Growing demand for passenger vehicles, surging domestic manufacturing as well as opportunities in the aftermarket has propelled the demand for tyres in the South East Asia region. Moreover, government visions such as Indonesia vision 2045 and Vietnam vision 2035 would result in an increase in the level of disposable income in the region. Further resulting in higher adoption of vehicles and would spur the growth of tyre market in South East Asia over the next six years.
According to 6Wresearch, South East Asia Tyre market revenues are projected to grow at a CAGR of 8.3% during 2018-24. The vehicle ownership ratio in countries such as Myanmar, Vietnam, Philippines and Cambodia are still very low and consequently offers high growth potential. Furthermore, the consumers are shifting towards green vehicles in place of standard passenger vehicles. This would increase the production of green vehicle and eventually would boost the sales of tyres during the forecast period.
According to Shefali Goel, Assistant Manager, Research and Consulting, 6Wresearch, "The two and three-wheeler vehicle tyre segment accounted for the maximum revenue share in the overall South East Asia tyre market, owing to an increase in demand for two wheelers. Additionally, efficient macroeconomic conditions of various countries in the region would result in continued dominance of the respective segment during the forecast period as well.
"Additionally, the commercial vehicle tyre segment is predicted to exhibit a healthy growth during the forecast period on account of increasing commercial activities and developing logistic sector in the region," Shefali further added.
According to Prashant Bhatia, Research Associate, Research and Consulting, 6Wresearch," Radial tyre acquires major share in the market revenues owing to substantial deployment amongst all types of vehicles. Radial tyres offers certain benefits such as higher safety, long-term value and lower life-cycle cost. Additionally, the radial tyre segment is anticipated to witness maximum growth during the forecast period on account of consumer concerns regarding safety reasons and lower life cycle costs.
"Further, Indonesia, Thailand and Vietnam were the top 3 countries which have witnessed maximum installation of radial tyres due to higher number of vehicle sales. However, Vietnam, Philippines and Indonesia would witness large number of radial tyre installations over the coming years. Singapore would be the least growing country in the region due to adoption of certain vehicle ownership restriction policies by the government," Prashant further added.
Some of the major companies in the South East Asia Tyre Market include Michelin, Bridgestone Corporation, Continental AG, Goodyear Tire and Rubber co., Yokohama Rubber, Hankook Tire, Sumitomo Rubber Industries, Toyo Tire, Giti Tire and Cheng Sing Rubber.
"South East Asia Tyre Market (2018-2024)" report provides an in-depth analysis with 140 figures and 12 tables covered in more than 260 pages. The report estimates and forecast the overall South East Asia Tyre Market by vehicle types, tyre types, end markets and countries. The report provides an unbiased and detailed analysis of the on-going trends, opportunities/high growth areas and market drivers which would help the stakeholders to device and align their market strategies according to the current and future market dynamics.