Local Upgrading in the Global Tire Value Chain: A Thai Producer Beyond Oligopoly
Toshiyuki Baba, Hosei University Japan
1. Purpose
This research investigates how a Thai local tire manufacturer has upgraded within the global value chain (GVC) of automotive tires, a safety‑critical component whose importance does not diminish with electrification or new forms of mobility. Building on a quantitative analysis of tire trade statistics for 2012–2022, the study first shows how the global tire GVC has shifted from a traditional oligopoly dominated by advanced economies toward a more multipolar structure with rapid upgrading in several Global South countries, notably Thailand.
Within this broader structural change, the central question is whether Thailand’s remarkable rise in tire trade rankings primarily reflects international horizontal expansion of incumbent global manufacturers, or whether local firms themselves are emerging as significant global exporters in their own right. The field survey and case study of a Thai local tire producer address this question by examining the firm’s export orientation, technological upgrading, product portfolio, and positioning vis‑à‑vis global brands and low‑cost Chinese suppliers. read more
