OTR Tires Market - Forecast(2021 - 2026)

Overview

The market for OTR Tires is forecast to reach $7.57 billion by 2025, growing at a CAGR of 4.75% from 2020 to 2025. The significant rise in the demand for agriculture, construction and mining machinery is set to boost the OTR tires market during the forecast period 2020-2025. The rising off-high way vehicle sales, is a key driving factor for the OTR tires market. The growing mining activities and the significant deployment of the commercial vehicles is further escalating the market growth rate.

Report Coverage

The report: “OTR Tires Market – Forecast (2020-2025)”, by IndustryARC covers an in-depth analysis of the following segments of the Product Security & IT Security Assessment market. 

By Product Type: Wheeled, Rubber tyres
By Construction type: Bias tyre, belted bias tyre, radial
By Rim size: <24.9inch, 25.1 inch – 49.9 inch, 50.1 inch – 63.0 inch
By Process: Pre cure, Mold cure
By End user: Construction, Mining, Industrial equipment, agriculture trucks
By Geography: North America, South America, Europe, APAC, and RoW


Key Takeaways

  • Asia-Pacific dominates the OTR Tires industry owing to rising production of automobiles in the region alongside the wide presence of agriculture and construction sector
  • Increasing demand for the off-highway vehicles and the adoption of the advanced technologies such as tire monitoring system is set to contribute to the growth of the market.
  • Increasing adoption of sustainable and environment-friendly automotive components and implementation of stringent government regulations related to automobile emissions will increase the market demand for OTR Tires during forecast period.

End user - Segment Analysis

The commercial vehicles production has risen by 2% in 2019 as stated by OICA majorly due the high demand from agriculture and construction machinery. The construction and mining segment is analysed to hold highest market share in 2019 owing to the vast construction and mining projects in various developing economies. Bacanora Lithium has announced plans to begin the construction of Sonora project in Mexico with an investment of $420mn in the second quarter of 2020, and has also stated that it is set to be Mexico’s first large-scale lithium mine. Therefore the growing projects are significantly set to impact on the market growth rate during the forecast period 2020-2025.

Geography - Segment Analysis

In 2019, APAC dominated the OTR Tires market, followed by North America and Europe. This is majorly attributed to the high procurement of the off highway vehicles in the countries such as China and India. As Agriculture is the major factor for the economies in India, China, Vietnam and so on, the procurement of the agriculture machinery is significantly high thereby contributing to the market growth rate. Adding to this, the growing mining sector is further contributing to the OTR tires market. In 2015, Newmont has also invested $500m in a significant expansion of the Boddington gold mine’s south pit, thereby extending the mine’s lifespan until 2025. All these factors are significantly contributing to the growth of the market during the forecast period 2020-2025.


Drivers –OTR Tires Market

Increasing sales of off-highway vehicles

The significant rise in the off-highway vehicles such as tractors, agricultural machinery and so on is set to boost the market growth rate. The increasing adoption of the heavy vehicles in agriculture and construction as well are impacting the growth of the market. Adding to this, the adoption of the monitoring systems for the tyres in the commercial sectors is set to further escalate the market growth rate.

Rising mining activities
The significant rise in the mining sector alongside the deployment of the heavy machinery is set to contribute to the growth of the market. In June 2019, Canadian bullion producer Yamana Gold has announced that the current Phase 1 expansion of Brazil-based Jacobina mine is expected to increase the mine’s output to about 170,000 ounces a year by 2021. These growing mining activities is set to drive the OTR tires market during the forecast period 2020-2025.

Challenges – OTR Tires Market

Low cost tires from unorganized market

The availability of the low cost tires from the local players as unorganized market is impacting the market growth rate. The significant growth of the local players in the market is certainly hindering the market growth rate. The high adoption of the repair services of the tires from the local players is certainly impacting on the market during the forecast period 2020-2025.

Market Landscape

Technology launches, acquisitions, and R&D activities are key strategies adopted by players in the OTR Tires market. Transmission repair driver market is expected to be dominated by major companies such as Continental, Bridgestone, Michelin, Goodyear, Pirelli among others.


Acquisitions/Technology Launches

  • In October 2019, Continental announced plans to launch a bias line of General brand OTR tires in 2020, including L5series, E3 series, and E4 series line.

Comments

Post a Comment

Popular posts from this blog

Footwear Materials Market - Forecast(2021 - 2026)

Footwear materials   are basically used in the manufacturing of footwear. Leather has been prime footwear material but the focus has been shifted to other materials like plastics, rubber and more in recent years. The key factors for the increase in demand for footwear which has resulted in rise footwear materials is due to increase in disposable income in major countries especially in lower and middle income classes. Adoption of westernization and increase in health awareness that increased demand for athletic footwear also attributed for the rise in demand. The footwear manufacturers must comply with the standards insisted by governing bodies so that potential risks to consumer can be minimized. Some of the standards for footwear manufacturers are Consumer Product Safety Improvement Act (CPSIA), Guobiao standards, International standards organization (ISO) and others. Footwear materials market has been segmented into different segments such as by type, by end user and by geography. T
Read more

Golf Cart Market - Industry Analysis, Market Size, Share, Trends, Application Analysis, Growth And Forecast 2021 - 2026

Global Golf Cart Market: Overview The golf cart manufacturing industry is showing substantial growth over the years. Increasing innovations in the golf cart to provide more comfort rides to passengers are expanding the opportunities for manufactures in the golf cart market. Several guidelines made by the government for the drivers and cart owners to ensure safety will prolong the demand growth. Owing to the fact that golf cart are used in many sectors for short distance ride and transportation of goods the golf cart market had a size of $2.38 billion in 2018, and it will grow with a compound annual growth rate  (CAGR) of 7.22%  during the forecast period 2019-2025.   North America is the leading region in the golf cart market. The rapid growth and increase globalization in the region will boost the economy and the purchasing power of the individual. Furthermore, high availability of country clubs, golf courses, and golfers in the region are primary reason behind North America to be on
Read more

Plasticizers Market - Forecast(2021 - 2026)

Plasticizers   are organic compounds added to polymers to facilitate processing and to increase the flexibility and toughness of the final product by internal modification of the polymer molecule. Polyvinyl chloride (PVC)   accounts for 80-90% of world plasticizer consumption . The main factor owing to the growth of this industry is growing consumption from industries like automotive industry, home appliances, electric wires and cables. Phthalates  accounted for 70% of the world consumption  of plasticizers in 2014, down from  approximately 88% in 2005  and are forecast to  account for 65% of world consumption  in 2020. This decline is due to the increasing concerns over environmental effects. The  plasticizers market  has been segmented by type, application and geography exclusively. Based on the types of additives commercially available, the market is categorized widely into two categories, which are, phthalates and non-phthalates. Each type varies greatly and the composition is diff
Read more