In a new market report, the research firm estimates that the value in this market will come in at $107.6 billion this year and then reach $152.4 billion in 2027.
“Volume consumption of all truck tires will increase at a rate of 3.2% per year from 2017–2027, according to the market study. This estimate, it noted, allows for price and raw material fluctuations, gains in manufacturing productivity, and the potential of product features.
In an analysis by vehicles type, Smithers Rapra values the global light truck market at $40.0 billion in 2017. The sector, it forecast, will outperform the heavier truck segment across 2017-2027; growing at 4.0% year-on-year.
Medium and heavy truck tires sales will reach $68.6 billion in 2017 and grow at 3.3% a year over the study period. This noted Smithers Rapra, will be despite of competition from a “very sizeable” retread market.
‘In the case of medium and heavy truck tires, the impetus for the adoption of new technologies is driven by economics more than regulations,” said Arthur Mayer, author of the report.
“And while it is a conservative and slow to change market segment, innovations that can provide fuel savings and maximise tire asset life are significant motivators in purchasing decisions,” added Mayer.
Technical innovation, he remarked, will centre on incremental improvement in critical performance criteria, such as rolling resistance, lifecycle and sustainability.
“Some supporting technologies related to tire inflation are especially important in truck tires,” continued Mayer. “And merging disruptive innovations, such as autonomous driving, will have an increasing influence on technology development and implementation.”
Smithers Rapra went on to note that greenhouse gas emissions targets, fuel economy standards and initiatives, such as tire labelling were pushing the adoption of low rolling resistance truck tires and tire pressure management systems.
“Green tire standards, and the rapid development of autonomous vehicles is generating impetus for more smart features – such as RFID tagging and multifunctional sensors – embedded into tires," the report also noted.