Green tyre market projected to worth US$104.23 billion by 2022

Green-tyreThe green tyre market is expected to reach US$104.23 Billion by 2022. The green tyres market is estimated to be US$62.68 Billion in 2017 and is projected to reach US$104.23 Billion by 2022, at a CAGR of 10.7% from 2017 to 2022. This growth can be attributed to the increased demand for green tyres for use in passenger cars and light commercial vehicles across the globe. Apart from low rolling resistance, these tyres also provide greater fuel efficiency. In addition, the increasing environmental initiatives by governments of various countries and increased stress on fuel efficiency is further anticipated to fuel the consumption of the green tyre market.

The market is projected to grow at the highest CAGR during the forecast period. Passenger cars lead the automotive production across the globe. The use of green tyres in passenger cars has garnered industry-wide acceptance for the former’s performance and general characteristics. In recent years, automotive manufacturers have been focusing on enhancing the overall fuel efficiency of vehicles, which, in turn, has created the demand for fuel-efficient tyres.

Based on application, the on-road application segment accounted for the largest share of the green tyres market in 2016. On-road vehicles include passenger cars, LCVs, and trucks, which run on roads to transport passengers and goods from one place to another. The demand for on-road vehicles, such as passenger cars and LCVs is on the rise and is expected to drive the on-road application segment of the green tyres market.

The European region is estimated to be the largest market for green tyres, in terms of volume, in 2017. Germany is a key consumer of green tyres in the European region. The increased use of green tyres in passenger vehicles in the region has contributed to the growth of the Europe green Tyres Market. New product launches & developments and expansions are the key growth strategies adopted by the leading manufacturers of green tyres in the European region.

Bridgestone (Japan), Goodyear Tire and Rubber (US), Michelin (France), Continental (Germany), and Hankook (South Korea) are the key players operating in the green Tyres Market.