The Grip That Drives India: Tyre
Replacement Market Revealed
It’s very interesting to note that India is the largest two-wheeler market in the world and a rapidly growing hub for three-wheelers. With over 250 million two-wheelers and 10 million three-wheelers currently plying Indian roads, the tire replacement market for these segments is emerging as a critical revenue stream for tyre manufacturers.
Unlike the Original Equipment (OE) segment, which deals with factory-fitted tyres in new vehicles, the replacement market is consistent, recurring, and largely consumer-driven. This blog post dives deep into the different section for understanding the current market leaders, the state-wise and tire-size-wise share and the total potential of the two-wheeler and three-wheeler tire replacement markets in India.
Section 1: Understanding the Replacement Market
What is the Replacement Market?
The replacement tire market refers to tyres sold for
vehicles already in use, usually when the original tires wear out. It includes:
v
Retail sales
v
Fleet and institutional buyers
v Online platforms
Why It Matters?
v
Steady Demand: Tires typically
require replacement every 2-4 years for two-wheelers and every 1.5-2 years for
commercial three-wheelers.
v
Higher Margins: Compared to OE
tires, the margins in replacement markets are higher.
v Brand Loyalty: Consumers often switch to other brands in this segment, offering new players and quality brands a chance to gain market share.
Section 2: Total Potential of Two- & Three-Wheeler Tire Replacement Market in India
Two-Wheelers
v
Total Vehicles on Road (2024):
~250 million
v
Average Tire Life: 2.5 years
v Tires Per Vehicle: 2
📈 Estimated Annual Replacement Potential
v Total tires = (250 million / 2.5) × 2 = 200 million tires/year
Three-Wheelers
v
Total Vehicles on Road (2024):
~10 million
v
Average Tire Life: 1.5 years
(due to higher commercial usage)
v Tires Per Vehicle: 3
📈 Estimated Annual Replacement Potential
v Total tires = (10 million / 1.5) × 3 = 20 million tires/year
Combined Potential
🔍 Total Replacement Market Size: ≈ 220 million tires annually
This number continues to grow with increased vehicle sales and the rise of e-commerce, rural connectivity, and last-mile delivery vehicles.
Section 3: Market Leaders – Replacement Segment
🏆 Leading Tire Companies in Replacement Market
Based on industry data from FY 2023–24:
Rank |
Brand |
Approx.
Market Share |
1 |
MRF |
26% |
2 |
CEAT |
20% |
3 |
TVS Eurogrip |
18% |
4 |
JK Tyres |
9% |
5 |
Ralco(Ralson) |
8% |
6 |
Apollo |
6% |
7 |
Others |
13% |
These first six brands dominate
because of:
v
Strong
dealer networks
v
Extensive
rural reach
v
Reputation
for quality & affordability
v
High
availability across cities and villages
Section
4: State-Wise Market Share Analysis
Here is a state-wise market
potential estimate based on the number of registered two & three-wheelers,
per the Ministry of Road Transport data and regional RTO data.
State |
Approx.
Share of India’s Total 2W & 3W Population |
Market
Share in Replacement (%) |
Uttar Pradesh |
12% |
13% |
Maharashtra |
10% |
11% |
Tamil Nadu |
9% |
9% |
Karnataka |
8% |
8% |
Rajasthan |
7% |
7.5% |
Gujarat |
7% |
7% |
Bihar |
6% |
6.5% |
West Bengal |
6% |
6% |
Andhra Pradesh |
5% |
5% |
Madhya Pradesh |
5% |
5.5% |
Telangana |
4% |
4% |
Punjab |
3.5% |
3.5% |
Haryana |
3.5% |
3.5% |
Others |
13% |
10.5% |
States with high rural populations
like Uttar Pradesh, Bihar, and Rajasthan see frequent tyre
replacements, especially in three-wheelers used for transport and delivery.
Section
5: Tyre Size-Wise Segmentation
📏
Popular Two-Wheeler Tyre Sizes in India
Size
(in inches) |
Common
Use |
Market
Share (%) |
2.75-18 |
Older motorcycles (Splendor, etc.) |
8% |
3.00-18 |
Commuter motorcycles |
20% |
90/90-17 |
Mid-range bikes (FZ, Apache, etc.) |
5% |
100/90-17 |
Premium commuters |
6% |
80/100-18 |
Entry-level & scooters |
8% |
90/100-10 |
Scooters (Activa, Jupiter, etc.) |
48% |
Others |
High-end/sports bikes |
5% |
📏
Popular Three-Wheeler Tyre Sizes
Size
(in inches) |
Common
Use |
Market
Share (%) |
4.00-8 |
Electric & passenger autos |
10% |
4.50-10 |
ICE-powered autos |
35% |
5.00-10 |
Load carriers (cargo) |
15% |
4.00-10 |
Passenger & mini goods |
35% |
Others |
5% |
Smaller rim sizes dominate the
scooter and auto-rickshaw segment, whereas mid-range bikes still use 17–18-inch
tyres for better balance and durability.
Section
6: Trends Shaping the Market
1.
Electric Two & Three-Wheelers
v
New EV scooters and rickshaws often
have different load characteristics, needing specially designed tyres.
v
Replacement demand for EV tyres is
growing at 18–20% CAGR.
2.
Rural Penetration
v
60% of India’s two-wheelers are in Tier
3 towns and villages.
v
Rural consumers prefer long-lasting
tyres, hence brands like MRF and TVS dominate there.
3.
Digital Tyre Buying
v
Digital sales picking up with platforms like TyrePlex, Tyre Market,
and Amazon Auto, the online share in the replacement market is rising.
v
Urban users now research, compare,
and purchase tyres online for convenience.
4.
Retreading Not Common
v
Retreading is popular in truck tyres
but not in two- or three-wheelers due to lower cost of new tyres.
Section
7: Challenges in the Replacement Market
Challenge |
Impact |
Dominance of Unorganized Sector |
Around 30% of sales are via small
dealers pushing cheaper brands |
Price Sensitivity |
Consumers often go for low-price
over quality in rural areas |
Lack of Consumer Awareness |
Not all users replace tyres on
time; they use them till they burst |
Inventory Management for Retailers |
Wide size range requires large
inventory |
To succeed, manufacturers must educate,
engage, and enable the end-user while strengthening the channel
partners.
Section
8: Forecast for the Next 5 Years
v Growth Rate: 6–8%
in the replacement tyre volume for two & three-wheelers.
v
Market
Size: Expected to cross 300 million
tyres/year by 2030.
v
Rise of
Premium Brands: Consumers in urban areas are
shifting towards brands that offer better mileage and grip.
Conclusion
The two and three-wheeler tyre
replacement market in India is not just large—it’s a goldmine for tyre
manufacturers. With over 220 million tyres sold annually, strong
state-wise and size-wise preferences, and consumer loyalty shifts, it offers a huge
revenue opportunity.
Brands that invest in:
v
Regional
marketing
v
Strong
distribution
v
Digital
presence
v
Product
innovation (EV tyres, long-life rubber)
All these factors are very important and will
emerge as the future leaders in this segment.
Whether you’re a manufacturer,
dealer, or auto enthusiast, understanding this market gives a strategic edge in
a growing economy where two and three-wheelers remain the backbone of mobility.
Disclaimer
This blog post is based on industry
estimates, government data, and publicly available information as of 2024–25.
Market figures are calculated on approximations and may vary based on changing
consumer behavior, regulations, and new vehicle registrations.
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