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The global electric vehicle tire market is estimated to be valued at US$ 3.42 Bn in 2024 and is expected to reach US$ 13.71 Bn by 2031, exhibiting a compound annual growth rate (CAGR) of 21.9% from 2024 to 2031.
Report Coverage | Report Details | ||
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Base Year: | 2023 | Market Size in 2024: | US$ 3.42 Bn |
Historical Data for: | 2019 To 2023 | Forecast Period: | 2024 To 2031 |
Forecast Period 2024 to 2031 CAGR: | 21.90% | 2031 Value Projection: | US$ 13.71 Bn |
The introduction of electric vehicles worldwide has accelerated the development of the electric vehicle tire market. Electric vehicles use specialized tires designed to efficiently handle the heavier weight and faster acceleration of EVs compared to conventional vehicles. EV tires are engineered to provide low rolling resistance to maximize vehicle range while maintaining performance. They feature technologies such as optimized tread compound and belt skim stock to reduce internal heat buildup from continuous torque. Low noise characteristics are also important as EVs are inherently quieter than gasoline counterparts. As EV adoption continues rising with supportive government policies and investment in charging infrastructure, the global electric vehicle tire market is poised for strong growth over the coming years.
The global electric vehicle tire market is driven by the rapidly increasing sales of electric vehicles worldwide. According to the International Energy Agency, the global EV stock surpassed 10 million in 2020 and is expected to grow over 30% per year through 2026. Major factors fueling the electric vehicle tire market include concerns over rising fuel costs, emissions regulations, attractive purchase incentives and subsidies for EVs in several countries. At the same time, improving battery technology is extending vehicle ranges while lowering costs, enhancing the value proposition of EVs over gasoline vehicles. Tire manufacturers are actively developing advanced compounds, tread designs and construction methods to optimize EV tires for higher loading capacities and lower rolling resistance without compromising traction or braking abilities in wet and dry conditions. However, price sensitivity among some customer segments continues to remain a challenges. Ongoing R&D investments by tire companies to improve performance at competitive price-points will further accelerate market opportunities.
This report provides in-depth analysis of the global electric vehicle tire market, and provides market size (US$ Bn) and compound annual growth rate (CAGR%) for the forecast period (2024-2031), considering 2023 as the base year
It elucidates potential revenue opportunities across different segments and explains attractive investment proposition matrices for this market
This study also provides key insights about market drivers, restraints, opportunities, new product launches or approval, market trends, regional outlook, and competitive strategies adopted by key players
It profiles key players in the global electric vehicle tire market based on the following parameters - company highlights, products portfolio, key highlights, financial performance, and strategies
Key companies covered as a part of this study include Apollo Tyres, Bridgestone Corporation, Continental AG, Falken Tire, Goodyear Tire and Rubber Company, Hankook Tire and Technology Co., Ltd., Michelin, Nokian Tyres plc, Pirelli & C. S.p.A., Sumitomo Rubber Industries, Ltd., The Cooper Tire & Rubber Company, Toyo Tire Corporation, Trelleborg AB, Yokohama Rubber Co., Ltd., and Zhongce Rubber Group Company Limited
Insights from this report would allow marketers and the management authorities of the companies to make informed decisions regarding their future product launches, type up-gradation, market expansion, and marketing tactics
The global electric vehicle tire market report caters to various stakeholders in this industry including investors, suppliers, product manufacturers, distributors, new entrants, and financial analysts
Stakeholders would have ease in decision-making through various strategy matrices used in analyzing the global electric vehicle tire market