UAE Tire Market on 5-Year Growth Trajectory
Research and Markets has announced the addition of the "UAE Tyre Market Forecast and Opportunities 2019" report to its offerings.
The tire market in the UAE is projected to grow at 11percent CAGR until 2019, according to the report.
Passenger car tires remained the leading market segment in 2013, holding significant majority share in volume as well as value sales, according to the report. Urban cities in the UAE such as Dubai, Abu Dhabi and Sharjah are among the leading demand generators for tires.
Industry events such as Automechanika' and Green Auto Show' also have a profound impact on the UAE's ever-growing automotive trade, which in turn are influencing tire sales in the country. Global automotive tire manufacturers such as Bridgestone, Michelin, Continental, Goodyear, and Pirelli are the key tire players in the country.
The UAE is among the major economic epicenters in Gulf Cooperation Council due to the presence of significant oil reserves, according to the report. The country is characterized by affluent consumers with high purchasing power at par with most of the developed countries worldwide.
The country's automotive industry has been flourishing at a rapid pace. In addition, the country has been witnessing immense developments in infrastructure in the form of new hotels, commercial complexes, and sky-rise buildings being built. All these factors are creating significant impetus in the country's tire demand.
Since the country experiences extreme climatic conditions throughout the year, vehicle owners need to replace their tire sets frequently, which has been creating tremendous demand in the replacement market, according to the report. However, the country is largely dependent on tire imports from other countries to address the domestic demand for tires.