Steel Tracks and Rubber Tracks Market Is Estimated To Witness High...

Steel Tracks and Rubber Tracks Market Is Estimated To Witness High Growth Owing To Growing Demand For Off-Road Vehicles

Posted 2023-11-20 10:20:21

The Steel Tracks and Rubber Tracks market is estimated to be valued at US$ 2.13 Bn in 2023 and is expected to exhibit a CAGR of 6.7% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.

Market Overview:
Steel tracks and rubber tracks are used extensively in off-road vehicles and construction equipment as these tracks provide better traction and movement control over rough terrains compared to wheeled vehicles. Steel tracks are mainly used in heavy equipment and tanks while rubber tracks are used in light military vehicles and agricultural equipment. Rubber tracks provide better shock absorption and wear resistance.

Market Dynamics:
Growing demand for off-road vehicles from construction, mining and defense sectors is expected to drive the growth of steel tracks and rubber tracks market over the forecast period. According to estimates, the global construction equipment market was valued at over US$ 180 Bn in 2020 and is forecast to grow at 4-5% until 2027. Rising infrastructure development activities across developing nations in Asia Pacific and Latin America is increasing the demand for earthmoving equipment which in turn is fueling the sales of steel and rubber tracks. Moreover, rubber tracks are gaining popularity over conventional steel tracks due to their benefits of dissipating impact loads, providing better traction on road and reduced noise levels. However, high costs of rubber tracks compared to steel tracks may hamper their demand.

The market is concentrated with few international players comprising Bridgestone Corporation, Camso Ltd., Bridgestone Industrial Products America Inc., Continental AG, Titan International and Mattracks Inc. These players are focusing on developing innovative rubber track systems for military and construction vehicles with improved durability and self-cleaning abilities.

SWOT Analysis
Strength: Steel tracks and rubber tracks have superior traction and maneuverability over conventional tires which makes them suitable for rough terrains and heavy loads. Their multi lugged tread design provides excellent traction on soft surfaces. Rubber tracks are durable and require low maintenance.

Weakness: Steel tracks are heavy and not suitable for light weight vehicles. Rubber tracks have high initial costs compared to conventional tires. Frequent replacement of tracks increases operational costs.

Opportunity: Increasing construction and mining activities in rough terrains especially in developing regions provide growth opportunities. Demand is likely to rise from military and agriculture sectors for heavyweight vehicles operating on unstable surfaces.

Threats: Volatility in raw material prices can squeeze profit margins. Development of alternative technologies like continuous tracks may pose competition.

Key Takeaways
The Global Steel Tracks And Rubber Tracks Market Size is expected to witness high growth, exhibiting CAGR of 6.7% over the forecast period, due to increasing investments in infrastructure development and rising mining & construction activities. The market size for 2023 is estimated to reach US$ 2.13 Bn.
Regional analysis points to Asia Pacific as the fastest growing as well as dominating region due to rising industrialization and urbanization in countries like China and India. North America is another major steel tracks and rubber tracks market supported by recovery in construction sector and shale gas exploration activities in the US and Canada.
Key players operating in the steel tracks and rubber tracks market are Bridgestone Corporation, Camso Ltd. (formerly known as Camoplast Solideal), Bridgestone Industrial Products America,Â Inc., Continental AG, Titan International,Â Inc., Mattracks,Â Inc., Global Track Warehouse USA, VMT International, Trelleborg AB, McLanahan Corporation, Superior Tire & Rubber Corp., TFI Tracks, CTS Tire Express, Eurotrack Ltd., TuffStuff Australia. They are focusing on new product development and geographical expansion to increase market share.