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Automotive Premium Tires Market Size - By Tire, By Tire Construction, By Rim Size, By Vehicle, By Technology, By Sales Channel, Growth Forecast, 2026 - 2035
Report ID: GMI13382
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Published Date: January 2026
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Report Format: PDF
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Authors: Preeti Wadhwani, Satyam Jaiswal
Premium Report Details
Base Year: 2025
Companies covered: 27
Tables & Figures: 24
Countries covered: 0
Pages: 260
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Automotive Premium Tires Market
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Automotive Premium Tires Market Size
The global automotive premium tires market size was valued at USD 36.5 billion in 2025. The market is expected to grow from USD 38.6 billion in 2026 to USD 67.5 billion in 2035 at a CAGR of 6.4%, according to latest report published by Global Market Insights Inc.
For instance, Bridgestone and Toyota are working together to create high-performance tires specifically designed for Toyota's luxury/performance product line, indicating that OEMs are putting greater emphasis on premium products for luxury/performance vehicles.
Customers are increasingly becoming more attentive to braking performance, wet traction, noise reduction, and stability while driving at high speeds. Premium tires can meet the needs of these customers better than traditional tires because of their unique tread designs and specially engineered rubber compounds, which increases the likelihood that customers will replace their original equipment tires with premium tires and pay a higher price for them.
In North American and European markets, there is an increasing number of older vehicles, and this older vehicle population results in a continuing cycle of replacement tire purchases. More customers purchasing premium vehicles are replacing the original equipment tires with either equivalent or higher-grade premium tires, thus contributing to an increase in aftermarket revenue growth and creation of a stable demand for high-performance tire products.
Premium tires help reinforce the automaker's brand position, driving experience, and perceived vehicle quality, automakers are working closely with tire manufacturers to create tires that are uniquely tuned to the specific vehicle being manufactured; this results in long-term partnerships between automakers and tire manufacturers, increasing the penetration rate of premium tires in the luxury and high-performance vehicle segments.
8.3 % market share
Automotive Premium Tires Market Trends
Manufacturers utilize silica-based compounds, hybrid polymers, and strengthened sidewalls, to achieve a balance of grip, durability, and fuel efficiency. By using these advancements, high-end tire brands can create a diverse range of products with improved performance in wet and dry conditions and longer-lasting tire life. In turn, this gives high-end brands leverage to charge more for their products in original equipment manufacturers (OEM) and aftermarket environments.
The trend with larger wheels, particularly on luxury SUV's and performance-oriented vehicles, has led to an increase in the number of customers looking to purchase low-profile premium tires. Low-profile premium tires provide enhanced aesthetics, provide improved handling, and improved cornering stability; however, they require more advanced engineering, which equates to higher value per unit and a higher cost to replace. As a result, the increase in demand for low-profile premium tires also supports revenue growth for high-end brands.
Foam inserts, optimized tread designs and vibration-dampening elements are becoming increasingly common in premium tires to provide quieter rides. These features reflect the preference of luxury vehicle purchasers for cabin comfort, particularly in premium sedans and SUVs, allowing premium tire manufacturers to strengthen the positioning of their products in both OEM and replacement markets.
Tires designed for Electric Vehicles (EVs) need to support lower rolling resistance, have a higher load capacity, and provide enhanced noise control because EVs carry heavier batteries and operate on quiet powertrains. As such, premium tire manufacturers have begun to create dedicated products for EV applications, providing a new opportunity for growth, and reaffirming the role of premium tires in next-generation mobility.
Goodyear has launched a new electric tire (The Electric Drive 2) designed for use on electric passenger vehicles (like the Tesla Model 3 and Ford Mustang Mach E) in 2024. This tire features a low rolling resistance and identifies EV-specific dynamics to provide further benefits in lowering both sound and heat emissions.
Automotive Premium Tires Market Analysis
Based on tire construction, the automotive premium tires market is divided into radial and bias. The radial dominated the market, accounting for 85% in 2025 and is expected to grow at a CAGR of 6.9% through 2026 to 2035.
Based on tire, the automotive premium tires market is segmented into summer tires, winter tires, all-season tires, all terrain tires and others. Summer tires segment dominates the market with 36% share in 2025, and the segment is expected to grow at a CAGR of 5.1% from 2026 to 2035.
Based on vehicle, the automotive premium tires market is segmented into passenger cars and commercial vehicles. The passenger cars segment dominates the market with 75% share in 2025, and the segment is expected to grow at a CAGR of 5.8% from 2026 to 2035.
Based on distribution channel, the automotive premium tires market is segmented into OEM and aftermarket. The OEM segment is expected to dominate the market with a share of 39% in 2025.
The US automotive premium tires market reached USD 8.18 billion in 2025, growing from USD 7.72 billion in 2024.
North America dominated the automotive premium tires market with a market size of USD 9.9 billion in 2025.
Europe automotive premium tires market accounted for a share of 20.8% and generated revenue of USD 7.59 billion in 2025.
Germany dominates te automotive premium tires market, showcasing strong growth potential, with a CAGR of 3.4% from 2026 to 2035.
The Asia Pacific automotive premium tires market is anticipated to grow at the highest CAGR of 7.6% from 2026 to 2035 and generated revenue of USD 15.1 billion in 2025.
China automotive premium tires market is estimated to grow with a CAGR of 8.9% from 2026 to 2035.
Latin America automotive premium tires market shows lucrative growth over the forecast period.
Brazil automotive premium tires market is estimated to grow with a CAGR of 2.8% from 2026 to 2035 and reach USD 904.7 million in 2035.
The Middle East and Africa automotive premium tires market accounted for USD 1.84 billion in 2025 and is anticipated to show lucrative growth over the forecast period.
UAE market is expected to experience substantial growth in the Middle East and Africa transportation management system market, with a CAGR of 4.2% from 2026 to 2035.
Automotive Premium Tires Market Share
Automotive Premium Tires Market Companies
Major players operating in the automotive premium tires industry are:
Automotive Premium Tires Industry News
The automotive premium tires market research report includes in-depth coverage of the industry with estimates & forecasts in terms of revenue ($ Mn/Bn) and shipments (units) from 2022 to 2035, for the following segments:
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Market, By Tire
Market, By Tire Construction
Market, By Vehicle
Market, By Rim size
Market, By Technology
Market, By Sales Channel
The above information is provided for the following regions and countries: