Burnaby, British Columbia,, Canada, October 11, 2015 --(PR.com
)-- According to TechSci Research report, “Brazil Tyre Market Forecast & Opportunities, 2020,” tyre market in Brazil is forecast to witness a moderate growth during 2015-20 on account of rising domestic demand, increasing automobile sales and favourable government policies. With presence of major tyre companies like Rinaldi, Michelin, Pirelli, Sumitomo, Titan, etc., Brazil is one of the most competitive tyre markets in Latin America. Lowering of taxes for vehicles as well as introduction of Inovar-Auto program are expected to attract an increasing number of global manufacturers to produce automotive vehicles and components in Brazil as companies have opportunity to receive up to 30% tax discount offered by the government. This is expected to drive the automotive vehicles and tyre markets in Brazil over the next five years.
Over the last five years, global OEMs like Ford, Fiat, General Motors, Renault, Toyota, Nissan, etc., have been boosting the OEM tyre demand in the country. Moreover, OEM tyre segment received an upward thrust with Chinese manufacturer JAC Motors entering Brazil in 2014. addition, Brazil will be hosting Olympic Games 2016, which being a mega sports event, is likely to boost growth in construction and infrastructure sectors, leading to higher automotive demand in the country, which is in turn anticipated to surge the demand for tyres in Brazil.
“Brazilian tyre market is dominated by the replacement tyre segment, which accounts for around 65% of total tyre demand in the country. The country is one of the major fast growing developing economies in the world. Rising per capita income, expanding vehicle fleet and rapid growth in the infrastructure sector are expected to boost tyre sales in Brazil in the coming years,” said Mr. Karan Chechi, Research Director with TechSci Research, a research based global management consulting firm.