TORRANCE, Calif.—Federal Tire North America is raising prices on its entire product line by roughly 2.5 percent, effective April 1.
According to Joe Kao, operations manager, the Taiwan-based tire maker, "tried to hold off as long as possible but finally, we had no choice."
The 2.5 percent is a "weighted average" on Federal's entire line of tires, according to a spokesperson. The price increase won't affect the Xplora MTS, which was released recently.
Kao said the price hike was a result of "raw materials cost increases along with increases in the general cost of doing business."
Torrance-based Federal Tire North America is the U.S. subsidiary of Taiwan's Federal Corp.