SIC 5014 Tires and Tubes

SIC 5014

This industry category includes companies that primarily wholesale new and used tires and tubes for passenger and commercial vehicles. It also includes companies that wholesale tire and tube repair materials.

NAICS CODE(S)

441320

Tire Dealers

421130

Tire and Tube Wholesalers

INDUSTRY SNAPSHOT

Tire wholesalers sell new replacement automobile tires (60% of revenue); new replacement truck, bus, and industrial tires (35%); and used or retreaded tires (5%). Some wholesalers also sell wheels and associated parts. About 60 percent of consumer tire sales are premium manufacturer brands, 20 percent are economy manufacturer brands, and the remainder are private-label.

In 2006 the U.S. tire and tube wholesalers industry consisted of about 1,500 companies with combined annual revenue of $12 billion. Most companies were small, averaged a dozen employees, and earned less than $5 million in annual revenue. A typical large wholesaler has $200 million in annual revenue and a network of ten or more distribution centers/sales offices. The largest 50 companies account for half of industry revenue.

INDUSTRY LEADERS

Major companies include ATD (American Tire Distributors Holdings Inc.), based in Huntersville, North Carolina, and owned by Investcorp Bank B.S.C. of Manama, Bahrain; TBC Corp., headquartered in Memphis, Tennessee, and operating as a subsidiary of Sumitomo Corporation of America (SCOA); and Bandag Inc., of Muscatine, Iowa. ATD, which posted more than $1.1 billion in sales in 2005, operates 71 distribution centers in 36 states and employs more than 2,000 people across its nationwide network. TBC was a diversified auto parts distribution firm from 1956 to 1996, when the company began to focus exclusively on tire operations. In December 2003 TBC acquired National Tire...