The India Smart Tyre market is estimated to reach at USD 243 million in 2030 with grow at a CAGR of 14.5% during the forecast period of 2022-2030, and it was valued at USD 195 million in 2030. The market’s growth is attributed to rising air passenger numbers and increased demand for real-time baggage tracking systems on smartphones by passengers in airline applications. To offer a better and more secure system to the passengers, some airlines provide Smart Tyre using smart RFID tags, and IoT is deployed. These RFID-based Smart Tyre provide notification alerts regarding the baggage status and offer support if the luggage is mishandled or lost.

What is Smart Tyre?

Smart Tyre is a cutting-edge tyre technology that improves tyre performance by detecting road conditions. Smart tyres can detect road conditions such as snow, rain, and sand and automatically modify tyre pressure and width to improve performance. It has the Internet of Things (IoT) sensors and a rubber layer to aid the vehicle management system. These sensors can also alert you when to replace tyres and offer information on rough or unsafe tyre conditions.

Growth Driver

Rising demand for autonomous driving

Manufacturers has developed self-driving capabilities in automobiles due to recent technological breakthroughs in artificial intelligence, machine learning, and other sensors such as RADAR, LIDAR, GPS, and Computer vision. Though levels of autonomy vary, prominent firms are striving to integrate increasingly powerful control systems into cars that can interpret sensory inputs to identify signboards or prevent collisions. Over the last five years India, including India, major automakers, technology giants, and specialized start-ups have invested more than USD 50 billion on autonomous vehicle (AV) technology, with 70% of the funding coming from outside the automotive sector, which is predicted to drive the Indian market. Because governments see the enormous potential of autonomous cars and the economic and social benefits they provide, they are likely to continue to support the industry.

Restraints

Volatile Prices of Raw Materials

Petroleum reinforcing materials, including nylon and polyester, are used as raw ingredients in the production of tires. Rubber (natural and synthetic) is also a key component in the production of tyres, and its price fluctuates a lot. Tread, jointless cap plies, steel-cord for belt plies, textile cord ply, Bead reinforcement, apex, and core make rubber tyres. It also contains petrochemical reinforcing elements such as polyester, fabric, nylon, steel, rayon, synthetic rubber, natural rubber, steel wire, and carbon black. The cost of these basic ingredients has a significant impact on the tyre’s ultimate cost. Because these metals are exchanged on a community exchange, their prices fluctuate from time to time, owing to India’s economic ups and downs. In addition, inflation and rising demand for these basic commodities have driven up their costs in recent years. Furthermore, to meet the demand for tyres from the automobile sector, competitors in the automotive tire market require many raw materials. Uncertainty in the cost of these raw materials is a key major hurdle to the rubber tyre market’s expansion.

Covid-19 impact on the India Smart Tyre market

The COVID-19 epidemic has influenced the entire automobile sector, forcing manufacturers to reduce output at their manufacturing sites. COVID-19 has also influenced the operations of several OEMs, from manufacturing to R&D, causing short-term disruption & delaying the deployment & rollout of autonomous vehicles. The laws and regulations governing commercial transportation and automobile travel have shifted in recent months. A slew of border restrictions have been aimed at halting the disease’s spread. There has been a fall in demand for tires and tire materials, similar to the decrease in traffic levels across the country. The fall in consumer purchases from local tire merchants is mostly to blame for the drop in wholesale sales.

Technology Segmental Analysis

Based on the Technology, the India Smart Tyre market is segmented into Pneumatics Tyres and Non-Pneumatic Tyres. The Pneumatics Tyres segment is accounted for the largest share in the India Smart Tyre market in 2021. Pneumatic tire, also known as air-filled tire, is a pressurized air-filled rubber component that is airtight. A pneumatic tire is constructed from a mixture of natural and synthetic rubber, chemicals, and lubricants. The quality of the tyrs has an impact on the vehicle’s performance. When a vehicle is driven over uneven terrain or with severe braking and speeding, the life of conventional or regular pneumatic tires is reduced. Conversely, this encourages tire replacement, which provides chances for aftermarket players.

Vehicle Type Segmental Analysis

Based on the Vehicle Type, the India Smart Tyre market is categorized into Passenger vehicles and Commercial vehicles. The Passenger Vehicle segment is appointed for the highest share in the India Smart Tyre market in 2021 and is expected to pursue this trend during the forecast period. The country’s current economic situation heavily influences the passenger car industry in a nation. Passenger vehicles are now prospering in the passenger vehicle industry due to their diverse styles and features, which provide buyers with several alternatives for selecting the vehicle that best satisfies them. The passenger car market is becoming more appealing as the automobile industry grows and sales of passenger vehicles rise.

Distribution Channel Segmental Analysis

Based on the Distribution Channel, the India Smart Tyre market is categorized into OEM and Aftermarket. The OEM segment is accounted for the highest share in the India Smart Tyre market in 2021 and is expected to pursue this trend during the forecast period. Automotive OEMs are manufacturers, companies, and developers specializing in producing automotive components and gadgets. These businesses make components and gadgets of the highest quality and with the highest levels of raw materials. These components are utilized in the manufacturing of vehicles during the assembling and manufacturing process.

Region Segmental Analysis

The Smart Tyre market is characterized by North India, South India, West India, and East India. The North India segment is expected to dominate the Smart Tyre Market and continue this growth rate during the forecast period, 2022-2030, in arrears to the large presence of various leading manufacturers and relatively fast adoption of new technologies across the region. The population’s growing standards of life and disposable income have prompted people to purchase automobiles. The smart tyre industry is being pushed forth by an expansion in automobile sales.

Competitor Analysis

Companies include Continental AG, Bridgestone Corporation, Michelin, The Goodyear Tire & Rubber Co., Pirelli & C. S.p.A, The Yokohama Rubber Company Limited, Hankook Tire & Technology Co., Ltd., Sumitomo Rubber Industries, Ltd., JK Tyres & Industries Ltd., NXP Semiconductors, and Other prominent players are the key players in the Smart Tyre market.

Key Stakeholders

• Market research and consulting firms
• Industry associations

• India Smart Tyre manufacturing firm

• Local Governments
• Regulatory bodies
• Suppliers
• Retailers

Recent Developments

• In November 2020, Pirelli unveiled its new Cyber Tyre, which can transmit road data through a 5G network.
• In March 2018, Continental announced the “ContiConnect” digital tyre monitoring platform, allowing commercial fleets to monitor, analyze, and report tyre temperature and pressure for trucks, buses, industrial, etc., earthmoving equipment.

Scope of the Report

Report Attribute	Details
Base Year	2020
Historical data	2017-2019
Forecast period	2021 – 2027
Region covered	North India, South India, West India, and East India
Key companies Profiled	Continental AG, Bridgestone Corporation, Michelin, The Goodyear Tire & Rubber Co., Pirelli & C. S.p.A, The Yokohama Rubber Company Limited, Hankook Tire & Technology Co., Ltd., Sumitomo Rubber Industries, Ltd., JK Tyres & Industries Ltd., NXP Semiconductors, and Other prominent players.

Market Modelling

By Technology

• Pneumatics Tyres
• Non-Pneumatic Tyres

By Vehicle Type

• Passenger Vehicle
• Commercial Vehicle

By Distribution Channel

• OEM
• Aftermarket

By Region

• North India
• South India
• West India
• East India

Virtual Music Instruments Market

Dehumidifier Market

Water Sports Accessories Market

UV Light Disinfection Equipment Market

Workforce Management Market

Agricultural Equipment Market

Aviation Blockchain Market

Global Embroidery Machine Market

Vietnam Cosmetics Market

Digital Clamp Meters Market