Green Tires Market Size, Share, Growth Analysis, By Type(On-road and off-road tires), By Application(Passenger cars and commercial vehicles), By Region - Industry Forecast 2024-2031

Green Tires Market size was valued at USD 35.2 billion in 2021 and is poised to grow from USD 38.3 billion in 2022 to USD 75.2 billion by 2030, at a CAGR of 8.8% during the forecast period (2023-2030).

The global green tires market is experiencing significant growth as the world shifts towards more sustainable and eco-friendly solutions. Green tires, also known as eco-friendly or low-rolling-resistance tires, are designed to reduce fuel consumption and minimize carbon emissions while maintaining performance and safety standards. The market is being driven by several factors, including increasing environmental concerns, stringent regulations on carbon emissions, and growing consumer awareness of the need for sustainable transportation options. Manufacturers are investing heavily in research and development to innovate and produce green tires with advanced materials and technologies that offer improved fuel efficiency and lower rolling resistance. Additionally, government initiatives and incentives to promote the adoption of green technologies in the automotive industry are further propelling market growth. The market is witnessing a rising demand from both original equipment manufacturers (OEMs) and aftermarket segments, as automakers are increasingly incorporating green tires as standard equipment and consumers are actively seeking energy-efficient and environmentally friendly tire options. Furthermore, the expansion of electric and hybrid vehicle markets is creating new opportunities for green tires, as these vehicles require tires with specific characteristics to optimize energy efficiency and range. Geographically, the market is witnessing strong growth across regions, with Asia Pacific, North America, and Europe emerging as key markets due to their high vehicle populations, strict emissions regulations, and growing consumer preferences for sustainable products. Overall, the global market is poised for robust expansion in the coming years as the automotive industry continues to prioritize sustainability and environmental responsibility.

US Green Tires Market is poised to grow at a sustainable CAGR for the next forecast year.