UAE OTR Tire Market Competition Forecast & Opportunities, 2026: Dubai

DUBLIN, February 21, 2022–(BUSINESS WIRE)–The “UAE OTR Tire Market, By Vehicle Type (Agriculture, Construction, Mining, Material Handling, Ports, Forestry and Others), By Demand Category, By Rim Size, By Tire Construction, By Region, Competition Forecast & Opportunities, 2026” report has been added to ResearchAndMarkets.com’s offering.

The UAE OTR Tire Market was valued USD88.84 million in 2020, in value terms, and is expected to grow at a CAGR of 6.79% in the forecast period, 2022-2026 to reach USD136.01 million by 2026.

OTR tires provide higher traction over rough surfaces and provide enhanced vehicle performance, high heat and rolling resistance, higher mobility, and durability, among other benefits, and therefore are in high demand in the UAE. The rise in the initiatives taken by the leading authorities to promote the infrastructural development of the country such as the Abu Dhabi Metro project to boost the economic status is expected to increase the demand for medium and heavy commercial vehicles.

The government is making efforts to diversify the income sources to generate alternative income sources to stabilize the economic position of the country which in turn is fueling the UAE OTR Tire Market growth. The surge in the efforts made by the market players to increase the dealerships and the introduction of novel tires to attract more customers is expected to influence the market growth. The growth of the agricultural sector is increasing the demand for tractors and agricultural vehicle equipment. The growing trend of adoption of automation technologies to carry out manual tasks during agricultural tasks which are cost-effective and provide higher efficiency is contributing to the increased OTR demand in the gulf country.

The UAE OTR Tire Market is segmented into vehicle type, demand category, rim size, tire construction, regional distribution, and company. On the basis of tire construction, the market is categorized into radial and bias. Among them, the radial tires segment is projected to advance with the faster growth rate in the market. Radial OTR tire penetration in the market is gaining momentum across the country, due to features such as better control, high durability and better fuel efficiency as well as enhanced load carrying capacity. Although radial OTR tires come at a higher price as compared to the bias OTR tires, UAE is witnessing an increase in the demand for radial tires as they are more durable and thus, have high replacement time as compared to bias tires.

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Moreover, all major tire manufacturers are emphasizing on restructuring and expanding their production facilities to cater to the rising demand for OTR radial tires. Owing to this, the demand for radial OTR tires is expected to swell over the next five years.

On the basis of regional analysis, Dubai is expected to account for major market share during the forecast period, 2022-2026. The rise in the initiatives of the leading authorities to transform Dubai…