Updated Mar 1, 2023 09:32

Passenger Car Tyre Market in Brazil

Market Overview
The Brazilian passenger car tyre market reached $ in , growing by % against the previous year. This figure reflects the total revenues of producers and importers (excluding logistics costs, retail marketing costs, and retailers' margins, which will be included in the final consumer price). In general, the total consumption indicated perceptible growth from 2007 to : its value increased at an average annual rate of +% over the last fifteen years. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on figures, consumption increased by +% against indices. Over the period under review, the market hit record highs at $ in 2013; however, from 2014 to , consumption remained at a lower figure.

In value terms, passenger car tyre production amounted to $ in estimated in export price. The total output value increased at an average annual rate of +% from 2007 to ; the trend pattern indicated some noticeable fluctuations being recorded throughout the analyzed period. The pace of growth was the most pronounced in 2008 with an increase of % against the previous year. Passenger car tyre production peaked at $ in 2013; however, from 2014 to , production failed to regain momentum.


Consumption
Passenger car tyre consumption in Brazil rose sharply to units in , picking up by % against . The total consumption volume increased at an average annual rate of +% over the period from 2007 to ; however, the trend pattern indicated some noticeable fluctuations being recorded in certain years. Passenger car tyre consumption peaked at units in 2013; however, from 2014 to , consumption remained at a lower figure.

The revenue of the passenger car tyre market in Brazil expanded notably to $ in , growing by % against the previous year. This figure reflects the total revenues of producers and importers (excluding logistics costs, retail marketing costs, and retailers' margins, which will be included in the final consumer price). Overall, the total consumption indicated a notable increase from 2007 to : its value increased at an average annual rate of +% over the last fifteen-year period. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on figures, consumption increased by +% against indices. Over the period under review, the market hit record highs at $ in 2013; however, from 2014 to , consumption failed to regain momentum.


Market Forecast
Driven by increasing demand for tyres for motor cars in Brazil, the market is expected to continue an upward consumption trend over the next eight years. Market performance is forecast to decelerate, expanding with an anticipated CAGR of +% for the period from to , which is projected to bring the market volume to units by the end of .

In value terms, the market is forecast to increase with an anticipated CAGR of +% for the period from to , which is projected to bring the market value to $ (in nominal prices) by the end of .


Market Structure
Driven by a growing demand, the share of imports in total supply in Brazil increased significantly over the last fifteen years (from % to %).


Trade Balance
Brazil remains a net importer of passenger car tyre; in physical and value terms, imports consistently exceeded exports from 2007 to . In , there was a significant trade deficit of units, which was equal to $. This tangible trade deficit reflects the fact that the market remains dependent on imports, which is likely to continue in the medium term.