US Tariffs Put Pressure on Prices
Tyre manufacturers in the US are likely to follow Goodyear in raising prices to offset tariffs on Chinese made tyres and rising raw material costs. This is the opinion disseminated by Associated Press, which reports KeyBanc analyst Saul Ludwig’s view that prices will be up some five to ten per cent by January. Goodyear, which will increase consumer replacement market prices by six per cent in December, imports around two per cent of its tyres from China. Its price increase, thus, could offset the extra costs.
Cooper Tire and Rubber has increased prices across its range to compensate for the cost of Chinese tariffs, Associated Press adds. Ludwig expects Cooper to raise prices five to ten per cent higher in the first quarter because of raw materials costs.