Pakistan Tyre Market: Industry Trends, Share, Size, Growth, Opportunity and Forecast 2022-2027

Pakistan Tyre Market: Industry Trends, Share, Size, Growth, Opportunity and Forecast 2022-2027

The Pakistan tyre market reached a volume of 21.6 Million Units in 2021. Looking forward, IMARC Group expects the market to reach 29.6 Million Units by 2027, exhibiting a CAGR of 5.1% during 2022-2027. Keeping in mind the uncertainties of COVID-19, we are continuously tracking and evaluating the direct as well as the indirect influence of the pandemic. These insights are included in the report as a major market contributor.

Tyres are one of the essential components in automobiles as they aid in transferring the load of the vehicle from the axle to the ground. They are manufactured using materials such as fabric, wire, carbon black, natural and synthetic rubber, and other chemical compounds. As tyres are pneumatically inflated, they provide a flexible cushion for absorbing shock when the vehicle travels on a rough surface. Presently, the rising vehicle motorization rate in Pakistan is impelling the demand for tyres in the country.

The Pakistan tyre (tire) industry is currently experiencing moderate growth on account of the increasing vehicle ownership in the country. This can also be attributed to numerous infrastructural and macroeconomic reforms undertaken by the Government of Pakistan, which is resulting in the development of industrial, construction and agricultural industries. For instance, the Government has reduced the prices of fertilizers, approved the Seed Act and Plant Breeders Bill, and increased loans for farmers to improve agricultural activities which, in turn, is boosting the overall sales of tyres in this sector. Apart from this, the Government is also imposing taxes on tyre imports to support domestic manufacturers. Furthermore, due to a consistent rise in the demand for tyres, local and foreign investors are showing interest in the industry, which is anticipated to strengthen the market growth in the upcoming years. For example, General Tyre and Rubber Company (GTR), one of the leading companies in Pakistan, is planning to set up a new manufacturing unit in the Special Economic Zone (SEZ) in Faisalabad.

Key Market Segmentation:
IMARC Group provides an analysis of the key trends in each sub-segment of the Pakistan tyre market, along with forecasts at the country and regional level from 2022-2027. Our report has categorized the market based on vehicle type, OEM and replacement segment, domestic production and imports, legitimate and grey market, radial and bias tyres, and tube and tubeless tyres.

Breakup by Vehicle Type:

Two-Wheeler and Three-Wheeler
Passenger Cars and Light Truck
Heavy Commercial and OTR

Two-wheeler and three-wheeler represent the most preferred vehicles in Pakistan.

Breakup by OEM and Replacement Segment:

OEM
Replacement

At present, replacement tyres account for the majority of the total market share.

Breakup by Domestic Production and Imports:

Domestic Production
Imports

Domestic production exhibits a clear dominance in the market as various new players from the automobile industry are setting up tyre manufacturing plants in Pakistan, which is increasing the domestic production in the country.

Breakup by Legitimate and Grey Market:

Legitimate
Grey

The legitimate market currently holds the largest market share.

Breakup by Radial and Bias Tyres:

Bias
Radial

Presently, bias tyres account for the majority of the market share.

Breakup by Tube and Tubeless Tyres:

Tube Tyres
Tubeless Tyres

Tube tyres are widely utilized in Pakistan as they are lightweight and can run on lower air pressure.

Regional Insights:

Punjab
Sindh
Khyber Pakhtunkhwa
Balochistan

Competitive Landscape:
The competitive landscape of the market has been analyzed in the report, along with the detailed profiles of the major players operating in the industry. Some of these players are:

General Tyre and Rubber Co. Ltd.
Panther Tyres Limited
Diamond Tyres Limited
Service Industries Limited
Ghauri Tyre and Tube Pvt. Limited
Key Questions Answered in This Report:
How has the Pakistan tyre market performed so far and how will it perform in the coming years?
What has been the impact of COVID-19 on the Pakistan tyre market?
What are the key regional markets?
What is the market breakup on the basis of vehicle type?
What is the market breakup on the basis of OEM and replacement segment?
What is the market breakup on the basis of domestic production and imports?
What is the market breakup on the basis of legitimate and grey market?
What is the market breakup on the basis of radial and bias tyres?
What is the market breakup on the basis of tube and tubeless tyres?
What are the various stages in the value chain of the Pakistan tyre industry?
What are the key driving factors and challenges in the Pakistan tyre industry?
What is the structure of the Pakistan tyre industry and who are the key players?
What is the degree of competition in the Pakistan tyre industry?
What are the profit margins in the Pakistan tyre industry?
How are tyres manufactured?
What are the various unit operations involved in a tyre manufacturing plant?
What is the total size of land required for setting up a tyre manufacturing plant?
What are the machinery requirements for setting up a tyre manufacturing plant?
What are the raw material requirements for setting up a tyre manufacturing plant?
What are the packaging requirements for a tyre manufacturing plant?
What are the transportation requirements for a tyre manufacturing plant?
What are the utility requirements for setting up a tyre manufacturing plant?
What are the manpower requirements for setting up a tyre manufacturing plant?
What are the infrastructure costs for setting up a tyre manufacturing plant?
What are the capital costs for setting up a tyre manufacturing plant?
What are the operating costs for setting up a tyre manufacturing plant?
What will be the income and expenditures for a tyre manufacturing plant?
What is the time required to break-even?


1 Preface
2 Scope and Methodology
2.1 Objectives of the Study
2.2 Stakeholders
2.3 Data Sources
2.3.1 Primary Sources
2.3.2 Secondary Sources
2.4 Market Estimation
2.4.1 Bottom-Up Approach
2.4.2 Top-Down Approach
2.5 Forecasting Methodology
3 Executive Summary
4 Introduction
4.1 Overview
4.2 Key Industry Trends
5 Pakistan Automobile Industry
5.1 Overview
5.2 Production Trends
5.2.1 Market Performance
5.2.2 Market Breakup by Vehicle Type
5.2.3 Market Breakup by Region
5.2.4 Market Forecast
5.3 Vehicles Registration in Pakistan
5.3.1 Market Performance
5.3.2 Vehicle Registration by Region
5.4 New Industry Entrants
6 Pakistan Tyre Market
6.1 Market Overview
6.2 Market Performance
6.2.1 Volume Trends
6.2.2 Value Trends
6.3 Impact of COVID-19
6.4 Market Breakup by Vehicle Type
6.5 Market Breakup by OEM and Replacement Segment
6.6 Market Breakup by Domestic Production and Imports
6.7 Market Breakup by Legitimate and Grey Market
6.8 Market Breakup by Radial and Bias Tyres
6.9 Market Breakup by Tube and Tubeless Tyres
6.10 Market Breakup by Region
6.11 Market Forecast
6.12 SWOT Analysis
6.12.1 Overview
6.12.2 Strengths
6.12.3 Weaknesses
6.12.4 Opportunities
6.12.5 Threats
6.13 Value Chain Analysis
6.13.1 Overview
6.13.2 Research and Development
6.13.3 Raw Material Procurement
6.13.4 Tyre Manufacturing
6.13.5 Marketing
6.13.6 Distribution
6.13.7 End-Users
6.13.8 Recycling
6.14 Porters Five Forces Analysis
6.14.1 Overview
6.14.2 Bargaining Power of Buyers
6.14.3 Bargaining Power of Suppliers
6.14.4 Degree of Competition
6.14.5 Threat of New Entrants
6.14.6 Threat of Substitutes
6.15 Price Analysis
6.15.1 Price Indicators
6.15.2 Price Structure
7 Market Breakup by Vehicle Type
7.1 Two-Wheeler and Three-Wheeler Tyres
7.1.1 Market Trends
7.1.2 Market Forecast
7.2 Passenger Cars and Light Truck Tyres
7.2.1 Market Trends
7.2.2 Market Forecast
7.3 Heavy Commercial and OTR Tyres
7.3.1 Market Trends
7.3.2 Market Forecast
8 Market Breakup by OEM and Replacement Segment
8.1 OEM Tyres
8.1.1 Market Trends
8.1.2 Market Forecast
8.2 Replacement Tyres
8.2.1 Market Trends
8.2.2 Market Forecast
9 Market Breakup by Domestic Production and Imports
9.1 Domestic Production
9.2 Imports
10 Market Breakup by Legitimate and Grey Market
10.1 Legitimate Market
10.1.1 Market Trends
10.1.2 Market Forecast
10.2 Grey Market
10.2.1 Market Trends
10.2.2 Market Forecast
11 Market Breakup by Radial and Bias Tyres
11.1 Bias Tyres
11.1.1 Market Trends
11.1.2 Market Forecast
11.2 Radial Tyres
11.2.1 Market Trends
11.2.2 Market Forecast
12 Market Breakup by Tube and Tubeless Tyres
12.1 Tube Tyres
12.1.1 Market Trends
12.1.2 Market Forecast
12.2 Tubeless Tyres
12.2.1 Market Trends
12.2.2 Market Forecast
13 Market Breakup by Region
13.1 Punjab
13.2 Sindh
13.3 Khyber Pakhtunkhwa
13.4 Balochistan
14 Foreign Direct Investment in Pakistan
15 Tyre Manufacturing Process
15.1 Product Overview
15.2 Radial Tyre Component
15.3 Tyre Design Process
15.4 Detailed Process Flow
15.5 Various Types of Unit Operations Involved
15.6 Tyre Performance Criteria
15.7 Technical Tests
15.8 Mass Balance and Raw Material Requirements
16 Project Details, Requirements and Costs Involved
16.1 Land, Location and Site Development
16.1.1 Overview of Land Location
16.1.1.1 Project Planning and Phasing of Development
16.1.1.2 Environmental Impacts
16.1.2 Land Requirement and Expenditure
16.2 Plant Layout
16.3 Plant Machinery
16.3.1 Machinery Costs
16.3.2 Machinery Suppliers
16.3.3 Machinery Pictures
16.4 Raw Materials
16.4.1 Raw Material Required and Specifications
16.4.2 Raw Material Procurement
16.4.3 Raw Material Expenditure
16.4.4 Raw Material Supplier
16.4.5 Raw Material and Final Product Pictures
16.5 Packaging Requirements and Expenditures
16.6 Transportation Requirements and Expenditures
16.7 Utilities Requirements and Expenditures
16.8 Manpower Requirements and Expenditures
16.9 Other Capital Investments
17 Loans and Financial Assistance
18 Project Economics
18.1 Capital Cost of the Project
18.2 Techno-Economic Parameters
18.3 Product Pricing and Margins Across Various Levels of the Supply Chain
18.4 Taxation and Depreciation
18.5 Income Projections
18.6 Expenditure Projections
18.7 Financial Analysis
18.7.1 Liquidity Analysis
18.7.2 Profitability Analysis
18.7.2.1 Payback Period
18.7.2.2 Net Present Value:
18.7.2.3 Internal Rate of Return
18.7.2.4 Profit and Loss Account
18.7.3 Uncertainty Analysis
18.7.4 Sensitivity Analysis
18.8 Economic Analysis
19 Case Study – Apollo Tyre
20 Competitive Landscape
20.1 Key Players
20.2 Key Players Profiles
20.2.1 General Tyre and Rubber Co. Ltd.
20.2.1.1 Company Overview
20.2.1.2 Company Description
20.2.2 Panther Tyres Limited
20.2.2.1 Company Overview
20.2.2.2 Company Description
20.2.3 Diamond Tyres Limited
20.2.3.1 Company Overview
20.2.3.2 Company Description
20.2.4 Service Industries Limited
20.2.4.1 Company Overview
20.2.4.2 Company Description
20.2.5 Ghauri Tyre and Tube Pvt. Limited
20.2.5.1 Company Overview
20.2.5.2 Company Description

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