Specialty tire imports up double-digits in 2021

AKRON — If imports can be considered a barometer of U.S. economic activity, then the specialty tire sectors — and the industries they serve — enjoyed a healthy year in 2021.

The number of specialty tires imported last year increased by double digits over 2020 in all categories — agricultural, construction, earthmoving, industrial, recreational, trailer, motorcycle, etc. — according to data from the U.S. Commerce Department.

Since a relatively high share of tires in the "other tires" sector sold in the U.S. are imported, tracking import trends is considered a valid barometer of overall sector activity.

The value of specialty tire imports tracked by Tire Business totaled $2.53 billion in 2021, up nearly 25% over 2020, which in turn was slightly below the level tracked in 2019, according to Tire Business' analysis of the Commerce Department data.

By comparison, the value of passenger tires imported in 2021 was $7.7 billion.

The largest single category among the "specialty" tire types is ST-type trailer tires at just over 40 million units, the declared customs value of which was $990.8 million, up 26.7% over 2020.

The next largest categories, in value terms, are:

• Construction/earthmoving tires, 24-inch rim diameters and larger, which grew 14.1% to $377.7 billion last year.
• Treaded (herringbone) agricultural tires, valued at $305.3 billion, up 26.5% versus 2020.
• Solid tires, valued at $212.7 million, up 28% over 2020.

Despite being No. 1 in only one specialty tire category, ST trailer tires, China is the largest player overall in the specialty tire category, accounting for $815.5 million, or nearly a third, of the $2.53 billion in import value reported last year.

India is No. 2 at $361.2 million, with over half the total coming from the treaded agricultural tire category, where it's the largest source of imported farm and forestry drive-axle tires.

Among Indian companies active in this sector are Balkrishna Industries Ltd., CEAT Specialty Tires, Mahansaria Tyres Ltd., Speedways Rubber Co. and Yokohama Rubber Co.'s OHT business unit.

This sector has the most significant domestic counterpart, as Bridgestone Americas Inc., Carlstar Group L.L.C., Titan International Inc., Specialty Tires of America and Trelleborg Wheel Systems Americas all produce farm/forestry tires in the U.S.

Titan, for one, is reaping the benefits of a strong U.S. agricultural sector. The company recently said it expects 2022 to be the strongest in Titan's history, "and we continue to see positive signs for demand to remain robust into 2023."

Earlier in the year, Titan Chairman Maurice Taylor suggested 2022 would be a "very good year" for Titan and agricultural in general based on U.S. Department of Agriculture data that predict a record number of acres will be planted in 2022, strong commodity prices and relatively low levels of inventory.

Thailand is No. 2 in this category, and together India and Thailand account for nearly 74% of treaded ag/forestry tire imports.

The U.S. Tire Manufacturers Association does not publish shipment data on agricultural tires, so it's not possible to make direct comparisons.

After China, other leading trading partners in the specialty tire categories overall are: Thailand, $217.6 million; Sri Lanka, $177.4 million; Japan, $158.2 million; and Taiwan, $121.2 million.

Looking at some of the individual tire sectors, the Commerce data show:

• Imports of solid tires increased 18% over 2020 to 6.35 million units and valued at $212.7 million. Sri Lanka and China dominate this category, accounting for nearly 90% of overall imports.

The averaged declared customs value of an imported solid tire was $33.51 last year, but the values ranged from $12.80 for China to $69.62 for India.

• Imports of ST-type trailer tires grew 12.3% last year to 40.1 million units, with China accounting for eight out of 10 ST tires imported. The average value was $24.73, up nearly 13% over 2020. The range of values went from $22.46 for China to $36.41 for Taiwan.

• Imports of motorcycle tires grew 16% over 2020, which in turn was up 23.1% over 2019, reflecting the U.S. population's embracing outdoor recreational activities after two-plus years of pandemic-induced travel restrictions.

Indonesia, Thailand and South Korea are the three leading country sources of imported motorcycle/scooter tires, accounting for 46% of the 3.23 million units shipped in last year. The average value was $45.04, with a range of $22.93 for Serbia to $72.57 for Spain.