Report Overview

Vietnam Two Wheeler Tire Market- Industry Trends & Forecast Report 2028

The Vietnam two wheeler tire market was worth 40.4 million units in 2021 and following its growth trajectory is projected to reach 66.1 million units by the year 2028. The market is growing at a high rate owing to the expanding private-public investment in two-wheeler production in the country and increasing vehicle ownership owing to the increasing disposable income of the consumers. Furthermore, the rising penetration of multinational players in Vietnam is also playing a crucial role in driving the two-wheeler tire market.

Two Wheeler Tires – A Brief Overview

A tire is a rubberized component of a vehicle that protects the rim of the wheel externally. The tire's main purpose is to protect the wheel rim and provide tractive force between the road surface and the vehicle. As it is made of rubber, it also provides a flexible cushion that reduces vibrations and withstand shocks from uneven surfaces and other road imperfections. Rubber tires are made up of tread, jointless cap piles, beads, and other materials such as synthetic rubber, carbon black, and fabric.

Vietnam Two Wheeler Tire Market Forecast and Trends

Growth Drivers

Increasing Vehicle Production in Vietnam

Vietnam is emerging as a potential market for two wheeler tires due to the increasing penetration of multinational tire manufacturers, along with emerging domestic production. The international players are increasingly establishing their production plants in Vietnam due to lower production costs and availability of resources. China and Japan are also investing in expanding their tire production in the country due to the increasing demand for two-wheeler tires for both OEM and replacement purposes, which is driving the market growth.

Rising Demand For E-Motorbikes

The increasing demand for e-Bikes is anticipated to present lucrative growth opportunities to the Vietnam two wheeler tire market. The Vietnamese government is taking various initiatives to boost the adoption of eco-friendly e-bikes and reduce the number of fuel vehicles on the road. e-Bikes offer various advantages such as being cost-efficient, safety and the ease of driving. The increasing consciousness regarding environment and carbon emission is anticipated to fuel the demand for e-bikes, influencing the overall growth of the two wheeler tire market in Vietnam.

Restraints

Monopoly Of Multinational Tire Brands

Although the Vietnam government is taking various efforts and initiatives to boost tire production in the country, it is facing stiff competition with multinational tire brands. The global companies offer their products with higher quality and at competitive prices and are significantly establishing new plants to expand their production capacities. With a few exceptions, such as VinFast, the local Vietnamese tire manufacturers are unable to compete due to a lack of resources, which is limiting market growth.

Impact of COVID-19 on Vietnam Two Wheeler Tire Market

The sudden COVID-19 pandemic outbreak negatively impacted the growth of the Vietnam two wheeler tire market. The outbreak significantly halted the manufacturing and production operations of two wheeler and tires at the global level. Furthermore, the import and export activities were also hindered to prevent the transmission of viruses among regions.  The two wheeler tire market in Vietnam has been restricted by all of these factors. Nevertheless, since Vietnam was able to tackle the pandemic more easily than any other country, the market is expected to recover soon following the COVID-19 outbreak.

Vietnam Two Wheeler Tire Market - By Vehicle Type

Based on vehicle types, Vietnam two wheeler tire market is segmented into motorcycle and scooter/moped. The motorcycle segment holds the largest share in the Vietnam two wheeler tire market. The high concentration of leading multinational motorcycle brands such as Suzuki, SYM, Honda, Piaggio, Honda, etc., as well as local players such as VinFast (e-motorbikes) in the country is driving the segment’s growth. However, the scooter/moped segment is also growing at a substantial rate owing to the flourishing cab and rent services in the country.

Vietnam Two Wheeler Tire Market - By Fuel Type

Based on fuel types, Vietnam two wheeler tire market is segmented into petrol and electric. The petrol segment accounts for the largest market share owing to the easy availability of petrol stations compared to charging points. Due to this, the presence of two-wheeler vehicles that run on petrol has a higher penetration in Vietnam. However, the electric type segment is anticipated to gain traction in the forecast period. The increasing government initiatives to boost the adoption of electric vehicles in Vietnam are anticipated to play a crucial role in propelling the growth of the market.

Vietnam Two Wheeler Tire Market - By End-User

Based on end-users, Vietnam two wheeler tire market is segmented into OEM and replacement. The replacement segment accounts for the largest market share owing to the increasing two-wheeler vehicle ownership in Vietnam because of the rising disposable income of the consumers. However, the OEM segment is projected to witness the highest CAGR during the forecast period. Vietnam is emerging as the center of the motorcycle industry in Asia due to which the penetration of multinational motorcycle manufacturers is increasing, propelling the demand for tires.

Competitive Landscape

The leading players in Vietnam two wheeler tire market are Cheng Shin Rubber Industry Co., Southern Rubber Industry Joint Stock Company, Inoue Rubber Vietnam Co., Ltd., Kenda Rubber (Vietnam) Co., Ltd., Yokohama Tyre Vietnam Inc., Horng Fortune, Continental Motorcycle Tires, DRC Tire, and other prominent players.

The market is fragmented due to the presence of several multinational as well as regional industry players. However, several players are also entering the market, seeking to exploit new opportunities emerging in Vietnam. The companies offer a wide range of tires for different types of vehicles and brands. They also constantly launch new products to gain higher traction in the market. Furthermore, the adoption of competitive strategies, such as partnerships, mergers, acquisitions, joint ventures, etc., is also prominent in this market.

Scope of the Report

By Vehicle Type

• Motorcycle
• Scooter/Moped

By Fuel Type

• Petrol
• Electric

By End-User

• OEM
• Replacement

1. Research Framework
   1. Research Objective
   2. Product Overview
   3. Key Market Segments
2. Research Methodology
   1. Qualitative Research
   2. Methodology
   3. Regional Split of Primary & Secondary Research
   4. Secondary Research
   5. Primary Research
      1. Breakdown of Primary Research Respondents, By Region
      2. Breakdown of Primary Research Respondents, By Industry Participants
   6. Market Size Estimation
   7. Assumptions for the Study
   8. Market Breakdown & Data Triangulation
3. Executive Summary
4. Industry Insight and Growth Strategy
   1. Value Chain Analysis
   2. DROC Analysis
      1. Market Drivers
         1. Increasing Vehicle Production in Vietnam
         2. Expanding Online Sales of Two Wheeler Tires
      2. Market Restraints
         1. Monopoly of Multinational Tire Brands
      3. Market Challenges
         1. Negative Impact of the COVID-19 Pandemic Outbreak
      4. Market Opportunity
         1. Rising Demand for e-Motorbikes
         2. Growing Rent and Cab Services
   3. Recent Developments
   4. Porter’s Five Forces Analysis
      1. Bargaining Power of Buyers
      2. Bargaining Power of Suppliers
      3. Intensity of Rivalry
      4. Threat of New Entrants
      5. Threat of Substitutes
5. Vietnam Two Wheeler Tire Market Overview
   1. Market Size & Forecast by Value, 2018-2028
   2. Market Size & Forecast by Volume, 2018-2028
   3. Market Size and Forecast, By Segment
      1. By Vehicle Type
         1. Motorcycle
         2. Scooter/Moped
      2. By Fuel Type
         1. Petrol
         2. Electric
      3. By End-User

5.3.3.1. OEM

5.3.3.2. Replacement

6. Competitive Landscape
   1. List of Key Players and Their Offerings
   2. Market Share Analysis (2021)
   3. Competitive Benchmarking by Operating Parameters
7. Impact of COVID-19 on Vietnam Two-Wheeler Tire Market
8. Company Profiles (Company Overview, Financial Matrix, Key Product landscape, Key Personnel, Key Competitors, Contact Address, and Strategic Outlook) *
   1. BMW AG
   2. Cheng Shin Rubber Industry Co.
   3. Southern Rubber Industry Joint Stock Company
   4. Inoue Rubber Vietnam Co., Ltd.
   5. Kenda Rubber (Vietnam) Co., Ltd.
   6. Yokohama Tyre Vietnam Inc.
   7. Horng Fourtune
   8. Continental Motorcycle Tires
   9. DRC Tire
   10. Other Prominent Players
9. Key Strategic Recommendations

List of Figures

Figure 1: Vietnam Two Wheeler Tire Market Segmentation

Figure 2: Vietnam Two Wheeler Tire Market Value Chain Analysis,

Figure 3: Company Market Share Analysis, 2021

Figure 4: Vietnam Two Wheeler Tire Market Size, By Value (USD Million), 2018-2028

Figure 5: Vietnam Two Wheeler Tire Market Size, By Volume (Million Units), 2018-2028

Figure 6: Vietnam Two Wheeler Tire Market Share (%), By Vehicle Type, By Value, 2018-2028

Figure 7: Vietnam Two Wheeler Tire Market Share (%), By Vehicle Type, By Volume, 2018-2028

Figure 8: Vietnam Two Wheeler Tire Market Share (%), By Fuel Type, By Value, 2018-2028

Figure 9: Vietnam Two Wheeler Tire Market Share (%), By Fuel Type, By Volume, 2018-2028

Figure 10: Vietnam Two Wheeler Tire Market Share (%), By End-User, By Value, 2018-2028

Figure 11: Vietnam Two Wheeler Tire Market Share (%), By End-User, By Volume, 2018-2028

List of Tables

Table 1: Vietnam Two Wheeler Tire Market Size, By Vehicle Type, By Value, 2018-2028

Table 2: Vietnam Two Wheeler Tire Market Size, By Vehicle Type, By Volume, 2018-2028

Table 3: Vietnam Two Wheeler Tire Market Size, By Fuel Type, By Value (USD Million), 2018-2028

Table 4: Vietnam Two Wheeler Tire Market Size, By Fuel Type, By Volume (Million Units), 2018-2028

Table 5: Vietnam Two Wheeler Tire Market Size, By End-User, By Value (USD Million), 2018-2028

Table 6: Vietnam Two Wheeler Tire Market Size, By End-User, By Volume (Million Units), 2018-2028

Table 7: BMW AG Financial Analysis

Table 8: BMW AG Business Overview

Table 9: Cheng Shin Rubber Industry Co. Financial Analysis

Table 10: Cheng Shin Rubber Industry Co. Business Overview

Table 11: Southern Rubber Industry Joint Stock Company Financial Analysis

Table 12: Southern Rubber Industry Joint Stock Company Business Overview

Table 13: Inoue Rubber Vietnam Co., Ltd. Financial Analysis

Table 14: Inoue Rubber Vietnam Co., Ltd. Business Overview

Table 15: Kenda Rubber (Vietnam) Co., Ltd. Financial Analysis

Table 16: Kenda Rubber (Vietnam) Co., Ltd. Business Overview

Table 17: Yokohama Tyre Vietnam Inc. Financial Analysis

Table 18: Yokohama Tyre Vietnam Inc. Business Overview

Table 19: Horng Fourtune Financial Analysis

Table 20: Horng Fourtune Business Overview

Table 21: Continental Motorcycle Tires Financial Analysis

Table 22: Continental Motorcycle Tires Business Overview

Table 23: DRC Tire Financial Analysis

Table 24: DRC Tire Business Overview