China Commercial Vehicle Tire Market Segmented By Vehicle (Truck, Bus/Van), By Demand Category (OEM, Replacement), By Tire Construction Type (Radial, Bias), By Price Segment (Budget, Ultra Budget, Premium), By Region, Competition, Forecast & Opportunities, 2026
Published Date: May - 2025 | Publisher: MIR | No of Pages: 320 | Industry: Automotive | Format: Report available in PDF / Excel Format
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China commercial vehicle tire was approximately USD25.59 billion in value during 2020 and estimated to be at USD54.40 billion by 2026, moving at a CAGR of 13.21%.
Increased development in transport infrastructure and increase in public transport fuels the growth of the China commercial vehicle tire market during the forecast years.
Owing to the announcement of lockdown to control the spread of the pandemic, nearly all the automobile factories, showrooms and workshops were shut down, leading to a huge production and sales drop in the first quarter of 2020. But the market experienced steady growth from the second quarter of 2020. As per the International Organization of Automobile Manufacturers, LCV production grew by 7.4% in China and M&HCV production grew by 34.2%; however, Buses & Coaches production fell by 26.5% in the year 2020 compared to 2019. The overall sales of commercial vehicles in the year 2020 grew by 18.7% compared to 2019. China registered a strong comeback in production and sales post-lockdown as tire manufacturing operations resumed in full capacity in the second half of the year 2020. The automobile industry geared up and the production of the vehicles picked up after the COVID-19 effect as China shipped a huge number of vehicles in the middle east and in most of the African nations. To fulfill this requirement, huge quantities of vehicles have been produced in China after the COVID-19 effect, which is creating demand for tires from the OEM sector in China.
Market Drivers
Rapid Urbanization and Infrastructure Development
China's rapid urbanization and extensive infrastructure development projects are key drivers of the commercial vehicle tire market. As the nation continues to expand its road networks, build new urban centers, and modernize rural areas, the demand for commercial vehicles and their associated tires grows. For instance, the Belt and Road Initiative has spurred increased transportation activities, driving the need for high-performance tires capable of withstanding varied road conditions. Tires used in construction vehicles, long-haul trucks, and public transport buses are critical for sustaining these projects. Urbanization has also increased freight transportation, boosting the replacement tire market, as these vehicles require regular maintenance due to their heavy usage.
Growth of E-commerce and Logistics
The booming e-commerce sector in China has significantly impacted the logistics industry, which relies heavily on commercial vehicles for last-mile and inter-city deliveries. Tires suitable for urban delivery vans and heavy-duty trucks are in high demand to ensure efficiency and durability. Companies operating in this space require tires with enhanced fuel efficiency, load-bearing capacity, and longer lifespans to minimize operational costs. This trend is further amplified by the increasing number of logistics hubs and warehouses in China, particularly in Tier-1 and Tier-2 cities.
Technological Advancements in Tire Manufacturing
Innovations in tire technology, such as smart tires and retreadable options, are driving market growth. Manufacturers are focusing on producing tires with advanced tread patterns, improved materials, and integrated sensors for real-time monitoring of tire pressure and temperature. These features reduce vehicle downtime and enhance safety, which are critical for fleet operators managing commercial vehicles. Sustainable tire production methods and eco-friendly materials also align with China's environmental policies, making them attractive to consumers. For instance, In October 2024, Korea-based BANF launched smart tires for trucks to improve fuel efficiency and safety. The tires use sensors to track tire health, cargo load, and road conditions. Data is analyzed with machine learning to provide insights for drivers and fleet managers.
Key Market Challenges
High Competition and Pricing Pressure
The market faces intense competition from both domestic and international tire manufacturers, leading to pricing pressure. Domestic brands focus on affordability, while international players emphasize premium features. This dual approach often confuses consumers and forces manufacturers to balance cost and quality. The abundance of low-cost tires has also led to a gray market, affecting the revenues of established players.
Rising Raw Material Costs
Fluctuations in raw material prices, particularly for rubber, steel, and synthetic compounds, pose a significant challenge to tire manufacturers. China's dependence on imported natural rubber makes the industry vulnerable to international price volatility. The push for sustainable production has increased costs due to investments in eco-friendly materials and technologies. These rising expenses often translate into higher product prices, which can deter cost-sensitive fleet operators.
Environmental Regulations
Strict environmental policies aimed at reducing carbon emissions and waste have created challenges for tire manufacturers. Meeting these regulations requires significant investment in research and development, greener manufacturing processes, and recycling initiatives. Non-compliance can lead to fines or market restrictions, making it imperative for manufacturers to align with these standards. However, the associated costs can be a barrier for smaller companies
Key Market Trends
Adoption of Smart and Connected Tires
Smart tires equipped with sensors for real-time monitoring are becoming increasingly popular in the Chinese commercial vehicle sector. These tires enhance safety and operational efficiency by providing data on pressure, temperature, and tread wear, allowing fleet operators to conduct predictive maintenance. As logistics companies adopt digital solutions to optimize operations, the integration of connected tires aligns with their strategies for cost reduction and improved fleet management.
Shift Towards Sustainable and Retreadable Tires
Environmental concerns and government regulations have spurred the development of sustainable tires made from eco-friendly materials and those designed for retreading. Retreaded tires, in particular, are gaining traction as a cost-effective and environmentally friendly solution for fleet operators. This trend is supported by advancements in retreading technology, which enhance the durability and performance of used tires, aligning with China’s sustainability goals.
Rise of Electric Commercial Vehicles
The increasing adoption of electric commercial vehicles (ECVs) is influencing tire design and innovation. ECVs require specialized tires with low rolling resistance to improve energy efficiency and unique tread patterns to handle the torque characteristics of electric motors. This niche market is expected to grow as China continues to promote electrification in its transportation sector, providing new opportunities for tire manufacturers. For instance, In 2023, global electric car sales approached 14 million, with 95% in China, Europe, and the U.S. This marked a 35% year-on-year increase, bringing the total number of electric cars on the road to 40 million
Segmental Insights
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Application Insights
The transportation segment is the most rapidly growing in China's commercial vehicle tire market because of the fast growth of logistics and e-commerce sectors, which require efficient and reliable transportation services. China's status as a global manufacturing center has resulted in an increase in freight activities, both domestic and foreign. The growing trade activity has intensified the demand for commercial vehicles, such as heavy trucks and light commercial vehicles, triggering the demand for strong and high-performance tires to withstand long distance driving and diversified road conditions.
Urbanization and infrastructure improvement in China have also supported the expansion of the transport sector. Initiatives such as express ways, logistics complexes, and smart transport systems ease the smooth transit of goods and individuals, in turn, furthering dependence on commercial vehicles. This further instigates demands for tires customized for fuel economy, load hauling, and protection. The trend of urban courier services, being driven by giant e-commerce providers, has profoundly increased the reliance on light commercial vehicles, dependent on expert tyres to move quickly through urban space.
The take-up of advanced tire technologies such as low-rolling-resistance tires and intelligent tire monitoring systems further reinforces this growth. These technologies address fleet operators' requirements for lower operating expenses and improved safety, and hence are imperative to the transport industry. Clean energy and emissions reduction policies from governments have stimulated demand for electric commercial vehicles, and they need specific tire solutions to match their special performance features.
In total, growth in the transport segment is being driven by China's strong economic activities, improvements in infrastructure, and technological development, making it a key mover in the commercial vehicle tire industry. This active segment highlights the need to adapt tire designs according to changing transport needs effectively.
Regional Insights
East China led the commercial vehicle tire market in China because it is an economic powerhouse and a manufacturing, trade, and logistics hub of great importance. The region comprises key economic hubs such as Shanghai, Jiangsu, Zhejiang, and Shandong, which together contribute a great deal to China's GDP. These provinces host many manufacturing, e-commerce, and agricultural industries that demand extensive transportation networks, thus fueling high demand for commercial vehicle tires.
The infrastructure of the region, in the form of extensive highway coverage, ports, and logistics facilities, facilitates the easy movement of goods. Huge volumes of cargo at key ports such as Shanghai and Ningbo-Zhoushan require strong commercial vehicle fleets for inland transport, thereby strongly enhancing the need for high-capacity commercial vehicle tires suitable for heavy loads and long distances.
East China's highly developed e-commerce industry has added to urban delivery and last-mile logistics demands. Light commercial vehicles, which are commonly employed for these functions, need specialized tire solutions to make their way around cities efficiently. The high density of warehouses and distribution centers within this region also adds to its logistical importance, supporting its domination of the tire market.
East China is home to a number of tire manufacturing plants and research institutions, promoting innovation in tire technology. Local producers enjoy easy access to core industries and logistics hubs, providing a constant supply of tires to serve regional demand. Government programs promoting green transportation and the use of electric commercial vehicles also dovetail with the development of the market, stimulating the creation of sophisticated tire solutions.
East China's economic activity, better infrastructure, and high industrial base make it the leading market for commercial vehicle tires, reflecting its key role in China's transportation and logistics network.
Recent Developments
- In June 2024, Continental's Hefei tire plant earned the ISCC PLUS certification, showcasing its adherence to global sustainability standards. The company aims to use over 40% renewable and recycled materials in tires by 2030, emphasizing eco-friendly innovation.
- In July 2024, Yokohama announced plans to build a tire plant in Hangzhou, China, with an initial capacity of 9 million tires annually. Production is set to begin in the second quarter of 2026, with a USD 27.6 million investment. Expansion will be considered in the future.
- In June 2024, Continental expanded its Hefei tire plant in China, opening the fourth phase. This upgrade targets an annual production capacity of 18 million passenger and light truck tires by 2027.
Key Market Players
- Sailun Group Co., Ltd.
- Linglong Tire
- Triangle Tire Co., Ltd
- Double Coin Tire Group Ltd
- GUIZHOU TYRE CO,.LTD
- Heuver Tyrewholesale B.V.
- Doublestar Group
- Zhongce Rubber Group Co., Ltd.
- Prinx Chengshan (Shandong) Tire Co. Ltd
- China National Tire & Rubber Co., Ltd.
Market Segmentation
The China commercial vehicle tire is segmented by vehicle type, by demand category, by tire construction type, by price segment. On the basis of vehicle type, the market is bifurcated into truck and bus/van. On the basis of demand category, the market is segmented into OEM and replacement. On the basis of tire construction type, the market is segmented into radial and bias. On the basis of price segment, the market is segmented into budget, ultra budget, premium. The market analysis also studies the regional segmentation to devise regional market segmentation, divided among East China, South-Central China, North China, South-West China, North-East China, North-West China.
Company Profiles
Hangzhou Zhongce Rubber Co. Ltd., Giti Tire (China) Investment Company Ltd., Sailun Group Co., Ltd., Kumho Tire China Co., Inc., Triangle Tire Co. Ltd., Hankook Tire China Co. Ltd., Double Coin Holdings Ltd, Aelous Tyre Co. Ltd., Cheng Shin Rubber Ind. Co. Ltd., Prinx Chengshan (Shandong) Tire Company Ltd. These are the key players developing advanced technologies to stay competitive and enhance their product portfolio in the regions to increase their customer outreach.
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Attribute |
Details |
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Market Size Value in 2020 |
USD25.59 Billion |
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Revenue Forecast in 2026 |
USD54.40 Billion |
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Growth Rate |
13.21% |
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Base Year |
2020 |
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Historical Years |
2016 – 2019 |
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Estimated Year |
2021 |
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Forecast Period |
2022 – 2026 |
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Quantitative Units |
Revenue in USD Billion, Volume in Units, and CAGR for 2016-2020 and 2021-2026 |
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Report Coverage |
Revenue forecast, volume forecast, company share, competitive landscape, growth factors, and trends |
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Segments Covered |
· Vehicle Type · Demand Category · Tire Construction Type · Price Segment · Region |
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Regional Scope |
East China, South-Central China, North China, South-West China, North-East China, North-West China |
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Key Companies Profiled |
Hangzhou Zhongce Rubber Co. Ltd., Giti Tire (China) Investment Company Ltd., Sailun Group Co., Ltd., Kumho Tire China Co., Inc., Triangle Tire Co. Ltd., Hankook Tire China Co. Ltd., Double Coin Holdings Ltd, Aelous Tyre Co. Ltd., Cheng Shin Rubber Ind. Co. Ltd., Prinx Chengshan (Shandong) Tire Company Ltd. |
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Customization Scope |
10% free report customization with purchase. Addition or alteration to country, regional & segment scope. |
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Pricing and Purchase Options |
Avail customized purchase options to meet your exact research needs. Explore purchase options |
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Delivery Format |
PDF and Excel through Email (We can also provide the editable version of the report in PPT/pdf format on special request) |
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