Russian truck tire market — great prospects for foreign manufacturers and suppliers

The truck tire market in Russia has been undergoing significant changes in recent years, which foreign manufacturers and suppliers can use to their advantage.

In just under three years, many European, Japanese, and American manufacturers and suppliers of motor vehicles have left Russia. Well-known tire manufacturers have also abandoned the Russian market: Goodyear, Continental, Bridgestone, Michelin and others. At the same time, the withdrawal of Western companies opened new opportunities for those brands that previously could not develop in the Russian market due to high competition.

Truck tire market: key prerequisites for growth

Trade growth and development of the logistics market

The Russian logistics market is actively developing and expanding due to increasing international trade with key partners such as China, India, and Turkey. Thus, in 2023, the trade turnover between Russia and China broke a record, increasing by 26.3% to $240.11 bln. The trade turnover between Russia and India also became a record - at the end of 2023 it amounted to $65 bln. The trade turnover between Russia and Turkey in 2023 amounted to $55.4 bln.

Increasing trade volumes lead to the transformation of the logistics market and, as a result, to an increase in demand for transportation equipment. According to the trucking portal ATI.SU, in August 2023, the number of cargoes declared for transportation in Russia was seven times higher than the number of trucks offered for transportation. Due to the development of the logistics market, Russian companies are looking for alternative suppliers of vehicles and tires to cover their needs. In 2023 the Russian tire market grew by 15%, with 55 million tires sold for all types of vehicles.

Growth in commercial vehicle purchases

The growth of the truck tire market in Russia is largely due to the increase in sales of Chinese vehicles. Russian companies began to actively import Chinese trucks in response to the cessation of deliveries by Western companies. The shift from European to Chinese brands and record truck sales are opening up new market opportunities for truck tire manufacturers and suppliers.

In 2023, more than 144 thousand heavy trucks were sold in Russia, which was a record. At the same time, Chinese brands occupied half of the market: Sitrak (17%), Shacman (14%), FAW (11%), Howo (5%), Foton (4%), Dongfeng (3%), JAC (2.5%). As a consequence, the number of vehicles in need of tires has increased. Chinese manufacturers, with modern technologies and competitive prices, have become significant players in the market. Now they not only supply vehicles, but also provide tires for the growing fleet of vehicles, which is confirmed by statistics - in January-September 2023, 95% of Russian imports of truck tires came from Asian countries.

Lifting and storage equipment market growth

Russia is actively building warehouses - in January-September 2024, the country added 1.5 million square meters of new warehouse space. At the same time, the demand for high-quality and modern warehouse equipment is growing. Thus, according to the results of the first half of 2024, sales of electric stackers increased by 50%, the demand for electric trucks increased by 75%, and the demand for reach trucks increased by 55%. Sales of forklifts remained at a high level, which confirms the interest in this type of equipment on the part of owners and tenants of warehouse and production facilities. Warehouse equipment is already in need of tires.

Russian truck tire market outlook

The Russian truck tire market will remain promising in 2025 and is highly likely to continue its growth. This will be facilitated, firstly, by an increase in the supply of trucks and, secondly, by the development of the trucking market. Experts predict that by the end of 2024, the number of Chinese commercial vehicles in Russia will reach 200 thousand units, and the freight transportation market will grow by more than 10%, largely due to road freight transportation.

Thus, the withdrawal of Western companies from the Russian market has created many empty niches. In this situation, those companies that can quickly fill the vacuum with their offer - a wide range of truck tires at a competitive price - are the winners.

How to enter the Russian truck tire market?

Participation in an industry exhibition is a quick and easy way to enter and gain a foothold in the promising Russian truck tire market. The largest and most representative exhibition in this industry in Russia and CIS countries is TransRussia | SkladTech. Truck tires can be presented in one of the exhibition sections: “Equipment & Components”.

TransRussia | SkladTech 2024 was attended by 30,217 professionals, of which 9,286 were professionals from transportation and forwarding companies. They own or manage fleets and purchase tires for their trucks. Another target audience is cargo owners. Many companies among the 10,000+ cargo owners have their own fleet of trucks that need to be maintained. This includes consumables - truck tires.

EXHIBITION REPORT 2024