February 25, 2024

Rising Demand For Commercial Vehicles Is Expected To Fuel Growth Of The Bead Wire Market

Market Overview:

Bead wire is a specialized steel wire used for producing pneumatic tyres. It is a key component in the construction of steel-cord reinforced tyres used in commercial vehicles, off-road machinery, and passenger cars. Bead wire ensures proper seating and sealing of the tyre bead on the wheel rim. It provides strength and balancing to tyres to withstand high loads and heavy-duty applications. The growing commercial vehicle production and fleet is driving the demand for tyres using bead wire reinforcement.

Market key trends:

One of the key trends in the bead wire market is the focus on lightweighting. Manufacturers are developing lightweight bead wire variants made from high-strength steel alloy coatings to reduce tyre weight without compromising on load-bearing capacity and durability. This improves fuel efficiency of vehicles. Another trend is the introduction of self-lubricating coated bead wire to facilitate smoother bead seating and easy demounting of tyres. Specialized variants for niche applications such as mining tyres and agriculture machinery tyres are also gaining traction.

Porter’s Analysis
Threat of new entrants: The threat of new entrants is moderate as the bead wire market requires huge capital investment and technology. Global players dominate the market making it difficult for new players to establish.
Bargaining power of buyers: The bargaining power of buyers is high due to availability of substitutes. Buyers can shift to other substitutes easily if supplier try to increase prices.
Bargaining power of suppliers: The bargaining power of suppliers is moderate as key raw materials steel wire and copper are globally available and procurement not an issue.
Threat of new substitutes: The threat of new substitutes is low as bead wire has no close substitute and meets industry requirements.
Competitive rivalry: is high as the market is dominated by top global players.

Key Takeaways
The Global Bead Wire Market Demand is expected to witness high growth, exhibiting CAGR of 3.7% over the forecast period, due to increasing automotive production globally.

Regional analysis: Asia Pacific dominates the bead wire market and is expected to continue dominance during the forecast period. China is the largest producer and consumer of automobiles globally driving huge demand for bead wire in the region.

Key players operating in the bead wire market are Bekaert, Kiswire, Rajratan Global Wire, Shandong Daye, Snton Steel, ArcelorMittal, Hyosung, Tokusen Kogyo, Heico Wire Group, TATA Steel. Key players are focusing on new product development and capacity expansion to cater growing demand.

Note:

  1. Source: Coherent Market Insights, Public sources, Desk research
  2. We have leveraged AI tools to mine information and compile it