PUBLISHER: Acute Market Reports | PRODUCT CODE: 1180697
PUBLISHER: Acute Market Reports | PRODUCT CODE: 1180697
The global market for retread tires was worth US $7800 Million in the year 2020 and is expected to reach over US $ 12558.2 Million by 2030. It is anticipated to grow at a compound annual growth rate of 5.10% during the forecast period of 2022 - 2030. Tires that have been selected and passed inspection are given a new tread as part of the remolding process that constitutes tire retreading. Because of the sluggish CAGR, businesses are exerting extra effort to provide technical support, quality control, and visibility in the hopes of reviving growth in the retread tire industry. This is being done in an effort to attract new customers. However, new budget tires, which are imported from countries in Asia such as China and are available at more reasonable prices, are offering significant opportunities. These tires may be purchased at a lower cost. Because they are more cost-effective, more people who own vehicles tend to choose these tires. The availability of these brand-new economical budget tires is putting a damper on the market for retread tires all around the world.
Tire Retread Proposition: Cost Efficiency & Environment Friendly
The production of a single tire for a light-duty car requires an average of 26 liters of oil, however retreading the same tire requires only 9 liters of oil, which accounts for approximately 34% of the process of new manufacturing. On the other hand, the Retread Tire Association estimates that purchasing a brand-new set of four tires for a large SUV will cost approximately $1,000 in total. When it comes to light-duty cars, retreading can result in savings of almost half of the total cost. More than 300 million tires are thrown away every year in the United States, as indicated by the statistics compiled by the United States Tire Manufacturers Association (USTMA). These tires are frequently discarded in an unlawful manner in bodies of water, vacant lands, or along the side of roads. The practice of retreading tires is gaining popularity and is being actively encouraged in many countries throughout the world as a solution to the problems caused by the accumulation of waste tires.
Pre-Cure Process Dominated the Market
The global retread tire market by the process was dominated by the pre-cure segment in the year 2021 with global revenues of about US $6489.6 million. During the forecast period, the pre-cure sector is expected to maintain its dominant position in terms of revenue share. This pre-cure process calls for comparatively less investment and also results in lower costs associated with subsequent maintenance. As a result, all of these factors in the pre-cure process are anticipated to fuel the growth of this market during the forecast period.
Small and Medium Sized Organization Led the Retread Tire Market
The global retread tire market by sales channel was dominated by small and medium organizations in the year 2021. It is expected that the number of new market players will continue to rise, particularly in terms of growth potential, due to the vast opportunities that are currently available to new companies in the retread tire market. As a result, it is anticipated that the market for small and medium organizations will constitute the majority of revenue during the forecast period.
Independent Service Providers Dominated the Market in Comparison to OEMs
The global retread tire market by vertical was dominated by independent service providers in the year 2021. Independent service providers (ISPs) were able to offer custom services, which is largely out of the scope of OEMs. This provides ISPs with a competitive advantage in the market. ISPs serve a wide variety of consumers, which gives them an advantage in the market because it diversifies their customer base.
Commercial Vehicles Remain as Top Revenue Earning Segment by Vehicle Class
The global retread tire market by vehicle class was dominated by commercial vehicles in the year 2021. Fleet operators of commercial vehicles are required to routinely replace the tires on their vehicles because of the rapid wear that is caused by the tires. This is due to the high weights and increased mileage covered by their vehicles, both of which contribute to the wear that is caused by the tires. The growing number of factories, warehouses, and other commercial facilities drives sales and the number of miles driven by transport vehicles, which in turn drives the share of the worldwide market for retread tires contributed by the commercial vehicle segment.
APAC Remained the Global Leader
Asia Pacific currently held the largest revenue share in the global retread tire market in 2021. This growth can be attributed to the Asian countries that are increasing investments in the automobile manufacturing industry, such as China, India, Japan, Indonesia, South Korea, and Thailand, amongst others; this will lead to an even greater increase in the demand for the retread tire market. It is anticipated that the existence of a significant number of small and medium-sized vehicle tire producers in the region would also contribute to the expansion of the sector throughout the course of the projected period of time. In addition, the growing industrialization of the region has led to an increase in the number of kilometers driven by commercial vehicles, which has contributed to an increase in the demand for replacement tires. The Asia-Pacific is also experiencing considerable growth and is expected to register the highest CAGR of 6.46% during the forecast period of 2022 to 2030. Due to China's booming automotive sector, several of the world's most successful automakers have set up their business in China. The country's thriving automobile aftermarket has also created a market for retread tires.
Investment and Expansion Remained the Key Market Strategy
The primary strategy adopted by the key market players is investments and expansions (excluding the others). The secondary strategies adopted by top companies include product launches, partnerships and collaborations, and acquisitions. There was no significant difference between the primary and secondary strategies. All other strategies are negligible. Bridge stone Corporation, JK Tire & Industries, and Michelin focused the most on investment and expansions. Marangoni was observed to have the highest count of press releases pertaining to product launches. The company is also listed as the top in press releases with respect to acquisitions. Most of the top companies focused on partnership and collaboration as a strategy. Top companies in this market include Marangoni, Bridge stone Corporation, Continental AG, Good Year Tire & Rubber Company, Michelin, JK Tires, MRF and Yokohama Rubber companies, and others.
Historical & Forecast Period
This study report represents analysis of each segment from 2020 to 2030 considering 2021 as the base year. Compounded Annual Growth Rate (CAGR) for each of the respective segments estimated for the forecast period of 2022 to 2030.
The current report comprises of quantitative market estimations for each micro market for every geographical region and qualitative market analysis such as micro and macro environment analysis, market trends, competitive intelligence, segment analysis, porters five force model, top winning strategies, top investment markets, emerging trends and technological analysis, case studies, strategic conclusions and recommendations and other key market insights.
Research Methodology
The complete research study was conducted in three phases, namely: secondary research, primary research, and expert panel review. key data point that enables the estimation of Retread Tires market are as follows:
Research and development budgets of manufacturers and government spending
Revenues of key companies in the market segment
Number of end users and consumption volume, price and value.
Geographical revenues generate by countries considered in the report:
Micro and macro environment factors that are currently influencing the Retread Tires market and their expected impact during the forecast period.
Market forecast was performed through proprietary software that analyzes various qualitative and quantitative factors. Growth rate and CAGR were estimated through intensive secondary and primary research. Data triangulation across various data points provides accuracy across various analyzed market segments in the report. Application of both top down and bottom-up approach for validation of market estimation assures logical, methodical and mathematical consistency of the quantitative data.
Market Segmentation
Process
Pre Cure
Mold Cure
Sales Channel
Small and Medium OrganisationsRoadside Assistance
Large Organisations
Vertical
OEM Service Providers
Independent Service Providers
Vehicle Class
Commercial Vehicles
Passenger Cars
Off-road Vehicles
Two-wheeler
Electric Vehicles
Region Segment (2020-2030; US$ Million)
North America
U.S.
Canada
Rest of North America
UK and European Union
UK
Germany
Spain
Italy
France
Rest of Europe
Asia Pacific
China
Japan
India
Australia
South Korea
Rest of Asia Pacific
Latin America
Brazil
Mexico
Rest of Latin America
Middle East and Africa
GCC
Africa
Rest of Middle East and Africa
Global Impact of Covid-19 Segment (2020-2021; US$ Million )
Pre Covid-19 situation
Post Covid-19 situation
Key questions answered in this report
What are the key micro and macro environmental factors that are impacting the growth of Retread Tires market?
What are the key investment pockets with respect to product segments and geographies currently and during the forecast period?
Estimated forecast and market projections up to 2030.
Which segment accounts for the fastest CAGR during the forecast period?
Which market segment holds a larger market share and why?
Are low and middle-income economies investing in the Retread Tires market?
Which is the largest regional market for Retread Tires market?
What are the market trends and dynamics in emerging markets such as Asia Pacific, Latin America, and Middle East & Africa?
Which are the key trends driving Retread Tires market growth?
Who are the key competitors and what are their key strategies to enhance their market presence in the Retread Tires market worldwide?