French tyre market to grow at CAGR of over 6% in next five yrs
The Frech tyre market is expected to grow at a CAGR of over 6% in value term through 2021 on on account of improving macroeconomic scenario, rising average selling prices of tires and growing vehicle fleet, said a research firm TechSci Research in its latest report.
The report, titled France Tire Market Forecast and Opportunities, 2021, said with growing internet penetration, various e-commerce websites are offering tyres with attractive deals and offers, which has been positively influencing the country’s tyre market over the last few years.
The vehicle fleet of the country is dominated by passenger car segment, followed by light commercial vehicles segment. Consequently, passenger car tyre segment dominated the country’s tyre market in 2015 and the segment is anticipated to continue its dominance during the forecast period as well. In 2015, Northern France accounted for the largest share in the country’s tire market. Additionally, leading global tire companies operating in France include Michelin, Goodyear, Continental and Bridgestone, among others.
“During 2011-2015, due to the impact of the Eurozone crisis, the automobile sector in France could not deliver to its full potential, and consequently, the tire industry in France was negatively affected due to the decline in automotive production during the same period. However, with a comparatively stable macroeconomic scenario, automobile production and sales are anticipated to grow in the coming year, which is expected to boost tire market in France during the forecast period. Moreover, the country’s replacement tyre demand is anticipated to grow at a higher pace in comparison to the OEM tyre demand over the course of next five years,” said Karan Chechi, research director with TechSci Research, a research based global management consulting firm.