Published on : Apr 21, 2016
Today, drivers aim to get the most out of their favorite vehicle, and this starts with investing in the right set of tires. Compromising on the set of tires of your vehicle would be an expensive affaire. Thanks to the availability of variety of tire brands, vehicle owners can buy the right set of tires. The global automotive tire market is experiencing a rapid growth due to the introduction of new tires and mergers of leading players with the new entrants.
Leading players in the global automotive tire market are aiming for more acquisitions in the years to come with an intention to find new engines of growth. With many new players entering the competition, the global automotive tire market has reached a different level. Where the new entrants are trying to contribute their share, leading players are aiming at acquiring some of the new companies to increase their contributions. With this, leading players are planning to help the new entrants grow in the long run. However, leading players are expected to maintain their dominance in the global automotive tire market with more partnerships and acquisitions.
A Recent Example of How Acquisitions would Drive Growth
Recently, the South Korean tire supplier company Hankook Tire Co. announced that the company will be signing more acquisition deals in the years to come. Hankook Tire Co. is aiming to increase its share in the global automotive tire market from 8% to 10% by 2020.
The global automotive tire market is one of the rapidly booming markets in the consumer goods industry. Technological advancements have given a rise to radial tires. The demand for radial tires is expected to increase from various kinds of vehicles such as passenger vehicles, light commercial vehicles, heavy duty vehicles, and others.
What would Drive Global Automotive Tires Market?
- The rise in the passenger vehicles and commercial vehicles, the increasing demand for radial tires, and the rising demand for ecologically viable tires are some of the factors expected to benefit the global automotive tire market in the years to come.
- The rising focus on consumer safety, strict government regulations, and the availability of reliable and cost-effective technologies are further expected to contribute towards the growth of the global automotive tire market.