Australia Tyre Market Report and Forecast 2025-2034

Australia Tyre Market Report and Forecast 2025-2034

Market Outlook

According to the report by Expert Market Research (EMR), the Australia tyre market size witnessed a healthy growth in 2024. Aided by the rising demand for eco-friendly, fuel-efficient tyres and growing adoption of advanced technologies like run-flat and smart tyre monitoring systems, the market is projected to grow at a CAGR of 4.10% between 2025 and 2034.

The Australia tyre market growth is being driven by the rising number of vehicles on the road, expanding logistics and transportation networks, and increasing consumer awareness about tyre maintenance and replacement cycles. Tyres play a critical role in vehicle safety, fuel efficiency, and performance, making them a key component of automotive maintenance and repair. The market includes a broad range of products, such as passenger car tyres, commercial vehicle tyres, off-the-road tyres, and speciality tyres catering to various segments, including agriculture, construction, and mining. With the continuous growth in both personal and commercial vehicle ownership, demand for tyres across Australia is expected to remain strong throughout the forecast period.

One of the primary drivers aiding the Australia tyre market expansion is the steady increase in vehicle registrations and usage. Urbanisation, rising disposable income, and improved road infrastructure are encouraging vehicle purchases across metropolitan and regional areas. Passenger vehicles, including sedans, SUVs, and light trucks, form a significant part of the demand for replacement tyres, while commercial fleets such as delivery vans, long-haul trucks, and buses contribute to high-volume tyre consumption. The need for regular tyre replacements due to wear and tear, road conditions, and seasonal changes further supports the ongoing demand for reliable and durable tyres.

As per the Australia tyre market analysis, Australia’s vast geography and varied terrain have a direct impact on tyre demand, with different regions requiring specific tyre solutions to meet performance and safety standards. In remote areas, off-road and heavy-duty tyres are preferred for mining, agriculture, and construction vehicles that operate under rugged conditions. In urban environments, consumers seek tyres that offer better mileage, fuel economy, and reduced noise. This diversity in vehicle types and usage patterns has led to the development of a broad product portfolio by manufacturers and distributors, ensuring that tyres are tailored to suit distinct driving environments and user expectations.

Technological advancements and innovations in tyre design and materials are boosting the Australia tyre market revenue. Manufacturers are introducing smart tyres equipped with sensors to monitor pressure, temperature, and tread depth in real time. These smart solutions help improve road safety, optimise fuel usage, and extend tyre life, thereby attracting both fleet operators and private vehicle owners. Innovations in tyre compounds, tread patterns, and sidewall construction are enhancing performance, particularly in extreme weather conditions. The growing popularity of electric vehicles is also prompting tyre manufacturers to develop low-resistance, noise-reducing tyres suited for electric drivetrains.

Environmental concerns and sustainability trends are shaping the Australia tyre market landscape. Tyre recycling programmes, eco-friendly manufacturing processes, and the development of retreaded tyres are gaining traction. Governments and industry bodies are encouraging proper disposal and recycling of used tyres to reduce landfill waste and promote circular economy practices. The use of sustainable materials, energy-efficient production methods, and carbon-neutral commitments by leading tyre brands are aligning with broader environmental goals, making sustainability a growing focus in the tyre industry.

The distribution and retail landscape for the Australia tyre market is evolving rapidly, with online platforms, mobile fitting services, and integrated automotive centres transforming how tyres are sold and serviced. Consumers now have access to tyre information, comparison tools, and booking systems that allow for convenient purchasing and installation. Retailers are expanding their service portfolios to include alignment, balancing, and tyre repair, providing a one-stop solution for automotive needs. The shift towards digital engagement is improving customer experience, enabling faster response times, transparent pricing, and enhanced product availability across urban and regional markets.

Commercial and industrial sectors play a crucial role in revolutionising the Australia tyre market landscape, particularly in logistics, agriculture, and mining. Fleet operators require high-performance, durable tyres that offer maximum uptime and cost-efficiency. As the logistics and freight sectors continue to expand, driven by e-commerce and regional trade, demand for heavy-duty and long-lasting tyres is expected to rise. Companies are investing in tyre management solutions that enable predictive maintenance and optimise tyre lifecycle costs. These trends are creating new opportunities for service providers and manufacturers to offer customised, value-added solutions to commercial clients.

Despite the positive Australia tyre market outlook, challenges such as fluctuating raw material prices, global supply chain disruptions, and regulatory compliance pose risks to tyre manufacturers and importers. Tariffs, environmental regulations, and quality standards require constant attention, particularly for imported tyres. To navigate these challenges, industry players are focusing on building local partnerships, investing in warehousing and distribution networks, and enhancing supply chain resilience. Additionally, customer education on tyre care, safety, and value-added services is key to maintaining brand loyalty and encouraging repeat purchases.

Looking ahead, the Australia tyre market is expected to continue its growth trajectory, driven by a combination of automotive expansion, technological innovation, and consumer awareness. The shift towards smarter, safer, and more sustainable mobility solutions is shaping the future of tyre products and services. With increasing demand across multiple vehicle categories and rising expectations for performance and environmental responsibility, the market is poised to play a central role in supporting Australia’s evolving transport ecosystem. Manufacturers, retailers, and service providers will need to adapt swiftly to changing market dynamics and leverage innovation to capture emerging opportunities and deliver long-term value.

Market Segmentation

The market can be divided based on design, type, season, vehicle type, sales channel, and region.

Market Breakup by Design:

• Radial
• Bias

Market Breakup by Type:

• Tube Tyre
• Tubeless Tyre

Market Breakup by Season:

• Winter Tyre
• Summer Tyre
• All Season Tyre

Market Breakup by Vehicle Type:

• Two-Wheeler and Three-Wheeler
• Passenger Vehicle
• Heavy Commercial Vehicle
• Light and Medium Commercial Vehicle
• Others

Market Breakup by Sales Channel:

• OEM
• Aftermarket

Market Breakup by Region:

• New South Wales
• Victoria
• Queensland
• Australian Capital Territory
• Western Australia
• Others

Competitive Landscape

The EMR report looks into the market shares, plant turnarounds, capacities, investments, and mergers and acquisitions, among other major developments, of the leading companies operating in the Australia tyre market. Some of the major players explored in the report by Expert Market Research are as follows:

• Bridgestone Corporation
• Michelin Group
• Pirelli & C. S.p.A.
• Continental AG
• The Goodyear Tire & Rubber Company
• Sumitomo Rubber Australia Pty Ltd.
• Toyo Tyre Australia Pty Ltd
• Australian Tyre Traders Pty Ltd
• Tyremax Pty Ltd
• Hankook Tire & Technology Co., Ltd.
• Others

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*We at Expert Market Research always strive to provide you with the latest information. The numbers in the article are only indicative and may be different from the actual report.