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Released January 25, 2024 | NEW DELHI
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Researched by Industrial Info Resources (Sugar Land, Texas)--From the days of manual molding and vulcanization, tire manufacturing has come a long way. Although the global automotive industry has undergone a slump due to constraints such as key component shortages, supply-chain disruptions, high prices of new vehicles along with slower economic growth in countries like the U.S., China and Europe, the demand for tires remains robust. Rising sales of both pre-owned vehicles and auto components in the replacement segment have been driving significant investments in the tire manufacturing industry.
According to Smithers (Akron, Ohio) (which describes itself as a multinational provider of testing, consulting, information and compliance services), production by the global tire manufacturing industry is expected to increase at a compound annual growth rate (CAGR) of 3.4%, from 19.25 million metric tons in 2019 to 22.75 million metric tons in 2024. The total value of the industry is anticipated to jump to US$281 billion in 2024 from US$239 billion in 2019.
The increased demand has given room to several innovations and technological developments in the sector, with modern technologies such as computer-aided design (CAD), computer-aided manufacturing (CAM) and 3D printing being embraced. Software and tools enable the creation of digital designs and 2D/3D models of auto components and tires with greater precision in dimensions and consistency, leading to an accelerated production process. In addition, as the industry relies heavily on rubber (both natural and synthetic) for raw material, tire manufacturers are also exploring new compounds and treading patterns to enhance ductility, strength and durability of the tire fabric.
Owing to these advancements, global tire manufacturers are building new facilities and expanding existing ones to increase manufacturing capacity and meet rising consumer demand.
Industrial Info is tracking this growth with 586 active tire plants globally, most of which are operating in Asia (357) and North America (103). Subscribers to Industrial Info's Global Market Intelligence (GMI) Industrial Manufacturing Plant Database can click here for a list of plant profiles.
Industrial Info also is tracking 114 tire manufacturing projects, worth US$15.40 billion, around the world. Subscribers to Industrial Info's GMI Industrial Manufacturing Project Database can click here for the project reports.
Asia and North America are the biggest investment drivers, with market shares of 40% and 39%, respectively.
By country, the U.S. leads the way with a total spend pipeline of US$5.18 billion, followed by Saudi Arabia (US$1.6 billion) and Turkey (US$994 million).
Hankook Tire & Technology Company Limited (Seongnam-si, South Korea), National Tire Co. (NTC) (Al Jubail, Saudi Arabia) and Nexen Tire Company Limited (Yangsan, South Korea) are the dominant players in the market, having a combined project spending of US$6.1 billion and global market share of 39%.
In Clarksville, Tennessee, Hankook Tire is expected to begin construction this year on a high-end performance radial tire manufacturing plant expansion valued at US$1.6 billion. GMI subscribers read the related project report and click here for the plant profile.
With 52% of the investment in the initial planning stages and 27% already under construction, most of these projects are expected to be completed by March 2025, while the rest will reach fruition by December 2029.
The tire manufacturing industry is anticipated to ride high on investments as 23 plants are expected to start operations globally by 2028. A majority of these plants will set up base in Asia and North America, kicking off between 2024 and 2028.
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking more than 200,000 current and future projects worth $17.8 Trillion (USD).
According to Smithers (Akron, Ohio) (which describes itself as a multinational provider of testing, consulting, information and compliance services), production by the global tire manufacturing industry is expected to increase at a compound annual growth rate (CAGR) of 3.4%, from 19.25 million metric tons in 2019 to 22.75 million metric tons in 2024. The total value of the industry is anticipated to jump to US$281 billion in 2024 from US$239 billion in 2019.
The increased demand has given room to several innovations and technological developments in the sector, with modern technologies such as computer-aided design (CAD), computer-aided manufacturing (CAM) and 3D printing being embraced. Software and tools enable the creation of digital designs and 2D/3D models of auto components and tires with greater precision in dimensions and consistency, leading to an accelerated production process. In addition, as the industry relies heavily on rubber (both natural and synthetic) for raw material, tire manufacturers are also exploring new compounds and treading patterns to enhance ductility, strength and durability of the tire fabric.
Owing to these advancements, global tire manufacturers are building new facilities and expanding existing ones to increase manufacturing capacity and meet rising consumer demand.
Industrial Info is tracking this growth with 586 active tire plants globally, most of which are operating in Asia (357) and North America (103). Subscribers to Industrial Info's Global Market Intelligence (GMI) Industrial Manufacturing Plant Database can click here for a list of plant profiles.
Industrial Info also is tracking 114 tire manufacturing projects, worth US$15.40 billion, around the world. Subscribers to Industrial Info's GMI Industrial Manufacturing Project Database can click here for the project reports.
Asia and North America are the biggest investment drivers, with market shares of 40% and 39%, respectively.
By country, the U.S. leads the way with a total spend pipeline of US$5.18 billion, followed by Saudi Arabia (US$1.6 billion) and Turkey (US$994 million).
Hankook Tire & Technology Company Limited (Seongnam-si, South Korea), National Tire Co. (NTC) (Al Jubail, Saudi Arabia) and Nexen Tire Company Limited (Yangsan, South Korea) are the dominant players in the market, having a combined project spending of US$6.1 billion and global market share of 39%.
In Clarksville, Tennessee, Hankook Tire is expected to begin construction this year on a high-end performance radial tire manufacturing plant expansion valued at US$1.6 billion. GMI subscribers read the related project report and click here for the plant profile.
With 52% of the investment in the initial planning stages and 27% already under construction, most of these projects are expected to be completed by March 2025, while the rest will reach fruition by December 2029.
The tire manufacturing industry is anticipated to ride high on investments as 23 plants are expected to start operations globally by 2028. A majority of these plants will set up base in Asia and North America, kicking off between 2024 and 2028.
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking more than 200,000 current and future projects worth $17.8 Trillion (USD).
