Press release
Tire Retreading Market to Discern Steadfast Expansion During 2017-2027
Tire retreading, also known as tire remolding, is the process through which selected and inspected tires receive a new tread. The worn tread is buffed away and the new tread is bonded through a process which is quite similar to the process of manufacturing a new tire. The market for remanufactured tires hasgrown at a significant pace over the past decade, the primary reason being the low cost advantage that remanufactured tires offer to end users in comparison to new tires. As a matter of fact, significant cost reduction can be achieved using tire retreading as the cost of a remolded tire is 30 to 50 percent lower than that of a new tire. As of 2015, there are over 800 retread plants in the North America. Some of the important applications of tire retreading include passenger cars, commercial vehicles, off-road vehicles and commercial aircrafts. Over the past decade, the aviation industry has emerged as a significant end user of retreaded tires. Nearly 80 percent of aircrafts in the U.S. use retreaded tires. The market for tire retreading is characterized by the presence of leading tire manufacturers. However, a large number of small and medium size players also exist in the market. Leading players in the tire retreading market adhere to the stringent guidelines provided by the regulating bodies and hence, ensure quality remanufacturing that provides tires with good operational life and services. The future outlook for the tire retreading market is expected to remain positive and the market is expected to witness double digit CAGR growth over the span of next 10 years.Tire Retreading Market: Market Dynamics
The cost effectiveness offered by retreaded tires is one of the primary factors driving market growth, which is further supplemented by the robust growth of the transportation industry. Furthermore, tire retreading is an environmental friendly solution and hence, is being supported by various regulating bodies which encourage the use of retreaded tires. The continuously growing vehicle parc is another major factor which increases replacement requirement for tires. Large fleet owners of commercial vehicles prefers tire remolding to ensure cost effectiveness.
The global tire retreading market is expected to witness increase in investment from tire manufacturers. Fluctuation in raw material prices may act as a restraining factor and cause fluctuations in the market growth. Oil is a key raw material for tire retreading and hence, any fluctuations in oil prices is capable of causing fluctuations in retreading tire market growth. Another issue that the tire retreading market is facing is quality and reliability.
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Tire Retreading Market: Segmentation
The global tire retreading market can be segmented on the basis of process type and vehicle type.
On the basis of process type, the global tire retreading market can be segmented into:
Pre cure
Mold Cure
On the basis of vehicle type, the global tire retreading market can be segmented into:
Passenger cars
Light Commercial Vehicles
Heavy Trucks & Buses
Off-road vehicles
Commercial Aircrafts
Tire Retreading Market: Region-wise Outlook
In terms of demand, Asia Pacific is anticipated to account for highest sales of retreaded tires over the forecast period. This can be attributed to the robustly increasing vehicle sales in the region and growing vehicle parc. China, India and ASEAN are expected to hold major stakes in the overall tire retreading market. North America is anticipated to be the next big market after Asia Pacific. Favorable regulatory environment and enhanced adoption of retreaded tires are expected to create new growth verticals in this region. The North America market is expected to experience high demand for retreaded tires for commercial aircrafts. Europe is expected to be next big market followed by North America -- EU5 countries are expected to hold a dominant share of the market throughout the forecast period.
Tire Retreading Market: Key Market Participants
Examples of some of the key market participants identified in the global tire retreading market are:
Bridgestone Corp.
The Goodyear Tire and Rubber Co.
Marangoni S.p.A
Compagnie Generale des Etablissements Michelin SCA
Valley Tire Company
Parrish Tire Company
TreadWright
REDBURN TIRE COMPANY
Oliver Rubber Company
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