Japan tyre market to cross $32 billion by 2021
The tyre market in Japan is anticipated to cross $32 billion by 2021 on account of consistent growth in passenger car production and sales, expanding automobile fleet and emergence of new technologies, according to the latest report by analysts TechSci Research.
Japan is one the largest global automotive markets, with around 23 tyre manufacturing facilities operating in the country and availability of more than 25 major tyre brands. During 2011-2015, the production of passenger cars, light commercial vehicles, medium & heavy commercial vehicles & two-wheelers in the country cumulatively grew at a CAGR of more than 2%, which contributed to the growth of tire market in Japan.
Owing to increasing automobile production coupled with expanding fleet size, the demand for tyres, from both replacement as well as OEM market, is expected to increase at a robust pace over the next five years.
In 2015, passenger car tyre segment dominated the Japan tyre market, and the segment is anticipated to maintain its dominance over the next five years as well on account of increasing popularity of electric and hybrid cars, the report said. Kanto region registered majority of the demand for tyres in Japan in 2015. Some of the major companies operating in Japan tyre market include Bridgestone, Sumitomo, Yokohoma and Toyo, among others.