Global Radio Frequency Identification Market Revenue Growth Expected to be Driven by an Increase of Automotive Tires During 2018-2028

Over the last few years, commercial automotive tire manufacturers have initiated embedding Radio Frequency Identification (RFID) tags or microchips onto and into their tires for the reason that RFID technology can provide benefits to both the tire manufacturers itself and the fleets. RFID tags are basically microchips attached to an antenna that acts as a transponder that all the time listen for a radio signal sent by RFID readers or transceivers. For automotive tires, passive RFID tags are used that do not require batteries to function. The RFID tags that are placed into automotive tires are petite, about the size of a rice grain weighing only a couple of grams. This RFID tags are designed in such a way so that they are embedded in the sidewall of an automotive tire. A special packaging is required for these tags to resist harsh chemicals, heat, and cold. Placing RFID tags in or on the automotive tire can provide a trove of intellect that can be easily captured, including tire pressure, tracking, several retreads and tread depth wear. There are a numerous ways in which an RFID tag can be placed in an automotive tire at the time of manufacturing process.

According to a recent research report published by Future Market Insights, the global market for radio frequency identification is expected to increase at a 14.5% CAGR over the assessment period 2018–2028. FMI reckons that the global market is estimated to be evaluated at around US$ 12,912.0 Million during 2018 and is likely to increase at 14.5% CAGR during 2018–2028, in terms of value over the forecast period. In developing regions including North America, Western Europe and SEA and Others of APAC, a significant growth can be seen in market value shares by the end of the estimated period. North America will be lead the overall market owing to a huge number of automotive tires market in the country.

The global RFID market on the basis of applications can be segmented into aerospace and defense, logistics and transportation, retail and consumer goods, automotive, healthcare, agriculture and others. The retail & consumer goods segment is projected to account for a significant share of the global RFID market during the assessment period. The development of the RFID market is mostly driven by the growing need for effectual supply chain management in the emerging economies of China, Middle East & Africa, and SEA & Others of APAC. Healthcare sector has robust opportunities as there is an increase in demand for RFID tags across the globe. The healthcare sector is projected to drive the demand for RFID technology, as the focus of RFID technology is rising for tracking and classification of medical instruments. This technology holds a huge potential for ensuring patient safety and improving supply chain efficiency while dropping human errors in healthcare practices all at the same time. According to FMI report, the RFID tags are expected to dominate the market in the component segment due to the high saturation of advanced technologies such as RAIN RFID tag in several industries.