LONDON—Demand for retreaded tires throughout the European Union will grow steadily in the next few years, according to a new study by MarketLine International Ltd. Sales of retreaded car tires are growing 7.5 percent a year, MarketLine calculates, a growth pattern that will push retreads to account for 17.3 percent of European replacement market sales in 2000, vs. 15.1 percent in 1995.
Retreaded car tires are most common in Sweden, at nearly 26 percent of the aftermarket in 1995, and least popular in Spain, at 7.3 percent.
Likewise, the use of retreaded truck tires will grow nearly 5 percent a year, pushing their market penetration to 52.6 percent from 49.3 percent. The market penetration ranges from a low of 40 percent in Spain to 75 percent in Finland.
MarketLine forecasts above-average growth for France, where 6.7-percent annual increases in fitments will make that country Europe's No. 1 user of truck retreads by the turn of the century, moving past Germany.
Across Europe, local conditions are influencing future prospects for the respective national retreading industries.
Retreaders in the United Kingdom, for example, have invested more during the 1990s in improved manufacturing than have their continental counterparts, and therefore ``are in a much better position to take advantage of the growing market in the EU,'' MarketLine writes.
The U.K.'s retread industry already exports 35 percent of its annual production, and ``this share is likely to be pushed considerably upwards over the remainder of the decade,'' the MarketLine study concludes.
The 220-page study surveys the markets for car and truck retreads in all 15 countries of the European Union—Austria, Belgium, Denmark, Finland, France, Germany, Greece, Ireland, Italy, The Netherlands, Portugal, Spain, Sweden, and the U.K.—and profiles 20 of the larger retreaders and retread system providers.
However, it offers precious little production or import/export data, nor does it address such factors as winter vs. summer tires, size popularity, speed ratings, or casing availability.
The study, EU Retread Tyres 1996-2001, is available for 495 British pounds ($795 at prevailing rates) from MarketLine International, 41 Madison Ave., 5th Floor, New York, N.Y. 10010.