Driven by increasing commercial vehicles production globally and the demand for enhancing the fuel efficiencies of commercial vehicles, the global automatic tyre inflation system market is projected to reach US$ 2029.9 million by 2025.
According to the new market research report - Automatic Tyre Inflation System Market 2025 - Global Analysis and Forecasts by vehicle type and distribution channel, published by The Insight Partners, the global automatic tyre inflation system market was valued at $988.6 million in 2017 and is expected to grow at a CAGR of 9.7% from 2019 to 2025.
The market growth is mainly attributed to the surge in demand for enhancing fuel efficiency and favourable government regulation. The demand for commercial vehicles has significantly increased over the years. Simultaneously, with the increase in vehicle production, the requirement for technologies that optimise the fuel efficiency of vehicles is also experienced by the vehicle and component /accessories manufacturers. The fuel efficiency depends on various factors such as engine performance, distance travelled, and tyre condition. Underinflated tyres create a larger surface area between the road or ground and tyre, enhancing smoother manoeuvrability. However, this increases the resistance power of rolling tyres, which reduces fuel economy and wears out the tyres. Continuous monitoring and correcting the tyre pressure helps in ensuring optimum vehicle performance. However, the growth is expected to normalise from 2018 onwards, and the market is projected to grow at a steady pace, the research firm said.
North America led the automatic tyre inflation system market in 2019. The market growth in this region is mainly attributed to the growing retail sales in the US and Canada. The demand for heavy-duty commercial vehicles and heavy-duty military vehicles is at an all-time high in the region, owing to the increased logistics and transportation activities in the US, Canada, and Mexico. The increased demand for logistics and transportation has led the region to witness a significant rise in the sales of trucks, trailers, and other heavy-duty vehicles in recent years. The increased fleet of trucks, trailers and other commercial vehicles has also led the region to experience numerous crashes and accidents, Insight Partners said.
According to the National Highway Traffic Safety Administration (NHTSA), US, these accidents are mainly caused by underinflation of vehicle tyres or over pressurisation of the tyres.
Low Initial Cost
According to the report, the low initial cost and easy return on investment augment the automatic tyre inflation system market.
The automatic tyre inflation system is an advanced technology that several commercial vehicle manufacturers adopt across the globe to integrate the same on the vehicles. Owing to the considerable increase in demand for commercial vehicles, the manufacturers are increasing their production line and integrating their trucks with various advanced technologies. The advanced technologies possess multiple advantages, and therefore, consumers are increasingly integrating the automatic tyre inflation system into their existing vehicles.
Another major factor boosting the market growth is the low initial cost with easy return on investments. The easy return on investment facilitates the customers to gain back the invested amount within 10–12 months. This factor is also influencing the consumers of commercial vehicles to install tyre self-inflators on their new and existing vehicles, which is fueling the growth of the market.
Continental, Dana, Meritor, Stemco Products and Hendriksson are the five key market players in the global automatic tyre inflation system market ecosystem. Also, Pressure Guard Systems, Haltec Corporation, Aperia Technologies, Tyre Pressure Control and Michelin are among the other notable players operating in the automatic tyre inflation system market.
Segments
Based on vehicle type, the global automatic tyre inflation system market is segmented into utility vehicles, tractors, and heavy-duty vehicles. The heavy-duty vehicle segment comprises both the commercial sector and the military sector. The global automotive industry is experiencing significant demand for heavy-duty vehicles due to a substantial rise in logistics and transportation in commercial and military sectors. As a result, the sales of heavy-duty vehicles in the US and Canada and various European and Asian countries have been increasing rapidly in recent years, and the trend is anticipated to continue in the coming years. In addition, several technological innovations are being carried out in the market with the help of government and private funding, resulting in increased adoption of robust technologies among the OEMs and end-users, the research firm noted.
Courtesy: Insight Partners. NB: Photo is representational; courtesy: Continental.