Tire Yarn: Introduction
- Yarn plays a major role in the production of fabric. Yarn is primarily used in the manufacture of textile materials, which are further processed to form fabric. It is often made by the twisting of fibers such as polyester, nylon, and aramid. Two or more fibers can be combined in order to make tire yarn of better properties. Tire yarn offers properties such as excellent tensile strength and thermal resistance. Therefore, tire yarn is used in the production of tire cords. Tire cord is formed by twisting two or more plied yarns. Tire cord is used in the production of tires. It is primarily used as reinforcement in order to retain the shape of tire.
- Based on type, the global tire yarn market can be segmented into nylon 6, polyester, polyamide, and others (including polyethylene terephthalate [PET]). The polyamide segment is expected to hold major share of the global market in the near future. Polyamide-based tire yarn is often made with heat resistant additives. This makes it an ideal material in formulation of automotive tires. The polyester segment is likely to offer lucrative opportunities to the global tire yarn market in the near future.
Growth in Demand for Tire Yarn in Automotive Industry to Boost Market
- Global demand for electric vehicles has been increasing compared to that of fuel-based vehicles due to the rise in concerns about environmental protection. Several countries are planning to reduce their dependence on crude oil. They are focusing on building infrastructure for the production of electric vehicles. This is projected to boost the production as well as consumption of tire and its components. In turn, this is expected to augment the consumption of tire cord in the manufacture of tires. Tire yarn is extensively used in the production of tire yarn due to its high tensile strength and thermal resistivity. This is likely to drive the tire yarn market between 2020 and 2030.
Impact of COVID-19 on Global Tire Yarn Market
- The global economy witnessed production slowdown in 2019. At the start of 2020, the production of automotive decline due to the onset of the COVID-19 pandemic. The pandemic has increased the risk of recession across the globe. Before this pandemic, demand for automobiles was already sluggish, due to automobile overproduction and stocking by companies.
- Several consumers are embracing the ‘Wait and Watch’ attitude to buy cars. This has hampered the production of automotive vehicles across the globe. In turn, this has adversely affected the production and consumption of tires, thereby hampering the production of tire yarn during the second and third quarter of 2020. However, the automotive sector is gaining momentum in countries such as India, owing to increase in income of the middle class population. This has led boosted the purchasing power of consumers in the country. In turn, this is anticipated to propel the tire yarn market.
Asia Pacific to Hold Major Share of Global Tire Yarn Market
- In terms of region, the global tire yarn market can be split into North America, Europe, Asia Pacific, Latin America, and Middle East & Africa
- Asia Pacific held major share of the global market in 2019, owing to presence of a large number of producers in the region. Growth in environmental awareness and increase in government support to boost electric car sales in the region are expected to drive the demand for tire cord in the production of tires in the near future. China and Japan are facing severe issues pertaining to increase of CO2 emissions. Therefore, governments of these countries are encouraging the adoption of electric vehicles. This is expected to act as an alternative in decreasing CO2 emissions from petrol and diesel engine based cars. Furthermore, economies in Asia Pacific are focusing on reducing their dependence on fossil-fuel-based vehicles by promoting electric cars. This is likely to boost the demand for tire yarn, particularly for automotive applications in Asia Pacific, during the forecast period.
- Latin America and Middle East & Africa are expected to hold marginal share of the global market during the forecast period. Low share of the market can be ascribed to the presence of few producers of tire yarn in these regions. In Global producers have diversified sales channel for the supply of tire yarn across these regions.
Key Players Operating in Market
The global tire yarn market is highly consolidated, with the presence of a few players. Major players operating in the global tire yarn market include:
- Kordsa Teknik Tekstil AS
- Shenma Industrial Co., Ltd.
- Hyosung Corporation
- Indorama Ventures PLC
- Asahi Kasei Corporation
- Kolon Industries Inc.
Global Tire Yarn Market: Research Scope
Global Tire Yarn Market, by Type
- Nylon 6
- Polyamide 6
- Polyamide 6.6
- Others (Polyethylene Terephthalate [PET], etc.)
Global Tire Yarn Market, by End-use Industry
- Light Commercial Vehicles (LMVs)
- Heavy Commercial Vehicles (HCVs)
Global Tire Yarn Market, by Region
- North America
- Russia & CIS
- Rest of Europe
- Asia Pacific
- Rest of Asia Pacific
- Latin America
- Rest of Latin America
- Middle East & Africa
- South Africa
- Rest of Middle East & Africa
This study by TMR is all-encompassing framework of the dynamics of the market. It mainly comprises critical assessment of consumers' or customers' journeys, current and emerging avenues, and strategic framework to enable CXOs take effective decisions.
Our key underpinning is the 4-Quadrant Framework EIRS that offers detailed visualization of four elements:
- Customer Experience Maps
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The study strives to evaluate the current and future growth prospects, untapped avenues, factors shaping their revenue potential, and demand and consumption patterns in the global market by breaking it into region-wise assessment.
The following regional segments are covered comprehensively:
- North America
- Asia Pacific
- Latin America
- The Middle East and Africa
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Below is a snapshot of these quadrants.
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The report sheds light on various aspects and answers pertinent questions on the market. Some of the important ones are:
1. What can be the best investment choices for venturing into new product and service lines?
2. What value propositions should businesses aim at while making new research and development funding?
3. Which regulations will be most helpful for stakeholders to boost their supply chain network?
4. Which regions might see the demand maturing in certain segments in near future?
5. What are the some of the best cost optimization strategies with vendors that some well-entrenched players have gained success with?
6. Which are the key perspectives that the C-suite are leveraging to move businesses to new growth trajectory?
7. Which government regulations might challenge the status of key regional markets?
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