India Tyre Market to Grow with a CAGR of 8.11% through 2031
Growing vehicle parc across
passenger and commercial segments, rising focus on road infrastructure
development, and expanding demand for replacement tyres are the factors driving
the market in the forecast period 2027–2031.
According to TechSci Research report, “India Tyre Market – Industry
Size, Share, Trends, Opportunity, and Forecast, 2021-2031F”, The India Tyre Market was valued at USD 13.88 Billion in 2025 and is expected to reach
USD 22.16 Billion by 2031 with a CAGR of 8.11% during the forecast period. India’s
tyre sector is experiencing growth due to increasing mobility needs and
infrastructure investments. Rising ownership of vehicles across segments is
driving the need for frequent tire replacement and original equipment supply.
Upgraded roads and logistics expansion are accelerating wear cycles, especially
in commercial transport, influencing demand for durable tire solutions.
Manufacturers are adapting through innovation in design and performance.
Demand is fueled by multiple drivers including the rapid rise in farm
machinery, growth in freight transportation, and policy emphasis on safety and
energy efficiency. The replacement segment is expanding with higher consumer
awareness about tire quality and service life. Online platforms and mobile
servicing options are enhancing access and convenience for buyers.
Shifts toward radial construction, digital features, and sustainable
materials are creating long-term change. The market continues to face cost
pressures, labor skill gaps, and counterfeit circulation. Distribution
challenges and seasonal demand shifts add complexity, prompting organized
players to explore strategic distribution and education initiatives.
Browse over India Tire Market data Figures spread through XX Pages and
an in-depth TOC on " India Tyre Market"
India
Tyre Market is Segmented By Vehicle Type, By Demand Category, By Tyre Construction Type, and By Region.
The Tyre market in India is shaped by two major
demand segments: original equipment (OEM) and replacement. The OEM category is
driven by vehicle production across passenger cars, two-wheelers, commercial
vehicles, and agricultural equipment. As new vehicle models are launched with
improved safety, efficiency, and handling expectations, OEMs require advanced
tire technologies tailored for performance and compliance. Automakers often
collaborate with tire suppliers for co-developed solutions that suit vehicle
specifications and operating conditions. The OEM segment responds closely to
automotive manufacturing trends and tends to mirror fluctuations in vehicle
sales volumes.
The replacement segment, on the other hand, is
influenced by factors like road conditions, tyre wear cycles, consumer usage
behavior, and vehicle maintenance practices. Replacement tire demand spans
across both urban and rural regions, with customers prioritizing longevity,
cost-efficiency, grip, and brand trust. Seasonal impacts such as monsoon or
harvest seasons can drive localized demand spikes, particularly for tractor and
commercial vehicle tires. With many older vehicles still in use across India,
the replacement segment often supports a diverse mix of radial and bias tyre types.
In 2025, the southern region of India recorded rapid
expansion in tyre demand, attributed to rising vehicle registration rates,
infrastructure development, and growing mobility needs across urban and
semi-urban locations. States such as Tamil Nadu, Karnataka, Andhra Pradesh, and
Telangana witnessed increasing investments in roads, ports, and industrial
zones, which contributed to higher movement of passenger and commercial
vehicles. Expanding trade and e-commerce logistics pushed fleet operators to
scale operations, thereby raising the need for reliable, long-lasting tires
with enhanced performance features.
Tire consumption grew across two-wheelers, passenger
cars, light commercial vehicles, and buses due to the convergence of industrial
activity and improving road networks. New vehicle sales encouraged OEM tire
demand, while growing awareness around tire safety, fuel savings, and
durability supported the replacement cycle. In rural belts, agricultural
machinery adoption continued to rise, driving demand for application-specific
tires that withstand tough field conditions and variable terrain. The presence
of a diverse customer base, from ride-hailing users to long-haul truck
operators, resulted in a wide mix of tyre types and specifications circulating
in the market.
Digital tyre sales and doorstep service models found
traction in urban centers across the southern region, helping customers access
branded products and timely installations. This shift in retail behavior,
supported by strong internet penetration and mobile servicing platforms,
encouraged structured and informed purchasing decisions. Tire dealers in this
region adapted to demand shifts by offering a blend of premium, mid-range, and
economy tyres catering to local requirements. Road safety awareness campaigns,
tire care programs, and increasing preference for smart tires and radialization
in commercial fleets reflected the technological progress in this region.
Major Market
Players Operating in India Tyre Market Are:
- MRF LIMITED
- Apollo Tyres Ltd
- JK Tyre & Industries Ltd
- CEAT Limited
- Balkrishna Industries Limited
(BKT)
- Goodyear India Limited
- CONTINENTAL TYRES INDIA PVT LTD.
- Yokohama India Pvt. Ltd
- Hankook Tire & Technology
Co., Ltd
- TVS SRICHAKRA LIMITED
Download Sample Report
Customers can also request for 10% free customization on this report.
“India’s
tyre market is undergoing structural growth supported by rising vehicle
ownership, road infrastructure development, and aftermarket expansion. Demand
is driven by both OEM production and a growing replacement cycle across urban
and rural segments. Trends such as radialization, smart tire adoption, and
digital retailing are transforming the competitive landscape. Agricultural
mechanization and logistics growth are reinforcing tire demand across tractors
and commercial fleets. Challenges such as raw material costs, labor skill gaps,
and counterfeit circulation persist. Regional diversity in usage patterns,
service access, and infrastructure conditions contributes to a balanced demand
across tyre types and categories.” said Mr. Karan Chechi, Research Director
with TechSci Research, a research based global management consulting firm.
The report
titled “India Tyre Market – Industry Size, Share, Trends, Opportunity, and
Forecast, By Vehicle Type (Passenger Car, Light Commercial Vehicle (LCV),
Medium & Heavy Commercial Vehicles (M&HCV), Off-the-Road Vehicles
(OTR), Two-Wheelers, Three-Wheelers), By Demand Category (OEM vs Replacement),
By Tyre Construction Type (Radial vs Bias), By Region, By Competition, 2021-2031F”,
assesses the market's future growth potential and provides data on market size,
trends, and forecasts. It aims to offer comprehensive market insights, helping
decision-makers make informed investment choices. The report also highlights
emerging trends, key drivers, challenges, and opportunities in the India Tire
Market.
Contact Us-
TechSci Research
LLC
420 Lexington Avenue, Suite 300,
New York, United States- 10170
M: +13322586602
Email: [email protected]
Website: www.techsciresearch.com