New Report Values UK Tyre Market at £1.36 Billion
The latest report released by Dublin based company Research and Markets indicates that the UK market for tyres and tubes was worth an estimated £1.36 billion at manufacturers’ selling prices in 2007. This figure represents a 5 per cent increase over the previous year and 15.3 per cent on the market in 2003. Local production continues to decline but is more than compensated by strong exports.
The report provides detail on the steady and ongoing reduction in the number of companies engaged in the manufacture of tyres and tubes in the UK and also in the number involved in the retreading sector. Some of this reduction, it adds, results from the decisions of the major multinational tyre manufacturers to close some of their UK plants, while a number of the smaller manufacturers have also left the market because of its highly competitive nature. The value of the UK tyre industry is forecast to show slow but steady growth between 2008 and 2012. However, most of this expansion will be supported by further imports and UK domestic tyre production is likely to decline further. The strength of the UK economy, increases in the cost of raw materials, the manufacturing output of the UK vehicle industry and the impact on the UK market of global tyre industry trends are all tipped to affect the UK tyre industry over this five-year period.