Robust economic growth, rising automobile sales and favourable government policies will drive Saudi Arabia’ tyre industry to grow at a CAGR (compounded annual growth rate) of over 13 per cent by 2020, a report said.

Since 2010, passenger car tyre segment has continued with its dominance in Saudi Arabia tyre market, followed by commercial vehicle tyre segment, added the recently released report "Saudi Arabia Tyre Market Forecast & Opportunities, 2020” by TechSci Research, a research based global management consulting firm.

In 2014, the country's central region accounted for the largest share in the tyre market, followed by western, eastern, southern and northern region of Saudi Arabia.

Considering the growth opportunities existing in these regions, the government of Saudi Arabia is also promoting various infrastructural projects and developments, resulting in growth in demand for vehicles as well as tyres in the country.

Bridgestone, Continental, Goodyear, Michelin and Yokohama are some of the prominent tyre manufacturing companies having strong presence in Saudi Arabia's organized tyre market, the report said.

"Increasing infrastructure and development projects, declining tyre replacement cycle and rising commercial vehicle sales are expected to positively influence the tyre market in Saudi Arabia over the next five years,” said Karan Chechi, research director with TechSci Research.

“Moreover, favourable government policies and surging foreign investments in automotive sector are anticipated to fuel the demand for vehicles in the country, which would boost tyre sales in Saudi Arabia in the coming years."

The evaluates the future growth potential of Saudi Arabia tyre market and provides statistics and information on market structure, imports and future growth of Saudi Arabia tyre market. – TradeArabia News Service