High Performance Tires Market Size
| Study Period | 2019 - 2029 |
| Market Size (2024) | USD 53.25 Billion |
| Market Size (2029) | USD 82.18 Billion |
| CAGR (2024 - 2029) | 9.07 % |
| Fastest Growing Market | Europe |
| Largest Market | Europe |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
High Performance Tires Market Analysis
The High Performance Tire Market size is estimated at USD 53.25 billion in 2024, and is expected to reach USD 82.18 billion by 2029, growing at a CAGR of 9.07% during the forecast period (2024-2029).
- The COVID-19 pandemic significantly affected the automotive tire market in the short term, as the production and sales of new vehicles declined in 2020. Moreover, people stayed mostly indoors owing to the restrictions imposed by authorities, which further decreased revenues due to low maintenance and tire replacements.
- The sales of high-performance tires have increased significantly over the years, owing to a rise in the different types of automotive racing competitions, which acts as a significant driver for the high-performance and ultra-high-performance tires market.
- The growing popularity of various types of automotive racing worldwide has helped boost the market's growth to a significant extent. Competitive automotive racing was initially focused on popular car racing series, such as Formula One, NASCAR, and motorbike races, which attracted many sponsorships and promotional activities. However, over the years, racing competitions have witnessed an increase in the number of different types of races, with vehicles having varying engine sizes, such as SUVs, dirt bikes, monster trucks, solar cars, sprint cars, and touring cars.
- Furthermore, tire manufacturers are utilizing new technologies in producing high-performance tires that push the boundaries of size, speed, and performance characteristics. Many of these next-generation high-performance tires offer multi-season driving safety, ride comfort, low noise, and improved fuel efficiency to satisfy changing customer needs.
High Performance Tires Market Trends
This section covers the major market trends shaping the High Performance Tire Market according to our research experts:
Rise in Demand for High Performance Vehicles
- The rapid expansion of the auto sector across the globe is driving the high-performance tires market. This may be credited to expanding commercial and passenger vehicle demand, a booming transportation industry, rising disposable incomes, and the country's advanced automotive infrastructure.
- Furthermore, the increased desire for electric cars due to the benefits of decreased noise and pollution is expected to produce a great demand for high-performance wheels throughout the forecast period. Additionally, rising awareness of the advantages of high-performance tires in terms of acceleration, fuel efficiency, and lightweight is expected to drive market expansion in the area.
- High-performance tires increase vehicle safety by having a shorter stopping distance, lateral grip, and strong wet traction. In the United States, SUVs accounted for 77.6% of total vehicle sales in 2021, whereas in Europe, SUVs accounted for about 40% of vehicles sold in 2021.
- The rising popularity of sports vehicles among the young population is expected to fuel the market expansion throughout the forecast period. Also, the market will likely benefit from the major car manufacturers' increasing attempts to build more powerful and safe vehicles.
- Furthermore, the demand for high-performance tires in the aftermarket is mainly attributed to the faster wear and tear of softer rubber tires required to perform at extremely high speeds. In a typical racing championship (for which they have the maximum penetration), a team usually uses between 9-14 sets of tires, depending upon the length of the track, surface type, like asphalt and concrete, and types of track, such as short track, speedway, superspeedway, or road course. Therefore, the demand for high-performance tires in the aftermarket is higher to a considerable extent than in the OEM segment.
- Considering all these factors, the market for high-performance replacement tires is expected to grow over the forecast period.
The European Market is Growing at a Faster Pace
- Countries in Western Europe, such as the United Kingdom, Germany, and France, play a significant role in contributing to the high-performance tire market. Manufacturers in Western Europe, such as Ferrari, Daimler, BMW, Volkswagen Group, and Renault, frequently participate in automotive racing events organized across Europe to test and promote their products. This has increased the demand for racing tires by OEMs. The region also hosts many auto races, primarily in countries such as France, Italy, Spain, and the United Kingdom. A rise in the auto races market is expected to increase the demand for racing tires.
- Brand loyalty is exhibited by OEMs and vehicle teams, which replace tires on their cars with the same brand as originally installed. As a result, tire manufacturers have strived to enter contracts with OEMs and vehicle team owners. These contracts are important and attractive to tire manufacturing companies, as they save on distribution expenses and advertising costs.
- The United Kingdom's tire market is expected to rise in the following years due to the country's strong infrastructure growth and increasing automotive fleet size. Michelin, Goodyear & Dunlop, Pirelli, and Cooper Tyres are among the world's leading tire manufacturers, with production operations in the UK with plans to grow production capacity over the next five years.
- Most of the world's biggest auto OEMs, including Nissan, Land Rover, Toyota, Honda, DAF, and others, have manufacturing facilities in the United Kingdom, resulting in high demand for performance tires in the country.
- For instance, in July 2021, GM launched European versions of the new mid-engine Corvette Stingray in 16 highly equipped launch editions, including eight coupes and eight convertibles. The Corvette Stingray has been equipped with Michelin Pilot Sport 4S performance tires from Michelin. In May 2021, Bridgestone UK introduced new flagship Potenza Sport high-performance tires in the market, whose custom-developed version tires have been selected by leading car manufacturers, including Maserati, Lamborghini, and BMW.
- The increase in production standards of tire manufacturing, sustainable innovation, and excellent technical know-how based in the country are expected to continue strengthening the position of Germany to emerge as a leading high-performance tire manufacturing location, in the supply side dynamics, during the forecast period.
High Performance Tires Industry Overview
The high-performance tires market is characterized by the presence of numerous international and few regional players, resulting in a highly competitive market environment. Some of the leading players in the market are Continental AG, Bridgestone Corporation, Pirelli & C. SpA, MRF, Michelin, and others.
Market leaders operate with many subsidiaries that cater to specific products in different countries. Yokohama and Pirelli, in particular, are trying to increase their market penetration by setting up production bases and manufacturing new tires per the modified F1 rules to have comprehensive supply chains. Bridgestone and Michelin have invested huge amounts in Canada to expand their product portfolios in the automotive tire segment.
The demand for high-performance, highly efficient, and safe-handling tires from the end market is expected to make the market more competitive and effectively dynamic during the forecast period.
High Performance Tires Market Leaders
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Continental AG
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Bridgestone Corporation
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Pirelli & C. SpA
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MRF Limited
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Michelin
*Disclaimer: Major Players sorted in no particular order
High Performance Tires Market News
- Septemberber 2022: Bridgestone Americas announced the launch of the new firestone Firehawk AS V2 for an all-season ultra high-performance tire.
- May 2022: ZC Rubber announced the launch of the Westlake ZuperAce Z-007 ultra-high-performance passenger car tires. The tire is made of nano-silica to improve grip and fuel efficiency.
- March 2022: Hankook Tire launched the ultra-high-performance (UHP) all-season Ventus S1 AS tire. The UHP all-season Ventus S1 AS features an asymmetric tread pattern to support driving performance every season.
- September 2021: Continental launched Super Contact 7 ultra-high-performance tires. The new Sport Contact is six percent better for dry braking, and the service life is 17 percent longer, claims Continental. The new Sport Contact offers drivers a high-performance, very safe, handling-oriented, high-mileage tire. On the racetrack, mileage is up 10% over the previous model, and wet braking distances are reduced by eight%.
High Performance Tires Market Report - Table of Contents
1. INTRODUCTION
1.1 Study Assumptions
1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET DYNAMICS
4.1 Market Drivers
4.2 Market Restraints
4.3 Industry Attractiveness - Porter's Five Forces Analysis
4.3.1 Threat of New Entrants
4.3.2 Bargaining Power of Buyers/Consumers
4.3.3 Bargaining Power of Suppliers
4.3.4 Threat of Substitute Products
4.3.5 Intensity of Competitive Rivalry
5. MARKET SEGMENTATION (Market Size in Value USD Billion)
5.1 Tire Type
5.1.1 Racing Slick
5.1.2 Tread Tires
5.1.3 Other Tire Types
5.2 Sales Channel Type
5.2.1 OEM
5.2.2 Replacement/Aftermarket
5.3 Vehicle Type
5.3.1 Racing Cars
5.3.2 Off-the Road Vehicles
5.3.3 Other Vehicle Types
5.4 Geography
5.4.1 North America
5.4.1.1 United States
5.4.1.2 Canada
5.4.1.3 Rest of North America
5.4.2 Asia-Pacific
5.4.2.1 China
5.4.2.2 Japan
5.4.2.3 India
5.4.2.4 South Korea
5.4.2.5 Rest of Asia-Pacific
5.4.2.6
5.4.3 Europe
5.4.3.1 Germany
5.4.3.2 United Kingdom
5.4.3.3 France
5.4.3.4 Russia
5.4.3.5 Rest of Europe
5.4.4 Rest of the World
5.4.4.1 South America
5.4.4.2 Middle East and Africa
6. COMPETITIVE LANDSCAPE
6.1 Vendor Market Share
6.2 Company Profiles*
6.2.1 Bridgestone Corporation
6.2.2 Continental AG
6.2.3 Goodyear Tire & Rubber Company
6.2.4 Hankook Tire & Technology Co. Ltd
6.2.5 Kumho Tire Co. Inc.
6.2.6 Michelin
6.2.7 MRF Limited
6.2.8 Pirelli & C. SpA
6.2.9 Sumitomo Rubber Industries Ltd
6.2.10 Yokohama Rubber Co. Ltd
7. MARKET OPPORTUNITIES AND FUTURE TRENDS
High Performance Tires Industry Segmentation
High-performance tires are designed to provide cars with a more gripping, responsive contact to the road in both wet and dry situations. Performance tires are built and designed with specialized and unique compounds, materials, and tread patterns, all of which are focused on giving the highest performance. Performance tires are intended to provide enhanced performance by altering the characteristics of the car by boosting road grip, as well as responsiveness, handling, braking, and steering wheel feedback.
The high-performance tires market has been segmented by tire type, sales channel type, vehicle type, and geography. Based on tire type, the market has been segmented as racing slick, tread tire, and other tire types. Based on sales channel type, the market has been segmented into OEM and replacement/aftermarket. Based on vehicle type, the market has been segmented into racing cars and off-road vehicles, and based on geography, the market is segmented into North America, Asia-Pacific, Europe, and the Rest of the World.
The report offers the market size and forecast of the high-performance tires market in value USD million for the segments mentioned above.
| Tire Type | |
| Racing Slick | |
| Tread Tires | |
| Other Tire Types |
| Sales Channel Type | |
| OEM | |
| Replacement/Aftermarket |
| Vehicle Type | |
| Racing Cars | |
| Off-the Road Vehicles | |
| Other Vehicle Types |
| Geography | |||||||
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High Performance Tires Market Research FAQs
How big is the High Performance Tire Market?
The High Performance Tire Market size is expected to reach USD 53.25 billion in 2024 and grow at a CAGR of 9.07% to reach USD 82.18 billion by 2029.
What is the current High Performance Tire Market size?
In 2024, the High Performance Tire Market size is expected to reach USD 53.25 billion.
Who are the key players in High Performance Tire Market?
Continental AG, Bridgestone Corporation, Pirelli & C. SpA, MRF Limited and Michelin are the major companies operating in the High Performance Tire Market.
Which is the fastest growing region in High Performance Tire Market?
Europe is estimated to grow at the highest CAGR over the forecast period (2024-2029).
Which region has the biggest share in High Performance Tire Market?
In 2024, the Europe accounts for the largest market share in High Performance Tire Market.
What years does this High Performance Tire Market cover, and what was the market size in 2023?
In 2023, the High Performance Tire Market size was estimated at USD 48.82 billion. The report covers the High Performance Tire Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the High Performance Tire Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
High Performance Tires Industry Report
Statistics for the 2024 High Performance Tires market share, size and revenue growth rate, created by Mordor Intelligenceā¢ Industry Reports. High Performance Tires analysis includes a market forecast outlook to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
High Performance Tires Market Report Snapshots
