Tires Market
By Section Width;
Less Than 200MM, 200-230MM and More Than 230MMBy Vehicle Type;
Passenger Car, Light Commercial Vehicle and Heavy Commercial VehicleBy Aspect Ratio;
Less Than 60, 60-70 and More Than 70By Type;
Radial and BiasBy Rim Size;
13 Inch-15 Inch, 16 Inch-18 Inch, 19 Inch -21 Inch and More Than 21 InchBy Season;
Summer, Winter and All SeasonsBy Geography;
North America, Europe, Asia Pacific, Middle East & Africa and Latin America - Report Timeline (2021 - 2031)Tires Market Overview
Tires Market (USD Million)
Tires Market was valued at USD 140,088.95 million in the year 2024. The size of this market is expected to increase to USD 183,110.27 million by the year 2031, while growing at a Compounded Annual Growth Rate (CAGR) of 3.9%.
Tires Market
*Market size in USD million
CAGR 3.9 %
Study Period | 2025 - 2031 |
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Base Year | 2024 |
CAGR (%) | 3.9 % |
Market Size (2024) | USD 140,088.95 Million |
Market Size (2031) | USD 183,110.27 Million |
Market Concentration | High |
Report Pages | 320 |
Major Players
- The Bridgestone Group
- Continental Group
- Goodyear Tire And Rubber Company
- Michelin Group
- Pirelli & C. S.P.A
- Sumitomo Rubber Industries Ltd
- Hankook Tire Co Ltd
- Yokohama Rubber Co Ltd
- Cooper Tire & Rubber Company
- Toyo Tire & Rubber Co Ltd
- Coda Development
- Kumho Tire
- Nokian Tyres Plc
- Apollo Tires
- Mrf Tyres
- Jk Tyre & Industries Ltd
- Ceat Ltd.
- Maxxis International
- Zhongce Rubber Group Co Ltd
Market Concentration
Consolidated - Market dominated by 1 - 5 major players
Tires Market
Fragmented - Highly competitive market without dominant players
The Tires Market is witnessing steady momentum, supported by rising automotive output and evolving consumer expectations. Recent growth metrics indicate a 6% increase in tire adoption, attributed to the surge in production volumes and replacement demand. Tire innovation focused on eco-efficiency and performance optimization continues to drive market value.
Innovation and Smart Technology Integration
The industry is embracing smart tire technologies, including self-monitoring systems and pressure sensors, which have led to a 5% uplift in product adoption. These developments enhance driving safety and predictive maintenance, aligning with the evolving trends of connected mobility. R&D investment in durable compounds and smart features continues to reshape product offerings.
Rising Demand in Replacement Segment
Replacement tires are gaining traction with an impressive 7% growth due to aging vehicle populations and rising awareness about road safety. Consumers are showing a higher preference for digital platforms when purchasing tires, reflecting a shift towards convenience and choice. This evolution is reshaping distribution channels and boosting aftermarket revenue.
Environmental Trends Shaping the Market
With a 9% growth in demand for sustainable tire materials, the market is aligning with stricter environmental mandates. Manufacturers are actively exploring biodegradable polymers and green production processes, reshaping traditional approaches. The shift toward reduced rolling resistance and better energy performance is accelerating green transformation across the industry.
Tires Market Recent Developments
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In 2022, Michelin saw significant revenue growth of 39.7%, largely due to strong performance in North America and the continued recovery of key markets post-pandemic.
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In May 2023, Yokohama Rubber acquired Trelleborg Wheel Systems for over $1 billion, a deal expected to boost its market position, potentially allowing it to challenge Pirelli and Hankook for the No. 6 spot in global tire rankings.
Tires Market Segment Analysis
In this report, the Tires Market has been segmented by Section Width, Vehicle Type, Aspect Ratio, Type, Rim Size, Season and Geography.
Tires Market, Segmentation by Section Width
The Tires Market has been segmented by Section Width into Less Than 200MM, 200-230MM and More Than 230MM.
Less Than 200MM
Compact tires with section widths under 200mm dominate urban vehicle segments, accounting for approximately 35% of the global passenger tire market. These narrow-profile tires prioritize fuel efficiency and maneuverability in congested city environments. Popular in Asia-Pacific regions, they show 12% higher adoption in electric vehicles due to reduced rolling resistance. Manufacturers are innovating with eco-friendly compounds to enhance their sustainability appeal.
200-230MM
The 200-230mm segment represents the market sweet spot, capturing nearly 45% of total tire sales. These mid-range tires balance performance and comfort, making them ideal for mainstream sedans and crossovers. Recent data shows 18% growth in all-season variants as consumers seek versatile options. The segment benefits from OE partnerships with automakers focusing on mid-tier vehicle platforms.
More Than 230MM
Premium wide-section tires exceeding 230mm constitute about 20% of the market, favored by performance and luxury vehicles. This high-margin segment demonstrates 25% faster growth than industry averages, driven by SUV popularity. Advanced tread technologies and run-flat capabilities differentiate offerings in this space. Motorsport-inspired designs are gaining traction, with 30% of premium buyers opting for ultra-high-performance variants.
Tires Market, Segmentation by Vehicle Type
The Tires Market has been segmented by Vehicle Type into Passenger Car, Light Commercial Vehicle and Heavy Commercial Vehicle.
Passenger Car Tires
Passenger car tires dominate the market, holding over 60% of global tire sales. Designed for comfort, fuel efficiency, and all-season performance, these tires see high demand in urban and suburban markets. The rise of electric vehicles (EVs) has driven a 22% increase in low-rolling-resistance variants. Innovations like noise-reduction technology and longer tread life are key selling points in this segment.
Light Commercial Vehicle (LCV) Tires
LCV tires account for approximately 25% of the market, catering to vans, pickup trucks, and small delivery vehicles. These tires prioritize durability and load-bearing capacity, with reinforced sidewalls for frequent stop-and-go use. The growth of e-commerce logistics has boosted demand by 18% in the last five years. All-terrain and all-weather LCV tires are gaining traction, especially in emerging markets.
Heavy Commercial Vehicle (HCV) Tires
HCV tires, making up around 15% of the market, are engineered for trucks, buses, and large freight vehicles. These tires emphasize maximum load capacity, long-haul durability, and retreadability to reduce operational costs. With the expansion of global freight networks, premium HCV tires have seen a 30% adoption increase in developed markets. Advanced fuel-saving compounds and smart tire sensors are emerging trends in this segment.
Tires Market, Segmentation by Aspect Ratio
The Tires Market has been segmented by Aspect Ratio into Less Than 60, 60-70 and More Than 70.
Less Than 60 Aspect Ratio Tires
Low-profile tires with aspect ratios below 60 represent approximately 30% of the performance tire market. These tires feature shorter sidewalls for enhanced cornering stability and steering precision, making them popular among sports cars and luxury vehicles. The segment has grown by 15% annually as consumers prioritize handling performance over ride comfort. Manufacturers are developing run-flat variants to address durability concerns in this category.
60-70 Aspect Ratio Tires
The 60-70 aspect ratio segment dominates with 45% market share, offering the ideal balance between comfort and performance. These mid-range tires are the preferred choice for family sedans and crossover SUVs, combining responsive handling with adequate shock absorption. Recent innovations include all-season compounds that have increased their adoption by 20% in temperate climates. The segment benefits from strong OE manufacturer partnerships for mainstream vehicle models.
More Than 70 Aspect Ratio Tires
High-profile tires with aspect ratios exceeding 70 account for about 25% of the market, primarily serving off-road vehicles and commercial applications. Their taller sidewalls provide superior impact absorption and load distribution, crucial for rough terrain and heavy-duty use. The segment has seen 12% growth due to increasing SUV popularity and adventure tourism trends. New reinforced constructions are improving durability without compromising ride quality.
Tires Market, Segmentation by Type
The Tires Market has been segmented by Type into Radial and Bias.
Radial Tires
Radial tires dominate the global market with over 80% share due to their superior fuel efficiency and longer tread life. The crisscrossed steel belt construction provides better heat dissipation and road grip, making them ideal for passenger vehicles. This segment has grown 7% annually as manufacturers develop eco-friendly radial variants for electric vehicles. Advanced features like run-flat technology and smart sensors are driving premium radial tire adoption.
Bias Tires
Bias tires maintain about 20% market share, primarily in off-road and heavy equipment applications. Their cross-ply construction offers exceptional sidewall strength for rugged terrain, though with higher rolling resistance. The agricultural sector accounts for 35% of bias tire demand, while military applications drive 15% of sales. Recent innovations include hybrid bias-radial designs that combine durability with improved heat resistance for specialized vehicles.
Tires Market, Segmentation by Rim Size
The Tires Market has been segmented by Rim Size into 13 Inch-15 Inch, 16 Inch-18 Inch, 19 Inch -21 Inch and More Than 21 Inch.
13 Inch-15 Inch Rim Size Tires
Compact tires for 13-15 inch rims hold approximately 25% market share, primarily serving entry-level vehicles and city cars. These cost-effective options prioritize fuel economy and urban maneuverability, with emerging markets showing 18% higher adoption rates. Recent developments include eco-friendly compounds that improve mileage by 10-12%, making them popular for ride-sharing fleets.
16 Inch-18 Inch Rim Size Tires
The 16-18 inch segment dominates with 45% market penetration, favored by mainstream sedans and compact SUVs. These tires balance performance and comfort, with all-season variants accounting for 60% of sales. The growing crossover vehicle market has driven 22% growth in this category over five years, while noise-reduction technology becomes a key differentiator.
19 Inch-21 Inch Rim Size Tires
Premium 19-21 inch tires capture 20% of the market, serving luxury vehicles and performance cars. This high-value segment shows 15% annual growth, driven by SUV popularity. Features like run-flat capability and ultra-high-performance treads command 30-40% price premiums. Manufacturers are innovating with lightweight materials to reduce unsprung weight for better handling.
More Than 21 Inch Rim Size Tires
The 21+ inch niche segment (10% market share) caters to supercars and luxury SUVs, growing at 25% annually. These tires emphasize exclusive designs and maximum grip, with customization options driving 50% of sales. Emerging technologies include temperature-sensitive compounds and integrated tire pressure monitoring systems as standard features.
Tires Market, Segmentation by Season
The Tires Market has been segmented by Season into Summer, Winter and All Seasons.
Summer Tires
Summer tires capture approximately 35% of the seasonal tire market, optimized for dry and wet warm-weather performance. Their specialized rubber compounds maintain flexibility above 45°F (7°C), delivering 20% better braking performance in rain versus all-season tires. The segment shows 12% annual growth in Mediterranean and Middle Eastern markets, with high-performance variants commanding 30% price premiums for sports car enthusiasts.
Winter Tires
Winter tires hold 25% market share, featuring deep tread patterns and silica-enhanced compounds for ice traction. Mandatory winter tire laws in 15 European countries drive 50% of global demand. Recent innovations include studless technologies that improve snow grip by 40% without road damage. The Nordic region accounts for 35% of premium winter tire sales, with growing adoption in North American mountain states.
All-Season Tires
All-season tires dominate with 40% market penetration, offering year-round versatility for moderate climates. Their dual-compound treads provide 15% better winter performance than summer tires in light snow, while maintaining 80% of dry-road capability. The North American market prefers all-season tires (60% adoption), with new 3PMSF-rated models closing the performance gap with dedicated winter tires. Crossover SUV owners represent 45% of all-season tire buyers.
Tires Market, Segmentation by Geography
In this report, the Tires Market has been segmented by Geography into five regions; North America, Europe, Asia Pacific, Middle East and Africa and Latin America.
Regions and Countries Analyzed in this Report
Tires Market Share (%), by Geographical Region
North America
The North American market accounts for 22% of global tire demand, driven by SUV dominance (45% of vehicles) and long commuting distances. The region shows 18% higher adoption of all-season tires versus global averages, with run-flat technology penetration reaching 30% in premium segments. Recent tariff policies have accelerated local manufacturing, with 35% of tires now produced domestically.
Europe
Europe represents 28% of tire sales, with strict EU labeling regulations driving eco-friendly tire innovation. Winter tire mandates in 15 countries create seasonal demand spikes, while high-performance summer tires claim 40% market share in Southern Europe. The region leads in premium tire adoption, with 55% of buyers prioritizing fuel-efficient models over price.
Asia Pacific
Dominating 42% of global volume, Asia Pacific is fueled by China's automotive boom and India's two-wheeler demand. The region shows 25% faster growth than global averages, with budget tires representing 60% of sales. Emerging trends include EV-specific tires for China's 5 million+ electric vehicles and radialization of commercial vehicle tires in India.
Middle East and Africa
This 7% global share region prioritizes heat-resistant compounds and durable treads for desert conditions. SUV and 4x4 tires account for 50% of sales, with 60-series aspect ratios most popular. The GCC countries demonstrate 30% higher demand for premium brands compared to African markets, where retreaded tires maintain 45% market penetration.
Latin America
With 8% global share, Latin America shows dual demand for budget imports and specialized off-road tires. Brazil's ethanol-fueled vehicles require unique rubber compounds, while Andean markets drive all-terrain tire demand (35% of sales). The region's aftermarket accounts for 70% of tire replacements, with Chinese brands gaining 25% market share in five years.
Market Trends
This report provides an in depth analysis of various factors that impact the dynamics of Tires Market. These factors include; Market Drivers, Restraints and Opportunities Analysis.
Comprehensive Market Impact Matrix
This matrix outlines how core market forces—Drivers, Restraints, and Opportunities—affect key business dimensions including Growth, Competition, Customer Behavior, Regulation, and Innovation.
Market Forces ↓ / Impact Areas → | Market Growth Rate | Competitive Landscape | Customer Behavior | Regulatory Influence | Innovation Potential |
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Drivers | High impact (e.g., tech adoption, rising demand) | Encourages new entrants and fosters expansion | Increases usage and enhances demand elasticity | Often aligns with progressive policy trends | Fuels R&D initiatives and product development |
Restraints | Slows growth (e.g., high costs, supply chain issues) | Raises entry barriers and may drive market consolidation | Deters consumption due to friction or low awareness | Introduces compliance hurdles and regulatory risks | Limits innovation appetite and risk tolerance |
Opportunities | Unlocks new segments or untapped geographies | Creates white space for innovation and M&A | Opens new use cases and shifts consumer preferences | Policy shifts may offer strategic advantages | Sparks disruptive innovation and strategic alliances |
Drivers, Restraints and Opportunity Analysis
Drivers
- Growth in the Electric Vehicle (EV) Market
- Expansion of Commercial and Industrial Vehicle Fleet
- Advancements in Tire Technology and Innovation
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Strong Growth in Global Trade and Logistics - The Tires Market is experiencing a major boost due to the strong growth in global trade and logistics activities. As international commerce expands, the demand for freight transportation has surged, requiring a consistent supply of durable and high-performance tires. This is particularly evident in the growth of commercial vehicle fleets and the expansion of logistics hubs.
Rising globalization has led to the proliferation of e-commerce platforms, further increasing the need for last-mile delivery vehicles and efficient transportation infrastructure. This trend translates into increased tire replacement cycles and a higher preference for specialty tires across sectors like freight, aviation, and container shipping. More frequent vehicle movement leads to accelerated tire wear, reinforcing the demand for premium tire products.
Fleet operators are investing in tire monitoring systems to improve fleet efficiency and extend the life of tire assets. Additionally, governments in many regions are supporting logistics infrastructure development, which is indirectly propelling the tire aftermarket. The increasing movement of goods and materials worldwide is expected to sustain a steady demand pipeline for tire manufacturers and suppliers.
With globalization showing no signs of slowing, the logistics sector’s expansion acts as a vital growth driver for the global tire industry. Market players are capitalizing on this trend by diversifying product portfolios and offering customized tire solutions for long-haul and urban logistics applications.
Restraints
- Volatility in Raw Material Prices (e.g., Natural Rubber)
- Environmental Impact of Tire Disposal and Recycling Challenges
- Fluctuations in Consumer Spending and Economic Uncertainty
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Regulatory Barriers and Trade Tariffs in Some Regions - Despite the promising outlook, the Tires Market faces challenges from regulatory barriers and trade tariffs imposed across certain regions. Countries implementing stringent import-export controls on rubber, raw materials, and finished tire products have created volatility in supply chains. This affects pricing, availability, and overall competitiveness in the international tire trade.
Tariffs targeting tire imports, especially from Asia-Pacific nations, have led to market distortions and reduced profit margins for both exporters and importers. These measures are often taken to protect domestic tire industries but can discourage foreign direct investment and restrict cross-border collaborations. Regulatory uncertainties also delay product approvals and increase compliance costs.
Manufacturers operating in multiple jurisdictions must navigate complex environmental and safety regulations, adding layers of legal and administrative burden. From labeling requirements to performance testing, these hurdles limit market entry, especially for small and medium-sized players. Additionally, sudden policy changes can disrupt established trade routes and necessitate supply chain restructuring.
While the industry continues to grow, unpredictable trade environments and non-uniform regulations remain persistent challenges. Industry players must invest in regulatory compliance frameworks and engage in policy advocacy to mitigate risks and maintain sustainable global operations.
Opportunities
- Growth in Emerging Markets (Asia-Pacific, Latin America, Africa)
- Increased Adoption of Smart Tires and IoT-Enabled Solutions
- Development of Tires for Autonomous and Electric Vehicles
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Expanding Demand for Retreading and Recycling Services - One of the most promising opportunities in the Tires Market lies in the growing demand for retreading and recycling services. With the automotive sector under pressure to reduce waste and promote circular economy practices, tire retreading has become a cost-effective and environmentally sustainable alternative to new tire production. This shift is especially important for commercial fleets and heavy-duty vehicles.
Governments and international agencies are encouraging tire recycling programs through subsidies, awareness campaigns, and regulatory mandates. As a result, businesses are investing in automated retreading technologies and eco-friendly disposal systems to extend tire lifespan while minimizing landfill contributions. The rising focus on carbon footprint reduction further strengthens this transition.
Market players are leveraging technological innovations such as non-destructive inspection tools, digital tire tracking systems, and eco-composites for recycling. These advances ensure better product quality, performance reliability, and safety for retreaded tires. Additionally, the rise in rubber-derived fuel applications and rubberized asphalt use creates new revenue streams for recycled materials.
The surge in environmental awareness and demand for low-cost tire solutions positions retreading and recycling as a lucrative growth area. Manufacturers that embrace these trends can gain a competitive edge by aligning with global sustainability goals and offering innovative aftermarket services.
Competitive Landscape Analysis
Key players in Tires Market include,
- The Bridgestone Group
- Continental Group
- Goodyear Tire And Rubber Company
- Michelin Group
- Pirelli & C. S.P.A
- Sumitomo Rubber Industries Ltd
- Hankook Tire Co Ltd
- Yokohama Rubber Co Ltd
- Cooper Tire & Rubber Company
- Toyo Tire & Rubber Co Ltd
- Coda Development
- Kumho Tire
- Nokian Tyres Plc
- Apollo Tires
- Mrf Tyres
- Jk Tyre & Industries Ltd
- Ceat Ltd.
- Maxxis International
- Zhongce Rubber Group Co Ltd
In this report, the profile of each market player provides following information:
- Company Overview and Product Portfolio
- Market Share Analysis
- Key Developments
- Financial Overview
- Strategies
- Company SWOT Analysis
- Introduction
- Research Objectives and Assumptions
- Research Methodology
- Abbreviations
- Market Definition & Study Scope
- Executive Summary
- Market Snapshot, By Section Width
- Market Snapshot, By Vehicle Type
- Market Snapshot, By Aspect Ratio
- Market Snapshot, By Type
- Market Snapshot, By Rim Size
- Market Snapshot, By Season
- Market Snapshot, By Region
- Tires Market Dynamics
- Drivers, Restraints and Opportunities
- Drivers
- Growth in the Electric Vehicle (EV) Market
- Expansion of Commercial and Industrial Vehicle Fleet
- Advancements in Tire Technology and Innovation
- Strong Growth in Global Trade and Logistics
- Restraints
- Volatility in Raw Material Prices (e.g., Natural Rubber)
- Environmental Impact of Tire Disposal and Recycling Challenges
- Fluctuations in Consumer Spending and Economic Uncertainty
- Regulatory Barriers and Trade Tariffs in Some Regions
- Opportunities
- Growth in Emerging Markets (Asia-Pacific, Latin America, Africa)
- Increased Adoption of Smart Tires and IoT-Enabled Solutions
- Development of Tires for Autonomous and Electric Vehicles
- Expanding Demand for Retreading and Recycling Services
- Drivers
- PEST Analysis
- Political Analysis
- Economic Analysis
- Social Analysis
- Technological Analysis
- Porter's Analysis
- Bargaining Power of Suppliers
- Bargaining Power of Buyers
- Threat of Substitutes
- Threat of New Entrants
- Competitive Rivalry
- Drivers, Restraints and Opportunities
- Market Segmentation
- Tires Market, By Section Width, 2021 - 2031 (USD Million)
- Less Than 200MM
- 200-230MM
- More Than 230MM
- Tires Market, By Vehicle Type, 2021 - 2031 (USD Million)
- Passenger Car
- Light Commercial Vehicle
- Heavy Commercial Vehicle
- Tires Market, By Aspect Ratio, 2021 - 2031 (USD Million)
- Less Than 60
- 60-70
- More Than 70
- Tires Market, By Type, 2021 - 2031 (USD Million)
- Radial
- Bias
- Tires Market, By Rim Size, 2021 - 2031 (USD Million)
- 13 Inch-15 Inch
- 16 Inch-18 Inch
- 19 Inch -21 Inch
- More Than 21 Inch
- Tires Market, By Season, 2021 - 2031 (USD Million)
- Summer
- Winter
- All Seasons
- Tires Market, By Geography, 2021 - 2031 (USD Million)
- North America
- United States
- Canada
- Europe
- Germany
- United Kingdom
- France
- Italy
- Spain
- Nordic
- Benelux
- Rest of Europe
- Asia Pacific
- Japan
- China
- India
- Australia & New Zealand
- South Korea
- ASEAN (Association of South East Asian Countries)
- Rest of Asia Pacific
- Middle East & Africa
- GCC
- Israel
- South Africa
- Rest of Middle East & Africa
- Latin America
- Brazil
- Mexico
- Argentina
- Rest of Latin America
- North America
- Tires Market, By Section Width, 2021 - 2031 (USD Million)
- Competitive Landscape
- Company Profiles
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The Bridgestone Group
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Continental Group
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Goodyear Tire And Rubber Company
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Michelin Group
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Pirelli & C. S.P.A
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Sumitomo Rubber Industries Ltd
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Hankook Tire Co Ltd
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Yokohama Rubber Co Ltd
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Cooper Tire & Rubber Company
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Toyo Tire & Rubber Co Ltd
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Coda Development
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Kumho Tire
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Nokian Tyres Plc
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Apollo Tires
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Mrf Tyres
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Jk Tyre & Industries Ltd
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Ceat Ltd.
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Maxxis International
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Zhongce Rubber Group Co Ltd
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- Company Profiles
- Analyst Views
- Future Outlook of the Market