Global green tire market forecast at $78 billion by 2032

Pune, India – The global green tire market is anticipated to reach a value of US$ 78.6 Bn in 2032 while growing at a robust CAGR of 9.7% over the forecast period of 2022 to 2032. Valued at US$ 28.6 Bn in the year 2021, the green tire market is predicted to reach an estimated US$ 31.1 Bn by the end of 2022. Soaring demand for eco-friendly, lightweight, and fuel-efficient tires has fueled the green tire market to expand at a rapid pace during the projected period. The market growth of green tires is further influenced by the prevailing trends in the passenger vehicle segment in the upcoming years according to Future Market Insights.
Low-rolling resistance tires that lead to fuel efficiency are categorized as green tires. These are tires that have all the parts together but are not cured or have not had the treads added to them yet. Many manufacturers in the automobile sector are increasing their investment in green tires owing to the heightened demand for fuel-efficient vehicles. A surge in disposable income coupled with a growing middle class and a shift in consumer preferences has culminated in an increase in fuel-efficient vehicles. This has resulted in the expansion of the green tire market. In addition to this, advancing investment in infrastructure and road development will presumably have a positive influence on the market.
Moreover, government policies regarding pollution control and sustainability are also expected to drive market growth. Implementation of stringent government regulations pertaining to automotive carbon emissions further invites the usage of green tires. Besides, rising awareness about environmental preservation, eco-friendly and sustainable living also encourages the market expansion of green tires over the projected period of 2022 to 2032.
“An upsurge in the adoption of natural rubber-based green tires is expected to augment the global sales of green tires over the forecast period,” says an FMI analyst.
Key Takeaways:
The emergence of natural green tires along with increasing demand for fuel efficiency fosters market growth.
Automotive sector to drive market growth in China over the assessment period.
Germany to acquire 23% of the global market share during the projected period.
Based on the size, the size 17” and 18” segments are estimated to account for 47% of the global market share.
Based on vehicle type, passenger vehicles are likely to grow in value by 9.4%.
Michelin Group, Continental AG, Goodyear Tire and Rubber Company, Bridgestone Corporation, Hankook Tire & Technology Co. Ltd, Pirelli & C S.p.A, The Yokohama Rubber Co. Ltd, Toyo Tire corporation, Kumho Tire, Sumitomo Rubber Industries Ltd., Nokian Tires Plc., NANKANG RUBBER TIRE CORP., LTD., among others are some of the major players in the green tire market that are profiled in the full version of the report
In a competitive market, leading players are employing methods like new product launches, and expansion of manufacturing facilities. These businesses also engage in collaborations, acquisitions, and mergers, to maintain a competitive edge in the market.
Regional Analysis
The green tire market in China will presumably offer multiple lucrative market opportunities over the forecast period. The regional market is expected to exhibit a prolific CAGR of 11.3% from 2022 to 2032. Favorable government policies along with an ever-expanding automotive sector will propel the green tire market to grow in China during the assessment period.
In Germany, the green tire market will hold a staggering 23% of the market share in Europe. The country is expected to lead the green tire market growth in Europe. The immense popularity of green tire technology as well as an increase in spending on the country’s transportation projects will contribute to this region’s green tire market growth.