Kuala Lumpur - The launch of new car models by carmakers and growth in the used car market have been one of the most significant factors in driving demand for the Malaysian tyre aftermarket (tyre replacement market), said Brijesh Sheregar, Research Associate at Frost & Sullivan Automotive & Transportation Asia Pacific.
A new survey on the Malaysian replacement tyre market says the market generated revenues of US$322.3 million in 2005 and is likely to reach US$627.5 million in 2012.
The report says Malaysia's aftermarket is expected to experience a growth of 9.7 per cent in 2006 reaching a revenue figure of US$353.6 million. For 2007, the revenue for the market is likely to grow to US$388.2 million.
He also says that apart from the cars segment, the tire aftermarket is likely to gain considerably from sales in the heavy commercial vehicle segment.
â€œSince commercial vehicles are used extensively for long distances on poorly maintained roads, usually with high payload per truck, their tyres are prone to frequent replacements, which increases the sales of commercial vehicles tyres in the aftermarket, contributing to a quarter of the revenues of the overall tyre aftermarket,â€ he adds.
The Malaysia Tire Aftermarket is part of the P032-18 Automotive and Transportation subscription.
This is an external link and should open in a new window. If the window does not appear, please check your pop-up blocking software. ERJ is not responsible for the content of external sites.
Press release from Frost & Sullivan