Mordor Intelligence has published a new report on the Automotive Green Tires Market, offering a comprehensive analysis of trends, growth drivers, and future projections.
The Automotive Green Tires Market is experiencing substantial growth, driven by increasing environmental consciousness and advancements in tire technology. Valued at approximately USD 133.73 billion in 2025, the market is projected to reach USD 225.55 billion by 2030, reflecting a Compound Annual Growth Rate (CAGR) of 11.02% during the forecast period (2025-2030).
Key Trends
-
Surge in Electric Vehicle Adoption
The rapid growth of the electric vehicle (EV) market is significantly influencing the demand for green tires. EVs require tires with low rolling resistance to maximize battery efficiency and extend driving range. Tire manufacturers are responding by developing specialized green tires tailored for electric vehicles, incorporating advanced materials and designs to meet the unique performance requirements of EVs. This trend is expected to accelerate as governments worldwide implement policies to promote electric mobility.
-
Advancements in Sustainable Materials
Innovations in material science are leading to the development of eco-friendly components in tire manufacturing. Companies are exploring alternatives to traditional rubber, such as natural rubber sourced from sustainable plantations and synthetic rubber derived from bio-based feedstocks. Additionally, the incorporation of silica and other sustainable fillers is enhancing tire performance while reducing environmental impact. These advancements not only improve the ecological footprint of tires but also offer superior durability and efficiency.
-
Stringent Environmental Regulations
Governments across the globe are enforcing stricter emission standards and fuel efficiency requirements, compelling automotive manufacturers to adopt green technologies. The European Union, for instance, has implemented regulations mandating reduced CO₂ emissions from vehicles, prompting the automotive industry to integrate green tires as a standard component in new models. Such regulatory frameworks are propelling the adoption of green tires, as they contribute to overall vehicle efficiency and compliance with environmental standards.
-
Consumer Shift Towards Sustainability
There is a growing consumer preference for environmentally friendly products, including automotive components. Consumers are becoming more aware of the environmental impact of their purchases and are opting for vehicles equipped with green technologies. This shift in consumer behavior is encouraging manufacturers to prioritize the development and marketing of green tires, aligning their product offerings with the evolving market demand for sustainability.
Market Segmentation
The automotive green tires market is segmented based on vehicle type, end-user type, and geography:
-
By Vehicle Type:
- Passenger Vehicles: This segment dominates the market, accounting for approximately 65% of the market share in 2024. The high adoption rate is attributed to the increasing demand for fuel-efficient and eco-friendly personal transportation solutions.
- Commercial Vehicles: Fleet operators are increasingly investing in green tires to enhance fuel efficiency and reduce operational costs. The commercial vehicle segment is witnessing technological advancements, with manufacturers developing specialized tires designed for heavy-duty applications.
-
By End-User Type:
- Original Equipment Manufacturers (OEMs): OEMs hold a significant portion of the market, driven by the integration of green tires in new vehicle models to meet regulatory standards and consumer demand for sustainability.
- Aftermarket: The aftermarket segment is emerging as the fastest-growing sector, with a projected growth rate of approximately 11% during 2024-2029. This growth is fueled by increasing consumer awareness and the implementation of tire labeling programs that highlight the environmental benefits of green tires.
-
By Geography:
- North America: The United States leads this region, holding approximately 21% of the global market share in 2024. The market is driven by stringent emission regulations and a strong presence of major automotive and tire manufacturers.
- Europe: Germany stands as a key player in the European market, supported by a robust automotive industry and a strong focus on sustainable mobility solutions.
- Asia-Pacific: This region is expected to exhibit the highest CAGR over the forecast period, with countries like China and India investing heavily in sustainable automotive technologies.
- Rest of the World: Emerging markets in Latin America and the Middle East are gradually adopting green tires, driven by urbanization and growing environmental awareness.
Get a Customized Report Tailored to Your Requirements: https://www.mordorintelligence.com/market-analysis/auto-parts
Key Players
The automotive green tires market is characterized by intense competition, with key players focusing on innovation, strategic partnerships, and expansion into emerging markets. Notable companies include:
-
Michelin Group: A pioneer in sustainable tire technology, Michelin is investing in research and development to produce tires with reduced rolling resistance and increased use of renewable materials.
-
Bridgestone Corporation: Bridgestone is focusing on the development of eco-friendly tires through the use of advanced materials and technologies, aiming to reduce environmental impact while enhancing performance.
-
Continental AG: Continental is actively engaged in creating energy-efficient tires, incorporating innovative tread designs and sustainable materials to meet the growing demand for green automotive solutions.
-
The Goodyear Tire & Rubber Company: Goodyear is exploring the use of alternative raw materials and advanced manufacturing processes to produce tires that offer both performance and environmental benefits.
-
Pirelli & C. S.p.A.: Pirelli is committed to sustainability, focusing on the development of tires that reduce fuel consumption and CO₂ emissions, aligning with global environmental goals.
These companies are leveraging technological advancements and strategic collaborations to enhance their product portfolios, aiming to meet the evolving demands of consumers and regulatory bodies for sustainable automotive solutions.
Conclusion
The global automotive green tires market is poised for robust growth, driven by technological innovations, regulatory pressures, and a societal shift towards environmental sustainability. As consumers and industries increasingly prioritize eco-friendly solutions, the demand for green tires is expected to surge, offering significant opportunities for manufacturers and stakeholders in the automotive sector.
Industry Related Reports
Automotive Tires Market: The report provides a forecast for the Global Automotive Premium Tire Market and is segmented based on Tire Type, Application, Vehicle Type, End User, and Geography. The Tire Type segment includes Winter Tires, Summer Tires, and Other Tire Types. The market is further categorized by Application into On-the-Road and Off-the-Road. Based on Vehicle Type, the segmentation includes Passenger Cars and Commercial Vehicles.
High Performance Tire Market: The Ultra-High Performance Tire Market Research Report is categorized based on Tire Type, Sales Channel Type, Vehicle Type, and Geography. The Tire Type segment includes Racing Slick, Tread Tire, and Other Tire Types. The Sales Channel Type is divided into Original Equipment Manufacturers (OEM) and Replacement/Aftermarket. Based on Vehicle Type, the market is segmented into Racing Cars and Off-road Vehicles. Geographically, the market is analyzed across North America, Asia-Pacific, Europe, and the Rest of the World.
About Mordor Intelligence:
Mordor Intelligence is a trusted partner for businesses seeking comprehensive and actionable market intelligence. Our global reach, expert team, and tailored solutions empower organizations and individuals to make informed decisions, navigate complex markets, and achieve their strategic goals.
With a team of over 550 domain experts and on-ground specialists spanning 150+ countries, Mordor Intelligence possesses a unique understanding of the global business landscape. This expertise translates into comprehensive syndicated and custom research reports covering a wide spectrum of industries, including aerospace & defense, agriculture, animal nutrition and wellness, automation, automotive, chemicals & materials, consumer goods & services, electronics, energy & power, financial services, food & beverages, healthcare, hospitality & tourism, information & communications technology, investment opportunities, and logistics.
For any inquiries or to access the full report, please contact:
media@mordorintelligence.com
https://www.mordorintelligence.com/