Saudi Arabia OTR Tire Market to Grow with a CAGR of 5.8% through 2030
The
Saudi Arabia OTR tire market is driven by mega infrastructure projects, mining
expansion, industrial diversification, and rising equipment mechanization,
boosting demand for durable, high-performance OEM and replacement tires.
According to
TechSci Research report, “Saudi Arabia OTR Tire Market – By Region, Competition
Forecast & Opportunities, 2030F”, Saudi Arabia OTR Tire Market was valued at
USD 347.32 Million in 2024 and is expected to reach USD 488.23 Million by 2030
with a CAGR of 5.8% during
the forecast period. The Saudi Arabia
Off-the-Road (OTR) tire market is undergoing a transformative phase, shaped by
the Kingdom’s broader push for modernization and industrial growth. Beyond the
widely cited infrastructure and mining initiatives, the market is also gaining momentum
due to the modernization of fleet operations across sectors such as waste
management, logistics, and energy services. The growing emphasis on equipment
productivity and uptime is prompting fleet operators to invest in high-quality
OTR tires with longer lifespans, reduced downtime, and better traction
efficiency. The adoption of fleet digitization tools, such as tire pressure
monitoring systems (TPMS) and predictive maintenance platforms, is also
fostering demand for technologically compatible tire products. In addition, the
growth of public-private partnerships in utility and transport infrastructure
is enabling mid-sized contractors and service providers to upgrade their
equipment base, thereby widening the end-user segment for OTR tire manufacturers.
However, despite
these opportunities, the market continues to face challenges that can constrain
its growth trajectory. One persistent issue is the lack of localized
manufacturing of OTR tires, which leads to high import dependence, increased
lead times, and vulnerability to global supply chain disruptions. Tariff
structures, port congestion, and currency fluctuations also contribute to cost
volatility, affecting procurement budgets and pricing consistency for buyers.
Another key challenge is the skills gap in tire maintenance and handling
practices, especially in remote mining and agricultural regions. Improper
usage, underinflation, and overload often lead to premature tire failures,
thereby raising operational costs and affecting end-user confidence in product
quality. Additionally, extreme climatic conditions in desert
zones—characterized by high temperatures and abrasive surfaces—pose a constant
stress test for tire performance, pushing manufacturers to continuously
innovate in tread design, compound resilience, and heat resistance. Addressing
these challenges while aligning with Saudi Arabia’s economic diversification
will be crucial for sustaining long-term market growth.
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"Saudi Arabia OTR Tire Market.”
The Saudi Arabia
OTR Tire market is segmented into application type, demand category, tire construction type and
region.
Based on
application mining segment is emerging as the fastest-growing application
segment. This growth is primarily attributed to the government's strategic
focus on diversifying the economy away from oil by developing its mineral
wealth. As part of this vision, the Ministry of Industry and Mineral Resources
is aggressively pushing investment into gold, phosphate, bauxite, and rare
earth mining. The increase in surface and underground mining activity
translates into higher demand for large-diameter OTR tires suitable for haul trucks,
wheel loaders, and articulated dump trucks. Unlike other segments, mining
applications are more tire-intensive due to extreme terrain, continuous usage,
and high operational risk, which necessitate frequent replacements and
high-performance tire variants.
Based on the
demand category, the replacement segment currently dominates the market,
accounting for the majority of OTR tire sales. This is due to several factors,
including the harsh operating environment in Saudi Arabia, which accelerates
tire wear, and the prevalence of aging fleets that require frequent tire
replacement. In mining, agriculture, and heavy construction operations,
continuous use over rough terrain leads to increased tire turnover. Moreover,
frequent equipment overloading, poor road infrastructure in remote areas, and
limited access to preventive maintenance further contribute to tire
degradation, fueling the replacement market. The presence of a robust
aftermarket ecosystem with multiple tire retailers, service centers, and
retreaders supports this segment’s growth. Fleet operators and small
contractors often prefer purchasing replacement tires based on immediate need
and cost-effectiveness, rather than sticking with OEM brands.
Based on region,
the Western Region, encompassing major cities like Jeddah, Mecca, and Medina,
is a vital economic corridor with significant activity in construction,
logistics, and port operations. Jeddah, in particular, hosts one of the busiest
seaports in the Red Sea and acts as a gateway for OTR tire imports and
distribution. Material handling equipment such as forklifts, cranes, and
container handlers at ports and warehouses contribute to the growing need for
OTR tires. Additionally, the tourism-centric developments around Mecca and
Medina require continuous infrastructure upgrades, driving demand for
construction machinery and tires. While not as dominant as the Central Region
in overall size, the Western Region maintains a strong and stable presence in
the market, especially in replacement tire demand for material handling and
medium-duty construction equipment.
Major companies
operating in Saudi Arabia OTR Tire market are:
- Bridgestone
Corporation
- Hankook Tire
Co., Ltd.
- Pirelli & C.
S.p.A.
- Goodyear Tire
& Rubber Company
- Michelin Group
- Continental AG
- MRF Limited
- Apollo Tyres
Limited
- Yokohama Rubber
Company, Limited
- Zhongce
Rubber Group Co., Ltd.
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“In
recent years, environmental
awareness and regulatory shifts are gradually reshaping the Saudi Arabia OTR
tire market, leading to a growing focus on sustainability and greener product
choices. Although not as mature as in Western markets, there is a noticeable
uptick in demand for tires that offer low rolling resistance, improved fuel
efficiency, and environmentally conscious production processes. Government
policies under Saudi Arabia’s broader ESG (Environmental, Social, and
Governance) goals—aligned with Vision 2030—are promoting cleaner industrial
practices and resource optimization, encouraging manufacturers to invest in
eco-friendly materials, lower-emission production technologies, and circular
economy models. One such model gaining interest is tire retreading, which
extends tire life and reduces waste. While retreading has faced skepticism in
the past due to concerns about durability, newer technologies have made the
process safer and more reliable, prompting a gradual revival in demand among
large fleet owners looking to reduce both costs and environmental impact”, said
Mr. Karan Chechi, Research Director of TechSci Research, a research-based
management consulting firm.
"Saudi Arabia OTR Tire Market, By Application
Type (Agriculture, Construction, Mining, Material Handling), By Tire
Construction (Radial, Bias), By Demand Category (OEM, Replacement), By Region, Competition, Forecast &
Opportunities, 2020-2030F”,
has evaluated the future growth potential of Saudi Arabia OTR Tire market and
provides statistics & information on market size, structure and future
market growth. The report intends to provide cutting-edge market intelligence
and help decision makers take sound investment decisions. Besides, the report
also identifies and analyzes the emerging trends along with essential drivers,
challenges, and opportunities in the Saudi Arabia OTR Tire market.
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