Tire Pressure Monitoring System (TPMS) Market Segmented By Type (Direct TPMS and Indirect TPMS), By Sales Channel Type (OEM and Aftermarket), By Vehicle Type (Passenger Cars and Commercial Vehicles), By Regional, Competition Forecast & Opportunities 2021-2031F

Forecast Period	2027-2031
Market Size (2025)	USD 6.94 Billion
CAGR (2026-2031)	8.59%
Fastest Growing Segment	Passenger Cars
Largest Market	North America
Market Size (2031)	USD 11.38 Billion

Market Overview

The Global Tire Pressure Monitoring System (TPMS) Market will grow from USD 6.94 Billion in 2025 to USD 11.38 Billion by 2031 at a 8.59% CAGR. A Tire Pressure Monitoring System is an electronic safety assembly designed to monitor the air pressure inside pneumatic tires and transmit real-time data to the vehicle driver. The market is primarily propelled by stringent government safety regulations mandating these systems in new vehicles and the increasing demand for fuel efficiency, as properly inflated tires significantly reduce rolling resistance and fuel consumption. This sector’s expansion correlates directly with automotive production volumes. According to the European Automobile Manufacturers’ Association, in 2024, global car manufacturing totalled 75.5 million units, indicating a substantial baseline demand for these compulsory safety integrations.

However, the market faces a significant challenge regarding the technical reliability and long-term maintenance of these components. The finite battery life of direct sensors often necessitates expensive hardware replacements, while signal interference and recalibration complexities can lead to increased ownership costs. These financial and technical hurdles often impede deeper market penetration in cost-sensitive developing economies where aftermarket infrastructure remains limited.

Key Market Drivers

The Implementation of Stringent Global Safety Regulations and Mandates stands as the primary catalyst for the Global Tire Pressure Monitoring System (TPMS) Market. Governments worldwide are enforcing rigorous standards to mitigate road accidents and enhance vehicle handling, thereby making TPMS a compulsory fitment in passenger and commercial vehicles. This legislative push is fundamentally driven by the urgent need to address road mortality rates; according to the National Highway Traffic Safety Administration, December 2024, an estimated 29,135 traffic fatalities occurred in the United States during the first nine months of 2024 alone, underscoring the critical necessity for active safety technologies. Consequently, regulatory bodies in regions like Europe and North America are expanding the scope of these mandates to cover a broader range of vehicle categories, ensuring steady market growth.

Simultaneously, the Accelerated Adoption of Electric and Autonomous Vehicles is reshaping tire management requirements, further propelling market demand. Electric vehicles (EVs) demand precise tire pressure monitoring to manage the increased weight of battery packs and to optimize driving range by minimizing rolling resistance. This shift has compelled component suppliers to align closely with automotive electrification trends. For instance, according to Continental AG, April 2025, the company supplied tires to 18 of the world's 20 highest-volume manufacturers of fully electric vehicles in 2024, reflecting the deep integration of specialized tire technologies in this segment. Furthermore, the efficiency gains provided by these systems are substantial for the broader market; according to Michelin Connected Fleet, February 2025, implementing advanced tire management solutions can reduce fleet fuel consumption by approximately 5 percent, significantly lowering operational costs and carbon footprints.

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Key Market Challenges

Technical reliability concerns and the substantial costs associated with long-term maintenance act as impediments to the sustained growth of the market. The reliance on sensors powered by batteries with finite operational lifespans necessitates expensive hardware replacements rather than simple repairs. This requirement imposes a recurring financial burden on vehicle owners, particularly when combined with the technical complexities of signal recalibration. Such financial and technical hurdles deter deeper market integration, specifically in cost-sensitive regions where specialized aftermarket infrastructure is often insufficient to support these complex electronic components.

The impact of these maintenance challenges is significantly amplified by the extending service life of modern vehicles, which frequently exceeds the duration of original sensor functionality. According to the European Automobile Manufacturers’ Association, in 2024, the average age of the passenger car fleet in the European Union reached 12.3 years. As vehicles remain in service for longer periods, the inevitability of sensor failure increases; however, the associated replacement costs often discourage consumers in developing economies from maintaining these systems, thereby limiting revenue potential in the aftermarket sector.

Key Market Trends

The Proliferation of Cloud-Based Fleet Tire Management is fundamentally altering the market by transitioning operations from passive pressure monitoring to holistic, data-driven maintenance ecosystems. This trend leverages real-time telematics and centralized digital platforms to analyze tire health data, allowing commercial operators to optimize route efficiency and significantly reduce downtime through predictive service scheduling. By integrating tire sensors with cloud infrastructure, providers are creating service-based business models that secure recurring revenue streams beyond initial hardware sales. According to Bridgestone, June 2025, in the '2025 Integrated Report', the company expanded its mobility solutions footprint significantly, reaching approximately 1.3 million contracted vehicles across Europe and North America through its Webfleet and Azuga platforms by the end of 2024.

Simultaneously, the Development of Intelligent Tire Sensing Technologies is enabling tires to function as active data nodes for broader vehicle safety systems. Unlike standard TPMS which tracks only air pressure, these advanced sensors detect road surface conditions, friction levels, and tread wear, directly communicating with Advanced Driver-Assistance Systems (ADAS) to enhance vehicle control. This integration allows braking systems to react faster to hazardous environments like wet or icy roads, effectively merging tire physics with vehicle software. According to Autosphere, February 2025, in the article 'Goodyear SightLine: Tomorrow's Smarter Tires', testing revealed that integrating this tire intelligence with Automatic Emergency Braking systems could help mitigate collision impacts at speeds of up to 80 km/h by engaging brakes earlier than traditional setups.

Segmental Insights

The passenger cars segment is positioned as the fastest-growing category within the Global Tire Pressure Monitoring System market. This trajectory is primarily driven by rigorous safety mandates enforced by regulatory bodies such as the European Commission and China’s Ministry of Industry and Information Technology, which require the installation of monitoring units in new vehicles to mitigate accident risks. Additionally, the rising global production of automobiles coupled with increased consumer demand for active safety features supports this expansion. Consequently, automotive manufacturers are universally adopting these technologies to ensure compliance with evolving legal frameworks and safety standards.

Regional Insights

North America maintains a leading position in the global Tire Pressure Monitoring System market, driven largely by early and stringent regulatory requirements. The Transportation Recall Enhancement, Accountability, and Documentation Act, overseen by the National Highway Traffic Safety Administration, mandated the installation of these systems in new light vehicles to improve road safety. This legislative action established a high installation rate and a mature market infrastructure. Additionally, the presence of major automotive manufacturers prioritising safety compliance in the United States and Canada further supports the continued dominance of the region within the global sector.

Recent Developments

• In September 2024, The Goodyear Tire & Rubber Company launched "Goodyear TPMS Connect" at the IAA Transportation event in Hanover. This solution was engineered to integrate with existing original equipment TPMS hardware on trailers, allowing fleets to utilize advanced monitoring capabilities without additional sensor installation. The system leveraged proprietary algorithms to detect pressure issues and send predictive alerts to drivers and fleet managers. This development was focused on helping commercial transport companies comply with new European safety regulations while streamlining tire management processes and reducing the total cost of ownership for their vehicles.
• In July 2024, ZF Commercial Vehicles Solutions launched a comprehensive trailer telematics solution that integrated its OptiTire Tire Pressure Monitoring System (TPMS). This system was designed to ensure compliance with the UN ECE R141 regulation, which mandates TPMS fitment on new trailers. By connecting OptiTire with the SCALAR cloud platform and electronic braking systems, the solution enabled fleet managers to access real-time data on tire performance and health. This integration was intended to prevent tire-related breakdowns, extend tire service life, and optimize fuel consumption, providing a robust tool for enhancing the efficiency of commercial trailer operations.
• In June 2024, Schrader TPMS Solutions introduced new tire pressure monitoring technologies at The Tire Cologne trade fair in Germany. The company launched a heavy-duty TPMS sensor developed for MAN, Renault, and Volvo trucks, offering features such as auto-location and tire burst warnings to enhance fleet safety. Additionally, Schrader unveiled a Bluetooth Low Energy (BLE) sensor specifically for electric vehicles, expanding its aftermarket replacement portfolio to support modern EV architectures. These innovations were aimed at helping service providers and fleet operators adapt to the changing requirements of the heavy-duty and electric vehicle markets.
• In June 2024, Continental expanded the production of its Tire Pressure Monitoring System (TPMS) at its Bangalore plant and launched its second-generation TPMS. This new system was designed to provide enhanced accuracy in measuring tire pressure, temperature, and motion from within the tire. By transmitting critical data via radio frequency to the vehicle's instrument cluster, the technology aimed to ensure optimal air pressure, thereby improving vehicle safety and fuel efficiency. The expanded production line featured fully automated processes, reflecting the company's strategy to localize manufacturing and meet the increasing demand for advanced safety technologies in the Indian passenger car market.

Key Market Players

• Continental AG
• DENSO Corporation
• Sensata Technologies, Inc.
• ZF Friedrichshafen AG
• NXP Semiconductors N.V.
• Pacific Industrial Co., Ltd.
• HELLA GmbH & Co. KGaA
• VALEO SA
• Huf Hülsbeck & Fürst GmbH & Co. KG
• Schrader Electronics

By Type	By Sales Channel Type	By Vehicle Type	By Region
Direct TPMS and Indirect TPMS	OEM and Aftermarket	Passenger Cars and Commercial Vehicles	North America Europe Asia Pacific South America Middle East & Africa

Report Scope:

In this report, the Global Tire Pressure Monitoring System (TPMS) Market has been segmented into the following categories, in addition to the industry trends which have also been detailed below:

• Tire Pressure Monitoring System (TPMS) Market, By Type:

• Direct TPMS and Indirect TPMS

• Tire Pressure Monitoring System (TPMS) Market, By Sales Channel Type:

• OEM and Aftermarket

• Tire Pressure Monitoring System (TPMS) Market, By Vehicle Type:

• Passenger Cars and Commercial Vehicles

• Tire Pressure Monitoring System (TPMS) Market, By Region:

• North America
• United States
• Canada
• Mexico
• Europe
• France
• United Kingdom
• Italy
• Germany
• Spain
• Asia Pacific
• China
• India
• Japan
• Australia
• South Korea
• South America
• Brazil
• Argentina
• Colombia
• Middle East & Africa
• South Africa
• Saudi Arabia
• UAE