Smart Tires Market Size, Research, Trends and Forecast

Smart Tires Market Growth Drivers, Challenges and Opportunities

The smart tires market is projected to reach USD 188.68 billion by 2034, growing from USD 105.88 billion in 2025, at a CAGR of 6.63% during the forecast period from 2025 to 2034.

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Introduction

The smart tires market is a crucial segment of the automotive materials industry. This industry deals in manufacturing and distribution of smart tires in different parts of the world. There are different types of tires available in the market comprising of pneumatic tires and non-pneumatic tires. These tires use several technologies including tire pressure monitoring, temperature monitoring, tire thread monitoring, load monitoring and some others. It is available in a well-defined sales channel consisting of OEM and aftermarket. The growing sales of passenger vehicles in different parts of the world has contributed to the industrial expansion. This market is projected to rise significantly with the growth of the tires industry around the globe.

• According to the Transport Environment Organization, around 909566 SUVs were sold in 2022 in UK that increased to 1123741 in 2023.

Highlights of the Smart Tires Market

• Asia Pacific held the dominant share of the smart tires market due to the growing advancements in tire manufacturing sector along with rising sales of automotives in this region.
• North America is expected to grow with a significant CAGR due to the rapid investment in tire industry coupled with increasing adoption of EVs in this region.
• The tire pressure monitoring system segment held the maximum share of the market due to its advantage in preventing accidents and improving fuel efficiency.
• The non-pneumatic tires segment led the industry due to its cost-effectiveness and versatility.

Smart Tires: Stats and Trends

• The tire manufacturing brands have started integrating advanced technologies such as AI, IoT and some others in their production facility to enhance manufacturing capabilities and lessening the faults of the workers.
• The growing consumer preference for premium tires with superior benefits such as better performance, longevity and safety in vehicles.
• According to the Automotive Tyre Manufacturers' Association, around 314.07 lakh commercial vehicle tires were sold in 2022-23.
• According to the U.S. Tire Manufacturers Association, around 331.9 million tires were sold in U.S. during 2023.

Industry Leader Announcement

In December 2024, Laurent Couturier, the RFID system designer at Michelin made an announcement stating that, “RFID technology in tires plays a pivotal role in optimizing operations and enhancing efficiency. This system enables precise, automated tracking of each tire from production to retreading or recycling. The RFID tire-tag improves industrial performance while addressing today’s ecological imperatives. In collaboration with Beontag, we have developed an RFID tag that meets both the economic and environmental challenges of the future, paving the way for new mobility solutions."

Competitive Landscape

The automotive smart tires market is a highly fragmented industry with the presence of numerous dominant players. Some of the prominent players in this industry consists of Continental AG, Bridgestone Corporation, Pirelli, Sumimoto Rubber Industries, Nexen and some others. These companies are constantly engaged in developing high-quality smart tires and adopting several strategies to maintain their dominance in this market.

• According to the annual report of Sumimoto Rubber Industries, the tires segment generated a revenue of 941325 million yen in 2022 that increased to 1007830 million yen in 2023.

Market Segmentations

By Offering

• Pneumatic
• Non-pneumatic

By Vehicle

• Passenger vehicles
• Commercial vehicles

By Technology

• Tire pressure monitoring
• Temperature monitoring
• Tire tread monitoring
• Load monitoring
• Others

By Sales Channel

• OEM
• Aftermarket

By Region

• North America
• Europe
• Asia Pacific
• Latin America
• Middle East and Africa