outahere Posted December 3, 2010 Share Posted December 3, 2010 Seems like over the last 1.5-2 years, there is an announcement every month from some tire manufacturer about raising tire prices because of increased raw materials costs. Bridgestone is responding by having a goal of reducing natural and synthetic rubber content in tires by up to 50% in the next ten years, without impacting tire quality or performance. http://www.tirereview.com/Article/82090/slashing_tires_bridgestone_aims_for_50_rubber_cut.aspx Regular price increases may continue into 2014. ".........There is no end in sight for rising NR costs, analysts said. Worldwide consumption of NR will overrun available supply by 313,000 tons in 2010, according to Goldman Sachs Group Inc., with pricing for 2011 estimated to reach $4.40 per kilogram from $3.60 this year, and to $4.60 per kilogram in 2012. In addition, supply will be constrained by a lack of harvestable trees. Goldman Sachs said it does not see a supply increase coming until 2013-14, when trees planted in 2006-07 mature..........." Link to comment Share on other sites More sharing options...
TSiWRX Posted December 3, 2010 Share Posted December 3, 2010 That's it. I'm gonna buy a hovercraft. <-- I love Winky, my "periwinkle" (ABP) LGT! - Allen / Usual Suspect "DumboRAT" / One of the Three Stooges '16 Outback, '16 WRX, 7th Subaru Family Link to comment Share on other sites More sharing options...
hadvw Posted December 3, 2010 Share Posted December 3, 2010 So, does it make sense to buy now for sometime next summer/fall? Link to comment Share on other sites More sharing options...
BAC5.2 Posted December 3, 2010 Share Posted December 3, 2010 With tire prices on the rise, I got a heck of a good deal on Pilot Sports A/S Plus's. I have almost always purchased from Tire Rack directly when a voluntary change of tire is done. This was involuntary and I needed it done ASAP. Local tire shop really came through! [URL="http://legacygt.com/forums/showthread.php/proper-flip-key-interesti-159894.html"]Flip Key Development Thread[/URL] "Genius may have its limitations, but stupidity is not thus handicapped." - E. Hubbard Link to comment Share on other sites More sharing options...
outahere Posted December 4, 2010 Author Share Posted December 4, 2010 So, does it make sense to buy now for sometime next summer/fall? Yes. Link to comment Share on other sites More sharing options...
hadvw Posted December 4, 2010 Share Posted December 4, 2010 With tire prices on the rise, I got a heck of a good deal on Pilot Sports A/S Plus's. I have almost always purchased from Tire Rack directly when a voluntary change of tire is done. This was involuntary and I needed it done ASAP. Local tire shop really came through! How much did you pay? I'm looking for the same tire, probably next September or so.. Link to comment Share on other sites More sharing options...
outahere Posted December 4, 2010 Author Share Posted December 4, 2010 Michelin will once again be increasing passenger car tire prices, on Feb 1, 2011. A few months ago they increased medium truck tire prices by 8%. Link to comment Share on other sites More sharing options...
hadvw Posted December 4, 2010 Share Posted December 4, 2010 Michelin will once again be increasing passenger car tire prices, on Feb 1, 2011. A few months ago they increased medium truck tire prices by 8%. Good to know! Link to comment Share on other sites More sharing options...
BanzGotBoost Posted December 4, 2010 Share Posted December 4, 2010 got the same michelin tires on my wagon, absolutely love em Link to comment Share on other sites More sharing options...
outahere Posted December 7, 2010 Author Share Posted December 7, 2010 Some interesting comments from the CEO of Pirelli NA: ".............Actually, right now there is a shortage of natural rubber availability because plantations cannot keep up with demand. So I don’t see a strong short-term possibly of there being reductions unless the market slows down. The second thing that influences the prices of raw materials is financial speculation. There are no places where you can put your money these days and make good returns. Unfortunately, all of the hedge fund investors see raw materials and raw material futures as good places to make money. Even if you have stable growth in demand, that does not justify the level of where prices are today. To me, that is related to financial speculation. This is what has been creating the situation. For example, and I’m just using numbers here, if raw material prices go up 80% year-on-year, what part of that is from speculation? Probably 20%, but that 20% has a tremendous impact on the financial P&L side for tiremakers. You cannot prevent that; it is free trade. As a general industry view, if prices of raw materials keep up where they are, then we need to make a drive for higher prices to reduce again the impact of those raw materials on the P&Ls. Recent price increases do not cover the full costs of the raw material increases we see. We’re far away from recovering that. I’m expecting there will be other adjustments in prices. Perhaps not this year, but at the beginning of next year, probably. But we also probably won’t see three to four price adjustments in a year, as long as raw materials stay level.” http://www.tirereview.com/Article/80558/new_chief_new_offices_new_sponsorship_renewed_attitude_at_pirelli.aspx Link to comment Share on other sites More sharing options...
devobuzz Posted December 11, 2010 Share Posted December 11, 2010 All this may be true. But I remember paying $225 per tire for Goodyear Gatorback 205/50VR/15's back in 1990. That's probably $500 in today's money - lol! Link to comment Share on other sites More sharing options...
Recommended Posts
Archived
This topic is now archived and is closed to further replies.