Europe Tire Market Size and Share Outlook - Forecast Trends and Growth Analysis Report (2025-2034)

The Europe tire market was volume at 449.08 Million Units in 2024. The industry is expected to grow at a CAGR of 2.60% during the forecast period of 2025-2034. The rising vehicle sales in the region can be credited for the growth. The market saw an increasing demand for passenger and commercial vehicles and a boost in vehicle ownership, which brought a relatively increased demand for tires that come with integrated safety and durability features. Additionally, the growth in second-hand car market sales has also contributed to the demand as consumers replace worn-out tires for smooth transportation. In turn, this has resulted in the market attaining a volume of 580.49 Million Units by 2034.

Europe Tire Market Overview

As per the Europe tire market analysis, competition in pricing, increased cost of raw materials and rise in regulatory pressures have challenged the market growth in the previous years. Manufacturers could not cut down costs while creating high-performing, durable tires and, at the same time, maintain government-permitted standards. Likewise, the advent of electric vehicles (EVs) changed the requirements of tire designs as these vehicles require lower rolling resistance, durability, and weight management. All such challenging factors were levelled by the manufacturers through intense R&D which eventually led them to smart tire technologies and sustainable manufacturing practices. For instance, one of the world's largest tire manufacturers, Michelin, developed the "Michelin Vision", a tire design that is fully recyclable and airless. This is one of the most unique “green technology” solutions.

Tire manufacturers have shifted towards digital, sustainability-based strategies to fully adopt the changing dynamics and drive the Europe tire market growth. Companies like Bridgestone and Goodyear have developed smart-tire systems in which the installed sensors collect real-time data on pressure, temperature, and wear. This further enhances fleet management and vehicle safety. Further, leading tire companies are also attempting to improve their tire designs for CO2 emission cuts.

Europe Tire Market Growth

The EV market is a promising niche driving the growth of the Europe tire market. Unlike their standard counterparts, EVs require special tires that have high durability, low rolling resistance, and energy efficiency as they have large batteries. However, the overall EV market is growing enormously. To cater to this lucrative niche, companies like Michelin and Bridgestone have developed tires that use less power, can drive further, and are for better performance ethers, propelling the industry demand considerably.

The other emerging Europe tire market niche is sustainable tires, which consume fewer resources and produce wear. Stringent environmental regulations have increasingly created awareness of using greener products. This factor has encouraged many manufacturers to develop tires using renewable materials like dandelion rubber, soy-based compounds and recycled plastics. For example, Continental and Goodyear are two companies who have invested in developing tires made from bio-based materials and recycled content, thereby contributing to a circular economy. Other than standardizing tire designs to meet government regulations, companies can tap into this niche to differentiate their products from competitors and attract eco-conscious customers.

Key Trends and Recent Developments

Key trends observed in the Europe tire market dynamics are emerging considerations for tires in electric vehicles, heightened awareness regarding sustainability, evolving digitalization and smart tires, seasonal and winter tire advancement.

September 2024

Gravita India Limited, announced that Gravita Netherlands BV (GNBV), its step-down subsidiary, has signed a Memorandum of Understanding (MOU) to purchase a waste tire recycling facility in Romania. This facility will be Gravita's first recycling operation in Europe, with a capacity of around 17,000 MTPA. GNBV will own 80% of the equity investment in the acquisition, which will be executed through a special purpose vehicle (SPV) in Romania.

July 2024

The Goodyear Tire & Rubber Company's Off-the-Road tire division will be acquired by YOKOHAMA. Among other things, the OTR company supplies specialty tires for the mining and construction sectors.

June 2024

KENDA launched four new automotive tires at The Tire Cologne 2024 that were created especially for the European market by the KENDA Europe Technical Centre in Germany. The company announced that it will fully incorporate their daughter company, STARCO, as a new speciality business unit as part of their expansion in the Europe market.

April 2024

Giti Tire launched its latest tire called the Giti GDL617 Ecoroad. The tire is based on the popular Giti GDL617 long-haul drive pattern and has a novel tread compound that dramatically reduces hysteresis generation, raising the RRC by two grades.

Emerging Considerations for Tires in Electric Vehicles

The adoption of EVs is rising rapidly in Europe and these vehicles require specialized tires that are less prone to rolling resistance, offer higher durability, and are able to absorb a larger weight. Companies like Michelin and Bridgestone are developing specific solutions with regard to performance efficiencies and energy efficiencies to drive market growth. This trend is also made popular by European governments as their legal frameworks over CO2 emissions become tougher. Consumers in the region are also inclining toward green mobility. Therefore, this presents a key trend in the Europe tire market.

Heightened Awareness Regarding Sustainability

Sustainability is one major trend propelling the Europe tire market growth. This growth driver is majorly facilitated through regulatory measures and rising consumer demand for eco-friendly products driven due to environmental concerns. To sustain this rising trend, manufacturers are heavily investing in research and development activities to introduce eco-friendly tires made from dandelion rubber, or bio-based oils that can reduce carbon footprint. As per the Europe tire industry analysis, these green initiatives are expected to strengthen further. Hence, more emphasis will be put on energy-efficient, and recyclable tires.

Evolving Digitalization and Smart Tires

Digital technologies are getting increasingly adopted in the tire industry, where the use of smart tires with sensors and IoT is being rapidly exploited. These smart tires offer instant real-time data analyzing performance, pressure, and temperature of the vehicles. This allows predictive maintenance and improves fleet management. Major examples in this regard are DriveGuard and TPMS (Tire Pressure Monitoring Systems). With innovative digital transformations taking place in the automotive sector, smart tire technologies are indeed a promising Europe tire market trend. These tires are also designed to ensure vehicle safety and efficiency while they reduce maintenance costs.

Seasonal and Winter Tire Advancement

The rise in demand for winter tires is a key trend driving the Europe tire demand. This is the direct result of strict regulations, growing safety awareness, and erratic weather patterns. Countries, where the use of winter tires is compulsory, include Germany and Sweden; therefore, the market saw an increased consumption of winter tires, as they give better traction on cold, icy surfaces. Furthermore, innovations in tread designs and improvements in non-studded winter tires also stimulate demand for these products. The increasing concern over road safety and climate change has also made winter tires an essential aspect of vehicle maintenance among European consumers.

Europe Tire Market Opportunities

The tire market in Europe is gradually moving towards the aftermarket area as consumers demand value-added services while buying tires. Hence, retailers and manufacturers are increasingly provisioning for services like tire fitting, maintenance, and storage. This is a significant opportunity for the Europe tire market growth. Further, companies that have their own e-commerce platforms enjoy rapid increase of sales through their channels. These channels are also aiding them in reminding consumers of their tire maintenance. These strategies have gained popularity as they enhance consumer satisfaction by offering both convenience and personalization. Additionally, they drive market growth by aligning with consumer preferences for tailored and effortless experiences.

On the other hand, companies are integrating digitalization to complement their physical offerings so that they can build customer loyalty and repeat business. This also differentiates their products and services in such a competitive market. The next growth area for the Europe tire market is smart tires that come with sensor programming and communication capabilities. Tire connectivity monitors performance in real time with metrics like tire temperature, pressure, and tread wear. This helps the drivers with information about their performance and optimizes their tire maintenance. Advanced tires that are connected also alert drivers about potential risks, thereby ensuring driver safety. The growing trend of vehicle connectivity and the incorporation of IoT are set to even more avenues for companies to add value to digital solutions and draw innovation for even greater market growth.

Europe Tire Market Trends

Tire manufacturing processes have improved greatly with technology, which has been a major impetus for the tire demand in Europe. Tire manufactures have undergone constant innovation regarding the lifetime, durability, and fuel efficiency of their tires. All these factors have brought about the currently favored smart tire, run-flat tires, and low rolling resistance tires. These tires belong to a new generation, equipped with sensors and connectivity features that ensure safety and performance. For example, run flats can continue to travel even after a puncture has occurred, which is indeed a convenient feature. Low rolling resistance tires, built to reduce energy loss and improve fuel efficiency, have a great attraction for the eco-friendly minded public.

Governments all over European nations are incorporating fully-fledged tighter regulations and promoting sustainable practices. This has led to consumers increasingly demanding eco-friendly tires for reduced carbon emission. Manufacturers in the Europe tire market are using this factor as a growth opportunity. They are producing tires made from sustainable materials such as natural rubber and are practicing recycling methods to keep waste at a minimum. They are also adopting low GWP materials to minimize environmental impact during tire production.

Europe Tire Market Restraints

• The raw material costs of natural and synthetic rubber and steel are affecting tire manufacturers as they now cannot pass increased prices of their products to offset rises in production costs.
• The Europe tire market is overpopulated by both global and local players. This has resulted in inadequate product differentiation for companies to be able to maintain a reasonable average pricing profit.
• Stringent environmental regulations and requirements such as tire labeling and recycling impose additional costs for compliance and operational complexity, are also hindering the Europe tire market growth. This challenge is particularly observed in small companies that lack resources.

Europe Tire Industry Segmentation

The report titled “Europe Tire Market Report and Forecast 2025-2034” offers a detailed analysis of the market based on the following segments:

On the basis of design, the market can be divided into the following:

• Radial
• Bias

On the basis of type, the market can be divided into the following:

• Tube Tire
• Tireless Tube

On the basis of season type, the market can be divided into the following:

• Winter Tire
• Summer Tire
• All Season Tire

On the basis of vehicle type, the market can be divided into the following:

• Two-Wheeler and Three-Wheeler
• Passenger Vehicle
• Heavy Commercial Vehicle
• Light and Medium Commercial Vehicle
• Others

On the basis of sales channel, the market can be divided into the folowing.

• OEM
• Aftermarket

Based on region, the market can be segregated into:

• United Kingdom
• Germany
• France
• Italy
• Others

Europe Tire Market Share

Market Analysis by Design

As per the design analysis, radial tires have held the leading position in generating the Europe tire market revenue. Their superb performance-related features coupled with their durability, fuel efficiency, and handling make them trendy in the market. They make flexible sidewalls with deeper treads for easier stabilization and lower rolling resistance. Radial tire designs are expected to grow at a CAGR of 2.8% over the forecast period. On the other hand, bias tires are known for their rigid and cross-ply design which provides better load-carrying capacity and life, making them applicable in heavy-duty vehicles. There is a certain segment of passenger vehicles where bias tires are not so common; however, they are still preferred mostly for agricultural, industrial, and off-road applications.

Type Insights

Tube tires still hold relevance in the Europe tire market for a few selected applications, such as older models or off-road machinery, where cost-efficiency along with the simplicity of repair play a critical role. Their constructions allow them to be easily patched, which makes them quite popular in industrial and agricultural sectors. Tubeless tires dominate the market because of their safety, performance, and convenience. They also consume less fuel, are light, and require less maintenance. Increased performance, safety, and savings over the long term drive the rising tide of tubeless.

Season Type Analysis

As per the Europe tire industry analysis, season type can be categorized into winter tires, summer tires, and all-season tires. Winter tires are driven by regulatory requirements and increasing consumers’ awareness of cold, snowy, and icy conditions, especially in northern and central Europe. Summer tires are in demand mostly for their handling performance and fuel efficiency during warm and dry periods, as they tend to be a greater number in selection for most drivers during the warmer. The all-season tire segment is experiencing growth due to their convenience.

Vehicle Type Insights

Two-wheeler and three-wheeler tires both of which provide eco-friendliness and cost-effectiveness, have fueled the Europe tire demand. These tires are expected to grow at 3.1% CAGR over the forecast period. Urban consumers have preferred these tires for flexibility and low fuel consumption. The increasing demand for safety, performance, and fuel-efficient passenger vehicle tires through technological advancements for better driving experiences have also propelled this segment. Heavy commercial vehicle tires are in high demand due to their load-bearing capacity, durability, and performance, particularly in long-distance transportation. Light and medium commercial vehicles also drove significant market growth with their versatility, low operational cost, and better fuel efficiency.

Sales Channel Insights

The demand for tires by OEMs in Europe is driven by the increased new vehicle production, where automakers target high performance, fuel efficiency, and safety features. So, OEM tires are critical in meeting the mandatory vehicle specification regulations and improving vehicle specifications, which push for strong collaborations between tires manufacturers and vehicle producers. In addition, the Europe tire market revenue is driven by aftermarket sales. The need for tires replacement which is caused by wear and tear of old tires, season changes, and consumer preference propelled the growth. The market also experienced a surge in aftermarket tire sales due to the availability of internet sales platforms, tire service centers, and retail chains providing customer convenience, competition in price, and availability of varying product types.

Europe Tire Market Regional Analysis

United Kingdom Tire Market Growth

The existing stringent regulations that set requirements for safety and tire performance has been the most crucial factor driving the United Kingdom tire market. For example, tread depth or tire pressure monitoring are important features to consider. The increased adoption of high-performance and eco-friendly tires, because of the rising demand for safety and fuel efficiency in vehicles, has further increased the market growth. The market is expected to grow at 2.5% CAGR over the forecast period. Additionally, the booming EV market has boosted the demand for specific vehicles tires. Online retail platforms and tire subscription services have also helped improve convenience, thereby stimulating customer participation in the aftermarket sales.

Germany Tire Market Insights

The Germany tire market is experiencing tremendous demand for high-performance tires owing to the country's inherent reputation for high-end car manufacturing lives, such as BMW, Audi, and Mercedes-Benz. The mandatory winter tires required during specified months therefore have a big impact on tire sales. The growing acceptance for the electric vehicle (EV) segment is also seen as an area for growth since tires made to meet the demands of EVs require more durability and lower rolling resistance. There is also an emerging emphasis on the sustainability and eco-friendly approach that manufacturers take as a result of strict regulations on emissions and material sourcing.

France Tire Market Trends

The France tire market trends revolve around the rising demand for green tires as consumers and manufacturers are working towards sustainability and making the tires with low rolling resistance to be fuel-efficient. The switch from one season tire to another is now becoming prevalent because people are becoming aware of the winter tire rules in the cold season. In addition to this, advanced technologies used in tires are making them more long-lasting. These also minimize environmental degradation and maintenance costs while being in line with government regulations.

Italy Tire Market Opportunities

The Italy tire market is projected to grow at 3.0% CAGR during the forecast period with a major focus on the sustainability trend with the increasing requirement of eco-friendly tires on the part of both consumers and manufacturers. Moreover, within the private vehicle segment, increased demand for the seasonal replacement of tires is gaining momentum due to different climatic conditions prevailing in Italy, leading to base demand for winter and summer tires. In addition, Italy's strong automotive industry, where most brands focused on this market include luxury and performance vehicles, boosts the demand for high-performance tires, thus making way for premium tire brands.

Competitive Landscape

The market is mostly dominated by key Europe tire market players like Bridgestone, Continental, Michelin, and Goodyear. Startups and small-scall Europe tire market companies are competing to gain market share. They are focusing on innovation, sustainability, and advanced technologies for introducing fuel-efficient, environmentally friendly tires in the market.

Bridgestone Corporation

Based in Japan, founded in 1931, Bridgestone Corporation is a company that specializes in manufacturing tires for passenger cars, trucks, buses, motorcycles, and off-road vehicles. Some of the company products include the high-performing tire called Potenza. Turanza is typically for comfort and touring purposes while Blizzak is for winter driving conditions. All of these tires are durable, save fuel and are safe.

Continental AG

Continental AG is a Germany-headquartered company that is known for passenger, commercial, and specialty vehicle tires. The company invests in thorough research and development to improve tire design and performance including great braking, and handling precision. ContiPremiumContact series is specially designed for eco-conscious drivers. These tires reduce rolling resistance and improve fuel economy.

Sumimoto Rubber Industries, Ltd.

Sumimoto Rubber Industries, Ltd. based in the United Kingdom, is a market leader in Europe when it comes to tires. One of best product lines offered by the company is the Dunlop SP Sport range that offers high-performance tires with heavy-duty construction features for sports and luxury vehicle categories. The range also encourages good traction under cold weather conditions. Tires under the Sumitomo brand are some of the finest high-performing value tires available for passenger cars and light trucks.

The Goodyear Tire & Rubber Company

The Goodyear Tire & Rubber Company, established in 1898, is an American company that has a considerable presence across Europe. The company has a wide portfolio of tires of various kinds such as passenger tires, commercial tires, and off-road tires. For example, EfficientGrip is designed to be fuel-efficient through its low rolling resistance. The UltraGrip range also provides a better grip on snow and icy surfaces.

Other key players in the market report are Hankook Tire & Technology Co., Ltd., Pirelli & CSpA, Michelin Group, AEOLUS TYRE Co. Ltd., Apollo Tyres Ltd., The Yokohama Rubber Co., Ltd., among others.

Innovative Startups

The tire startups in Europe are focused on sustaining, innovating, and improving performance in all aspects. They are developing products that are sustainable and environmentally conscious. They are also focused on improving their manufacturing capabilities with digital technologies. Some of the automobile companies have collaborated to achieve better designs. These tire startups are increasingly emphasizing circular economy to drive growth.

TyreFlow

TyreFlow is an emerging Europe-based tire company that aims at developing technologies in the area of tire care and performance enhancement. One of their flagship products, the TyreFlow sensor, is a tire pressure temperature "watch" that provides real-time data for commercial and private vehicles. By providing continuous information, the TyreFlow sensors help to cut fuel consumption and extend tire lifetime. The company will also focus a lot on IoT technology and data analytics to achieve predictive views which will improve tire management. Further, they are developing alliances with fleet operators and car manufacturers.

HysetCo

HysetCo is an innovative startup based in France, that promotes sustainable transport through new and innovative solutions on hydrogen tires. The company’s product line is mostly developed from sustainable materials which in turn will help to lower the carbon footprints of tire manufacturing process.