Report Overview

Colombia Tire Market - Trends & Forecast Report, 2029

Colombia tire market size was estimated at USD 1.39 million in 2022. During the forecast period between 2023 and 2029, Colombia tire market size is expected to grow at a significant CAGR of 4.47% reaching a value of USD 1.93 million by 2029. Colombia's fast growing middle class is driving up demand for cars, which further expands the demand for tires. Also, the country's need for tires is being boosted by a growing fleet along with increased public and private sector expenditures in the agriculture sector. Colombia automotive industry is primarily driven by rising per capita income, an expanding automobile fleet, and the introduction of new vehicle models. As a result, the demand for tires in the nation is growing forward.

Colombia Tire Market - Overview

Rubber-based, circular automotive tire is used to externally cover the rim of the wheel. The tire's primary job is to provide tractive force between the vehicle and the road surface while also protecting the wheel rim. Because it is made of rubber, it also offers a flexible cushion, decreasing the impact of vibrations and absorbing vehicle shock. The components of a rubber tire are tread, jointless cap heaps, beads, and other materials including synthetic rubber, carbon black, and fabric.

Growth Drivers

Increasing Sale of Vehicles to Drive Demand for Tires

Rapid urbanization and industrialization are expected to drive demand for automobiles in the coming years. Due to the rising demand for automobiles in Colombia, automakers are extending their operations and setting up production facilities there. Due to factors including supportive governmental policies, rising GDP, and rising consumer expenditure, automotive manufacture has increased in developing countries, including Colombia.

Restraints

Fluctuations in Raw Material Prices

Automotive tires are made from natural and synthetic rubbers, sulfur, carbon black, and other chemicals. A large quantity of these raw materials is required for the manufacture of vehicle tires. However, the prices of these raw materials fluctuate frequently due to a variety of factors. The availability of resources such as natural rubbers is one of these factors. Furthermore, the government prohibits excessive cutting down of rubber trees throughout the region. The Colombia Tire Market's growth may be limited by fluctuations in raw material pricing.

Impact of COVID-19 on Colombia Tire Market

The COVID-19 pandemic affected the growth of the Colombia tire market. The countrywide quarantine imposed by the government to stop the virus's spread hindered the availability and manufacture of the raw ingredients required to make tires. Also, the pandemic caused many people to work from home and stay at home, which decreased the demand for individual movement. The nation's economic turmoil also had an effect on consumer purchasing power. These factors combined to cause a significant drop in Colombia's demand for automobile tires, which had an impact on the market's expansion as a whole.

Colombia Tire Market

Segmental Coverage

Colombia Tire Market - By Tire Type

On basis of tire type, Colombia tire market is divided into Radial and Bias segments. The radial division, which also includes the tubeless tire market segment, made up a sizable portion of the Colombia tire market in terms of revenue. Tubeless tires are commonly found on bicycles due to their low rolling resistance and slow rate of deflation. The need for tubeless tires is expected to increase throughout Colombia as tube tires consume more gasoline than tubeless tires.

Colombia Tire Market - By Size

On basis of the size, Colombia tire market is divided into 10”–12”, 13”–15”, 16”–18”, 19”–21”, and >21 inches segments. The 13"–15" size segment holds the highest market share. It is expected to expand at a considerable CAGR during the period in analysis. In the tire market in Colombia, the tire comes in a range of sizes. For various vehicle types and configurations, multiple tire sizes are available. The demand for tires has increased as a result of growing worries about pollution and climate change, rising fuel prices, and a movement in customer preference towards electric vehicles.

Colombia Tire Market - By Sales Channel

On basis of the sales channel, Colombia tire market is divided into offline and online segments. The online segment holds a higher market share as a result of the trend of rising sales via e-commerce sites, such as Amazon, eBay, and YepGarage.com. Also, tire manufacturers are building out their online stores to sell tires.

Colombia Tire Market – By End Use

On basis of the end use, Colombia tire market is divided into OEM and Replacement segments. The higher rate of growth in tire replacement demand is expected in Colombia during the forecast period. It primarily highlights the nation's excessive reliance on imported tires as a result of a dearth of vehicle and tire manufacturing facilities, highlighting the absence of OEMs (Original Equipment Manufacturers). Advantages like the simplicity of locating a wide selection of tires for all vehicle kinds at various price points are probably going to accelerate the expansion of the replacement market. Moreover, throughout the forecast period, demand for replacement tires is expected to be driven by growing consumer understanding of the significance of proper tire replacement and maintenance.

Colombia Tire Market – By Vehicle Type

By vehicle type, Colombia tire market is segmented Passenger Cars, Light Commercial Vehicles, Medium and Heavy Commercial Vehicles, Two-Wheeler, and Off-The-Road (OTR). Passenger cars have dominated the Colombia tire market for some time, and this trend is expected to continue. The expanding fleet of passenger cars is primarily due to rising demand for private vehicle ownership. To meet rising consumer demand for passenger cars, automakers are increasing production and import capacity. Tire demand has increased across the country, benefiting tire production, distribution, accessibility, and pricing. Furthermore, because of the country's substantial proportion of cost-conscious citizens, sales of used passenger cars are accelerating nationwide, driving the tire sector.

Competitive Landscape

Major players in Colombia tire market are Apollo Tires Ltd., Michelin, Bridgestone Corporation, Continental Aktiengesellschaft, Sumitomo Rubber Industries, Ltd., Pirelli Tire S.p.A., and Yokohama Tire Corporation. The key strategies used by these market leaders are new product launches, mergers & acquisitions, and alliances. To grow their market share, these companies are also focusing on investing in innovations, collaborations, and expansions.

Recent Developments

• In 2021 - Goodyear introduced a new ElectricDrive all-season tire along with two new sizes of the ultra-high-performance (UHP) ElectricDrive GT tire. The product primarily targets crossover utility vehicles & commuter touring sedans, fundamentally equipped with a load index exhibiting higher potential in enduring the heavier weight associated with EVs. Also, the tire demonstrates excellent handling capabilities in different weather scenarios owing to its asymmetric tread pattern. In 2022, the brand announced its plans to further expand its product portfolio with the initial release of the Goodyear ElectricDrive GT, available in size 255/45R19 104W XL.

Scope of the Report

By Type

• Radial

• Bias

By Rim Size

• 10”–12”

• 13”–15”

• 16”–18”

• 19”–21”

• >21 inches

By Distribution Channel

• Online

• Offline

By End Use

• OEM

• Replacement

By Vehicle Type

• • Passenger Cars

  • Light Commercial Vehicles

  • Medium & Heavy Commercial Vehicles

  • Two-Wheeler

  • Off-The-Road (OTR)

1. Research Framework
   1. Research Objective
   2. Product Overview
   3. Market Segmentation
2. Executive Summary
3. Colombia Tire Market Insights
   1. Industry Value Chain Analysis
   2. DROC Analysis
      1. Growth Drivers
         1. Rising Demand from the Automotive Sector
         2. Growing Investment Toward Automobile Production Activities
      2. Restraints
         1. High Price of Tires
      3. Opportunities
         1. Product Development
      4. Challenges
         1. Impact on Supply Chain Due to Covid
   3. Technology Advancements/Recent Developments
   4. Regulatory Framework
   5. Porter’s Five Forces Analysis
      1. Bargaining Power of Suppliers
      2. Bargaining Power of Buyers
      3. Threat of New Entrants
      4. Threat of Substitutes
      5. Intensity of Rivalry
4. Colombia Tire Market Overview
   1. Market Size & Forecast, 2019–2029
      1. By Value (USD Million)
   2. Market Share & Forecast
      1. By Type
         1. Radial
         2. Bias
      2. By Size
         1. 10”–12”
         2. 13”–15”
         3. 16”–18”
         4. 19”–21”
         5. >21 inches
      3. By Distribution Channel
         1. Online
         2. Offline
      4. By End Use
         1. OEM
         2. Replacement
      5. By Vehicle Type
         1. Passenger Cars
         2. Light Commercial Vehicles
         3. Medium and Heavy Commercial Vehicles
         4. Two-Wheeler
         5. Off-The-Road (OTR)
5. Competitive Landscape
   1. List of Key Players and Their Offerings
   2. Colombia Tire Company Market Share Analysis, 2022
   3. Competitive Benchmarking, By Operating Parameters
   4. Key Strategic Developments (Mergers, Acquisitions, Partnerships, etc.)
6. Impact of Covid-19 on Colombia Tire Market
7. Company Profile (Company Overview, Financial Matrix, Competitive Landscape, Key Personnel, Key Competitors, Contact Address, Strategic Outlook, SWOT Analysis)
   1. Apollo Tyres Ltd.
   2. Michelin
   3. Bridgestone Corporation
   4. Continental Aktiengesellschaft
   5. Sumitomo Rubber Industries, Ltd.
   6. Pirelli Tyre S.p.A.
   7. Yokohama Tire Corporation
   8. Other Prominent Players
8. Key Strategic Recommendations
9. Research Methodology
   1. Qualitative Research
      1.  Primary & Secondary Research
   2.  Quantitative Research
   3.  Market Breakdown & Data Triangulation
      1.  Secondary Research
      2.  Primary Research
   4. Breakdown of Primary Research Respondents, By Region
   5.  Assumptions & Limitations

*Financial information in case of non-listed companies can be provided as per availability.

**The segmentation and the companies are subject to modifications based on in-depth secondary research for the final deliverable.

List of Figures

Figure 1       Colombia Tire Segmentation

Figure 2       Colombia Tire Market Value Chain Analysis

Figure 3       Company Market Share Analysis, 2022

Figure 4       Colombia Tire Market Size, By Value (USD Million), 2019–2029

Figure 5       Colombia Tire Market Share, By Type, By Value, 2019–2029

Figure 6       Colombia Tire Market Share, By Sizes, By Value, 2019–2029

Figure 7       Colombia Tire Market Share, By Distribution Channel, By Value, 2019–2029

Figure 8       Colombia Tire Market Share, By End Use, By Value, 2019–2029

Figure 9       Colombia Tire Market Share, By Vehicle Type, By Value, 2019–2029

List of Tables

Table 1        Colombia Tire Market Size, By Value (USD Million), 2019–2029

Table 2        Colombia Tire Market Size, By Type, By Value, 2019–2029

Table 3        Colombia Tire Market Size, By Sizes, By Value, 2019–2029

Table 4        Colombia Tire Market Size, By Distribution Channel, By Value, 2019–2029

Table 5        Colombia Tire Market Size, By End Use, By Value, 2019–2029

Table 6        Colombia Tire Market Size, By Vehicle Type, By Value, 2019–2029

Table 7        Apollo Tyres Ltd. Company Overview

Table 8        Apollo Tyres Ltd. Financial Overview

Table 9        Michelin Company Overview

Table 10      Michelin Financial Overview

Table 11      Bridgestone Corporation Company Overview

Table 12      Bridgestone Corporation Financial Overview

Table 13      Continental Aktiengesellschaft Company Overview

Table 14      Continental Aktiengesellschaft Financial Overview

Table 15      Sumitomo Rubber Industries, Ltd. Company Overview

Table 16      Sumitomo Rubber Industries, Ltd. Financial Overview

Table 17      Pirelli Tyre S.p.A. Company Overview

Table 18      Pirelli Tyre S.p.A. Financial Overview

Table 19      Yokohama Tire Corporation Company Overview

Table 20      Yokohama Tire Corporation Financial Overview