Automotive Tires Market

The Automotive Tires Market is undergoing a structural transformation as global automakers push toward electrification, sustainability, and data-driven mobility. Within the broader automotive tire market, the demand for advanced materials, intelligent tire platforms, and premium high-rim products is rising rapidly. At the same time, consumer-focused categories such as all-season tires, premium comfort offerings, run-flat tire solutions, and eco-friendly tires are shaping competitive differentiation across OEM and aftermarket channels.

Smart Tires Emerge as Key Disruptor, Integrating IoT Sensors for Predictive Fleet Safety

The Asia-Pacific region holds the largest market share and is the fastest growing, fundamentally driven by its position as the global hub for vehicle manufacturing (especially in China and India). This necessitates massive OEM demand for EV-specific tire platforms—characterized by higher load indexes, quiet operation (acoustic foams), and low-rolling-resistance compounds—to manage heavier battery masses and instant torque.

Globally, the market's most disruptive technology is the emergence of Smart Tires. These tires integrate IoT sensors for real-time monitoring of pressure, temperature, and tread wear, transforming the tire from a passive component into an active data node essential for fleet management, predictive maintenance, and autonomous vehicle safety systems. This data integration is forcing manufacturers to invest heavily in software and digital services.

How These Trends Shape the Automotive Tire Market

The rise of smart, connected technologies positions tires as a central element of digital vehicle ecosystems. This directly impacts:

• EV tire innovation, where load-bearing capacity and rolling-resistance optimization are critical.

• Telematics-driven fleet operations, using IoT-enabled smart tires to reduce accidents and maintenance costs.

• Premiumization momentum, where consumers and OEMs prefer advanced offerings such as run-flat tire technology, intelligent tread designs, and quiet all-season tires optimized for mixed weather conditions.

• Sustainability goals, encouraging the shift toward eco-friendly tires using recycled, bio-based, and low-abrasion compounds.

Download PDF Brochure @ https://www.marketsandmarkets.com/pdfdownloadNew.asp?id=40166492

Automotive Tires Market Case Studies

1) Bridgestone Corporation – Plant Expansion & Premium Tire Strategy (India & Japan)

Bridgestone committed US$85 million to expand premium passenger-car tire production in India (Pune & Indore) starting 2025, boosting capacity by ~1.1 million tyres by 2029 and deploying its “ENLITEN” technology for the local market. In Japan, the company announced a ¥27 billion investment across three plants (Hikone, Tosu, Tochigi) to expand high rim-diameter (>20″) tire production for premium vehicles from 2025-28, anchored on its “BCMA” modular manufacturing architecture.

Strategic Implications for the Automotive Tires Market:

• Reinforces premiumization in Asia-Pacific
• Supports rising demand for EV-compatible, lightweight tires
• Strengthens supply for high-rim, luxury vehicle segments
• Boosts regional competitiveness in the global automotive tire market

2) Michelin Group – Sustainable Materials & Tire Wear Reduction Innovation

Michelin launched a road-approved passenger car tire containing 45% sustainable materials, winning the AutomotiveINNOVATIONS Award in 2023. Separately, it was recognised in 2025 for achieving 26 % lower tire-abrasion particle emissions compared to premium competitor averages, addressing wear-related environmental impacts.

Strategic Implications:

• Positions Michelin as a leader in eco-friendly tires
• Aligns with global sustainability mandates and emission standards
• Enhances consumer adoption of greener, longer-lasting tire solutions
• Brings visibility to tire wear emissions—a rising regulatory focus

A Market Redefined by Intelligence, Sustainability and Premium Performance

The Automotive Tires Market is transitioning from traditional rubber engineering to a technology-intensive, digitally integrated industry. Smart tires with IoT capabilities, EV-optimized compounds, premium high-rim products, and environmental innovation are becoming the new competitive battlegrounds. Alongside these shifts, consumer trends toward all-season tires, advanced run-flat tire technologies, and eco-friendly tires continue to strengthen the global automotive tire market.