The European Tyre Industry made a significant contribution to the European Union’s economy last year, according to a report for the European Tyre and Rubber Manufacturers’ Association (ETRMA) recently published.
Analysis by Oxford Economics for the European Tyre and Rubber Manufacturers’ Association (ETRMA) showed that in 2023, the tyre manufacturing sector supported an estimated total contribution to the European Union’s GDP of around €44 billion and sustained almost 500,000 jobs across the region.
The study also provides critical insights into the industry’s contribution to international trade and long-term productivity driven by its extensive research and development (R&D) activity.
“The report confirms the tyre sector’s indispensable role in economic growth, innovation, and productivity, which are all vital for Europe’s industrial competitiveness,” said Chris Delaney, President of ETRMA. “Tyres are not just about mobility – they are about keeping the economy moving forward”.
Adrian Cooper, CEO of Oxford Economics added, “Our research demonstrates the significant contribution of tyre manufacturers to the EU economy, which extends beyond their own operations. For instance, our analysis demonstrates that for every 1,000 people employed in the EU tyre manufacturing industry in 2023, an additional 3,500 jobs were supported in other parts of the EU economy through the industry’s expenditure. In addition, the total tax contribution stimulated in the same year would have been sufficient to pay the wages of around 300,000 teachers, medics, and social workers across the EU.”
The report also highlights the industry’s €10 billion R&D investment between 2017 and 2023, driving a projected productivity boost of €4.6 billion to GDP across the EU in 2035.
“This research underlines the considerable impact of the tyre industry on Europe’s economy and society,” added Adam McCarthy, Secretary General of ETRMA. “However, there are increasing challenges, such as high energy costs, to maintaining a strong manufacturing footprint in Europe. We call for future regulations to continue to support our industry’s contribution to Europe’s transition to a more competitive and sustainable future.”
Source: Tyretradenews
