Tire Company CEOs Sound Off on the Market

Some of the most prominent decision-makers in the North American tire industry, including CEOs of several major tire manufacturers, look back on the first half of the year, provide their perspective on the present state of tire demand and provide a preview of what’s to come in this MTD exclusive. (Editor's note: Responses are presented in alphabetical order based on company name.)

“We have had a great start to our year as several of the new initiatives that we had planned kicked in,” says Chris Brackin, president, American Omni Trading Co. (AOT). “The biggest launch for AOT in 2025 was the introduction of our Partner Up Associate Dealer Program for our Americus and  Thunderer brands. In addition, our new marketing campaign has taken shape, which has spotlighted the value adds that AOT brings to the market for our customers. It goes without saying that the biggest challenge thus far this year has been the introduction of the Trump tariffs. The uncertainty around what product is attached to which tariff  — along with the lack of clarity around the timing of the tariffs — has been a challenge to navigate.”

“The first half of 2025 has seen continued success for Atturo,” says Michael Mathis, president, Atturo Tire Corp. “While the second quarter brought some headwinds, overall sales were higher than the same period last year. Obviously, there are challenges with the tariffs and overall economic situation. The light truck category continues to be Atturo’s most popular. We are seeing substantial growth in the performance tire category. Our latest tire models in the all-weather category are gaining fans among dealers as they learn how versatile this type of tire can be at meeting their customers’ needs.”

“This year appears to be a promising one for BKT, having begun on a positive note, with Q1 registering growth across our main business segments, driven by the agriculture, industrial and earthmoving industries — despite several geopolitical factors,” says Arvind Poddar, chairman and managing director, BKT. “This progress reflects the company’s focused commercial strategy, strong distributor relationships and efficient supply chain execution. However, from the second quarter onward, new challenges emerged due to recent changes in U.S. trade policy affecting tire imports, as well. As a company, we are aware of these current difficulties and we are working closely with our partners and dealers to adapt our shipping logistics and pricing strategies to maintain our competitive advantage."

“Our North American business is doing pretty well from a quarter-over-quarter basis,” says Scott Damon, CEO, Bridgestone West; group president, Bridgestone Americas Inc.; and Bridgestone’s global chief digital transformation officer. "Certainly, our profit is up slightly. Our revenue is comparable to what you saw in a lot of the first quarter earnings. It’s down a little bit. Our consumer and retail businesses are flattish. I think (we’re seeing) a lot of the challenges that replacement consumer (tire) dealers have probably talked to you about, where you see them trading down just because their available access to goods and services is somewhat challenging in a credit-constrained market, especially for lower- to medium-income people. But our retail business and our consumer business are weathering that and they’re flat.

"Our commercial truck business and retreading business are strong — stronger on the dealer side than even the fleet side, but both are up year-over-year and it’s certainly helping our performance,” says Damon. “Our off-road business is also quite good in North America. And our ag replacement business is good year-over-year. That business has been quite challenging and the original equipment business on that side is down almost 30%. So the ag business is definitely a headwind for us. The OE businesses themselves, year-over-year, in both truck and consumer, also are a little bit down, but we’ve forecasted them to be soft, in general.”

“In the first quarter of 2025, business was brisk as we capitalized on the growing value segment,” says Aaron Murphy, senior vice president, CMA/ Double Coin. “With economic headwinds such as tariffs and other uncertainties, our products continue to perform well as a cost-effective alternative to higher-priced tires. One of our biggest challenges lately has been the unpredictability of product costs and not knowing when those costs might change. Tariffs, in particular, have created a murky outlook. We’ve heard from many of our customers that they’re feeling the same uncertainty.”

“Our business in the Americas region has shown solid performance in the first half of 2025,” says Tansu Isik, CEO, Continental Tire the Americas LLC. “Our PLT and truck tire volumes have remained stable and we’ve maintained a consistent market share. While we’re beginning to feel some of the broader market headwinds as we approach mid-year — challenges that are impacting the entire industry — but we remain focused and committed to sustaining our momentum through the second half of the year.”

“2025 has been an exciting year for us,” says Rob Williams, president, Hankook Tire America Corp. “We started the year by launching two new products in our Dynapro line and one for our Ventus family and have since expanded our TBR line through our newly introduced Smart Brand. We continue to drive our OE partnerships both in the U.S. and globally, including a recent OE announcement with Lucid Gravity’s electric SUV. 
Of course, like many in the industry, we are navigating some uncertainty, especially concerning potential impacts on pricing and supply chains. However, Hankook Tire America Corp. remains committed to ensuring we provide the best value for our customers — both dealers and drivers — and we are doing everything in our power to ensure strong supply lines and minimize any potential disruption. Our U.S. plant in Clarksville, Tenn., has played a major role in that.”

“2025 is off to a strong start, with solid growth compared to last year with a growth of 8.5%,” says Keiko Brockel, president and CEO, Nitto Tire U.S.A. Inc. “A key driver has been the continued strength of the Nitto brand and the loyalty it has earned in the market, which I personally view as second to none. However, we are facing the same challenges that our customers are. The news is full of reports about economic uncertainty, tariffs and changing consumer behavior — and things seem to change daily, making it harder to plan for the long term. So contingency planning and flexibility will be key. We are committed to making bold decisions that prioritize long-term growth over short-term gains.”

“We’ve had an extremely good start and when I look at official, quarterly reports of the leading players of the industry ... we are very satisfied with the development of the business both in the U.S. and Canada and also our facility in Dayton, Tenn., has been performing very well now that we’ve finally completed our first stage expansion project,” says Paolo Pompei, CEO, Nokian Tyres. “We’re achieving the daily output that we have targeted to achieve. So we are extremely satisfied with our performance. The discussion about tariffs has created some uncertainty in the market, both in Canada, as well as the U.S. But we are managing this, considering our journey is set for growth. And we still have a lot of space for growth in North America.”

“Our business is growing at a healthy pace, despite the weaknesses in the market in both the U.S. and Europe and the geopolitical situation,” says G.S. Sareen, CEO, Omnisource. “The markets are not robust. In spite of that, we are trying to grow very aggressively.”

“The first part of 2025 has been strong for Pirelli Tire North America (PTNA) as we continue reinforcing our position in the premium and high-value tire segments,” says Claudio Zanardo, CEO, PTNA. "Our recent product launches — including the Ice Friction in Canada and the Scorpion XTM AT, as well as the fifth generation of the P Zero and the DOT tire P Zero Trofeo Track — are a testament to our commitment to this market and our dedication to meeting the specific needs of North American drivers, building on the momentum of the new products introduced in 2024. These regionally developed products highlight our focus on our product offering for the market. While challenges  persist due to evolving market conditions, our business strategy centered on the high-value segment, which continues to grow at a double-digit rate, positions us well for continued success.”

“Business for PCTNA in 2025 started off very strong for both PCR and TBR segments,” says Samuel Felberbaum, president, Prinx Chengshan Tire North America (PCTNA). “We’ve launched our tire size lineup for our all-weather products, the HiSeason 4S for Prinx and the ClimaFlex 4S for Fortune, and we will be launching our new Fortune Tormenta A/T2 and Prinx HiCountry A/T2 in late-2Q, for arrival in Q3.”

“Despite volatility in the global and local markets, our business has stayed on track in 2025,” says Ron Dolan, president, Sailun Tire Americas. “We’ve worked closely with our partners to ensure the right product mix, while keeping our brands highly visible and relevant to value-conscious consumers looking for dependable quality.”

“I would say our first quarter business was stable,” says Darren Thomas, president and CEO, Sumitomo Rubber North America Inc. (SRNA). "That is probably an accomplishment for us because we were the only tire manufacturer who took anticipated raw material price increases early in the first quarter to protect our global company from rising raws. We took that increase very thoughtfully and ultimately did what we thought was necessary. Despite those increases, our volume has remained stable because our relative price position in any given segment did not materially change. Maybe the index price went up a couple of percentage points, but it didn’t take us to a different category. I would say we’re not trying to reinvent our business model. Our goal has been a steady progression of business in the face of uncertainty and distribution challenges. notably the ATD (American Tire Distributors Inc.) bankruptcy.”

“We’ve had a good start to the year,” says Michael Graber, president and CEO, Toyo Tire U.S.A. Corp. “1Q was up 2.3% or so in volume, so tire sales have been up. Also on the success side, we launched the Proxes Sport 2 and it’s been a very good addition to our lineup. We also launched the Open Country R/T Pro in April — another exciting new product in the Open Country line. New products are always exciting and they also help with future success.  The challenges, like anybody else in our industry, are what’s going to happen with the tariffs and how that (will) impact business. We’re monitoring that.”

“In the U.S., as in many commercial markets, we’ve faced a number of challenges this year,” says Elio Bartoli, president, Yokohama TWS. “Many of our aftermarket dealers and OEM partners entered the year with high inventory levels, which naturally impacted order flow. At the same time, the market has been affected by broader economic dynamics, including fentanyl-related trade restrictions and reciprocal tariffs, followed by retaliatory measures from other countries. These factors have created added complexity, particularly on the OEM side.”

Present outlook

“We are still seeing the demand being strong for PLT and TBR products,” says AOT’s Brackin. “With the prices rising on all other types of products, we are seeing consumers tier-down, which has led to strong sellout for our products.”

“My assessment of the consumer tire market is that it has slowed down modestly,” says Atturo’s Mathis. “I am reminded of early-2022 as actual inflation accelerated and volume slowed down. Today, it is the fear of inflation which seems to be making consumers hold back on spending. This is largely driven by the news cycle focused on tariffs. While the tire industry has faced higher duty rates since May, overall consumer prices for tires have not increased substantially so far. We are hearing that there are more sales of one to two tires, rather than the full set. As we saw in the last part of 2022 and then into 2023, that is just delayed demand for more tires.”

“In 2025, the U.S. agricultural market has been significantly impacted by prolonged weather conditions that particularly affected the Midwest,” says BKT’s Poddar. “Agricultural demand was further influenced by policy uncertainty and changing trade regulations, which continue to weigh on the sector, causing further complexity along the entire supply chain. Regarding the OTR tire segment, demand from the construction and mining sectors shows potential for growth, especially in regions with active infrastructure development and resource projects. However, the pace of this growth remains closely influenced by broader economic conditions and public investments.”

“I’d say on the consumer side, sellout is getting better,” says Bridgestone’s Damon. “It’s been getting better each month and from a manufacturer’s sell-in side, it’s also getting a little bit better. I think with the tariff volatility, what you saw was an influx of lower-tier products in the first quarter and so that affected a little bit of the sell-in, but sellout has been better. I think the jury’s still out (as to if) it can sustain itself and what will happen as costs may be passed along, relative to where that is in terms of structural impacts on manufacturers’ costs and what that means to consumers.”

“Truck tire demand seems steady, but not growing in 2025,” says CMA’s Murphy. “We must also remember that 2024 was a banner year in replacement market truck tire sales. In the OTR segment, business is not picking up as we expected. We feel this is due to the economic challenges we are currently facing. In the OE segment, business continues to trend downward.”

“Volumes are holding steady, but the volatile macro-economic situation is producing some serious headwinds,” says Continental’s Isik. “This is giving us a little reservation about truck OE since shipping companies are also operating with some uncertainty. But we are keeping our eyes on things and continuing to be disciplined in our costs. Our customers are telling us the dynamic environment is creating a clear impact on their businesses. They are navigating the situation the best they can as it develops.”

“We’re seeing the impact of market uncertainty across all segments,” says Hankook’s Williams. "Earlier in the year, customers were delaying purchases due to that uncertainty. Now we’re all taking things day by day as the economic environment evolves. That said, there are some things bolstering both the consumer and TBR segments. On the TBR side, there’s been a consistent increase in regional trucking, particularly here in the U.S., which has been driving up the replacement tire demand. On the consumer side, the uncertainty in the broader auto market may be focusing more on the longevity of current vehicles.”

“Demand for our core products has remained strong,” says Nitto’s Brockel. “At the same time, we’re seeing more focus on value. But value today goes beyond just low prices. Customers are looking for quality, performance, design and features that matter to them.”

“People are very cautious in (making) decisions today and this is quite normal ... in a period of uncertainty,” says Nokian’s Pompei. “From our side, we’ve been quite prudent in taking decisions day by day. When we look at the statistics, the market is slightly down compared to the previous year, so no dramatic changes, but at the same time we can recognize people are looking at the market with a little bit of uncertainty — trying really to understand what will happen next.”

“Our business is growing at a healthy pace, despite the weaknesses in the market in both the U.S. and Europe and the geopolitical situation,” says Omnisource’s Sareen. “The markets are not robust. In spite of that, we are trying to grow very aggressively.”

“The consumer tire market in the U.S. is experiencing some fluctuations, with demand varying across segments,” says PTNA’s Zanardo. “Of course, macro-economic factors, such as inflationary pressures and shifts in vehicle sales trends, are influencing buying behaviors. While there has been some softness in the overall replacement market, demand for premium and high-performance tires — particularly 18-inch and above, where we focus — remains strong.”

“Demand, we believe, will continue to rise,” says PCTNA’s Felberbaum. “We believe that high-quality products at lower price points are resonating with both consumer and commercial customers — especially with the new tariffs that are causing price increases. Unfortunately, people’s wages are not rising at an equal rate. Consumer and commercial consumers are looking at high-quality alternative products.”

“We’re seeing signs of stabilization following last year’s inventory corrections,” says Sailun’s Dolan. “Consumer sellout has softened slightly and fleets remain cautious, especially in light of ongoing economic uncertainty. Across the board, customers are prioritizing reliable supply and long-term partnerships.”

“I would say demand through distributors is up because they are buying ahead of tariff price increases,” says SRNA’s Thomas. “Demand through carriers is stable. So it’s too early to give an indication of whether there’s any trouble that’s materially coming down the pike.”

“On the consumer side, replacement sales are up this year,” says Toyo’s Graber. “Our enthusiast market — our core customer base — remains strong. On the lower end of product offerings, inflation is definitely impacting purchase decisions. People are sometimes choosing less-expensive tires instead of buying what they really intended to buy. As you know, TBR is very cyclical. Our business is up this year, but we’ll be impacted by market factors as we go forward. The state of the business is (that) it’s growing. It’s growing like it should. We see normal growth in both consumer and TBR, but we’re keeping an eye on things as they evolve.”

“Our aftermarket business delivered a very strong first half, outperforming the same period last year,” says Bartoli from Yokohama TWS. “We’ve focused on strengthening our sales organization, refining our brand positioning and expanding our distribution network to stay closer to our customers and support them more effectively across the country. Despite the challenges, we’re confident in the work we’ve done so far and focused on building momentum for the rest of the year.”

When asked what’s in store for the second half of 2025, executives cited new products, initiatives to expand distribution, plans for brands and associate dealer programs, new partnerships and more.