Report Overview

Growing sales of automobiles, an increasing demand for tires from the automotive sector, and the innovative product development are providing profitable opportunities for the growth of Egypt Tire Market during the forecast period between 2023 and 2029.

Egypt Tire Market – Industry Trends & Forecast Report, 2029

Egypt tire market size was estimated at USD 0.94 million in 2022. During the forecast period between 2023 and 2029, Egypt tire market size is expected to grow at a CAGR of 8.12% reaching a value of USD 1.62 million by 2029. Major factors driving the growth of the market include the rising consumer purchasing power and expanding infrastructure construction across the nation. Also, it is projected that the continuously expanding auto fleet and rising disposable income would have a beneficial impact on the Egypt tire market during the forecast period. Also, the need for tires is expected to rise across Egypt due to increased replacement tire demand and a ban on the import of used vehicles.

Egypt Tire Market - Overview

A vehicle's tire is a circular, rim-like component that is filled with air. It is manufactured using a combination of natural and synthetic materials such as steel, rubber, wire, cotton, glass, silica, and wire reinforced with carbon black. The tire is available in two forms, tubed and tubeless, and consists of various parts such as a bead, bead filler, belts, body ply, inner liner, sidewall, and tread. The tire plays a crucial role in managing the forces

Growth Drivers

Technology Advancements

Due to the rapid growth of technology, the majority of manufacturing organizations are utilizing automation to boost productivity and profitability. Due to technology developments in the Egypt tire market, such as the introduction of rimless tires, green tires, and the use of lightweight elastomers, metals like alloys and carbon fiber, or composites like manganese bronze and nickel aluminum bronze, to manufacture tires, the automotive tire market is expected to grow.

Restraints

High Variations in Raw Material Prices

The production of automotive tires requires a combination of synthetic and natural rubber, Sulfur, carbon black, and other materials in substantial amounts. The cost of these raw materials is subject to fluctuations due to various factors, including the availability of natural rubbers and government regulations prohibiting the excessive deforestation of rubber trees. The fluctuations in raw material prices pose a challenge to the growth of the Egypt Tire Market.

Impact of COVID-19 on the Egypt Tire Market

The COVID-19 pandemic hampered the expansion of Egypt tire market. The government's statewide quarantine, which was imposed to stop the virus's spread, hampered tire production and the availability of raw materials. Also, the outbreak prompted many people to work from home and stay at home, reducing the need for individual activity. Consumer purchasing power was also affected by the state of the nation's economy. These factors significantly reduce demand for car tires in Egypt, weighing on the market's overall growth.

Egypt Tire Market

Segmental Coverage

Egypt Tire Market - By Type

On basis of type, Egypt tire market is divided into Radial and Bias segments. Radial tires including the tubeless tire segment is a larger contributor to the Egypt tire market. Tubeless tires are commonly found on bicycles due to their low rolling resistance and slow rate of deflation. Because tube tires consume more gasoline than tubeless tires, they are expected to become more popular in Egypt.

Egypt Tire Market - By Size

On basis of the size, Egypt tire market is divided into 10”–12”, 13”–15”, 16”–18”, 19”–21”, and >21 inches segments. The 13”–15” segment dominates the Egypt tire market by size. It is expected to grow at a significant CAGR during the forecast period. The tire is available in a variety of sizes on the Egyptian tire market. Multiple tire sizes are available for various vehicle types and configurations. Tire demand has risen in response to growing concerns about pollution and climate change, rising fuel prices, and a shift in customer preference towards electric vehicles.

Egypt Tire Market - By Distribution Channel

On basis of the distribution channel, Egypt tire market is divided into offline and online segments. Due to the expanding trend of sales via e-commerce websites like Amazon, eBay, and YepGarage.com, the online segment is a higher contributor to the Egypt tire market. Also, tire manufacturers are developing their online tire stores.

Egypt Tire Market – By End Use

On basis of the end use, Egypt tire market is divided into OEM and Replacement segments. The replacement segment is a larger contributor to the growth of Egypt tire market. It emphasizes the country's heavy reliance on imported tires due to a lack of tire and car production capabilities, emphasizing the absence of OEMs (Original Equipment Manufacturers). Yet benefits like the ease of finding a large selection of tires for all vehicle types at different price points are likely to speed up the growth of the replacement industry. Also, it is predicted that during the projection period, increasing consumer awareness of the value of appropriate tire replacement and maintenance will fuel demand for replacement tires.

Egypt Tire Market – By Vehicle Type

On basis of the vehicle type, Egypt tire market is divided into Passenger Cars, Light Commercial Vehicles, Medium and Heavy Commercial Vehicles, Two-Wheeler, and Off-The-Road (OTR) segments. The passenger cars segment dominates the Egypt tire market, and this trend is expected to continue during the forecast period. The expanding fleet of passenger cars is primarily due to the 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. Also, because of the country's large proportion of cost-conscious citizens, sales of used passenger cars are accelerating nationwide, driving the tire sector.

Competitive Landscape

Major players in the Egypt tire market include Apollo Tyres Ltd., Michelin, Bridgestone Corporation, Continental Aktiengesellschaft, Sumitomo Rubber Industries, Ltd., Pirelli Tyre S.p.A., Yokohama Tire Corporation, MRF Ltd., and JK Tyre & Industries. 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 - The Government of Egypt announced its plans to establish a new tire factory in the country to increase local production of tires.

Scope of the Report

By Type

• Radial

• Bias

By 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)