According to Vision Research Reports, the global OTR tire market size is projected to reach US$ 10.5 Bn by 2030, expanding at a CAGR of 4% during the forecast period 2021 to 2030, primarily driven by an increased use of tractors globally.
Advancements in technology, including two tire technology, smart tires, TreadStat, and rim management system, help to track the performance of tires, which help to avoid breakdown of vehicles. The rate of adoption of agriculture tractors and equipment has increased globally. Rise in affordability of tractors and income of farmers are driving the demand for OTR tires for agriculture tractors, which is anticipated to boost the off-the-road (OTR) tire market across the globe.
Bias Tires Pose Stiff Competition to Sales of Radial tires
Radial tires have more advantages as compared to its disadvantages. However, radial tires are more difficult and complicated to repair as compared to other types of tires. Moreover, bias tires pose a stiff competition to radial tires, and the former is predicted to dominate the revenue as compared to all tire types in the off-the-road (OTR) tire market.
On the other hand, repurposing radial tires is boosting the credibility of manufacturers in the off-the-road (OTR) tire market such as Bridgestone Americas’ Aiken Plant, which converts used tires into giant watering troughs for livestock. Manufacturers are increasing the availability of low-pressure tires meant for high-powered row crop applications.
Innovations in Harvester, Tractor Tires Create Revenue Opportunities for Companies
Since agriculture is predicted to dictate the highest revenue among all industrial types in the off-the-road (OTR) tire market, manufacturers are expanding their portfolio in this sector. Michelin introduced harvester and floater tires among others, which help to maximize harvests.
Stakeholders in the off-the-road (OTR) tire market are boosting their output capacities in high performance radial tires that offer long service life and exceptional year round traction. They are increasing R&D muscle to incorporate strong and flexible sidewalls and self-cleaning hinges for optimized pulling power. In addition, manufacturers are innovating in harvester tires that deliver less pressure for less soil compaction.
Airless Radial Tires Help Eliminate Downtime, Complex Mounting in Construction
Manufacturers are innovating in all terrain and all position radial tires to broaden their revenue streams. After agriculture, the construction industry holds promising potentials for the growth of the off-the-road (OTR) tire market. The breakthrough airless technology in radial tires for construction is eliminating the need for complex mounting equipment.
Airless radial tires are transforming the construction sector, since they omit the need for maintaining air pressure and reduce downtime during operations. These tires mimic the properties of pneumatic tires by eliminating issues of a flat tire. Companies are increasing their production for all terrain airless radial tires that provide hard surface traction.
Surge in Demand from Mining & Construction Sector to Aid Market Growth
Within the OTR tire market, innovations and research & development activities play an essential role. Companies in the current market landscape are increasingly focusing on the production of new OTR tires by deploying new manufacturing techniques, adapting evolving vehicle designs, and fulfilling the requirements of their customers. In addition, amidst the swelling environmental concerns, players involved in the OTR tire market are expected to develop sustainable tread compounds and new polymers using sustainable materials. OTR tire manufacturers are expected to expand their product offerings by launching new OTR tires with high load capacity and improved tread design.
Several OTR tire manufacturers are also expected to concentrate their resources toward addressing several challenges, out of which optimizing the design of the tire to improve its load capacity and durability will remain critical. Players in the OTR tire market are deploying advanced engineering solutions to improve the overall structure and features of tires. Tire pressure management systems, automated equipment, and monitoring tools are increasingly being installed in OTR tires particularly in the mining sector. While the adoption of OTR tires will remain the highest across the agriculture sector, the demand from other sectors, including mining, construction, and industrial is expected to grow at a steady pace during the forecast period. At the back of these factors, the global OTR tire market is expected to reach US$ 26 Bn by the end of 2027 and witness steady growth during the forecast period.
Focus on Data Management and Tire Monitoring Gains Momentum
The OTR tire market landscape continues to evolve at a rapid pace. Apart from introducing new tire sizes and models, market participants are likely to introduce application-specific and customized OTR tires. Manufacturers in the OTR tire market are aligning their product development activities by taking into account several factors, including type of loads, terrain, required temperature, and operating conditions. Over the past 10 to 15 years, OTR tires are increasingly being used in construction and mining sectors. Within the mining space, there is a significant demand for robust equipment and tires that can withstand hostile and harsh conditions. The soaring demand for OTR tires from the construction & mining sector is expected to boost the prospects of the OTR tires market in the near future.
Moreover, over the past few years, monitoring systems linked with OTR tires are being deployed to measure a broad range of parameters such as lateral/vertical/longitudinal forces, cycle times, average speed, percent grade, and other information that can be used to optimize road construction and resolve tire operation issues, including heat buildup, belt-edge separations, and irregular wear. Companies are expected to continue investing resources in R&D of advanced tools. For instance, tire pressure measurement systems (TPMS) are being installed in OTR tires to enhance data management and tire monitoring. Participants in the current market for OTR tires are also expected to develop OTR tires using environment-friendly materials instead of conventional oil-based synthetics and natural rubber.
Companies Likely to Launch New Tires for Different Applications
Participants in the current OTR tire market are expected to formulate growth strategies that are a blend of both expansion of the product portfolio and integration of new technologies. As applications of OTR tires continue to expand across different industries, OTR tire manufacturers are likely to launch new products that are ideal for these applications. In addition, manufacturers are also launching new OTR tires in different sizes that will improve road handling, maximize fuel savings, and offer added operational comfort. For instance, in May 2019, Michelin launched a new tractor tire that is specifically developed for heavy road applications. Companies are likely to continue rolling out new OTR tires that are durable and have applicability in the harshest of working environments. For instance, in October 2019, Maxam Tire North America Inc. announced the launch of three OTR tires for open pit mining applications.
Rise in medium-sized farmers across globe is fueling the demand for agricultural equipment, which is fueling the demand for agriculture tires across the globe. Increase in industrialization across the globe has boosted transportation activities. Intercity transport activities, including B2B and B2C trade are growing, which drives the demand for compact and fast transport vehicles to effectively navigate around cities. This is propelling the global off-the-road (OTR) tire market.
Growing population and rising consumer income across the globe are likely to shift agriculture sector toward mechanization, which is likely to boost the off-the-road (OTR) tire market across the globe. Rising technological development in tires, including connected tires and TreadStat rim management system, which provides information before the breakdown of the vehicle. This is anticipated to propel the off-the-road (OTR) tire market across the globe.
The COVID-19 pandemic has caused a majority of businesses across the globe to crumble, owing to forced shutdown of production and manufacturing activities. This has led the global economy to contract to its lowest growth rate. Majority of businesses in every industry are codependent and are a part of major supply chain in the market. Disruption in supply chain attributing to stoppage of transportation and shipping services, and reduced demand for vehicles across the globe is likely to cause the global automotive industry to contract in Q1 and Q2 of 2020.
Raw material prices usually represent 35% of the tire cost. Thus, volatility in raw material prices severely affect the costing of the bias tire. Prices of raw materials, such as natural rubber and synthetic rubber, fluctuate due to shortage of natural rubber cultivation or rise in Brent crude price.
Prominent players operating in the global OTR tire market include Continental AG, Bridgestone Corporation, MICHELIN, Yokohoma Tire Corporation, Sumitomo Rubber Industries, Ltd., Nokian Tyres, China National Tire & Rubber Co., Ltd., Trelleborg AB, Apollo Tyres Ltd., Qingdao Rhino Tyre Co., Ltd., Titan International, Inc., Balkrishna Industries Limited, Double Coin Tyre Group Ltd., and Triangle Group Co., Ltd.
The Off The Road (OTR) Tire market research report covers definition, classification, product classification, product application, development trend, product technology, competitive landscape, industrial chain structure, industry overview, national policy and planning analysis of the industry, the latest dynamic analysis, etc., and also includes major. The study includes drivers and restraints of the global market. It covers the impact of these drivers and restraints on the demand during the forecast period. The report also highlights opportunities in the market at the global level.
The report provides size (in terms of volume and value) of Off The Road (OTR) Tire market for the base year 2020 and the forecast between 2021 and 2030. Market numbers have been estimated based on form and application. Market size and forecast for each application segment have been provided for the global and regional market.
This report focuses on the global Off The Road (OTR) Tire market status, future forecast, growth opportunity, key market and key players. The study objectives are to present the Off The Road (OTR) Tire market development in United States, Europe and China.
It is pertinent to consider that in a volatile global economy, we haven’t just conducted Off The Road (OTR) Tire market forecasts in terms of CAGR, but also studied the market based on key parameters, including Year-on-Year (Y-o-Y) growth, to comprehend the certainty of the market and to find and present the lucrative opportunities in market.
In terms of production side, this report researches the Off The Road (OTR) Tire capacity, production, value, ex-factory price, growth rate, market share for major manufacturers, regions (or countries) and type.
In terms of consumption side, this report focuses on the consumption of Off The Road (OTR) Tire by regions (countries) and application.
Buyers of the report will have access to verified market figures, including global market size in terms of revenue and volume. As part of production analysis, the authors of the report have provided reliable estimations and calculations for global revenue and volume by Type segment of the global Off The Road (OTR) Tire market. These figures have been provided in terms of both revenue and volume for the period 2016 to 2027. Additionally, the report provides accurate figures for production by region in terms of revenue as well as volume for the same period. The report also includes production capacity statistics for the same period.
With regard to production bases and technologies, the research in this report covers the production time, base distribution, technical parameters, research and development trends, technology sources, and sources of raw materials of major Off The Road (OTR) Tire market companies.
Regarding the analysis of the industry chain, the research of this report covers the raw materials and equipment of Off The Road (OTR) Tire market upstream, downstream customers, marketing channels, industry development trends and investment strategy recommendations. The more specific analysis also includes the main application areas of market and consumption, major regions and Consumption, major Chinese producers, distributors, raw material suppliers, equipment providers and their contact information, industry chain relationship analysis.
The research in this report also includes product parameters, production process, cost structure, and data information classified by region, technology and application. Finally, the paper model new project SWOT analysis and investment feasibility study of the case model.
Overall, this is an in-depth research report specifically for the Off The Road (OTR) Tire industry. The research center uses an objective and fair way to conduct an in-depth analysis of the development trend of the industry, providing support and evidence for customer competition analysis, development planning, and investment decision-making. In the course of operation, the project has received support and assistance from technicians and marketing personnel in various links of the industry chain.
Off The Road (OTR) Tire market competitive landscape provides details by competitor. Details included are company overview, company financials, revenue generated, market potential, investment in research and development, new market initiatives, global presence, production sites and facilities, production capacities, company strengths and weaknesses, product launch, product width and breadth, application dominance. The above data points provided are only related to the companies’ focus related to Off The Road (OTR) Tire market.
Prominent players in the market are predicted to face tough competition from the new entrants. However, some of the key players are targeting to acquire the startup companies in order to maintain their dominance in the global market. For a detailed analysis of key companies, their strengths, weaknesses, threats, and opportunities are measured in the report by using industry-standard tools such as the SWOT analysis. Regional coverage of key companies is covered in the report to measure their dominance. Key manufacturers of Off The Road (OTR) Tire market are focusing on introducing new products to meet the needs of the patrons. The feasibility of new products is also measured by using industry-standard tools.
Key companies are increasing their investments in research and development activities for the discovery of new products. There has also been a rise in the government funding for the introduction of new Off The Road (OTR) Tire market. These factors have benefited the growth of the global market for Off The Road (OTR) Tire. Going forward, key companies are predicted to benefit from the new product launches and the adoption of technological advancements. Technical advancements have benefited many industries and the global industry is not an exception.
New product launches and the expansion of already existing business are predicted to benefit the key players in maintaining their dominance in the global market for Off The Road (OTR) Tire. The global market is segmented on the basis of region, application, en-users and product type. Based on region, the market is divided into North America, Europe, Asia-Pacific, Latin America and Middle East and Africa (MEA).
In this study, the years considered to estimate the market size of Off The Road (OTR) Tire are as follows:
Reasons to Purchase this Report:
- Market segmentation analysis including qualitative and quantitative research incorporating the impact of economic and policy aspects
- Regional and country level analysis integrating the demand and supply forces that are influencing the growth of the market.
- Market value USD Million and volume Units Million data for each segment and sub-segment
- Competitive landscape involving the market share of major players, along with the new projects and strategies adopted by players in the past five years
- Comprehensive company profiles covering the product offerings, key financial information, recent developments, SWOT analysis, and strategies employed by the major market players
In-depth interviews and discussions were conducted with several key market participants and opinion leaders to compile the research report.
This research study involved the extensive usage of both primary and secondary data sources. The research process involved the study of various factors affecting the industry, including the government policy, market environment, competitive landscape, historical data, present trends in the market, technological innovation, upcoming technologies and the technical progress in related industry, and market risks, opportunities, market barriers and challenges. The following illustrative figure shows the market research methodology applied in this report.
Market Size Estimation
Top-down and bottom-up approaches are used to estimate and validate the global market size for company, regional division, product type and application (end users).
The market estimations in this report are based on the selling price (excluding any discounts provided by the manufacturer, distributor, wholesaler or traders). Market share analysis, assigned to each of the segments and regions are achieved through product utilization rate and average selling price.
Major manufacturers & their revenues, percentage splits, market shares, growth rates and breakdowns of the product markets are determined through secondary sources and verified through the primary sources.
All possible factors that influence the markets included in this research study have been accounted for, viewed in extensive detail, verified through primary research, and analyzed to get the final quantitative and qualitative data. The market size for top-level markets and sub-segments is normalized, and the effect of inflation, economic downturns, and regulatory & policy changes or others factors are accounted for in the market forecast. This data is combined and added with detailed inputs and analysis from Vision Research Reports and presented in this report.
Market Breakdown and Data Triangulation
After complete market engineering with calculations for market statistics; market size estimations; market forecasting; market breakdown; and data triangulation. Extensive primary research was conducted to gather information and verify and validate the critical numbers arrived at. In the complete market engineering process, both top-down and bottom-up approaches were extensively used, along with several data triangulation methods, to perform market estimation and market forecasting for the overall market segments and sub-segments listed in this report.
Secondary Sources occupies approximately 25% of data sources, such as press releases, annual reports, Non-Profit organizations, industry associations, governmental agencies and customs data, and so on. This research study includes secondary sources; directories; databases such as Bloomberg Business, Wind Info, Hoovers, Factiva (Dow Jones & Company), TRADING ECONOMICS, and avention; Investing News Network; statista; Federal Reserve Economic Data; annual reports; investor presentations; and SEC filings of companies.
In the primary research process, various sources from both the supply and demand sides were interviewed to obtain qualitative and quantitative information for this report. The primary sources from the supply side include product manufacturers (and their competitors), opinion leaders, industry experts, research institutions, distributors, dealer and traders, as well as the raw materials suppliers and producers, etc.
The primary sources from the demand side include industry experts such as business leaders, marketing and sales directors, technology and innovation directors, supply chain executive, end users (product buyers), and related key executives from various key companies and organizations operating in the global market.
The study objectives of this report are: