Selbyville, DE – Global Market Insights, Inc. has recently added a new report on the automotive green tires market which estimates the market valuation for automotive green tires will cross US$ 175 billion by 2027. Increasing regulations pertaining to vehicle emission reduction, rising popularity of sustainable & eco-friendly vehicles, and increasing global automotive demand will prosper the product demand.
A green tire is a lighter, retreadable, and sensibly dimensioned tire with lower rolling resistance, high fuel-efficiency, and prolonged life. These tires are produced using renewable materials. The production process does not require excessive energy and does not generate excessive waste & pollution.
Rising demand for larger fleet automobiles to increase economies of scale in the logistics industry has augmented the demand for heavy trucks and trailers. Development in the global construction & infrastructure sector coupled with a positive outlook for the mining industry will augment the automotive green tires market.
Proliferating SUV sales across the globe due to various advantages such as high center of gravity, ground clearance, rigid look, high H-point, etc. Increasing eminence of enhanced mobility vehicles for agriculture and construction applications coupled with a rising number of adventure parks and trails will also significantly augment product penetration in the other vehicles segment.
OEM will hold significant share in automotive green tires market. OEMs engage in partnerships or multi-year contracts with raw material suppliers, ensuring a steady supply chain. OEMs incorporate collaborative procedures and focus on research & development to manufacture green tires that comply with regulations and emission norms.
Europe is likely to capture around 20% of the global automotive green tires market share. Regulatory bodies in Europe including regional and federal have implemented regulations and standards to curb vehicle emissions. Several policies have been drafted in the region to enhance vehicle efficiency, increasing the adoption of electric automobiles and complementing the regional product consumption. A positive outlook for the automotive industry, specifically in Germany and France coupled with increasing regional demand for luxury vehicles will prosper the regional market in the near future.
Latin America automotive green tires market is expected to witness growth rate of over 10.5% through 2027. Increasing Foreign Direct Investments (FDIs) along with supportive trade policies will propel the regional automotive industry growth. The regional market is witnessing R&D activities, vehicle production, finance, and other auto-centered activities, which will also prosper regional product usage in the near future.