Wheels Market Share (%), by Geographical Region, 2023

North America represents one of the leading markets for automotive OE tyres and wheels. The region boasts a mature automotive industry, characterized by high levels of vehicle ownership and replacement demand. Additionally, stringent regulations regarding vehicle safety and performance drive the adoption of high-quality OE tyres and wheels.

In Europe, a combination of factors such as robust manufacturing infrastructure, technological advancements, and environmental regulations contributes to the growth of the automotive OE tyres and wheels market. European consumers prioritize factors like fuel efficiency, durability, and sustainability, influencing OEMs to invest in innovative tyre and wheel solutions.

The Asia Pacific region emerges as a key growth engine for the automotive OE tyres and wheels market. Rapid urbanization, expanding middle-class population, and rising disposable incomes are driving automotive sales in countries like China, India, and Japan. Moreover, the increasing emphasis on electric and hybrid vehicles in the region presents new opportunities for OE tyre and wheel manufacturers.

Middle East and Africa exhibit unique dynamics in the automotive OE tyres and wheels market. While factors like infrastructural development and urbanization fuel demand, the region's extreme climatic conditions pose challenges in terms of product durability and performance. Strategic partnerships and investments in research and development are essential for OEMs to address these challenges and tap into the region's growth potential.

Latin America completes the geographical segmentation, offering its own set of opportunities and challenges for automotive OE tyres and wheels manufacturers. Economic fluctuations, regulatory frameworks, and consumer preferences shape the market dynamics in this region. However, efforts to improve road infrastructure and enhance vehicle safety standards present avenues for growth in Latin America's automotive sector.

This report provides an in depth analysis of various factors that impact the dynamics of Global Automotive OE Tyres and Wheels Market. These factors include; Market Drivers, Restraints and Opportunities Analysis.

Drivers

• Technological advancements
• Growing vehicle production
• Increasing consumer disposable income
• Demand for fuel-efficient tires

• Shift towards electric vehicles: The global automotive OE (Original Equipment) tyres and wheels market has been witnessing a significant shift in recent years, largely driven by the increasing adoption of electric vehicles (EVs). As governments worldwide intensify efforts to combat climate change and reduce carbon emissions, there has been a growing emphasis on transitioning towards cleaner and more sustainable modes of transportation. This shift has led to a surge in demand for electric vehicles, which in turn has impacted the automotive OE tyres and wheels market.

  One of the key implications of the rise of electric vehicles for the OE tyres and wheels market is the need for specialized components to accommodate the unique characteristics of EVs. Electric vehicles tend to be heavier than their conventional counterparts due to the weight of battery packs, requiring tyres and wheels with enhanced durability and load-bearing capabilities. Additionally, the distinctive torque delivery of electric motors necessitates tyres capable of delivering optimal traction and handling performance. Consequently, automotive manufacturers and suppliers are increasingly focusing on developing OE tyres and wheels tailored specifically for electric vehicles, thereby reshaping the dynamics of the global automotive components market.

Restraints

• Fluctuating raw material prices
• Stringent regulations
• Competition from aftermarket products
• Economic instability

• Supply chain disruptions: The global automotive OE (original equipment) tires and wheels market has experienced significant supply chain disruptions in recent times, stemming from various factors including but not limited to geopolitical tensions, natural disasters, and the COVID-19 pandemic. These disruptions have cascaded through the entire supply chain, impacting manufacturers, suppliers, and ultimately consumers. For instance, the pandemic led to temporary closures of manufacturing facilities, restrictions on international trade, and labor shortages, disrupting the production and distribution of automotive tires and wheels worldwide. This resulted in delays in delivery times, increased lead times, and fluctuating prices, creating challenges for automotive manufacturers in meeting consumer demand and maintaining production schedules.

  Geopolitical tensions and trade disputes have added another layer of complexity to the supply chain of automotive OE tires and wheels. Tariffs, sanctions, and trade barriers between major trading partners have disrupted the flow of raw materials, components, and finished products, leading to supply shortages and increased costs. These disruptions have forced automotive manufacturers to reassess their supply chain strategies, diversify their supplier base, and explore alternative sourcing options to mitigate risks and ensure continuity of supply. Moving forward, collaboration and coordination among stakeholders in the automotive industry will be crucial to address supply chain vulnerabilities and build resilience against future disruptions.

Opportunities

• Expansion in emerging markets
• Development of sustainable tires
• Adoption of connected technology
• Customization options

• Growing demand for premium vehicles: The global automotive OE (original equipment) tires and wheels market is experiencing a significant upsurge due to the growing demand for premium vehicles worldwide. As disposable incomes rise and consumer preferences evolve, there's a noticeable trend towards premium vehicles that offer superior performance, luxury, and advanced features. Premium vehicle manufacturers are constantly innovating to meet the increasing expectations of consumers, which includes equipping their vehicles with high-quality original equipment tires and wheels.

  The shift towards electric vehicles (EVs) and hybrid vehicles is further propelling the demand for OE tires and wheels. These vehicles often require specialized tires and wheels to accommodate their unique performance characteristics and to optimize efficiency. As automotive OEMs (original equipment manufacturers) continue to expand their electric vehicle offerings, the market for OE tires and wheels is expected to grow in tandem. Additionally, advancements in tire technology, such as run-flat tires and low rolling resistance tires, are driving the adoption of OE tires in both conventional and electric vehicles, further fueling market growth. Overall, the combination of increasing demand for premium vehicles and the transition towards electric propulsion is driving significant growth in the global automotive OE tires and wheels market.

Key players in Global Automotive OE Tyres and Wheels Market include:

• Bridgestone Corporation
• Michelin Group
• Continental AG
• Goodyear Tire & Rubber Company
• Pirelli & C. S.p.A
• Hankook Tire & Technology Group
• Sumitomo Rubber Industries, Ltd
• Yokohama Rubber Company, Ltd
• Toyo Tire Corporation
• Cooper Tire & Rubber Company

In this report, the profile of each market player provides following information:

• Company Overview and Product Portfolio
• Key Developments
• Financial Overview
• Strategies
• Company SWOT Analysis