Airless tyres market to grow at 8% CAGR over 2017-2024

Airless-tyresThe airless tyres market is projected to cross US$200 million by 2024.” High demand from heavy commercial and off-road vehicles coupled with high acceptance from military segment, specifically in developed nations is majorly driving the industry growth. Industry participants are continuously focusing on product development for utility vehicles such as lawn mowers and golf carts, further positively impacting the industry over the forecast timeline.

OEMs are concentrating on manufacturing by means of recycled materials, offering eco-friendly products. Durability, puncture proof, and suitability for rugged applications are among other benefits that will result in increased production, strengthening the industry over the forecast timeframe. However, limited performance during friction or high speed along with high production costs may hinder the airless tyres industry growth rate.

Low product penetration has forced the OEMs to focus on their volume production. For instance, Michelin is selling Tweel for commercial automobile segment and Bridgestone designed a product that is likely to commercialize for two wheelers by 2019. Continuous innovations including contact area information system will further support in boosting industry. Automakers are deploying airless tyres to reduce overall automobile weight, paving growth opportunities. For instance, Toyota is adopting these products provided by Sumitomo Rubber Industries for incorporating in electric vehicles to minimize overall vehicle weight.

Radial segment is estimated to account for major revenue share generating over US$140 million during the forecast timeframe. Shifting focus of producers towards manufacturing these tyres owing to enhanced benefits over the conventional product will fuel the business growth. These offers superior shock absorbing ability, strength, and enhanced flexibility. Bias segment will witness growth of around 9% over the forecast study period. This can be credited to increasing implementation of the product in heavy vehicles along with economic benefit over other counterparts.

HCVs in the airless tyres market are estimated to hold major share with over 27% by 2024. The dominance can be credited to multiple benefits offered such as superior weight carrying capacity. Increasing trends of the industry participants towards expanding the product portfolio for HCVs will contribute to the industry dominance. Terrain vehicles will witness growth at over 9% during the forecast timeframe. The growth can be attributed to superior comfort and durability on rough surface.

Airless tyres market from plastic is estimated to account at over 65% of volume share by 2024. Shifting preference towards the usage of plastic materials for manufacturing will fuel the product demand. For instance, Bridgestone is engaged in manufacturing the product made from plastic. Ease in recyclability along with less weight compared to rubber are the key factors boosting the product demand. In addition, cost economy over the counterpart will positively influence the material selection. Rubber is estimated to witness significant growth owing to recyclability issues and higher cost of the product.

Tyresize of 21-25 inches is estimated to dominate the volume share owing increased usage in commercial vehicles. Increasing penetration of the product in terrain vehicles will further fuel the industry growth. Product over 35 inches will witness strong growth of around 10% owing to increasing demand from utility vehicles including agriculture and construction along with military applications.

OEMs segment of the airless tyres market is projected to generate more than US$198 million by 2024. Superior durability offered in OEM products coupled with improved services is primarily driving the segment growth. Additionally, OEMs ensure product safety standards that will further support in substantial revenue generation. Aftermarket will observe CAGR at around 10.5% due to cost effectiveness and replacement of conventional tyres with airless tyres over the forecast timeframe.

Asia Pacific airless tyres market will capture maximum revenue share with more than US$57 million over the study period. Increasing production of military and commercial vehicles, particularly in emerging nations is significantly contributing in regional revenue generation.

The presence of established industry players such as Toyo Tires and Sumitomo Rubber Industries will further support the regional growth rate. North America airless tyres market is predicted to capture around 26% of the revenue share by 2024 owing to high usage in military sector combined with manufacturers initiatives.