Huge logistics industry and increasing passenger car ownership is driving tyre market in Germany
February 4, 2014 (Newswire) - Germany is the largest economy in Europe and is also one of the leading tyres markets, globally. Moreover, the country is the fourth largest passenger car producer, globally, after China, US and Japan, which market Germany a large market for OEMs (Original Equipment Manufacturer). On the other hand, the replacement tyre market is also significant because of high passenger car population, with the country's car ownership level estimated at about 530 passenger cars per thousand people in Germany in 2012.In addition, the country has the second largest logistics market across the global, which boosts the overall demand for commercial vehicles as well as tyres in the country.
According to recently published report "Germany Tyre Market Forecast & Opportunities, 2018", the tyre market in Germany is expected to grow at a CAGR of around 4% during 2013-18, in volume terms. The major tyre market companies in Germany include Groupe Michelin, Bridgestone Germany GmbH, Continental AG and Goodyear Dunlop Tires Germany GmbH. The report highlights that increasing imports from China and short supply of natural rubber are the key challenges being faced by the tyre companies in Germany.
The government of Germany is also taking initiatives to boost the automotive market. The government's subsidy of USD95 per capita on the purchase of electric cars is also expected to propel growth of OEM segment of passenger car tyres in coming years.
"Germany is one of the largest tyre markets in Europe and has a huge fleet of passenger cars. Though the country is undergoing a tough economic phase, with customers being more reluctant in replacing their tyres, the country's economy is expected to recover faster than other economies in Europe. This would consequently boost the overall demand for tyres, both in OEMs and replacement segments, over the next five years." said Mr. Karan Chechi, Research Director with TechSci Research a research based global management consulting firm.
"Germany Tyre Market Forecast & Opportunities, 2018" has evaluated the future growth potential for the tyre industry in Germany, and it provides statistics and information on the market structure and consumer behavior trends. The report includes tyre market projections and demand forecasting. The report is intended to provide cutting-edge market intelligence and help decision makers with sound investment evaluation. Besides, the report also identifies and analyzes the emerging trends along with essential drivers, challenges and opportunities available in tyre market in Germany.