North America automotive green tires market to surpass $44.5 billion by 2027
According to a recent study from market research firm Graphical Research, the North America automotive green tires market size is set to register a significant growth during the forecast timeframe, due to the growing adoption of technologically advanced and sustainable automobile solutions across the region. The spiraling demand for battery electric vehicles (BEVs) and hybrid electric vehicles (HEVs) is also likely to have a positive bearing on the progression of the market through the next few years.
With several initiatives made toward the reduction of environmental footprint across the North American region, automotive green tires market is expected to undergo a substantial transformation. Green tires can effectively address the need for sustainable transport solutions as they are eco-friendly and fuel efficient. They are manufactured using more than 200 ingredients and 20 rubber varieties for achieving exceptional performance, wet grip, and handling.
The accelerated demand for eco-friendly tires and green tires can be attributed to the growing number of research projects aimed at reducing environmental pollution and greenhouse gas emissions. Consumers are growing more aware regarding the growing volume of microplastic originating from vehicle tires, which shed millions of particles of microplastic every year. North America automotive green tires market outlook is expected to receive significant impetus from the concerns regarding the effect of tire-generated microplastic on human, animal, and marine health.
Some research studies suggest that although the atmospheric transport of microplastic has been acknowledged, it has not received any significant attention until recent times. Annually, a global average of over 6.1 million tons of tire wear particles or TWPs is generated due to mechanical abrasion and corrosion caused by frequent and severe braking. Microplastics can lead to cytotoxicity and unwanted immune responses, according to some studies.
With leading automakers introducing latest versions of their popular car models in the market, the number of registrations for EVs and SUVs has been spiraling continuously. For instance, from 2017 to 2018, the registration for these vehicles was recorded at 60.4% for EVs and 3.3% for SUVs in Canada. Since the government has been displaying considerable support toward the adoption of EVs, the growing spending capacity of consumers can be tapped by the North America automotive green tires market through the coming years.
Amidst the COVID-19 pandemic, individuals have been avoiding public transport and carpooling solutions due to the threat of infection. They have been more inclined toward using their own private vehicles for running errands, reaching workplaces, and commuting from place to place. The green tires industry revenue from the passenger cars segment in North America is projected to grow at a commendable CAGR of over 11.5%.
The deployment rate of green tires and eco-friendly tires is accelerated on account of the growing number of vehicle maintenance and repair facilities that have been offering these products across the region. Car servicing providers in particular and the automotive aftermarket in general is transitioning fast toward partnerships and proprietary channels, leveraging the advantages of e-commerce businesses as well as various workshops.
Continental AG, Bridgestone Corporation, The Goodyear Tire & Rubber Company, Michelin Group, Zhongce Rubber Group Co., Pirelli & C. S.p.A., Maxxis International, and Kumho Tire are some leading green tire manufacturers & suppliers in North America.