As per MRFR analysis, the India Automotive Tire Market Size was estimated at 16.42 (USD Billion) in 2023.The India Automotive Tire Market is expected to grow from 18.13(USD Billion) in 2024 to 58.65 (USD Billion) by 2035. The India Automotive Tire Market CAGR (growth rate) is expected to be around 11.263% during the forecast period (2025 - 2035).
The burgeoning automotive industry and rising vehicle production are two major factors driving the India automotive tire market. Rapid urbanization and infrastructure development have increased demand for automobiles, which has increased tire sales.
Manufacturers are also being compelled to provide more sophisticated, environmentally friendly tire options as a result of government measures to improve road safety and vehicle emissions rules. The growing popularity of electric cars (EVs) in India presents opportunities.
Specialized tires that meet the particular needs of electric vehicles are becoming more and more necessary as the government encourages the use of EVs through incentives and infrastructure development.
To take advantage of this new market niche, manufacturers should investigate technologies like lighter tires, low rolling resistance alternatives, and sustainable materials. Due to consumer demand for improved safety and performance characteristics, the industry has seen a major movement in recent years toward digital technology and smart tires.
Tires with built-in connectivity functions, such wear indications and pressure monitoring, are growing in popularity. As environmental concerns become increasingly important in consumer purchase decisions, there is also a growing trend towards the use of eco-friendly production methods and sustainable resources.
Additionally, the way that consumers purchase automotive products is changing as a result of the tire industry's transition from traditional retail to e-commerce platforms. Online marketplaces meet the increased need for digital transactions, particularly among younger consumers, by offering convenience and a greater selection.
All things considered, these patterns show how the Indian automotive tire market is a dynamic environment that is influenced by changing consumer tastes and technology breakthroughs.
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
Rising Vehicle Production and Sales
The India Automotive Tire Market is projected to see significant growth driven by a surge in vehicle production and sales. According to the Society of Indian Automotive Manufacturers, the total number of vehicles produced in India reached approximately 22.7 million units in the fiscal year 2020-2021, reflecting a compounded annual growth rate (CAGR) of about 2.88% over the previous five years.
This upward trend is further expected to accelerate as the Indian government continues to push for initiatives such as the Faster Adoption and Manufacturing of Electric Vehicles scheme, aimed at boosting electric vehicle production.
As more vehicles hit the road, the demand for automotive tires will consequently increase. Major tire manufacturers like Apollo Tyres and MRF have already ramped up their production capabilities to meet this growing demand, thus nurturing the India Automotive Tire Market's growth.
Expansion of E-commerce and Logistics Sector
The rapid growth of the e-commerce and logistics sector in India is significantly driving the demand for automotive tires. The Indian e-commerce sector is expected to reach an impressive USD 99 billion by 2024, according to a report by the Indian Brand Equity Foundation.
This surge translates to increased investments in transportation and logistics operations, which in turn necessitate new and replacement tires for delivery trucks and vans. Established logistics companies like Blue Dart and Delhivery are already expanding their fleets to meet consumer demand, further catalyzing the growth of the India Automotive Tire Market as more vehicles require tires.
Technological Advancements in Tire Manufacturing
Innovations in tire manufacturing technology have had a profound impact on the India Automotive Tire Market, contributing to its robust growth. The introduction of smart tires with sensors to monitor tire pressure and tread depth is set to enhance safety and performance, capitalizing on the burgeoning demand for advanced automotive solutions.
As per government initiatives promoting the adoption of such technologies, multiple patents have been filed by leading manufacturers like CEAT and JK Tyre. This focus on Research and Development is vital for maintaining competitive advantage, thus presenting growth opportunities for the India Automotive Tire Market.
Growing Infrastructure Development
Infrastructure development in India is a critical driver behind the growth of the India Automotive Tire Market. The Government of India's ambitious National Infrastructure Pipeline aims to invest approximately USD 1.4 trillion in infrastructure projects over five years from 2020.
This investment is expected to enhance road connectivity, thus leading to a greater increase in the number of vehicles on the roads and the subsequent demand for tires. Major infrastructure companies like Larsen & Toubro are currently engaged in extensive projects, which will ultimately support the automotive sector, driving further growth in the market for automotive tires.
Automotive Tire Market Rim Size Insights
The Rim Size segment within the India Automotive Tire Market plays a crucial role in determining the overall dynamics of the market. The demand for different rim sizes is influenced by various factors, including vehicle type, consumer preferences, and advancements in automotive technology.
For instance, the 13”-15" rim size typically caters to compact and small cars, which dominate the Indian vehicle market due to their affordability and efficiency, reflecting the preferences of the price-sensitive Indian consumer. As a nation with a growing urban population, the need for smaller, economical vehicles propels this segment, making it a significant contributor to the overall automotive tire market.
Meanwhile, the 16”-18" rim size is prevalent among mid-range vehicles, which have seen sustained interest as urban commuters transition to more spacious and comfortable vehicles without stepping up to larger and more costly models. This segment not only serves the increasing number of private car owners but also aligns with the government's push towards enhancing road infrastructure across cities.
The 19”-21" rim size caters primarily to premium cars and SUVs, a segment witnessing increased popularity as economic growth leads to rising disposable incomes and consumer aspirations. The growth of this segment is bolstered by evolving lifestyle trends of Indian consumers, who increasingly favor larger vehicles for their perceived safety and versatility.
Lastly, the rim size category of greater than 21 inches caters predominantly to luxury and high-performance vehicles, which, although a smaller segment in terms of overall volume, is significant for the high-value segments in the India Automotive Tire Market.
The presence of more luxury brands entering the Indian market is indicative of a burgeoning affluent class, indicating a trend where premium and exhilarating ride experiences are sought after. Within this broader landscape of rim sizes, the India Automotive Tire Market segmentation reflects the diverse range of consumer needs, vehicle types, and market trends drawn from the unique urban landscape of India.
Each rim size has its own unique characteristics and driving forces, contributing to the competitive edge of manufacturers and retailers alike in this growing sector. As the automotive industry adopts more innovations, including better tire technology for enhancing performance and safety, the Rim Size segment is poised to reflect these changes and adapt to the evolving requirements of Indian consumers.
With continued investments in infrastructure and expansion of automobile offerings, the Rim Size segment will remain integral to capturing the potential growth opportunities within the vibrant and dynamic India Automotive Tire Market.
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
Automotive Tire Market Season Insights
The Season segment of the India Automotive Tire Market represents a critical classification influencing consumer choices based on climate and driving conditions. In India, where weather patterns vary significantly across regions, the demand for Winter, Summer, and All-Season tires is closely aligned with geographical and seasonal driving needs.
The Summer tire segment is particularly vital as it offers enhanced performance on wet and dry pavements during the warmer months, catering to urban commuters and long-distance travelers alike.
Winter tires, designed with specific tread patterns and rubber compounds, provide superior grip and safety in colder conditions, making them essential for regions experiencing significant snowfall and low temperatures.
The All-Season tire segment emerges as a versatile solution for consumers seeking convenience and reliability, allowing for year-round usage without the need for seasonal changes. With improving road infrastructure and increasing vehicle ownership in India, these segments not only contribute substantially to the overall market growth but also drive innovations in tire technology.
The overall strategy for manufacturers includes focusing on the distinct requirements of each tire type, thereby enhancing their market positioning in an evolving automotive landscape.
Automotive Tire Market Propulsion Type Insights
The India Automotive Tire Market, segmented by Propulsion Type, showcases a dynamic landscape driven primarily by internal combustion engines (ICE) and electric vehicles (EV). As the market trends shift towards sustainability, the significance of EV in the automotive sector is on the rise, supported by government initiatives promoting greener alternatives and reducing emissions.
This sector is poised for considerable growth, as India aims to increase the share of EVs in its overall vehicle sales and expand its charging infrastructure. The ICE segment continues to dominate due to the vast existing vehicle base, but it faces challenges such as stringent regulations on emissions and a growing consumer preference for eco-friendly options.
The demand for specialized tires catering to both segments is crucial, as they require different performance characteristics, such as durability for ICE and energy efficiency for EVs. The ongoing innovations in tire technology further enhance the performance and lifespan of tires in both segments, contributing to the overall market growth.
Therefore, understanding the nuances within the Propulsion Type segment is imperative for stakeholders aiming to capitalize on the evolving landscape of the India Automotive Tire Market.
Automotive Tire Market Vehicle Type Insights
The India Automotive Tire Market has demonstrated notable growth, primarily driven by the increasing demand for various vehicle types including Passenger Cars, Light Commercial Vehicles (LCV), and Heavy Commercial Vehicles (HCV). Passenger Cars hold a significant position in this market, as rising disposable incomes and urbanization lead to enhanced vehicle ownership across the nation.
The growth of the LCV segment is bolstered by a surge in e-commerce and logistics, creating a demand for efficient transportation solutions. HCVs are essential for freight and construction sectors, contributing substantially to the market, given India's expanding infrastructure initiatives.
The implications of government policies aimed at improving road networks and vehicle safety standards further enhance the Automotive Tire Market dynamics. Moreover, the introduction of sustainable tire technologies and rising consumer awareness about performance and durability are major trends shaping this segment.
With a growing emphasis on electric vehicles, the diversification of tire offerings is anticipated to cater to varied consumer needs. Collectively, these factors are critical to the market evolution within the Vehicle Type segment, presenting a holistic view of the India Automotive Tire Market revenue potential and segmentation strategies.
Automotive Tire Market Distribution Channel Insights
The Distribution Channel segment of the India Automotive Tire Market plays a crucial role in shaping the dynamics of the industry, influencing how tires are delivered to end users. The market can be primarily divided into Original Equipment Manufacturer (OEM) and Aftermarket categories.
The OEM segment serves vehicle manufacturers, ensuring that tires meet specific standards and performance metrics required for new vehicles. This segment is significant as it maintains the quality and safety of vehicles on Indian roads, which have been noted for substantial improvements in recent years due to stringent regulatory measures.
In contrast, the Aftermarket segment caters to replacement tire sales, making it essential for vehicle maintenance and enhancing safety during the lifecycle of vehicles. The demand in the Aftermarket is driven by the growing vehicle population and increasing awareness of road safety among consumers.
In India, rapid urbanization and an expanding middle class contribute to a robust growth landscape for both segments, providing ample opportunities for innovation and growth. The emphasis on sustainability and eco-friendly products further presents a promising avenue within this market, as consumers increasingly seek eco-conscious alternatives.
Overall, the Distribution Channel segment is pivotal in supporting the overall growth trajectory, directly impacting the India Automotive Tire Market revenue and market statistics.
The India Automotive Tire Market is characterized by robust competition, marked by a diverse array of domestic and international players vying for market share. This dynamic landscape is driven by the increasing demand for vehicles, both passenger and commercial, leading to a corresponding rise in tire consumption.
Factors such as advancements in tire technology, a heightened focus on fuel efficiency, and changing consumer preferences towards high-performance tires are shaping the competitive strategies employed by tire manufacturers.
As the automotive sector evolves, companies are investing in research and development to offer innovative products that cater to the specific needs of Indian consumers, all while navigating the pricing pressures and maintaining quality standards that are critical in this price-sensitive market.
CEAT has established a significant presence within the India Automotive Tire Market, recognized for its vast product portfolio that caters to varied customer needs including two-wheelers, passenger vehicles, and commercial vehicles. CEAT's strengths lie in its strong brand recognition, extensive distribution network, and commitment to quality, positioning it favorably among consumers.
The company has also focused on innovation, producing tires that enhance performance and safety. Through strategic initiatives such as collaborations with automotive manufacturers and investments in state-of-the-art manufacturing facilities, CEAT has been able to strengthen its foothold in the market, ensuring a steady growth trajectory and meeting the evolving demands of its clientele.
Pirelli has made inroads into the India Automotive Tire Market with a robust strategy centered on premium tire offerings tailored for high-performance vehicles as well as two-wheelers. Known for its superior technology and performance capabilities, Pirelli has partnered with local automotive manufacturers to develop customized products that cater specifically to the Indian market.
The company's strengths include its strong emphasis on research and development, which allows it to continuously innovate and maintain a competitive edge. Pirelli has also pursued strategic mergers and acquisitions to enhance its market presence and expand its operations in India.
The introduction of key products such as performance tires for sports cars and specialized tires for off-road vehicles has further solidified its position, drawing a clientele that values quality and performance in the automotive tire segment.
The India Automotive Tire Market has recently seen several important developments, notably in terms of market growth and new product launches.
In 2023, companies like CEAT and Apollo Tyres announced significant investments in expanding their manufacturing capacities to cater to the growing demand. CEAT has ramped up production in its Pune plant, while Apollo Tyres launched a new range of eco-friendly tires aimed at reducing carbon footprint.
Furthermore, MRF has entered into a partnership with Indian Oil Corporation for innovative tire technologies, which is anticipated to enhance tire performance.
In terms of mergers and acquisitions, JK Tyre has successfully acquired a smaller regional tire manufacturer to enhance its market presence, with this transaction made public in July 2023. Growth in market valuation is evident, driven by a surge in vehicle production and increased awareness of sustainability among consumers.
The automotive tire market's valuation has consistently grown over the past two years, particularly with initiatives by major players like Bridgestone and Michelin focused on Research and Development capabilities. The current landscape reflects a vigorous competitive environment as tire manufacturers adapt to evolving market requirements and consumer preferences across India.
Automotive Tire Market Rim Size Outlook
Automotive Tire Market Season Outlook
Automotive Tire Market Propulsion Type Outlook
Automotive Tire Market Vehicle Type Outlook
Automotive Tire Market Distribution Channel Outlook
| Report Attribute/Metric Source: | Details |
| MARKET SIZE 2023 | 16.42(USD Billion) |
| MARKET SIZE 2024 | 18.13(USD Billion) |
| MARKET SIZE 2035 | 58.65(USD Billion) |
| COMPOUND ANNUAL GROWTH RATE (CAGR) | 11.263% (2025 - 2035) |
| REPORT COVERAGE | Revenue Forecast, Competitive Landscape, Growth Factors, and Trends |
| BASE YEAR | 2024 |
| MARKET FORECAST PERIOD | 2025 - 2035 |
| HISTORICAL DATA | 2019 - 2024 |
| MARKET FORECAST UNITS | USD Billion |
| KEY COMPANIES PROFILED | CEAT, Pirelli, Apollo Tyres, Goodyear, Balkrishna Industries, Toyo Tires, Continental, MRF, Bridgestone, Michelin, Maxxis, Indian Oil Corporation, Yokohama, Cheng Shin Rubber, JK Tyre |
| SEGMENTS COVERED | Rim Size, Season, Propulsion Type, Vehicle Type, Distribution Channel |
| KEY MARKET OPPORTUNITIES | Rising demand for electric vehicles, Growth in e-commerce logistics, Increasing focus on fuel efficiency, Expansion of online tire retail, Advancements in tire recycling technology |
| KEY MARKET DYNAMICS | increasing vehicle production, growing demand for fuel efficiency, shift towards eco-friendly tires, rise in e-commerce logistics, advancements in tire technology |
| COUNTRIES COVERED | India |
Frequently Asked Questions (FAQ) :
The India automotive tire market is expected to be valued at 18.13 billion USD in 2024.
By 2035, the India automotive tire market is expected to reach a valuation of 58.65 billion USD.
The expected CAGR for the India automotive tire market from 2025 to 2035 is 11.263%.
In 2035, the rim size segment of 16"-18" is projected to hold the largest market share, valued at 21.0 billion USD.
Key players in the India automotive tire market include CEAT, Pirelli, Apollo Tyres, Goodyear, and MRF.
The anticipated market size for the 13"-15" rim size segment in 2035 is 17.25 billion USD.
Growth opportunities in the India automotive tire market include rising vehicle production and increased demand for better tire performance.
The projected market size for the >21" rim size segment in 2035 is 6.4 billion USD.
The 19"-21" rim size segment is expected to have a market size of 14.0 billion USD by 2035.
The major factors driving growth in the India automotive tire market include increasing urbanization and rising disposable incomes.
Leading companies partner with us for data-driven Insights.
Kindly complete the form below to receive a free sample of this Report
Senior Research Analyst She has over 5 years of rich experience, in market research and consulting providing valuable market insights to client. hands on expertise in management consulting, and extensive knowledge in domain including ict, automotive & transportation and aerospace & defense. she is skilled in go-to market strategy, industry analysis, market sizing, in depth company profiling, competitive intelligence & benchmarking and value chain amongst others.
Get in Touch
© 2025 Market Research Future ® (Part of WantStats Reasearch And Media Pvt. Ltd.)
