Saudi Arabia Commercial Vehicle Tire Market, By Vehicle Type (LCV, M&HCV), By Tire Construction Type (Radial, Bias), By Price Segment (Budget, Ultra Budget, Premium), By Region, Competition, Forecast & Opportunities, 2020-2030F

Market Overview

Saudi Arabia Commercial Vehicle Tire market was valued at USD 1.45 billion in 2024 and is anticipated to grow USD 1.84 billion by 2030 with a CAGR of 4.10% during the forecast period. The commercial vehicle tire market in Saudi Arabia is witnessing significant growth, driven by the country's expanding logistics, transportation, and construction sectors. As Vision 2030 initiatives boost infrastructure development and industrial activities, the demand for heavy-duty and high-performance tires has surged. Fleet operators are increasingly investing in durable tires to ensure vehicle efficiency, reduce downtime, and enhance fuel economy. Additionally, the rising adoption of tire retreading and maintenance solutions is contributing to cost-effectiveness and sustainability. Technological advancements in tire manufacturing, including smart and eco-friendly tires, are also influencing purchasing decisions, reshaping the competitive landscape of the commercial vehicle tire market.

Key Market Drivers

Expanding Transportation and Logistics Sector

One of the primary drivers of the commercial vehicle tire market in Saudi Arabia is the rapid expansion of the transportation and logistics sector. As the Kingdom accelerates its efforts to diversify its economy under Vision 2030, there has been a notable increase in domestic and cross-border trade. According to the Saudi Transport General Authority, the logistics sector is expected to contribute 10% to the national GDP by 2030, highlighting its strategic importance. This expansion requires a robust fleet of commercial vehicles, including trucks, trailers, and buses, all of which are heavily reliant on tires for optimal performance, fuel efficiency, and safety.

The rise of e-commerce and the growth of Saudi Arabia’s position as a regional logistics hub have further amplified the need for efficient and reliable road transportation. Tire performance plays a crucial role in ensuring timely deliveries and reducing vehicle downtime. As a result, logistics companies are increasingly investing in premium tires that offer durability, long tread life, and better heat resistance to meet the demands of long-distance transportation and heavy payloads across desert terrains. This sustained growth in the logistics sector is expected to continue propelling the demand for commercial vehicle tires across the Kingdom.

Infrastructure Development and Construction Boom

The Kingdom's ambitious infrastructure projects are significantly boosting the demand for commercial vehicles and, consequently, commercial vehicle tires. Under its Vision 2030 roadmap, Saudi Arabia has launched several large-scale infrastructure developments, including the construction of NEOM city, Red Sea Project, Qiddiya entertainment city, and extensive road and rail networks. According to the Ministry of Investment of Saudi Arabia (MISA), infrastructure projects worth over approx. USD 293 billion are currently underway across the Kingdom. These projects require a substantial volume of heavy-duty vehicles such as dump trucks, cement mixers, and bulldozers, which operate under harsh and demanding conditions.

Tires used in such environments must be exceptionally robust, puncture-resistant, and capable of handling varied terrains and extreme temperatures. As a result, tire manufacturers are witnessing increased demand for off-the-road (OTR) and specialty tires tailored for construction and infrastructure applications. Additionally, the government’s emphasis on improving connectivity between cities and industrial zones has led to the modernization and expansion of highways, boosting freight movement and increasing wear and tear on vehicle tires, which in turn drives replacement demand.

Rising Focus on Vehicle Safety and Operational Efficiency

Another major driver influencing the commercial vehicle tire market is the growing awareness and emphasis on vehicle safety and operational efficiency among fleet operators and logistics companies. Tires are among the most critical components impacting vehicle safety, braking efficiency, load-bearing capacity, and fuel economy. Poor tire maintenance or substandard products can lead to increased accident risks, higher fuel consumption, and costly downtimes. According to the Saudi General Directorate of Traffic, tire-related issues account for over 30% of heavy vehicle accidents in the Kingdom, underscoring the importance of tire quality and maintenance.

As businesses strive to optimize their transportation operations, there is a heightened demand for tires that offer superior performance, lower rolling resistance, and longer service intervals. Fleet managers are adopting advanced tire monitoring systems and engaging in preventive maintenance practices to ensure tire health. This shift toward better safety standards and efficient fleet management is encouraging investments in high-quality tires, including those embedded with smart features like pressure and temperature sensors. Additionally, rising government regulations promoting road safety and vehicle inspection protocols are further reinforcing the need for reliable and compliant commercial vehicle tires.

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Key Market Challenges

Harsh Climatic and Road Conditions

One of the most significant challenges facing the commercial vehicle tire market in Saudi Arabia is the country’s extreme climatic conditions and rugged terrain. The Kingdom’s hot desert climate, with summer temperatures often exceeding 50°C, creates a highly demanding environment for tires. Excessive heat leads to faster wear and tear, increases the risk of tire blowouts, and shortens the overall lifespan of the tire, especially when commercial vehicles are operated under heavy loads for long distances.

Additionally, many parts of the country still have underdeveloped or poorly maintained roads, especially in remote and industrial regions. Commercial vehicles operating in these areas are exposed to rough terrains, sharp gravel, sandstorms, and uneven surfaces, all of which accelerate tire degradation. This places greater pressure on fleet operators to replace or repair tires frequently, raising operational costs. Moreover, even premium-grade tires often require enhanced specifications to withstand these conditions, posing technical and cost-related challenges for tire manufacturers seeking to supply durable yet affordable products tailored to the Saudi environment.

Dependence on Imports and Limited Local Manufacturing

The Saudi commercial vehicle tire market heavily relies on imported products, with most tires sourced from countries like China, Japan, South Korea, and India. While this allows access to a variety of brands and specifications, it also exposes the market to global supply chain disruptions, fluctuating import costs, and dependency on foreign exchange rates. Political tensions, freight delays, and inflation in exporting countries can create volatility in tire availability and pricing within the Kingdom.

Furthermore, Saudi Arabia has a limited domestic tire manufacturing base, especially for commercial and specialty vehicle segments. Although the government is actively encouraging industrial diversification under Vision 2030, the development of a robust local tire production ecosystem remains in its early stages. This lack of local manufacturing limits the ability to produce tires optimized for local conditions and restricts innovation in terms of product customization, pricing flexibility, and after-sales services. It also reduces opportunities for job creation and value addition within the Kingdom's automotive supply chain.

Key Market Trends

Growing Adoption of Tire Retreading and Recycling Solutions

One of the most prominent trends emerging in the Saudi commercial vehicle tire market is the increasing adoption of tire retreading and recycling. As operating costs for fleet management rise, businesses are actively seeking cost-effective and sustainable alternatives to new tires. Retreading allows fleet operators to reuse existing tire casings by applying new tread, thereby significantly extending the tire’s life at a fraction of the cost of new units.

This trend is particularly relevant in Saudi Arabia, where commercial vehicles travel long distances under harsh conditions, leading to frequent tire wear. Retreading offers a practical solution to reduce waste, lower operational expenses, and promote environmental sustainability. Furthermore, advancements in retreading technology have made reconditioned tires safer and more reliable than ever, gaining trust among fleet operators. The government’s increasing focus on environmental initiatives under Vision 2030 is also expected to drive investment in tire recycling plants and sustainable waste management practices in the automotive sector.

Rise in Demand for Smart and Tech-Enabled Tires

Technology integration in commercial vehicle tires is gaining momentum in Saudi Arabia, driven by the increasing need for efficiency, safety, and predictive maintenance. Smart tires—equipped with sensors and Internet of Things (IoT) capabilities—are becoming increasingly popular among fleet operators. These advanced tires can monitor critical parameters such as tire pressure, temperature, tread depth, and load distribution in real time.

The use of telematics and Tire Pressure Monitoring Systems (TPMS) allows fleet managers to proactively manage tire health, reduce unexpected breakdowns, and improve fuel efficiency. In Saudi Arabia’s hot climate and demanding terrain, where tires are under constant stress, real-time monitoring can significantly enhance safety and reduce the risk of blowouts. Additionally, data collected from smart tires can be used to analyze driver behavior, optimize routes, and reduce total cost of ownership. As connected vehicle infrastructure continues to evolve, the adoption of smart tire technology is expected to accelerate, particularly in large commercial fleets.

Shift Toward Premium and High-Performance Tires

Another growing trend in the market is the shift toward premium-quality and high-performance tires. As competition intensifies and regulatory standards for safety and fuel efficiency become stricter, fleet operators are increasingly opting for tires that offer superior durability, grip, heat resistance, and longer service life. Premium tires, though more expensive upfront, provide long-term value through reduced maintenance needs, lower fuel consumption, and fewer replacements.

This shift is especially evident in long-haul logistics and construction sectors, where tire performance directly impacts operational efficiency and safety. Additionally, growing awareness of lifecycle costs and total cost of ownership is encouraging operators to invest in quality products rather than low-cost alternatives. International tire brands offering region-specific products tailored to withstand high temperatures and heavy loads are gaining popularity, and companies are also emphasizing after-sales support, warranty coverage, and performance guarantees to build customer loyalty.

Segmental Insights

Vehicle Type Insights

Light Commercial Vehicles (LCVs) represent the dominating segment in the Saudi Arabia commercial vehicle tire market. This dominance is driven by the rapid expansion of e-commerce, urban logistics, and last-mile delivery services, which rely heavily on LCVs for efficient transportation. These vehicles are widely used across industries such as retail, construction, and food distribution due to their versatility, lower operating costs, and suitability for city navigation. As LCV usage increases, so does the demand for durable, fuel-efficient tires capable of withstanding frequent starts, stops, and varied road conditions, solidifying their leading position in the commercial tire market.

Tire Construction Type Insights

Radial tires hold the dominating position in the Saudi Arabia commercial vehicle tire market due to their superior performance, durability, and cost efficiency. These tires offer better traction, fuel economy, and heat resistance—crucial features for vehicles operating in the Kingdom’s extreme temperatures and long-distance routes. Radial construction also ensures even tread wear and longer service life, reducing the frequency of replacements and lowering operational costs for fleet operators. As logistics, construction, and transportation sectors expand, the demand for radial tires continues to rise, making them the preferred choice for both light and heavy commercial vehicles across various applications.

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Regional Insights

The Northern and Central regions of Saudi Arabia dominate the commercial vehicle tire market due to their strategic economic importance and high concentration of transportation, industrial, and construction activities. Riyadh, located in the Central region, serves as a major logistics and distribution hub, driving significant demand for commercial vehicles and, consequently, tires. Additionally, large infrastructure projects, industrial zones, and mining operations in Northern areas contribute to increased usage of heavy-duty and light commercial vehicles. The extensive road network and continuous freight movement across these regions further support strong replacement tire demand, solidifying their position as the leading regional markets in the Kingdom.

Recent Developments

• In Oct 2023, PIF and Italy’s Pirelli have formed a 75/25 joint venture to build a USD 550 million tire manufacturing plant in Saudi Arabia. Scheduled to begin production in 2026, the facility will produce 3.5 million high‑quality Pirelli-branded tires annually, while launching a new local tire brand.

• In July 2023, oodyear is expanding its Light Commercial Vehicle tire range by introducing 24 new sizes across key products like EfficientGrip Cargo 2 and Vector 4Seasons Cargo. This expansion aims to support premium fleet operations, enhancing availability and reducing downtime.

• In May 2025, Toyo Tires has expanded its M655 all-weather on-/off-road line by adding medium-truck drive sizes in 22.5″ and 24.5″, complementing existing 19.5″ sizes. The new lineup spans six sizes half available now offering durable, year-round traction under heavy load across service sectors

Key Market Players

• Bridgestone Middle East & Africa FZE
• Hankook Tire
• Continental ME
• Kumho Tire
• Balkrishna Industries
• Goodyear Tire & Rubber
• Apollo Tyres
• Sumitomo Rubber Industries Ltd
• Michelin AIM FZE
• Yokohama Rubber Company

Report Scope:

In this report, the Saudi Arabia Commercial Vehicle Tire Market has been segmented into the following categories, in addition to the industry trends which have also been detailed below:

• Saudi Arabia Commercial Vehicle Tire Market, By Vehicle Type:

o   LCV

o   M&HCV

• Saudi Arabia Commercial Vehicle Tire Market, By Tire Construction Type:

o   Radial

o   Bias

• Saudi Arabia Commercial Vehicle Tire Market, By Price Segment:

o   Budget

o   Ultra Budget

o   Premium

• Saudi Arabia Commercial Vehicle Tire Market, By Region:

o   Northern & Central

o   Western

o   Eastern

o   Southern

Competitive Landscape

Company Profiles: Detailed analysis of the major companies presents in the SAUDI ARABIA Commercial Vehicle Tire Market.

Available Customizations:

Saudi Arabia Commercial Vehicle Tire Market report with the given market data, Tech Sci Research offers customizations according to a 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).