U.S. Tire Market Size & Share, by Vehicle Type (Passenger Car Tires, Commercial Vehicle Tires, Motorcycle Tires); Season Type (Summer Tires, Winter Tires, All-Season Tires); Application (On-The-Road, Off-The-Road); Rim Size (13-15 inches, 16-18 inches, 19-21 inches, 21 inches); Tire Tube (Tubeless, Tube); End User (Original Equipment Manufacturer (OEM), Aftermarket); Design (Radial Tires, Bias Tires) - Global Supply & Demand Analysis, Growth Forecasts, Statistics Report 2025-2037

U.S. Tire Market: Growth Drivers and Challenges

Growth Drivers

• Expansion of electric and hybrid vehicles: One of the major factors for increased demand for specially engineered tires is the increasing adoption of EVs and plug-in hybrids. The International Energy Agency (IEA) reports that sales of electric vehicles (EVs) and plug-in hybrid electric vehicles (PHEVs) in the U.S. increased significantly from 194,000 in 2017 to 1,390,000 in 2023. These vehicles necessitate tires with low rolling resistance and high torque tolerance. This shift towards EV-compatible tires is exemplified by Pirelli North America's launch of the Scorpion XTM off-road tire line in December 2024, designed for both electric and internal combustion engine (ICE) vehicles, marking a significant step towards high-performance tires adaptable to the EV market.
  
  With performance and range being the key focuses for most EV manufacturers, tire manufacturers are developing silica components and asymmetric tread patterns that lower rolling resistance while increasing traction. The increasing popularity of electric SUVs and trucks requires greater range and better payload capability. U.S. consumers prefer low-noise, low rolling resistance tires in line with the characteristics of EVs. This trend is pressuring manufacturers to develop differentiated tire brands for sub-segments of the EV market. While the demand for electric vehicles is on the rise in the U.S., tire technology will continue to play a crucial role in increasing vehicle efficiency, providing safety, and supporting the industry’s long-term environmental objectives.
• Boom in replacement tire market: There is increased demand in replacement tires due to aging vehicle fleets and increased mileage per vehicle. The USTMA expects the total tire shipments in the U.S. to reach 337.40 million in 2024 from 331.9 million in 2023, driven by aftermarket growth. Consumers require tires that are fuel efficient, suitable for all weather and long-lasting. Bridgestone Americas’ Greatec M847, introduced in April 2023, provides urban fleets with more durability and fuel economy, which fits this replacement pattern in both business and end-user segments. With older vehicles still in circulation, the demand for affordable tire replacement solutions is on the rise in both the urban and rural markets.
  
  Another factor could be attributed to the usage of vehicles with greater travel mileage leading to more wear and tear. The aftermarket is experiencing a shift in demand from consumers as they increasingly demand better performance and durability of spare parts rather than simply getting new ones. To address these issues, companies are now striving to increase the tread life, cut down on rolling resistance, and improve wet traction. The aftermarket tire boom has turned into a significant source of revenue and is exerting influence over product development in the tire industry across the U.S.
• Advanced materials and eco-innovation: To address the emission issue and enhance their performance, various manufacturers are using advanced materials. In September 2024, Nokian Tyres’ partnership with Reselo AB involves Reselo Rubber derived from birch bark residue to help Nokian achieve its 2030 target of using 50% recycled or renewable raw materials. These innovations increase the lifespan of the tires, lower energy use and improve brand sustainability profiles, which in turn affect purchase choices by environmentally conscious consumers. Sustainability is emerging as a critical competitive factor, and this is putting pressure on the tire industry to pursue low-impact manufacturing.
  
  Automobile manufacturing companies such as Continental are also using high-performance polyester fibers derived from recycled PET for the new models of tires, with the vision of using more than 40% of renewable material in their products by the year 2030. Such innovations help in the reduction of the use of petroleum-based rubber and also in the prevention of environmental pollution. In addition, manufacturers are adopting digital tracking solutions for tire management throughout its life cycle, contributing to the circular economy. Thus, the trend towards green regulation and changing consumers’ preferences is likely to become the primary driver of eco-innovation in tire production to support the growth of the leading U.S. tire brands for the new generation of sustainable mobility.

Challenges

• Supply chain volatility and localization gaps: The disruptions in the supply chain have affected the availability and delivery of raw materials in the tire manufacturing companies. This has greatly affected the tire manufacturers through increased costs of production and time consumption. In addition, the drive to localize or regionalize supply chains in order to reduce disruptions has also posed its own difficulties. Establishing regional supply chains is capital-intensive plus time consuming and there may be limitations in the availability of skilled workforce and adequate infrastructure in some areas. These factors can in turn put pressure on the supply chain in the tire industry and potentially affect its capacity to meet the demand.
• Environmental compliance and policy pressure: The tire manufacturers are experiencing increasing pressure from the regulatory authorities on waste management, recycling, and carbon emissions. The Minnesota EPR legislation passed in May 2024 is an example of such changes, which require producers to assume responsibility for post-use tire waste. At the same time, these measures also lead to compliance issues for manufacturers in terms of sustainability. Also, the different laws of the different states and countries complicate the operations of tire manufacturers who may be operating in different regions. Fluctuations in EPR standards and waste management regulations can be taxing on resources and lead to higher expenses.