European tire shipments continue downward slide

BRUSSELS — Replacement tire market demand in Europe continued to fall in the fourth quarter of 2023, leaving full-year shipments down measurably in all categories from 2022 levels, according to the latest European Tyre & Rubber Manufacturers' Association (ETRMA) figures.

The commercial, agricultural and two-wheeler segments were particularly hard hit, with shipments dropping 13.9%, 16.3% and 24.4%, respectively, in the quarter, and ending the full year down 16.7%, 29.7% and 11.2% from 2022.

Replacement passenger tire shipments in the quarter, on the other hand, were essentially unchanged from the year-ago period at 50 million units. For the full year, however, shipments fell 7.9% to 208.5 million units.

Passenger tire shipments were buoyed by sales of all-season (up 15%) and winter (up 2%) tires in the quarter, the ETRMA said. For the full year, the group's figures show all-season tire shipments up 7%, versus declines of 9% and 13%, respectively, for summer and winter tires.

The full-year declines, ETRMA General Secretary Adam McCarthy said, were mainly due to a "drop in the demand driven by the inflationary costs of raw materials, energy and payroll, as well as to the reduction of inventories in distribution channels."

The declines continue a downward trend that started in mid-2022, McCarthy added.

The ETRMA has 12 tire-manufacturing companies among its members, whose corporate sales represent 70% of total global tire sales.

The ETRMA's data refer to markets in 35 European countries, stretching from Ireland in the West to Poland, Slovakia, Hungary, Romania and the Baltics in the East plus Malta and Turkey.