There has been a significant increase in vehicle production over the years. However, in 2020, factors like COVID-19, regional disparities, weakness in economy, and lagging vaccination timetables, particularly in poor countries, resulted in the decline in global vehicle production. However, a strong rebound in global vehicle production with the recovery of major industries across the globe since the middle of last year has helped soften the impact of the pandemic for automotive industry. The global economic recovery is also expected to be fueled by the higher production of vaccines and vaccination rates, allowing businesses to reopen more quickly.
The increasing demand for new infrastructure is expected to drive the demand for construction machinery and thereby OTR tires across the globe. The construction and mining equipment industry has witnessed substantial growth in emerging economies such as China and India. Rapid infrastructural development and revised government norms related to construction activities in these countries are driving the construction and mining equipment market and thus the OTR tires market. With the growing population, the demand for food and agricultural products has increased, and this has generated the need for farm mechanization. The demand for agricultural tractors used for different agricultural activities has increased during recent years. High labor costs led the industry to shift towards industrial automation. These factors drive the demand for OTR tires for various applications.
“OTR tires for Container Handlers is expected to lead the industrial equipment segment due to the higher demand in material handling applications.”
The OTR tires for container handlers is estimated to lead the market, in terms of value, during the forecast period due to the higher demand of industrial equipments. The increasing industrialization and setting up of warehouses to support the hub and spoke model for various sectors are expected to drive the growth of industrial equipment, thereby driving the OTR tires market. Manufacturers are investing in R&D to develop technologically advanced industrial vehicles that are innovative, efficient, and cost-effective. Container handlers are used for handling intermodal cargo containers in small terminals or medium-sized ports and warehouses. The demand for these vehicles is expected to grow in emerging economies such as China and India, where new infrastructure projects are being launched.
Asia Pacific is projected to be the highest growing regional market
China, Japan, India, and Indonesia are included under Asia Pacific for market analysis. Infrastructural activities are projected to grow as they form a critical part of improving connectivity and promoting sustainable growth. Population growth and migration to major cities in the past decade further increased the demand for residential buildings. According to the Asian Development Bank, countries in Asia Pacific will have to invest USD 1.7 trillion per year up to 2030 for infrastructural development, which will cater to the requirements of infrastructural development. These factors are expected to drive the demand for construction equipment and will positively impact the demand for OTR tires. Asia Pacific is estimated to have the largest market for OTR tires in 2021.
In-depth interviews were conducted with CEOs, marketing directors, other innovation and strategy directors, and executives from various key organizations operating in this market.
- By Company Type: Tier 1 – 70%, Tier 2 – 20% and Tier 3 – 10%
- By Designation: Manager Level – 60%, C Level - 25%, and Others – 15%
- By Region: Asia Pacific - 35%, Europe - 20%, North America –30%, and RoW-15%
Continental AG (Germany), Bridgestone Corporation (Japan), Michelin (France), Goodyear Tire & Rubber Company (US), and Pirelli & C. S.p.A. (Italy) are prominent players in the OTR tires market
The study covers segments the OTR tires market and forecasts the market size based on based on Equipment Type (Articulated Dump Trucks, Asphalt Finishers, Backhoe Loaders, Crawler Dozer, Crawler Excavators, Crawler Loaders, Mini Excavators, Motor Graders, Rigid Dump Trucks, RTLT-Telescopic, Skid-Steer Loaders, Wheeled Excavators, Wheeled Loaders <80 HP, Wheeled Loaders >80 HP, Agriculture Tractors, and Others), Agriculture Tractors (<30 HP, 31-70 HP, 71-130 HP, 131-250 HP, and >250 HP), Industrial Equipment (Forklifts, Aisle Trucks, Tow Tractors, and Container Handlers), Product Type (Wheeled Tires and Rubber Tracks), Tire Type (Radial, Bias, and Solid), Rim Size (up to 30 inches, 30-50 inches, and above 50 inches), Retreading, by Process (Pre-cure and Mold cure), Retreading, by Application (Construction and Mining Equipment, and Agriculture tractors), By Application (Construction and Mining Equipment, Agriculture Tractors, and Industrial Equipment), By Region (Asia Pacific, Europe, North America, and RoW).
The study also includes an in-depth competitive analysis of the major OTR tire manufacturers in the market, along with their company profiles, key observations related to product and business offerings, recent developments, and key market strategies.
Key Benefits of Buying the Report:
The report will help the market leaders/new entrants in this market with the information on the closest approximations of the revenue numbers for the overall OTR tires market and the sub-segments. This report will help stakeholders understand the competitive landscape and gain more insights to better position their businesses and plan suitable go-to-market strategies. The report also helps stakeholders understand the market’s pulse and provides them information on key market drivers, restraints, challenges, and opportunities.