TheTwo- & Three-Wheeler Tyre Grip That Drives India: Inside the Replacement Market

 

The Two- & Three-Wheeler Tyre Grip That Drives India: Inside the Replacement Market

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 Euro grip	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: Tire Size-Wise Segmentation

📏 Popular Two-Wheeler Tire 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 Tire 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 tires, hence brands like MRF and TVS dominate there.

3. Digital Tire Buying

v Digital sales picking up with platforms like Tyre Plea, 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 tire 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 tire replacement market in India is not just large—it’s a goldmine for tire manufacturers. With over 220 million tires 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. Market figures are calculated on approximations and may vary based on changing consumer behavior, regulations, and new vehicle registrations.