Update: European replacement tire market continues on downward track

Brussels, 21 November 2023 – The European Tyre and Rubber Manufacturers’ Association (ETRMA)has reported significant declines across all replacement tire market segments in the third quarter of 2023.

European sales data from ETRMA member companies “confirms a negative market trend,” which began in the same quarter of last year, according to a 21 Nov release from the association.

Over the three months to end of September, sales of consumer replacement tires registered a 6% year-on-year decline – despite a positive trend in vehicle registrations.

Meanwhile, demand in Europe for replacement truck & bus tires segment fell by 7 % year-on-year, the latest figures from Brussels-based ETRMA show.

Hardest hit, however, were the agricultural and ‘moto & scooter’ tire markets, with declines of 21% and 20% respectively, compared to last year.

“The downturn in the market reflects a complex interplay of factors, such as the continued increases in the cost of raw materials, energy,
logistics, and labour,” commented Adam McCarthy, secretary general of the ETRMA.

“This inflationary landscape has led to a significant drop in demand, which is likely causing a corresponding reduction in inventory,” added McCarthy.

A further issue, noted the ETRMA, is that the “replacement pool market is likely losing market share to non-pool tire manufacturers.”

ETRMA members’ tire sales in Europe: Q3 2023

*Passenger car, SUVs and light commercial vehicles.  Source: Europool / ETRMA