Automotive Wheel Rims Market size is projected to cross USD 84 billion by the end of 2033, growing at a CAGR of 6% during the forecast period, i.e., 2023-2033. In the year 2022, the industry size of automotive wheel rims was USD 45 billion. The growth of the market can primarily be attributed to the rising awareness of lightweight wheel rims amongst automobile users along with the growing sales and production of automobiles worldwide. For instance, it was found that the global sales of automobiles were just under 70 million units in 2021.
It is a known fact that the rim is a key component of a wheel. Wheel rims are made from different materials, which not only affect the look of the wheels but also justify their strength, weight, and durability. It is important to consider a number of things it comes to wheel rims and wheels besides size considerations as durability and strength are crucial to staying safe behind the wheel. Lightweight wheels are more susceptible to denting, cracking, and other damage while heavy wheels may reduce fuel economy. Every vehicle type has different needs. With the recent developments in the designs of rims as well as tires, the demand for automotive wheel rims is on the rise amongst automobile manufacturers, which in turn, is expected to create massive revenue generation opportunities for the key players operating in the global automotive wheel rims market during the forecast period. For instance, the overall global tire industry volume was expected to reach more than 2.5 billion units at the end of 2022.
Growth Drivers
Growing Demand for Wheels - Wheels as a whole provide a means of mounting & affixing the tires to the vehicle through which the power of the engine is transferred to the ground. The rising demand for wheels is expected to boost the automotive wheel rims market in the projected time period. As per an estimation, there were nearly 35 billion wheels across the globe in 2022.
Increasing Development in the Transport Infrastructure - With the growing population, better roads and other infrastructure is needed, which needs around USD 2 trillion every year for its expected development by 2040 globally.
Rising Penetration of Vehicles - With the rising economies, per capita income along with the spending capacity of individuals has risen in the past few years. As a result, people are inclined towards purchasing vehicles across the world which is estimated to increase the demand for automotive wheel rims at the end of the forecast period. For instance, there were ~400 million vehicles in Europe, spread across EU and non-EU countries in the first quarter of 2022.
Upsurge in the Demand for Heavy Vehicles for Freight Transport - As supply chains are being strengthened post-pandemic, the freight transport demand is expected to grow from nearly 135 ton-kilometer in 2015 to ~ 300 ton-kilometer by 2050 globally.
Growing Adoption of Electric Vehicles - Electric vehicles are becoming more and more common in everyday life owing to their energy-efficient and zero-emissions properties. As automotive wheel rims are required for an enhanced driving experience for EVs, the demand for automotive wheel rims is anticipated to grow in the forecast period. For instance, all new buses will use 100% renewable energy from 2025 onwards in the Netherlands.
Challenges
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Base Year |
2022 |
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Forecast Year |
2023-2033 |
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CAGR |
~ 6% |
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Base Year Market Size (2022) |
~ USD 45 Billion |
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Forecast Year Market Size (2033) |
~ USD 84 Billion |
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Regional Scope |
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Vehicle Type (Passenger Vehicles, Commercial Vehicles)
The global automotive wheel rims market is segmented and analyzed for demand and supply by passenger vehicles and commercial vehicles. Amongst these segments, the passenger vehicle segment is anticipated to garner the largest revenue by the end of 2033, backed by the growing demand for passenger vehicles along with the surge in the export of passenger vehicles worldwide. For instance, in the financial year 2021, passenger vehicle exports grew from ~404,000 to 577,800 units in India. The rising need for better driving quality and the efficiency provided by passenger cars is projected to promote segment growth in the forecast period. Moreover, the rising per capita income and rising spending capacity in developing countries such as China, India, and Mexico are increasing the demand for passenger vehicles owing to an increased preference for intimate and individualized transportation. Along with the other factors, constant government support along with government initiatives and investment is estimated to boost the preference for electric vehicles among consumers thus, creating a positive outlook for the segment growth in the forecast period.
Material Type (Alloy, Steel, Chrome, Carbon Fiber)
The global automotive wheel rims market is also segmented and analyzed for demand and supply by material type into the alloy, steel, chrome, and carbon fiber. Out of these, the alloy segment is attributed to holding the largest share during the forecast period. Alloy wheel rims are gaining more popularity among the consumer base owing to their appearance, and lightweight features. Additionally, alloys are good conductors of heat and have the ability to dissipate heat from tires and brakes more effectively than steel wheel rims. For the 2024 model year, Polestar is creating substantial changes to the 2. The electric sedan's base model switches from front-wheel drive to rear-wheel drive. The elective Efficiency Pack comes with 20-inch alloy wheels.
Our in-depth analysis of the global market includes the following segments:
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By Material Type |
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By Vehicle Type |
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By Distribution Channel |
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By End-User |
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The Asia Pacific automotive wheel rims market, amongst the market in all the other regions, is projected to hold the largest market share by the end of 2033, backed by the presence of a strong automobile network in the region, as well as a growing production of vehicles in countries such as China, and India. According to the statistics, China produced more than 2.5 million vehicles in September 2022. The increased production and sales of vehicles in the region are estimated to raise the demand for automotive wheel rims. Along with the other growth factors, the reduction in low and middle-income population and rising disposable income is also projected to adopt automotive wheel rims for vehicles. Further, the rising concern to curb carbon dioxide emissions and safeguard the environment is also estimated to create a positive outlook for market growth in the region. The growing use of automotive wheel rims in the commercial vehicle sector along with the presence of major key players in the region are other factors that are attributed to positively contribute to the market growth.
Ronal AG reintroduced the product range RONAL R44 design in a 6-hole variant, expanding its range of wheels for light commercial vehicles and caravans with very higher load capacity.
ESE Carbon Company announced that E2 Wheels are now available and ready for delivery. It is the first one-piece carbon fiber rims manufactured in the United States for the automotive aftermarket.
Author Credits: Harshita Srivastava, Saima Khursheed
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