Farm Tire Market Growth & Trends
The global farm tire market size is expected to reach USD 11.16 billion by 2028, according to a new report by Grand View Research, Inc. It is expected to expand at a CAGR of 5.1% from 2021 to 2028. The growing demand for tractors and harvesters in farming activities in developed as well as developing economies is anticipated to benefit the growth of the market over the forecast period.
The demand for farm tires in agricultural vehicles is expected to witness significant growth owing to the increasing penetration of vehicles in the agricultural sector. In addition, rising awareness among farmers related to the up-gradation in automotive technology and the use of automated equipment is expected to boost the market growth.
Increasing demand for food, especially in the emerging economies of Asia Pacific, including China, India, Japan, and Thailand, is a key factor driving the global market. Furthermore, economic development, coupled with the population expansion in these economies, is likely to boost the market growth over the forecast period.
Market players are engaged in developing innovative procedures for manufacturing farm tires in order to improve the product characteristics and enable its use in several agricultural vehicles. Leading players such as Michelin have undergone technology upgrades, such as from IF/VF technology to advanced flexion technology, in order to gain a competitive edge over their competitors in the market.
Farm Tire Market Report Highlights
- By product, bias tires are expected to witness the fastest growth in terms of revenue from 2021 to 2028 owing to the rising agriculture application on account of crosshatch construction of the tires and low cost as compared to their counterpart
- The tractors application segment dominated the market in 2020 and is expected to maintain its lead throughout the forecast period. The multipurpose nature of tractors is likely to benefit the segment growth
- The aftermarket distribution segment accounted for the largest revenue share in 2020 and is expected to be the dominant segment over the forecast period on account of the growing replacement of tires by farmers
- The farm tire market in Asia Pacific is estimated to witness the fastest growth in terms of revenue over the forecast period owing to the factors, such as increasing population, rising disposable income of the middle-class population, and rapid industrialization and urbanization
- Key market players undergo mergers and collaborations to expand their reach, thereby increasing their market share