Latin America Two-Wheeler Tire Market – Size, Share, Trends, Opportunity, and Forecast, Segmented By Vehicle Type (Scooter/Moped, Motorcycle), By Demand Category (OEM, Replacement), By Tire Construction Type (Radial, Bias), By Country, By Competition, 2020-2030F

Market Overview:

The Latin America Two-Wheeler Tire Market was valued at USD 633.75 Million in 2024 and is expected to reach USD 829.11 Million by 2030 with a CAGR of 4.58% during the forecast period. The Latin America two-wheeler tire market is witnessing strong momentum supported by a combination of rising urban mobility demand, growing popularity of low-cost commuting options, and increasing motorcycle ownership across urban and semi-urban areas. Consumers are increasingly opting for scooters and motorcycles due to their affordability and maneuverability in traffic-congested environments, fueling consistent demand for tires across both OEM and replacement segments. Growth drivers include the expansion of e-commerce and food delivery industries that rely heavily on two-wheelers, technological advancements in tire durability and grip, and rising consumer awareness regarding timely tire replacement to ensure safety and fuel efficiency.  For instance, the region witnessed sales growth from 3.7 million units in 2012 to 5.6 million units in 2023, with on-road motorcycles accounting for the highest market share.

Market Drivers

Increasing Adoption of Low-Cost Two-Wheelers

Affordability remains a key factor behind the growing penetration of motorcycles and scooters in cost-sensitive markets. The availability of low-cost two-wheelers has democratized personal mobility, offering an accessible alternative to public transport and expensive four-wheelers. As consumers continue to prefer cost-effective and fuel-efficient commuting solutions, the volume of two-wheeler ownership expands, directly influencing the tire industry. The influx of entry-level models across both rural and urban areas accelerates the demand for basic, reliable tire types, often favoring durable, tubeless, or bias-ply tires that can handle varied road conditions. Many budget-conscious consumers also maintain older vehicles, necessitating regular tire replacements. Tire manufacturers are capitalizing on this by expanding production capacity for affordable models and launching budget-friendly brands targeting first-time buyers. For instance, In Latin America, the motorcycle market is characterized by affordability, with an average price of $3,170 USD, primarily driven by demand for lower-cost, practical two-wheelers. Street commuter motorcycles dominate with a 45.99% market share in the 126–250cc range, averaging $2,128 USD, reflecting the region’s preference for economical daily transport. Enduro motorcycles within the same engine category account for 21.93% of the market and command a higher average price of $3,311 USD. Unlike markets in North America and Europe, sales in South America, including Mexico, are heavily concentrated in accessible, budget-friendly models suited for basic mobility and commercial use.

Rise in Motorcycle-Based Delivery Services

The increasing dependence on two-wheelers for last-mile delivery across various commercial sectors is significantly fueling tire demand. Businesses in sectors like food delivery, courier services, and e-commerce are heavily reliant on motorcycles and scooters due to their cost-effectiveness and ability to navigate congested areas efficiently. As delivery volumes grow, companies are scaling up their two-wheeler fleets, resulting in higher wear and tear of tires and boosting the replacement tire segment. These fleets operate daily over long distances, accelerating tire degradation and creating frequent replacement cycles. The constant need to maintain vehicle performance and safety in high-usage environments is pushing fleet operators to opt for durable, premium-quality tires. For instance, in Mexico, 70% of motorcycle purchases are linked to delivery work, reflecting strong demand from gig economy drivers. Brazil saw scooter sales grow at twice the rate of the overall market in early 2024, while off-road motorcycles dominate rural areas due to infrastructure gaps.

Technological Advancements in Tire Durability and Design

Improved tire designs that enhance grip, reduce rolling resistance, and extend service life are playing a vital role in strengthening market performance. Tire manufacturers are investing in material sciences and engineering to create products that can withstand harsh road conditions while offering fuel efficiency and improved ride quality. The integration of silica-based compounds, advanced tread patterns, and innovative sidewall designs has led to more resilient and efficient tire solutions tailored for different two-wheeler segments. Riders benefit from superior handling, improved braking, and longer tire lifespans, reducing the frequency and cost of replacements. Technological improvements also cater to evolving customer expectations, with smart tire features such as wear sensors and pressure-monitoring compatibility gaining traction among premium users.

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Key Market Challenges

Price Volatility in Raw Materials

Fluctuations in the cost of raw materials such as rubber, carbon black, and synthetic compounds pose significant challenges for tire manufacturers. Since raw materials account for a major portion of the production cost, even small variations in global commodity prices can impact pricing strategies, margins, and profitability. Unpredictable supply chain conditions, geopolitical disruptions, and changing regulatory frameworks further exacerbate material cost volatility. Manufacturers often struggle to maintain stable pricing in such an environment without compromising product quality or absorbing losses. The pressure is especially intense in price-sensitive market segments, where consumers may be unwilling to accept cost hikes. 

Proliferation of Low-Quality Imports

The influx of low-cost, unregulated tire imports continues to disrupt market equilibrium by undercutting quality-centric manufacturers. These imported products, often lacking safety certifications and durability standards, attract budget-conscious consumers due to their low upfront cost. The presence of such tires in the aftermarket segment not only intensifies price competition but also erodes consumer trust when performance issues or safety failures occur. Established manufacturers are compelled to lower prices or offer discounts to remain competitive, impacting profitability. Regulatory oversight on imported products is often inconsistent, allowing substandard tires to enter the market with minimal quality checks.      

Key Market Trends

Shift Toward Tubeless Tire Adoption

Tubeless tires are gaining preference among consumers due to their improved safety features, reduced puncture risks, and better ride comfort. Unlike traditional tube-type tires, tubeless variants can function effectively even when punctured, allowing riders time to seek repairs without immediate air loss. This characteristic is particularly appealing in areas where roadside assistance is limited, and riders often self-manage tire maintenance. The growing popularity of these tires is driven by their lower rolling resistance, which contributes to better fuel efficiency and smoother handling. As manufacturers introduce more models with tubeless compatibility across both premium and commuter segments, the aftermarket is also adapting with increased availability of tubeless repair kits and services. Consumers are becoming more aware of long-term value, leading to a gradual transition away from conventional tube-type tires.

Growing Focus on Sustainable Tire Materials

Environmental consciousness is influencing both manufacturers and consumers to opt for eco-friendly tire solutions. Tire companies are experimenting with bio-based materials, recycled rubber, and low-emission manufacturing processes to reduce their environmental footprint. This shift is partly driven by evolving consumer values and partly by tightening global sustainability standards that push the industry toward greener practices. Innovative materials such as dandelion rubber, soybean oil-based compounds, and silica from rice husk ash are being evaluated as viable alternatives to traditional petroleum-based inputs. Sustainable tire production also aligns with circular economy principles, where manufacturers are focusing on recyclability and extended product lifecycle.

Expansion of Digital Retail and Service Platforms

The digitalization of tire retail and servicing is reshaping how consumers interact with the two-wheeler tire market. E-commerce platforms, mobile applications, and online service bookings are making it easier for users to purchase tires, compare specifications, read reviews, and schedule installations from the comfort of their homes. This shift toward digital convenience is driven by rising smartphone penetration and changing consumer behavior that favors contactless, transparent, and time-saving purchase journeys. Tire manufacturers and retailers are increasingly partnering with logistics providers and service networks to enable home delivery and on-site tire fitting. Digital platforms also offer tire maintenance alerts, product registration, and loyalty rewards, enhancing post-purchase engagement.   

Segmental Insights

Vehicle Type Insights

In 2024, the motorcycle segment dominated the Latin America two-wheeler tire market by vehicle type. Motorcycles continued to account for the largest share of tire demand, driven by their widespread usage for both personal mobility and commercial applications such as deliveries and logistics. Their higher engine capacity, greater speed range, and better adaptability to diverse terrains make them a preferred choice among commuters, couriers, and small-scale transport operators. The consistent demand from ride-sharing services and fleet-based business models further intensified tire consumption for motorcycles, as these vehicles typically require more frequent replacements due to higher mileage and daily operational wear. For instance, as per World Population Review, countries like Brazil, Colombia, Mexico, Peru, Guatemala, and Argentina together account for nearly 30 million motorcycles currently in operation across Latin America. This concentration reflects the widespread reliance on two-wheelers as an affordable and efficient mode of transportation for both personal mobility and commercial activities.

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Country Insights

In 2024, Brazil led the Latin America two-wheeler tire market due to widespread motorcycle and scooter use, driven by urban congestion, fuel cost concerns, and rising delivery demand. A robust aftermarket, strong distribution channels, and varied road conditions fueled consistent tire consumption across both premium and budget segments. Increasing infrastructure spending across transport corridors and regional road networks further supported tire demand by expanding usage in both urban and remote areas. For instance, in 2024, Brazil's infrastructure investments hit a record high of approximately USD 45.5 billion, marking a 15% increase from the previous year. Private sector contributed around USD 34.6 billion, while public investment totaled USD 10.9 billion. Spending on transportation and logistics surged by 52% to reach USD 11 billion, and energy sector investment rose 27% to approximately USD 20.9 billion. Sanitation funding doubled to USD 6 billion compared to 2020. In contrast, telecommunications saw a 16% decline, falling to about USD 7.5 billion. Despite the growth, total infrastructure spending remained at just 2.2% of GDP, below the 4.3% needed for sustainable development.

Mexico saw growing two-wheeler tire demand in 2024, driven by increased motorcycle ownership among youth and small businesses. The rise of e-commerce deliveries, better retail access, and consumer focus on tire safety supported steady sales. Tubeless and fuel-efficient tire options gained popularity in both OEM and aftermarket channels.

Colombia experienced strong two-wheeler tire market growth in 2024, supported by rising demand for affordable motorcycles amid urban mobility challenges. Frequent vehicle usage accelerated tire wear, boosting replacements. Improved retail presence and expanded service networks enhanced consumer access to diverse tire options across performance and pricing tiers.

Recent Developments

• ​Mexico is rapidly emerging as one of the world's top five tire-producing nations, with over $1 billion in new investments from Yokohama, Sailun, and ZC Rubber. Once operational, these new facilities are expected to add more than 24 million passenger/light truck tires annually, significantly increasing the country’s production capacity beyond its current 65 million-unit output.
• Yokohama Rubber Co. has commenced construction of its $380 million tire plant near Saltillo, Coahuila, reinforcing its long-term strategy to supply the North American market. The plant aims to address rising demand and ensure faster delivery to U.S. partners while capitalizing on Mexico’s strategic location and competitive labor cost advantages.
• With new capacity additions and rising production efficiency, tire exports from Mexico to the U.S. could rise to 40 million units per year. In 2023 alone, the U.S. imported 22.8 million passenger and 1.79 million light truck tires from Mexico, valued at over $2 billion — a number expected to surge as new plants come online.
• Mexico has approved antidumping duties of up to 32.24% on Chinese passenger and light truck tires following petitions by local manufacturers. The tariffs apply to radial tires between 13 to 22 inches in rim diameter, aiming to protect domestic production from low-cost imports and ensure fair market competition.

Key Market Players

• Bridgestone Americas, Inc.
• Rinaldi S/A Industria de Pneumaticos
• Pirelli & C. S.p.A.
• Michelin Group
• Continental AG
• Maxxis International GmbH
• Maggion Industrias de Pneus e Maquinas Ltda
• Pneus Technic
• Kenda Rubber Industrial Co. Ltd.
• Borilli Group

Report Scope:

In this report, the Latin America Two-Wheeler Tire Market has been segmented into the following categories, in addition to the industry trends which have also been detailed below:

•            Latin America Two-Wheeler Tire Market, By Vehicle Type:

o    Scooter/Moped

o    Motorcycle

•          Latin America Two-Wheeler Tire Market, By Demand Category:

o    OEM

o    Replacement

•           Latin America Two-Wheeler Tire Market, By Tire Construction Type:

o    Radial

o    Bias

•           Latin America Two-Wheeler Tire Market, By Country:

o    Brazil

o    Argentina

o    Colombia

o    Chile

o    Peru

o    Mexico

Competitive Landscape

Company Profiles: Detailed analysis of the major companies presents in the Latin America Two-Wheeler Tire Market.

Available Customizations:

Latin America Two-Wheeler Tire Market report with the given market data, Tech Sci Research offers customizations according to the company’s specific needs. The following customization options are available for the report:

Company Information

• Detailed analysis and profiling of additional market players (up to five).

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