India Tyre Market

India Tyre Market Size and Share:

The India tyre market size was valued at 202.17 Million Units in 2024. Looking forward, IMARC Group estimates the market to reach  263.79 Million Units  by 2033, exhibiting a CAGR of 2.85% from 2025-2033. West and Central India dominate the market, driven by strong automotive hubs, robust infrastructure, rising commercial vehicle demand, government transportation initiatives, and growing export opportunities.

The India tyre market is demand driven by rapid urbanization, increasing vehicle ownership, and a growing automobile industry. As automakers plan to introduce nearly a dozen new EV models in 2025, including premium options with extended range and quicker charging times, the demand for specialized EV tyres surging, which is driving the market demand. In addition, the expanding road infrastructure and government initiatives, have boosted demand for tyres in both urban and rural areas, aiding the market growth. Moreover, the rising adoption of radial tyres, owing to their durability and fuel efficiency, is strengthening the market share. Besides this, the surge in commercial vehicle sales, fueled by expanding logistics, e-commerce, and construction activities, is driving the market demand. Furthermore, strong foreign investments and technology collaborations contribute to product innovation, thus impelling the market growth.

Concurrent with this, the increasing focus on sustainability and eco-friendly tyres, as manufacturers adopt green production methods and fuel-efficient designs is driving the India tyre market growth. In line with this, the rise of electric vehicles (EVs) has influenced tyre innovation, with companies developing specialized tyres to meet EV performance needs, boosting the market demand. For example, the Indian government approved a ₹109 billion ($1.3 billion) incentive scheme to promote EVs, aiming to increase EV adoption and enhance charging infrastructure, which is influencing tyre manufacturers to develop EV-specific tyres. Additionally, the growing exports of tyres to the country to global markets, backed by competitive pricing and quality improvements, is significantly providing an impetus to the market. Furthermore, the replacement tyre segment is expanding due to rising disposable incomes and consumer awareness regarding vehicle maintenance, which is fueling the market demand. Apart from this, favorable government policies are thereby propelling the market forward.

India Tyre Market Trends:

Increasing Demand for Radial and Tubeless Tyres

The India tyre market trends are witnessing a growing shift towards radial and tubeless tyres, driven by their superior durability, fuel efficiency, and enhanced safety features. Commercial vehicle operators, in particular, are increasingly adopting radial tyres due to their ability to withstand heavy loads and provide better mileage. As India plans to transition a third of its heavy-duty long-haul trucking fleet to liquefied natural gas (LNG), this shift to LNG-powered trucks is driving demand for radial tyres for fuel efficiency and durability, while tubeless tyres offer puncture resistance and lower rolling resistance, optimizing performance and reducing maintenance costs. Moreover, passenger car manufacturers are promoting tubeless tyres for improved puncture resistance and smoother rides. Furthermore, government regulations encouraging the use of radial tyres in heavy vehicles and advancements in tyre technology, such as reinforced materials and improved tread designs, are enhancing the India tyre industry analysis.

Rising Influence of Electric Vehicles (EVs) on Tyre Design

The rising adoption of electric vehicles (EVs) in India is encouraging tyre manufacturers to focus on developing specialized tyres optimized for EV performance. EV tyres require lower rolling resistance to enhance battery efficiency, higher load-bearing capacity to support battery weight, and noise-reducing designs for quieter rides. Besides this, major tyre brands are investing in research and development (R&D) to create EV-specific tyre models that improve energy efficiency and durability. Additionally, government incentives promoting EV adoption, coupled with increasing consumer awareness of sustainable transportation, are significantly expanding the India tyre market size. For example, Chandigarh ranked highest in India's 2024 EV Index for charger availability and fleet adoption, while Delhi led in access to charging infrastructure, highlighting the growing emphasis on EV-friendly ecosystems that further drive demand for specialized tyres.

Growth in the Tyre Replacement Market

The tyre replacement market in India is witnessing rapid demand due to rising vehicle ownership, increasing road travel, and greater consumer awareness about tyre maintenance, which is influencing the India tyre market outlook. As vehicles are aging, the demand for replacement tyres is surging, particularly in the passenger vehicle and two-wheeler segments. Concurrently, improved access to organized retail chains, online tyre sales, and financing options for tyre purchases are fueling the adoption of tyres in the country. For instance, in November 2024, Bridgestone India announced an $85 million investment plan to expand production capacity and enhance capabilities at its two manufacturing plants, reinforcing its premium-mass market strategy. Apart from this, continuous advancements in treadwear technology and premium aftermarket tyre offerings have led consumers to seek high-performance and long-lasting tyres, thereby strengthening the India tyre market share.

India Tyre Industry Segmentation:

IMARC Group provides an analysis of the key trends in each segment of the India tyre market, along with forecasts at the country and regional levels from 2025-2033. The market has been categorized based on vehicle type, OEM and replacement segment, domestic production and imports, radial and bias tyres, tube and tubeless tyres, tyre size, and price segment.

Analysis by Vehicle Type:

• Two Wheelers
• Three Wheelers
• Passenger Cars
• Light Commercial Vehicles
• Medium and Heavy Commercial Vehicles
• Off the Road

Two-wheeler tyres represent the largest market segment of the India tyre market, because the nation has a high scooter and motorbike population spread across urban and semi-urban areas. The rising incomes of consumers combined with increased two-wheeler sales from both urbanized areas have led to higher tyre purchases. Besides this, the rising electric two-wheeler popularity receives government backing through incentives, which is impelling the market growth. Additionally, the replacement tyre segment demonstrates strong expansion because people increasingly recognize that regular tyre maintenance supports safety performance. As a result, rapid developments in tread patterns puncture-resistant designs and tubeless tyres are significantly impelling the market demand.

Analysis by OEM and Replacement:

• OEM Tyres
• Replacement Tyres

The replacement tyre segment holds the largest share in the India tyre market, due to rising vehicle sales and increasing incomes along with growing consumer knowledge about tyre maintenance.  As more people drive longer distances with increasing numbers of vehicles on Indian roads, the demand for durable high-performance replacement tyres continues to grow. Concurrently, the rising availability of organized retail chains and e-commerce platforms provides consumers with better convenience for buying tyres. In addition to this, the market prefers replacement tyres because of improved tread wear performance increased puncture resistance, and fuel-efficient designs that manufacturers provide. This segment is further driven by the increasing number of fleet operations and growing commercial vehicle usage.

Analysis by Domestic Production and Imports:

• Domestic Production
• Imports

Domestic tyre production dominates the India tyre market, driven by strong demand from the automotive sector, favorable government policies, and investments in manufacturing infrastructure. The Indian industry is experiencing robust growth because of the various government initiatives that support local production while restricting imported tires. Moreover, tyre manufacturers enhance their production facilities and implement automated processes and environmental initiatives to address rising customer needs. Furthermore, the production industry in the country receives additional support from the rising use of radial tyres and material innovation for durability alongside increasing exports. Besides this, the growth of high-performance along with fuel-efficient tyre production due to the increasing R&D investments is providing an impetus to the market.

Analysis by Radial and Bias Tyres:

• Bias Tyres
• Radial Tyres

Radial tyres lead the India tyre market, as they provide longer lifespans, better energy efficiency, and superior contact with the road than bias tyres do. The commercial vehicle market expansion along with the preference for trucks and buses has encouraged manufacturers to choose radial tyres owing to their robustness for carrying heavy cargo and traveling over extensive distances. The radialisation policies of the government and enhanced road infrastructure actively contribute to the rising use of radial tyres for commercial vehicles. In confluence with this, the performance of tyres has improved because of tire technology innovations which include strengthened materials and low rolling resistance design elements. As a result, the radial tyre segment maintains robust expansion because customers choose these tyres primarily for their safety features and comfort benefits.

Analysis by Tube and Tubeless Tyres:

• Tube Tyres
• Tubeless Tyres

The tubeless tyre segment accounts for the largest share in the India tyre market. This segment is experiencing strong growth, as consumers benefit from improved fuel economy safer operations, and fewer tire punctures. The tubeless tyre preference among consumers is driving the market expansion, as it targets the passenger cars and two-wheeler segments. Moreover, the new vehicle market transition to tubeless tyres creates additional market demand. Also, better roads, improved tyre maintenance knowledge and better infrastructure encourage consumers to embrace this technology. Furthermore, the tubeless tyre market is expanding because of ongoing technological developments which focus on superior traction patterns and automated damage prevention systems. Additionally, the expanding EV sector along with the demand for tubeless tyres is fueling the market demand at a rapid pace.

Analysis by Tyre Size:

• Small
• Medium
• Large

The small tyre segment holds the largest share in India, primarily driven by the high demand for two-wheelers, entry-level passenger cars, and compact commercial vehicles. In line with this, rising urbanization, increasing personal vehicle ownership, and affordability make small vehicles a popular choice, directly boosting small tyre sales. The surge in electric two-wheelers and compact EVs has further bolstered the market demand. Additionally, the expanding e-commerce and last-mile delivery sectors rely heavily on small commercial vehicles, increasing tyre replacements. Furthermore, continuous advancements in tread designs, puncture resistance, and fuel-efficient tyres are enhancing performance, which is driving the aftermarket sales, thereby propelling the market demand.

Analysis by Price Segment:

• Low
• Medium
• High

The low-price tyre segment thrives on affordability and high demand from two-wheelers, entry-level cars, and budget-conscious consumers. The growing rural mobility, increasing second-hand vehicle sales, and expanding e-commerce delivery fleets are supported by competitive local manufacturing and cost-effective production, which is aiding the market demand.

The medium-price segment caters to mid-range passenger cars and commercial vehicles, balancing affordability with durability. The rising disposable incomes, preference for branded tyres with better tread life, and increasing radialisation in commercial fleets drive the market growth. Furthermore, the expanding organized retail networks and online tyre marketplaces are driving the accessibility, thus fostering the market growth.

The high-price segment is driven by premium vehicles, sports utility vehicles (SUVs), and performance-focused consumers seeking advanced tyre technology. The growing luxury car sales, demand for EV-specific tyres, along with the increasing preference for low rolling resistance and high-performance tyres is supporting the market expansion. Moreover, continuous innovations in tread design, sustainability, and imported brands are significantly contributing to the market expansion.

Regional Analysis:

• North India
• East India
• West and Central India
• South India

West and Central India dominate the India tyre market due to strong automotive manufacturing hubs, well-developed infrastructure, and high vehicle ownership. In line with this, Maharashtra and Gujarat, major automobile and tyre manufacturing plants are attracting significant investments, which is strengthening the market share. For instance, in October 2024, Maruti Suzuki announced plans to produce its first EV for Toyota at its Gujarat plant, marking a significant step in EV manufacturing in the region. Besides this, the extensive highway network and industrial corridors of the region drive the demand for commercial vehicle tyres. Additionally, the rapid expansion of urban centers, growing logistics, and transportation sectors, and increasing preference for personal vehicles significantly fuel tyre sales in the region. Apart from this, government initiatives like smart city projects and infrastructure development are propelling the market forward, making West and Central India the largest and most influential tyre market in the country.

Competitive Landscape:

The India tyre market is shaped by a mix of established domestic manufacturers and increasing competition from international brands. Companies are focusing on sustainability, introducing eco-friendly materials and energy-efficient production processes to align with regulatory norms and consumer preferences. Moreover, the rise of EVs is driving innovation in tyre design, creating demand for specialized products with lower rolling resistance and enhanced durability. Additionally, strategic partnerships, mergers, and capacity expansions are reshaping the industry. Furthermore, the increasing role of digitalization, including online tyre sales and predictive maintenance solutions, is transforming the competitive landscape, enhancing consumer engagement and brand differentiation.

The report provides a comprehensive analysis of the competitive landscape in the India tyre market with detailed profiles of all major companies, including:

• MRF Limited
• CEAT Limited
• JK Tyre & Industries Ltd.
• Apollo Tyres Ltd

Latest News and Developments:

• In February 2025, Carlyle Group acquired a controlling stake in a new entity formed from Highway Industries and Roop Automotives, indicating growing investor interest in the Indian auto sector.
• In December 2024, CEAT announced the acquisition of the Camso brand from France's Michelin for $225 million. This strategic move aims to expand CEAT's presence in the higher-margin off-highway tyre segment, including tyres for heavy-duty vehicles like tractors and bulldozers, thereby enhancing its market position.
• In November 2024, JK Tyre & Industries became the first Indian tire manufacturer to join RE100, committing to sourcing 100% renewable electricity for its operations by 2050. This initiative highlights the company's focus on sustainability and strengthens its position as a leader in eco-friendly manufacturing, potentially appealing to environmentally conscious consumers.
• In October 2024, MRF launched its renowned Asia’s Finest Tyre and Wheel Care Service in Mumbai, offering advanced tyre maintenance, wheel alignment, and balancing solutions to enhance customer experience and vehicle performance. This expansion boosts demand for high-quality tyres by promoting regular maintenance, increasing replacement cycles, and enhancing consumer trust in premium tyre brands.

India Tyre Market Report Scope:

Key Benefits for Stakeholders:

• IMARC’s report offers a comprehensive quantitative analysis of various market segments, historical and current market trends, market forecasts, and dynamics of the India tyre market from 2019-2033.
• The research study provides the latest information on the market drivers, challenges, and opportunities in the India tyre market.
• Porter's Five Forces analysis assists stakeholders in assessing the impact of new entrants, competitive rivalry, supplier power, buyer power, and the threat of substitution. It helps stakeholders to analyze the level of competition within the India tyre industry and its attractiveness.
• Competitive landscape allows stakeholders to understand their competitive environment and provides an insight into the current positions of key players in the market.