World Tires to 2015
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US$5800Global Demand to Rise 4.7% Annually Through 2015
World tire demand is forecast to rise 4.7 percent per year through 2015 to 3.3 billion units. In dollarterms, the tire market is projected to advance 6.5 percent annually through 2015 to $220 billion. Thelarge motor vehicle tire market will see acceleration in growth through 2015 following a period of weakness between 2005 and 2010, as the motor vehicle industries in many important producingcountries rebound. The strongest gains will be registered by the industrial and other tires segment,which includes a variety of tire types, including bicycle, motorcycle and off-road tires.
Asia/Pacific to solidify status as dominant region
The Asia/Pacific region is by far the largest market for tires, accounting for over half of global tire sales in2010. In addition, the region will register the strongest growth in tire demand through 2015, despite thefact that the large Japanese tire market is expected to see extremely sluggish growth as the motorvehicle industry in that country posts modest output gains. The massive Chinese tire market, whichsinglehandedly accounted for more than one-quarter of global tire demand in 2010, will record thestrongest gains of any country through 2015. Although the majority of tire demand in China is comprisedof non-motor vehicle tires, sales of motor ehicle tires in the country are the second highest in the world,behind only the US. The tire markets in North America and Western Europe will continue to seeadvances below the global average, although both regions will rebound somewhat from the declinesrecorded during the 2005 to 2010 period.
Motor vehicles to remain largest tire market
Tires for motor vehicles, which accounted for over 60 percent of all tire demand in 2010, are expectedto remain the largest segment of the tire market in 2015. Vehicle utilization rates are forecast toincrease worldwide as income levels rise, allowing a greater share of the population to own vehicles.This growth will bolster demand for both OEM and replacement motor vehicle tires, especially for lightvehicles.However, the industrial and other tire market will register the strongest gains of any tire segmentthrough 2015. Although this segment includes a wide range of tires, the vast majority of demand iscomprised of bicycle and motorcycle tires used in developing nations worldwide. The Asia/Pacific regionwill account for more than 90 percent of growth in unit terms through 2015. The massive size of theindustrial and other tire segment in that region is reflective of both the large population levels, as wellas the low motor vehicle utilization rates, except in Japan and South Korea. Tires employed in other