Tire Cord Market

Summary

The global tire cord market is valued at approximately $6.5 billion in 2024, driven by increased demand for both passenger and commercial vehicles. The market is projected to reach around $9 billion by 2034, indicating significant growth opportunities. This growth trajectory reflects a Compound Annual Growth Rate (CAGR) of approximately 4.2% during the forecast period from 2025 to 2034.

Key trends influencing the market include the rising adoption of electric vehicles (EVs), which demand high-performance tire cords to accommodate advanced technology and enhanced driving dynamics. Additionally, a focus on sustainability is prompting manufacturers to develop eco-friendly tire cord materials, which are anticipated to gain traction in the coming years.

However, challenges remain, including fluctuations in raw material prices and the impact of global supply chain disruptions. Manufacturers are urged to innovate and explore alternative materials to mitigate these risks. Furthermore, emerging markets in Asia-Pacific and Latin America present substantial growth potential as infrastructure developments and automotive production rise. Overall, the tire cord market is set for a robust growth phase, driven by technological advancements and evolving consumer preferences in the automotive sector.

Tire Cord

Size, by Product, - (USD Billion)

Polyester

Nylon

Steel

Fiber

Other Products

The Market will Grow

At the CAGR of:

4.2%%

The Forecast Market

Size for in USD:

$9 billion

Market Segmentation

Material Type
- Polyester
- Nylon
- Steel
- Fiber
- Others (aramid, etc.)

End-Use Application
- Passenger Vehicles
- Commercial Vehicles
- Two-Wheelers
- Industrial Vehicles
- Others (agricultural vehicles, etc.)

Product Type
- Bead Wire
- Tire Fabric
- Tire Belting
- Others (reinforced products, etc.)

Technology
- Conventional
- Green Tire Technology

Region
- North America
- Europe
- Asia-Pacific
- Latin America
- Middle East & Africa

Segment Analysis

Material Type

The tire cord market is predominantly segmented by material type, with polyester and steel being the most widely used.
Polyester
Contributes significantly to the lightweight and fuel-efficient vehicle production trends, leading to an estimated market share of around 40%.
Steel
Accounts for approximately 30% of the market and is preferred for its strength and durability, particularly for commercial and heavy-duty vehicles.
Nylon
Holds about 20% of the market, utilized for its elastic properties, which improve tire performance and longevity.
Emerging material technologies, like aramid fibers, represent a smaller yet innovative segment poised for growth due to their superior strength-to-weight ratio.

End-Use Application

End-use applications segment the market into various categories: passenger vehicles, commercial vehicles, two-wheelers, and industrial vehicles, with passenger vehicles comprising approximately 50% of the market share.
Passenger Vehicles
The rise of electric vehicles considerably boosts the demand for innovative tire cord solutions that support reduced weight and enhanced energy efficiency.
Commercial Vehicles
Holds around 30% of the market and is expected to grow as e-commerce expands the need for transportation logistics, increasing the demand for durable tires.
Industrial Vehicles
While currently smaller, is emerging due to increased use in construction and agriculture, projecting a steady growth trajectory.

Product Type

Product segmentation focuses on specifications such as bead wire, tire fabric, and tire belting.
Bead Wire
Accounts for a substantial portion of the market, representing about 35%. Its critical role in securing tire integrity under various stresses positions it as a cornerstone of tire production.
Tire Fabric
Constitutes around 25% of the market and is essential for its role in providing puncture resistance and structural strength.
Tire Belting
Contributes roughly 15% to market dynamics. The rise of specialty tires is pushing demand for advanced tire belting technologies.

Technology

The technological advancements in tire manufacturing significantly impact market dynamics.
Conventional Technology
Still dominates, with approximately 70% market share.
Green Tire Technology
Rapidly gaining traction due to increasing regulatory pressures and consumer awareness regarding sustainability. It's estimated to grow and capture about 20% market share.

Key Competitors

1. Continental AG
2. Michelin
3. Bridgestone
4. Goodyear Tire & Rubber Company
5. Sumitomo Rubber Industries
6. Yokohama Rubber Company
7. Pirelli & C. S.p.A.
8. Apollo Tyres
9. SRF Limited
10. Kordsa Teknik Tekstil A.Ş.
11. Zhejiang Huzhou Specialty Chemical Co., Ltd.
12. Tacoma Rubber Company
13. SumiRiko Aviation & Rubber Co., Ltd.
14. Hexpol AB
15. Cheng Shin Rubber Ind. Co., Ltd. (Maxxis)

Key Highlights

✅ The global tire cord market is valued at approximately $6.5 billion in 2024 and is expected to grow at a CAGR of approximately 4.2%, reaching around $9 billion by 2034.

✅ The Asia-Pacific region currently dominates the market, contributing over 45% of the total revenue.

✅ Among all segments, polyester leads with an estimated market share of around 40%, reflecting its critical role in lightweight and fuel-efficient vehicle production.

✅ Future projections indicate that the segment focused on eco-friendly tire cord materials will surpass significant market value by 2034, emerging as a key growth driver due to the increasing consumer preference for sustainability.

✅ The passenger vehicle sector remains the primary end-user, accounting for approximately 50% of market demand.

✅ Rapid expansion is expected in the Middle East and Africa, with a projected CAGR of around 6%, making it one of the fastest-growing regions.

Market Dynamics

Growth Drivers

The global tire cord market is currently valued at approximately $6.5 billion in 2024, with projections indicating a significant upward trend reaching around $9 billion by 2034. This forecasted growth represents a Compound Annual Growth Rate (CAGR) of approximately 4.2% throughout the period from 2025 to 2034. Several key factors are driving this growth trajectory.

One of the primary factors influencing market expansion is the increasing demand for passenger and commercial vehicles. As global automotive production increases, so does the need for high-performance tire cords that enhance the durability and performance of tires. The rise in vehicle production is predominantly fueled by urbanization and a growing middle-class population in emerging markets, which is amplifying the need for transportation solutions.

Technological advancements are another crucial growth driver in the tire cord market. The rising adoption of electric vehicles (EVs) is positioning the industry for a transformation as these vehicles demand specialized tire cords that support their enhanced driving dynamics and advanced technologies. The growing focus on performance, safety, and efficiency in vehicle design is further necessitating the development of innovative tire cord materials.

Additionally, regulatory trends are significantly shaping the industry landscape. Governments across the globe are increasingly implementing stringent regulations aimed at reducing carbon emissions and promoting environmental sustainability. This has compelled manufacturers to innovate and produce eco-friendly tire cord materials that not only meet these regulatory standards but also align with the changing consumer preferences for sustainable products.

Economic factors are also fueling market expansion. The global economic recovery post-pandemic is facilitating increased automotive sales as consumer purchasing power improves. Furthermore, the rise in e-commerce and logistics-related automotive demands is accelerating the need for durable tires and, consequently, high-quality tire cords.

Market Restraints & Challenges

While the tire cord market is poised for significant growth, it is not without its challenges. Fluctuations in raw material prices pose a significant risk to manufacturers. The cost volatility of materials required for tire cord production can compress margins and affect pricing strategies, ultimately impacting profitability.

Moreover, global supply chain disruptions have created hurdles for manufacturers in sourcing raw materials. Events such as the COVID-19 pandemic have exposed vulnerabilities in logistics and procurement processes, leading to delays and shortages that can hinder production capabilities. As the market continues to evolve, manufacturers will need to develop more resilient supply chains to mitigate these risks.

Pricing pressures are another formidable challenge within the market. With increasing competition and the rising costs of production, manufacturers may face difficulties in maintaining competitive pricing while also investing in innovations and sustainable practices. This pricing pressure can impact the financial health of companies, particularly smaller businesses that may lack the resources to absorb these costs.

Regulatory hurdles also present a challenge, particularly as more countries adopt stringent environmental laws. Compliance with these regulations can require significant investment in research and development, as manufacturers strive to produce materials that meet evolving standards. The complex regulatory landscape can therefore slow down product development cycles and introduce additional costs.

Growth Opportunities & Emerging Trends

Despite the challenges, there are numerous growth opportunities within the tire cord market. The rise of electric and hybrid vehicles presents an innovation hotspot for tire cord manufacturers. As these vehicles require advanced tire technologies, companies can focus on developing high-performance products suited for this segment.

Changing consumer behavior, with increasing preference for sustainability, is prompting manufacturers to invest in eco-friendly tire cord materials. This presents an opportunity for companies to differentiate themselves in a competitive market by offering sustainable options that appeal to environmentally conscious consumers.

New business models based on circular economy principles are also reshaping the industry. Companies are exploring avenues such as tire recycling and the use of reclaimed materials in tire cord production. This not only addresses environmental concerns but also tap into a growing market segment that values sustainability.

High-growth sectors in emerging markets, specifically in Asia-Pacific and Latin America, are ripe for untapped potential. Continued infrastructure development and rising automotive production in these regions present significant opportunities for tire cord manufacturers to expand their footprint and capture market share.

Moreover, the integration of digital technologies in manufacturing processes is set to revolutionize the industry. Innovations such as artificial intelligence and IoT can enhance production efficiency and product performance, allowing companies to offer superior quality tire cords that meet specific customer needs.

In summary, the tire cord market is set for a vigorous growth phase driven by technological advancements, evolving consumer preferences, and significant shifts in market demand dynamics.

Tire Cord

Share, by end user, (USD Billion)

9 billion%

Passenger Vehicles

Commercial Vehicles

Two-Wheelers

Industrial Vehicles

Other End-Users

9 billion

Total Market Size

USD (Billion),

4.2%%

CAGR

-

Regional analysis is critical in understanding market dynamics, particularly for specific industries such as tire cord manufacturing. It provides insights into how various factors, including economic conditions, demographic trends, and regulatory environments, influence market behavior. By dissecting regional performances, stakeholders can identify key opportunities and challenges that may impact market growth, enabling them to strategically navigate different geographical landscapes.

Regional Breakdown

The Asia-Pacific region is projected to hold the largest market share for tire cord in 2024, with a revenue share exceeding 45%. This dominance is primarily attributed to the robust automotive industry in countries like China, Japan, and India, which are experiencing continuous growth in vehicle production and sales. Additional factors supporting this region’s leadership include a young and growing population, increasing urbanization, and significant investments in infrastructure. Moreover, technological innovations in manufacturing processes and materials enhance production efficiency and product performance, solidifying Asia-Pacific's position in the market.

North America is another key region, expected to hold around 25% market share with a projected CAGR of 3.5% until 2034. The growth in this area is propelled by a strong demand for high-performance tires, the presence of leading automotive manufacturers, and stringent safety regulations that increase tire quality standards. Consumer preference for electric and hybrid vehicles is further driving innovations in tire technology. In Europe, with a 20% market share and a CAGR of 3%, the market is influenced by sustainability trends and environmental regulations, spurring demand for eco-friendly tire solutions.

Latin America is carving out its niche with about 5% market share and is anticipated to grow at a CAGR of 4% till 2034. Its growth can be linked to increasing investments in the automotive sector and improving trade regulations enhancing access to global markets. Meanwhile, the Middle East and Africa are emerging regions with a predicted CAGR of around 6% due to rising vehicle ownership rates and infrastructure development. However, challenges such as political stability, economic fluctuations, and supply chain issues may hinder growth.

Emerging regions, particularly in Southeast Asia and parts of Africa, present high growth potential for tire cord manufacturers. With the increasing demand for affordable transportation solutions and rapid urbanization, manufacturers can find significant opportunities in these markets. However, challenges remain, such as varying regulatory frameworks, infrastructural deficits, and potential market saturation. For stakeholders, understanding these dynamics will be essential for harnessing growth in an increasingly competitive global market.

Recent Market Developments

1. Continental AG
Month/Year: November 2022
Type of Development: Product Launch
Detailed Analysis:
In November 2022, Continental AG unveiled its latest line of tire cords made from sustainable materials, aiming to significantly reduce the carbon footprint associated with tire manufacturing. The new materials include bio-based fibers and recycled products, which not only appeal to environmentally conscious consumers but also align with global sustainability trends. This development is significant as it places Continental at the forefront of the eco-friendly automotive trend and enhances its market competitiveness amidst increasing regulatory pressures for sustainable practices. Additionally, the adoption of these materials may prompt competitors to accelerate their own sustainability initiatives, potentially reshaping supplier-customer relationships and opening up new market segments focused on eco-friendly transportation.

2. SRF Limited
Month/Year: January 2023
Type of Development: Expansion
Detailed Analysis:
In January 2023, SRF Limited announced the expansion of its tire cord manufacturing capacity in India, investing approximately $30 million to boost production capabilities. This strategic move is designed to cater to the growing demand for high-tensile strength tire cords, particularly from domestic tire manufacturers who are shifting towards higher-quality automotive components. The expansion is significant as it positions SRF to capture a larger market share in the tire cord segment, contributing positively to the company’s revenue growth. The increase in local production capacity also aligns with India’s push for self-reliance in manufacturing and could stimulate local economies. Moreover, it may influence pricing strategies within the market, leading to competitive shifts among existing players.

3. Kordsa Teknik Tekstil A.Ş.
Month/Year: March 2023
Type of Development: Acquisition
Detailed Analysis:
In March 2023, Kordsa Teknik Tekstil A.Ş. finalized the acquisition of an American tire cord manufacturer, significantly expanding its operational footprint in North America. This acquisition allows Kordsa to leverage its extensive product portfolio and technological know-how in a new market, addressing growing demand for advanced tire technological solutions. The strategic importance of this deal is multifaceted—Kordsa enhances its global supply chain capabilities and is better positioned to respond to regional needs more efficiently. The acquisition could disrupt market dynamics, as it enables Kordsa to offer localized solutions, potentially challenging local competitors who may struggle to match this expanded service level.

4. Apollo Tyres
Month/Year: June 2023
Type of Development: Partnership
Detailed Analysis:
In June 2023, Apollo Tyres announced a strategic partnership with a leading research institution in India to develop advanced tire materials aimed at enhancing performance under extreme conditions. This collaboration is poised to drive innovations in tire cord technologies, reflecting a commitment to research and development within the industry. The partnership is significant as it positions Apollo to leverage academic resources, combined with its commercial acumen, to create cutting-edge products. This development may lead to a competitive advantage by enabling Apollo to introduce superior tire offerings faster than its competitors, fueling industry innovation and potentially shifting market leadership in specialized tires.

5. Bridgestone
Month/Year: August 2023
Type of Development: Technological Advancement
Detailed Analysis:
In August 2023, Bridgestone launched a new tire cord technology that utilizes a proprietary blend of synthetic and natural materials, improving durability and performance. This innovative move reinforces Bridgestone’s longstanding commitment to pioneering advancements in tire technology and environmental sustainability. The significance of this development lies in its dual-focus—enhancing the performance of tires while also appealing to the growing consumer demand for sustainable products. As Bridgestone solidifies its position as an industry innovator, competitors may be compelled to invest heavily in similar technological advancements to keep pace, potentially accelerating the evolution of tire cord formulations in the broader market.

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