Coming off a year of uncertainty, OTR tire manufacturers look forward to a growth market in 2025. They explain why in this exclusive OTR tire market overview.
MTD: Can you describe the state of the U.S. OTR mining tire market and separately, the U.S. OTR construction tire market?
ALAN ESKOW, vice president, BKT USA Inc: OTR mining tires that are sold in the U.S. replacement tire market are predominantly through national accounts. So unless a company has a robust national account program, having any share of the market is extremely difficult. The policies enacted by the U.S. government have a large effect on the mining business in the U.S. For environmental protection reasons, the last government was not much in favor... (of) coal mining. In 2024, demand remained lukewarm, with modest growth.
The mining tire market is projected to experience modest growth through 2025 and beyond. In North America, the mining tire market is anticipated to expand at a compound annual growth rate (CAGR) of 3.2% from 2025 to 2031. This growth is driven by increased mining operations in sectors such as aggregates, metals and coal — leading to a higher demand for specialized tires capable of handling rugged terrains and heavy loads.
Overall, the mining tire industry is poised for steady growth, supported by ongoing investments in infrastructure and renewable energy projects that drive demand for mining operations and consequently, tires. Among the challenges, we can list potential economic slowdowns, labor shortages, price inflation, high interest rates and fluctuating material costs impacting growth.
TONY CRESTA, director of product management, CMA/Double Coin: In 2024, Double Coin saw a steady uptick in demand for our OTR tires. Our current lineup is focused on the construction tire market, with some support equipment sizes in the mining segment.
MATTHEW WERSTEIN, engineering manager R&D, OTR, Titan International Inc.: We anticipate that the U.S. OTR mining tire market will see moderate growth in 2025, particularly in the replacement segment. While many are predicting the overall market growth to reach 5%, mining — especially in the precious metals sector — will grow more slowly, with replacement tire demand likely around 3%. Copper mining will be a key driver, but growth likely won't reach 5%.
On the construction side, the outlook is much stronger. This market is set up for success because it remains stable and with ongoing infrastructure investments, it’s poised for growth. Projects tied to the infrastructure bill will finally be implemented — roadwork, bridge repairs, new construction, airport renovations — all of it will add up to growth by at least 5%, and possibly 7% in certain regions. Our team anticipates the replacement tire market will be robust, driven by ongoing work in land development, roadbuilding and large-scale construction.
BRUCE BESANCON, vice president of marketing, Yokohama Off-Highway Tires America Inc.: The U.S. OTR mining tire market continues to grow and enhanced safety and productivity remain priorities. Innovation, like automation, has driven increased operational output and machine efficiency in underground mining has bolstered tire demand. Ongoing interest in rare earth minerals will also persist in affecting the mining market and has the potential to spark future greenfield operations.
Fleet managers for both new and old undertakings are asking more from their tires. Tires can represent between 15% to 20% of the operational cost of huge mining equipment and even small gains in performance and lifespan can equal big gains on a balance sheet.
In the construction market, the use of smaller machines keeps rising as the U.S. progresses on numerous projects initiated under the 2021 bipartisan Infrastructure Bill. Over the past few years, the market has shown steady-to-modest growth, driven by the roll out of these projects. The market remains clear in its demands: high-value tires that deliver the durability and dependable performance required to get the job done efficiently.
BEN KORF, U.S. segment sales director — material handling and construction, Yokohama TWS North America: Despite challenges such as rising raw material costs, supply chain disruptions, labor shortages and intense internal competition, the U.S. OTR mining and construction tire markets continue to push demand. Innovation in tire technology — including improvements in durability, fuel efficiency and sustainability — is helping meet the evolving demands of these industries.
The mining market’s growth is driven by increasing demand as equipment becomes larger, faster and more powerful each year. End users are seeking long-lasting, high-quality replacement tires to minimize costs while meeting the demands of advancing OTR equipment. At the same time, pricing pressure remains strong, with players outside the traditional tier-one manufacturers claiming they can offer comparable quality at a lower cost.
The construction tire market is experiencing similar conditions, with the added complexity of equipment constantly being moved across varying conditions as companies expand their footprint and frequently move equipment from site to site to maximize its usage and value. This results in a growing replacement segment, as construction vehicles require frequent tire maintenance due to wear and damage from operating in inconsistent environments.
Tire manufacturers are focusing on innovations that enhance durability, fuel efficiency and safety, while also addressing the increasing technical demands of equipment and exploring new sustainability trends in both production and end of life programs.
Chan Phothisane, OTR national sales manager, Zhongce Rubber Group Co. Ltd. (ZC Rubber): New construction for single family housing was down the last couple of years. We expect a positive year for 2025. I recently visited Graniteville, S.C., and construction is very busy. For example, (social media company) Meta is building a one-million-square-foot data center in Graniteville. When you see articulated dump trucks, skidders, loaders, scrapers and backhoe machines running, it's always a good sign.
MTD: What are the most significant trends taking place in the U.S. OTR tire market?
ESKOW (BKT): The U.S. OTR tire market is experiencing several trends driven by changes in technology, demand, governmental and environmental factors. There’s a trend in the use of advanced materials, such as silica compounds which enhance durability, fuel efficiency and performance, especially in challenging environments like mining and construction.
Improving economic conditions are likely to influence construction tire demand across various segments, while declining mortgage rates could boost demand and residential construction activity.
As part of a push for sustainability, there is a greater emphasis on retreading and recycling OTR tires. This not only reduces waste, but also lowers costs for fleet operators. Also there’s great attention towards the infrastructure development, including road construction, bridges and utilities that could have a good impact on the demand for OTR tires in the construction and heavy equipment sectors.
According to data, the U.S. construction industry is likely to record moderate growth of 1.1%, in the medium-term, with slowing inflation, labor mismatch and a supportive monetary policy.
CRESTA (CMA): We are seeing the continued growth of metric sizing, specifically 29-inch, low-profile options. There seems to be continued growth of these products year over year.
WERSTEIN (TITAN): One of the most significant drivers for the U.S. OTR tire market is the ongoing construction boom, creating strong demand for construction equipment and replacement tires. In the smaller OTR market, there’s also a significant increase in land clearing and debris removal, which is spurring demand for equipment like skid steers and other compact machinery. With the surge in the construction sector, opportunities for growth in the OTR tire market are being created as projects ramp up.
BESANCON (YOKOHAMA OFF-HIGHWAY): One of the most noticeable trends in the OTR tire market is the amount of information end users leverage to make more informed decisions about their tires. Tire tracking is becoming an increasingly common practice — it’s something everyone should be doing — and an indispensable tool for maximizing performance and understanding key metrics like cost-per-hour, cost-per-ton and hours-per-32nd.
As customers grow more reliant on data for forecasting their future needs, digital tools, like tire tracking software, will play a growing role in everything from budgeting to tire selection. While telematics and digital tire tracking allow end users to access data immediately from anywhere, customers are also taking advantage of the institutional knowledge of their servicing dealer. Working with their dealers, customers are identifying tires optimized for their application and developing best practices they can use day in and day out to make the most out of their investment in tires.
KORF (YOKOHAMA TWS): The U.S. OTR tire market is experiencing several notable trends. The most obvious and impactful trend is the advancement of equipment. OTR equipment continues to grow larger, faster and more powerful with every new model release.
Technological advancements, such as tire pressure monitoring systems and telematics, are also becoming increasingly common, allowing real-time monitoring of tire health, which enhances safety and operational efficiency. Sustainability is also a key focus, with manufacturers increasingly finding ways to use eco-friendly materials, reduce production emissions and develop tires that lower fuel consumption in harsh applications.
The physical demands placed on tires, combined with the steady rise in material and labor costs, are causing regular fluctuations in tire prices, impacting both the original equipment and replacement segments. Additionally, lower-tier tire manufacturers are gaining ground in the U.S. market, particularly in the replacement sector, by offering lower-priced options while promising top-tier performance. These trends suggest that the OTR tire market is evolving faster than ever, becoming smarter, more analytical, technology-driven, sustainable and competitive.
PHOTHISANE (ZC RUBBER): There will be less restrictions and policy change under President Trump. Less restrictions are good for the oil and gas industry and other industries affected by heavy restrictions.
MTD: What will the OTR tire market look like in 2025?
ESKOW (BKT): The OTR tire market is projected to experience significant growth through 2025 and beyond. This growth is driven by increasing demand from various sectors, including construction, mining, agriculture and industrial applications. The expansion of infrastructure projects worldwide, particularly in developing regions, is contributing to the rising demand for heavy machinery equipped with OTR tires.
Additionally, technological advancements in tire manufacturing, such as the development of durable and efficient tire designs, are enhancing the performance and lifespan of OTR tires, further propelling market growth.
Overall, the OTR tire market in 2025 is expected to be characterized by steady growth, driven by increased industrial activities, infrastructure development and technological advancements in tire manufacturing.
CRESTA (CMA): We have seen forecasts for growth over the next five years — roughly 5% annually with slightly higher levels in the mining industry. The strength of this segment should be something our dealers focus on for growth.
WERSTEIN (TITAN): The OTR tire market is shaping up to be optimistic. A lot of players have been holding off on tire replacements in recent years due to uncertainty from the election cycle and economic inflation, leading to customers running their tires longer than usual. Under the (Trump) administration, Titan anticipates improved market conditions to allow for a more typical replacement cycle, leading to demand for new tires as customers upgrade their fleets.
BESANCON (YOKOHAMA OFF-HIGHWAY): While we can’t peer into a crystal ball and see the OTR market booming, we can say that we believe the market will see the same sustained growth going forward that it has over the past few years. The ongoing need for fuel and minerals provided by mining operations — particularly as the adoption of electric vehicles and the need for materials for advanced battery technologies escalate — and ongoing infrastructure projects should sustain both markets.
The big unknown looking ahead to 2025 is how the economy will grow over the next few months and if the tariffs proposed by the (new) presidential administration are enacted. Both will significantly shape the market in 2025 and beyond.
KORF (YOKOHAMA TWS): In 2025, the U.S. OTR tire market — specifically the replacement tire segment — will experience steady demand as aging fleets in mining and construction require more frequent maintenance and tire replacement. The trend toward larger tires for heavier machinery, especially in mining, will persist as companies aim to maximize efficiency and reduce operating costs. Technological advancements, such as tire pressure monitoring systems and telematics, will become more widespread and efficient, enabling real-time tire condition monitoring and reducing downtime for connected equipment.
The market will also likely undergo further consolidation, as larger manufacturers form strategic partnerships with equipment makers to offer integrated solutions. Additionally, the rise of emerging markets and the influx of inexpensive imported tires will continue to shape U.S. pricing strategies, particularly in the replacement segment. Overall, the OTR tire market in 2025 will be defined by technological innovation, sustainability and heightened competition to deliver our customers value
PHOTHISANE (ZC RUBBER): We expect another great year in 2025. We expect growth in construction, ag and mining for the next five years.
MTD: Are there any forward-facing trends and coming developments that OTR tire dealers should look out for?
ESKOW (BKT): The OTR tire industry is undergoing significant transformations, with several forward-facing trends and developments that dealers should monitor. First of all (is) the rise of smart tires to enhance vehicle safety by improving automatic emergency braking systems, making them particularly valuable in industries where safety is paramount and generally, product innovations leveraging on improved durability and efficiency.
This is explained by the global OTR tire market that is projected to grow at a CAGR of 4.9% through 2029, driven by advancements that enhance tire performance in demanding environments. There is a growing emphasis on sustainability, with research into biodegradable tires and the use of recycled materials. While challenges remain in balancing safety and durability, these developments reflect a shift towards more eco-friendly products. Also strategic acquisitions will reinforce business opportunities to streamline operations and can have a significant impact on market competition and product offerings.
This explains the need for dealers to stay informed about the above trends to adapt their inventory, services and business strategies accordingly, ensuring they meet evolving market demands and regulatory requirements.
CRESTA (CMA): TPMS technology that is now ubiquitous in passenger and light truck tires has also grown exponentially in the mining and port segments of our business. Air pressure and heat management are very important to the longevity of OTR tires in all applications and finding ways to offer information solutions to our customers will continue to be an opportunity for OTR tire dealers.
WERSTEIN (TITAN): One of the key forward-facing trends in the OTR tire market is the growing use of high-flotation ag tires ... for OTR equipment such as loaders and articulated dump trucks. This is especially prevalent on projects where minimizing ground compaction is a priority, such as Army Corps of Engineers jobs or public land developments. These projects are increasingly moving toward flotation setups to protect the land and reduce the environmental impact.
BESANCON (YOKOHAMA OFF-HIGHWAY): In recent years, last-mile delivery — the phase where goods are delivered to their final destination — has dominated conversations on logistics, and construction is poised for a similar trend. Think of it as last-brick projects. Many projects aren’t starting from scratch in underdeveloped areas. Rather, they’re focused on the maintenance and repair of current infrastructure in confined areas and existing roads.
Last-brick applications require smaller equipment — like compact wheel loaders, motor graders and telehandlers — that can negotiate the tight confines of a developed area and work without damage. They also demand versatile equipment. For example, a telehandler may move material equipped with a fork one day and hoist personnel in a work cage the next. It takes a lot of equipment to do the work of the huge earthmoving machines found on underdeveloped sites, which means fleets will need lots of tires, particularly tires that help unlock the full potential of their equipment.
KORF (YOKOHAMA TWS): OTR tire dealers must prepare for several key trends shaping the future of the market. The growth of electric and autonomous equipment in mining, construction and agriculture will drive demand for highly efficient, durable and consistently high-performing tires and servicing dealers. Sustainability will continue to be a focal point, with increasing interest in tire sustainability and recycling as part of the circular economy, offering cost-effective solutions while reducing environmental impact.
Additionally, the adoption of telematics and tire monitoring systems will rise, enabling real-time data on tire health and improving fleet management — an opportunity for dealers to leverage for more value-added services. To stay competitive, dealers must differentiate themselves by offering high-quality products, exceptional service, specialized solutions and unmatched customer care to meet the value expectations.
PHOTHISANE (ZC RUBBER): High interest rates and inflation affected purchasing decisions in 2024. We hope that interest rates will decrease in 2025. The market remains cautious with spending.
There are several large projects in the pipeline. California is building a high-speed rail system and Washington, D.C. is expanding (its) public transit system. New York and New Jersey are building the Hudson Tunnel and expanding the subway rails. I’ve witnessed highway expansions across the major cities in Texas.
