Growing automobile fleet coupled with increasing demand for winter tyres to drive tyre demand in Russia through 2020
Online PR News – 07-November-2015 – Burnaby/Canada – According to TechSci Research report, “Russia Tyre Market Forecast & Opportunities, 2020”, tyre market in Russia is dominated by domestic tyre manufacturers such as Nizhnekamskshina, Cordiant and Altai. Other major global tyre players operating in the country include Nokian, Pirelli, Bridgestone, Continental, Yokohama, Hankook, and Michelin. Russia tyre market is predominantly a replacement driven market owing to large vehicle fleet size in the country. Replacement segment is expected to retain its dominance in the country’s tyre market over the forecast period.
Russia is the one of the best performing economies in Eurasia and the country’s disposable income is witnessing a continuous increase. However, the vehicle motorization rate in Russia is still low, with around 320 cars per 1000 people in 2014, and thereby indicating significant future growth potential. Consequently, several foreign automobile manufacturers are focusing on setting up their new automobile facilities in the country or expanding their existing production capacities. This positive environment surrounding the country’s automobile industry is expected to augment demand for tyres in Russia over the next five years.
“Growing automobile industry is likely to increase the size of Russian tyre market over the next five years. Russia tyre market is dominated by passenger car tyre segment, which held a volume share of more than 75% in 2014. With a lion’s share in the overall vehicle fleet in the country, the passenger car tyres segment is expected to continue its dominance in Russia’s tyre market through 2020,” said Mr. Karan Chechi, Research Director with TechSci Research, a research based global management consulting firm.