Superior driving performance over multiple terrains, provided by ATVs and UTVs, will be one of the growth pillars to the off-road tyres market, which is expected to grow to US$705 billion by 2025. According to the latest report by Global Market Insights, technological advancements in tyres will spur growth in the market from increased performance attributes. This is demonstrated by the Self-Supporting Runflat (SSR) tyre system that prevents tyre sidewall damage and enhances vehicle safety.
There will be a rising preference for large-diameter tyres in heavy vehicles in agricultural activities, which will drive product demand. Alliance Tire Group, for instance, introduced new galaxy brand radial tyres for OTR applications in April 2018.
Considerable growth in off-road tyres could also be attributed to superior resistance provided by tyres against heat and abrasion during vehicle operations, thereby extending product life, as do properties such as flexibility in variable temperature(s) and strong hold against grease and oil.
Furthermore, as industry players engage in long-term agreements with off-road vehicle manufacturers, the reliable original equipment segment will account for significant growth in off-road tyres market.
These industry participants include Michelin, Continental, JK Tyre, Sumitomo Rubber Industries, and Bridgestone, which recently announced the expansion of its Canadian manufacturing facility for producing large-diameter tyres for 4-WD HDT and SUVs.
On another note, the availability of recreational parks and dirt bike events in North America and across the globe will escalate product demand. The consumer inclination towards adventure activities and racing events will also propel growth of the European off-road tyres market to exceed US$15 billion by 2025.
However, fluctuating raw material prices due to changing international trade policies and high import tariffs on rubber raw materials will limit the off-road tyres market demand.