Vietnam Tyre Market Set to Grow at Over 8% during 2014-19
Vietnam emerging as a major consumer of tyre in Asia-Pacific on account of significant rubber resources and growing motorization level
According to recently published TechSci Research report “Vietnam Tyre Market Forecast and Opportunities, 2019’’, the tyre market in Vietnam is forecast to grow at a CAGR of over 8% during 2014-19. Prominent factors driving the market include growing automobile sales, rising automobile fleet, favorable government policies and increasing foreign investments in the automotive sector. As per the Association of Natural Rubber Producing Countries (ANRPC), Vietnam is the third largest rubber producing nation worldwide. This, in turn, provides considerable opportunities to tyre manufacturers to increase production capacities and establish new manufacturing plantsin Vietnam.
In 2013, two-wheeler tyre segment dominated the Vietnam tyre market with majority share, followed by passenger car and commercial vehicle & OTR tyre segments. In passenger car tyre segment, the sales of Sedan and SUV tyres was pegged higher than Hatchback and Hybrid care tyres.Vietnam mostly imports automobile tyres from ASEAN countries such as Thailand, Indonesia, China and Japan. Thailand remained the largest exporter of tyres for Vietnam in 2013, followed by Japan, China and Indonesia. These countries cumulatively accounted for around 72% of the total tyre imports in the country in the same year. Tyres produced in Vietnam are exported to countries like the US, Malaysia, Saudi Arabia and Brazil among others.
“Southern Vietnam comprising Ho Chi Minh City, Can Tho and Bien Hoa cities is the most dominating region for tyre sales in Vietnam, accounting for about 41% of the total sales volume in the country. Bridgestone, Michelin and DRC are the top tyre brands and are expected to lead the market during the forecast period in spite of competition from other players, due to their high quality and brand availability.”, said Mr. Karan Chechi, Research Director with TechSci Research, a research based global management consulting firm.
“Vietnam Tyre Market Forecast and Opportunities, 2019” has evaluated the future growth potential of tyre market in Vietnam and provides statistics and information on market structure, exports and future growth potential. The report is intended to provide cutting-edge market intelligence and help decision makers in taking sound investment evaluation. Besides, the report also identifies and analyzes the emerging trends along with essential drivers, challenges and opportunities available in the tyre market in Vietnam.