The commercial tire market is a moving target. The industry is changing quickly, and tire manufacturers are working hard to keep up with changing demands and market conditions.

“The commercial tire industry continues to evolve, with fleets adapting to shifting logistics demands and prioritizing total cost of ownership when selecting tires,” says Gus Liotta, General Manager, Commercial Sales – Canada at Goodyear. “For example, some super-regional fleets are increasingly operating on shorter routes between shipping hubs to improve efficiency and better align with last-mile delivery networks. To support this, fleets require tires that deliver long miles to removal, perform in high-scrub environments, and can be retreaded in order to maximize their investment.”

Fuel economy is another key issue for commercial fleets. “We’ve seen an increased demand for fuel-efficient tires,” says Angela Crivoi, Senior Market Planning Manager at Yokohama Tire Canada. “It’s the number one demand we’re seeing from fleets.”

Jim Garrett, Product Category Manager at Michelin North America says he’s seeing a similar trend. “Michelin continues to see lowering rolling resistance to be a trend,” he explains. “As tires are being replaced, the new ones generally have lower rolling resistance. This is due to advances in technology, rubber compounds and general tire design. This comes from tire manufacturers, truck OEMs and fleets striving to reduce their environmental impact.”

Last-mile delivery & e-commerce

Yokohama’s Crivoi notes that she is also seeing a growing demand for tires for the last-mile delivery segment of the market, especially since e-commerce is so big nowadays. “And since emissions are also a growing concern,” she adds, “we’re also seeing a growth in the number of electrified delivery vans, and the tires they need.”

Riley Johnson, National Director of Commercial Segment for Groupe Touchette agrees. “With the increase in e-commerce, we’re seeing a lot more trucks and trailers hauling across the nation,” he explains. “For example, we’re looking at a big expansion at the port in Vancouver, which will triple the number of containers coming into the lower mainland, and all that cargo is going to be hauled by trucks and trailers.”

As for electrification, Riley brings out that we’re seeing electric trucks on the road today, which calls for commercial tires that can handle the extra weight and torque these trucks are known for.

Price pressures

Today’s fleets are also demanding more bang for their buck, explains James McIntyre, SVP Sales Canada / Product Development North America, Sailun Tire Americas. “We’re seeing several important shifts in the commercial tire space—not just in product trends, but in how fleets are approaching tire purchasing and management,” he says.

Tariffs are a big part of the problem, McIntyre adds. “With the recent tariffs on imported tires from key manufacturing countries, the potential for price increases is real. As a result, now more than ever, fleets are being forced to take a closer look at their operating costs, and tires are a major part of that equation,” he says.

McIntyre notes that there seems to be a shift in fleet behaviour. “They’re investing in products that deliver longer tread life, better fuel efficiency, and ultimately, lower total cost of ownership,” he explains. “With the advancements we’ve made in compound technology and tire design, we’re now able to offer commercial tires that not only last longer but also help improve fuel mileage—and all at a significant price savings. That’s proving to be a very attractive value proposition for fleet operators navigating uncertain economic conditions.”

Tariffs

One of the big issues facing the total cost of ownership calculation is tariffs. “Commercial tire prices in Canada will rise this year, in part due to ongoing tariffs,” says John Hagg, Vice President Sales and Operations at Huayi Tire Canada. “These trade-related costs are putting upward pressure on the supply chain, from manufacturing to distribution. Additionally, factors like raw material costs, transportation, and inflation are contributing to overall pricing increases across the industry.”

That said, Mike Matesic, Product Segment Manager, TBR at Dynamic Tire explains that tariffs aren’t impacting all commercial tire manufacturers equally. “The industry has already seen an increase in pricing on tires that are coming from the U.S. due to reciprocal tariffs,” he says, “but for products coming from country’s other than the U.S., it’s business as usual. The only concern may be the strength of the Canadian dollar since tires are traded globally in USD.”

Impact on commercial tire sales

Tire retailers may well wonder if all this uncertainty will translate into a drop in commercial tire business this year. According to Huayi Tire Canada’s Hagg, it’s a bit of a mixed bag. “Tariffs are expected to continue having a negative impact on the commercial tire market in Canada, particularly for long-haul, north-south trucking operations,” he says. “Until there is an updated agreement or revision to the USMCA, this segment may face ongoing challenges. However, demand for last-mile delivery tires remains strong, and is likely to continue growing—at least as long as consumer spending stays robust.”

Dynamic Tire’s Matesic agrees, and offers a bit of hope. “If your customers’ primary business focus is cross-border hauling of any items that have substantial tariffs on them, then the short and simple answer is yes, your business will be impacted,” he says. “That said, the trucking industry is always changing to suit the needs of the market. If trucks don’t go south due to tariffs, there will be product coming and going from the ports, east and west, to accommodate the market changes and deal with tariffs. The trucking industry will always adapt, change, and survive!”