The Latin America, Middle East and Africa Green Tire Market would witness market growth of 10.2% CAGR during the forecast period (2023-2030).
As society becomes increasingly environmentally conscious, consumers and automakers seek ways to reduce their carbon footprint. These are seen as a tangible and accessible means to achieve this goal, as they contribute to lower fuel consumption and reduced greenhouse gas emissions. Government laws that are strict on emissions and fuel economy have been a significant factor in the development of green tires.
Moreover, green tires are synonymous with improved fuel efficiency. With rising fuel prices and a desire for cost savings, consumers gravitate towards tires that help them get more miles per gallon, reducing fuel consumption's environmental impact and expenses. Today's consumers are more informed and eco-conscious than ever before. They actively seek sustainable products, including green tires, to align their purchasing decisions with environmental values.
Brazil’s National Policy on the Environment creates liability for environmental damage. The rules of strict liability and integral compensation of environmental damage allow for the recovery of costs incurred by exceptional public action in events involving accidental pollution. As per one of the reports by the OECD-Brazil project, vehicle retail sales are subject to a federal tax on manufactured products (IPI tax), which has been partially aligned with environmental factors since 2018. For light-duty vehicles, the tax rate varies between 7% and 25%, depending on the vehicle’s fuel type, weight, engine size, and energy efficiency. Diesel light-duty vehicles are subject to the highest rate (25%); petrol vehicles to 7% to 25% rates; and electric, hybrid, and flexible cars to 7-20% rates. These factors will help boost adoption and demand in the LAMEA region.
The Brazil market dominated the LAMEA Green Tire Market by Country in 2022, and would continue to be a dominant market till 2030; thereby, achieving a market value of $1,055.6 million by 2030. The Argentina market is experiencing a CAGR of 10.8% during (2023 - 2030). Additionally, The UAE market would exhibit a CAGR of 9.9% during (2023 - 2030).
Based on Type, the market is segmented into On-road Tires, and Off-road Tires. Based on Application, the market is segmented into Passenger Cars, and Commercial Vehicle. Based on Sales Channel, the market is segmented into OEM, and Aftermarket. Based on Tire Size, the market is segmented into 15 inch, 16 inch, 17 inch, and 18 inch. Based on countries, the market is segmented into Brazil, Argentina, UAE, Saudi Arabia, South Africa, Nigeria, and Rest of LAMEA.
Free Valuable Insights: The Worldwide Green Tire Market is Projected to reach USD 59.3 Billion by 2030, at a CAGR of 8.4%
The market research report covers the analysis of key stake holders of the market. Key companies profiled in the report include Zhongce Rubber Group Co., Limited, Toyo Tire Corporation, Nokian Tyres plc, MRF Limited, Continental AG, Bridgestone Corporation, Pirelli & C. S.p.A., The Goodyear Tire & Rubber Company, Hankook Tire & Technology and The Yokohama Rubber Co., Ltd.
By Type
By Application
By Sales Channel
By Tire Size
By Country
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