A tyre is a rubber-covered circular vehicle component that protrudes from the outside of the wheel rim. The tyre's principal function is to protect the wheel rim while also transmitting tractive force between the vehicle and the road surface. Because it is constructed of rubber, it also acts as a flexible cushion, reducing vibrations and absorbing stress from the vehicle. A rubber tyre consists of tread, jointless cap piles, beads, synthetic rubber, carbon black, and fabric.
Kenya Two-Wheeler Tire Market Driving Factors and Challenges
Driving Factors- Increasing Two-Wheeler Sales Due to High Unemployment will drive the market - Kenya's high unemployment rate encourages people to start their own businesses and work in the informal sector. Many unemployed people turn to activities like motorbike taxis, courier services, and small-scale businesses for cash. As a result, there is an increasing demand for two-wheelers to facilitate these informal economic operations. According to the World Bank, Kenya's boda boda (motorcycle taxi) sector employs more than 1.5 million young people and contributes approximately USD 1.4 billion to the economy each year. The high utilisation of motorcycles and scooters directly drives market demand for tyres.
Challenges-
Large Variations in the Price of Raw Materials: Kenya's tyre business is hampered by unpredictable raw material costs, increased input costs caused by a scarcity of natural rubber, and rising oil prices. Crude oil influences the prices of practically all raw materials because crude oil is the source of their production. The majority of the cost is attributed to the raw materials used in tyre production, which are primarily synthetic and natural rubber. Crude oil prices have recently risen dramatically across the country. As a result, it is expected that the cost of synthetic rubber and other raw materials used in tyre manufacturing would rise in the future years.
Impact of COVID-19 on Kenya Two-Wheeler Tire Market
The COVID-19 pandemic had an impact on Kenya's tyre industry, which limited the growth of various sectors. The government implemented tight mobility restrictions, lockdowns, and cross-border trade restrictions in an attempt to curb the spread of this horrible disease. These measures confronted the market with a number of previously unheard-of challenges. Trade restrictions have a significant impact on tyre availability in Kenya since tyres are primarily imported into the country.
Kenya Two-Wheeler Tire Market Key Players:
The market study provides market data by competitive landscape, revenue analysis, market segments and detailed analysis of key market players such as Bridgestone Corporation, Michelin, Continental AG, Yokohama TWS (Mitas), Pirelli Tyre S.p.A, Dunlop Tyres, MRF, Shinko Tyres, CEAT.
Kenya Two-Wheeler Tire Market Segmentation:
By Vehicle Type: Based on the Vehicle Type, Kenya Two-Wheeler Tire Market is segmented as; Scooter & Moped, Motorcycle.
By Demand Type: Based on the Demand Type, Kenya Two-Wheeler Tire Market is segmented as; OEMs, Replacement.
By Price Category: Based on the Price Category, Kenya Two-Wheeler Tire Market is segmented as; Budget, Economy, Premium.
By Tire Type: Based on the Tire Type, Kenya Two-Wheeler Tire Market is segmented as; Radial, Bias.
By Sales Channel: Based on the Sales Channel, Kenya Two-Wheeler Tire Market is segmented as; Online, Multi-brand Stores, Exclusive Outlets, Direct.
By Region: This research also includes data for Eastern, Northern, Southern, Western.
This study also encompasses various drivers and restraining factors of this market for the forecast period. Various growth opportunities are also discussed in the report.