MILL VALLEY, CA (BRAIN)—It’s not only a recent jump in taxes that are increasing tire prices.
Because of rising oil prices, consumers should expect tire prices to increase upwards of 18 percent in the following year.
“We increased the price of our high end folding bead tires by 10 percent for 2008,” said WTB marketing coordinator Dain Zaffke, a result of rising oil costs. “It's an unfortunate reality for manufacturers, retailers and consumers.”
“But spending an additional $5 on your favorite tire a couple times a season pales in comparison to the poor SUV drivers throwing an extra $20 into the tank with every fill up,” he added.
Kenda marketing director Jim Wannamaker said that prices will “spike” upward soon. As China continues to grow and other countries demand all the cars and consumer products that Americans have, rising prices are a fact of life—and it’s not just tires.
“Every VCR, DVD player, every car or truck, every airplane produced, all the plastic shopping bags, all the items using plastic, or running on diesel or gasoline need oil as a core ingredient,” Wannamaker said. “We are consumers and as such there is a price to pay for everything. Those prices will rise and continue to rise until we exhaust the supply.”