AKRON—For 2021, at least, tire price increases joined death and taxes as things one couldn't avoid.
The steady stream of price-increase announcements from tire makers large and small—in a few cases, five or more times in a 12-month period—was unprecedented.
According to pricing changes tracked by Tire Business throughout the past year, wholesale prices in some cases could be up to 40 percent higher than they were in early January, depending on brand.
Increases throughout the year tended to be in the 5-8 percent range.
The situation has evolved to the point where savvy retail dealership owners are checking prices daily—or even multiple times daily—before ordering to try and stay current with the situation, according to wholesalers contacted by Tire Business.
While most of the major tire suppliers announced multiple increases throughout the year, one other metric of price comparison didn't appear to change that much.
According to import/export pricing data gleaned from U.S. Commerce Department records, the average declared price of a passenger tire imported in September was just $1.99, or 4 percent, higher than the average price declared in January.
In their respective price increase announcements throughout the year, the various companies cited a number of reasons for the price hikes, including
- changing market conditions;
- the continued escalation of operational and supply chain costs; and
- increased costs in both transportation, labor and raw materials
By company, price increases from the past 12 months include: