The green tire market is projected to generate revenue of USD 85.79 billion by 2033, up from USD 33.68 billion in 2023, reflecting a robust CAGR of 9.8% from 2023 to 2033.
The growth of the green tire industry is driven by increasing environmental awareness, stringent government regulations on carbon emissions, and the rising demand for fuel-efficient vehicles. Consumers are increasingly opting for eco-friendly products, and green tires, made with sustainable materials and energy-efficient production methods, fit this demand. Advances in technology, such as the development of low rolling resistance tires, also contribute to the industry’s expansion, as they help reduce fuel consumption and emissions. Additionally, the growing popularity of electric vehicles, which require specialized tires, further boosts the market.
The green tire industry is experiencing significant growth driven by increasing environmental awareness and regulatory pressures for sustainable practices. Demand for eco-friendly tires is rising as manufacturers focus on reducing carbon footprints through the use of sustainable materials like natural rubber and silica, and by improving fuel efficiency with low rolling resistance designs. The electric vehicle (EV) market also contributes to this trend, as green tires are seen as essential for maximizing EV range. As consumers and governments prioritize sustainability, the green tire industry is poised for continued expansion.
Germany is expected to capture approximately 7.7% of the European market by 2033, driven by increasing environmental concerns, supportive government policies, the growing adoption of green tire technology, rising investment in regional transportation projects, and expanded vehicle use in mobility services.
According to FMI, Germany’s green tire sector is on track to become a significant force in Europe as consumer demand for energy-efficient vehicles continues to rise.
Key Takeaways from the Green Tire Market Report:
- The green tire market value reached USD 31.13 billion in 2022, with a CAGR of 8.2% from 2018 to 2022.
- The market in the United States is projected to account for a 17.6% share by 2033 on a global level.
- The United Kingdom’s green tire industry is projected to advance at 9.3% CAGR from 2023 to 2033.
- The value share for the green tire industry in Japan accounts for around 7.2% by 2033.
- India’s market for green tires is predicted to progress steadily, with a CAGR of 9.6% during the projected period.
How is the Competition Structured in the Green Tire Industry?
The competition in the green tire industry is structured around several key factors. Firstly, tire manufacturers compete based on their ability to develop and offer innovative and sustainable tire technologies that meet the stringent requirements of environmental regulations and consumer demands.
Secondly, competition exists in pricing and cost-efficiency, as manufacturers strive to balance using sustainable materials while keeping their products competitive in the market. Market players compete through effective branding, marketing strategies, and distribution networks to capture market share and establish themselves as leaders in the green tire segment.
Continuous research and development efforts, collaborations, and strategic partnerships also play a crucial role in shaping the competitive landscape of the green tire industry.
Leading Key Players:
- 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.
Green Tire Market Segmentation:
By Tire Size:
- Below 15
- 16
- 17
- 18
- 19
- Above 19
By Vehicle Type:
- Passenger Vehicle
- LCV
- HCV
By Application:
- On-Road
- Off-Road
By Sales Channel:
- OEM
- Aftermarket
Access Report Details for More In-Depth Information!
Author:
Nikhil Kaitwade (Associate Vice President at Future Market Insights, Inc.) has over a decade of experience in market research and business consulting. He has successfully delivered 1500+ client assignments, predominantly in Automotive, Chemicals, Industrial Equipment, Oil & Gas, and Service industries.
His core competency circles around developing research methodology, creating a unique analysis framework, statistical data models for pricing analysis, competition mapping, and market feasibility analysis. His expertise also extends wide and beyond analysis, advising clients on identifying growth potential in established and niche market segments, investment/divestment decisions, and market entry decision-making.
Nikhil holds an MBA degree in Marketing and IT and a Graduate in Mechanical Engineering. Nikhil has authored several publications and quoted in journals like EMS Now, EPR Magazine, and EE Times.
About Future Market Insights (FMI)
Future Market Insights, Inc. (ESOMAR certified, recipient of the Stevie Award, and a member of the Greater New York Chamber of Commerce) offers profound insights into the driving factors that are boosting demand in the market. FMI stands as the leading global provider of market intelligence, advisory services, consulting, and events for the Packaging, Food and Beverage, Consumer Technology, Healthcare, Industrial, and Chemicals markets. With a vast team of over 400 analysts worldwide, FMI provides global, regional, and local expertise on diverse domains and industry trends across more than 110 countries.
Join us as we commemorate 10 years of delivering trusted market insights. Reflecting on a decade of achievements, we continue to lead with integrity, innovation, and expertise.
Contact Us:
Future Market Insights Inc.
Christiana Corporate, 200 Continental Drive,
Suite 401, Newark, Delaware – 19713, USA
T: +1-845-579-5705
For Sales Enquiries: sales@futuremarketinsights.com
Website: https://www.futuremarketinsights.com
LinkedIn| Twitter| Blogs | YouTube
