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Nov 1, 2008

Tire will usher in a new round of price increases

In December 2007, Hankook Tire China headquarters, the company announced plans to play in February 2008 on the Chinese market, sold tire prices rise slightly, mainly due to price increases and said that raw materials prices, prices of related products The main market for retail, OEM assembly temporary market will not be affected.

As early as six months ago, there was a tire prices rise significantly. It is understood that in May 2007, Bridgestone, Michelin, Goodyear, etc. Most of the foreign brand tire prices rise an average of 3% -5%.

According to the analysis of the major tire production of raw materials - rubber prices have been climbing. Natural rubber prices in the wake of growing demand and prices continue to occur, some of the natural rubber prices have gone up by Qi Bashi U.S. dollars per ton. On this premise, the majority of tire manufacturers to adjust their prices and part of the international market price.

Michelin (China) Public Relations an interview with reporters, said Li Wei, "Michelin has been closely watching the movements of the market price, based on market conditions, changes in customer demand, raw material prices and other factors to adjust the price."

In addition, Bridgestone also announced that from April 1, 2008 from increased use of winter tire prices. A variety of products, the average increase, the passenger car and light truck tires by 5.5%; truck and bus tires used to 7%; motorcycles, construction machinery and industrial vehicles, such as the tire was 7% -10%. Bridgestone (China) Public Relations said that the prices of specific system will be released in the near future.

At the same time that, Goodyear, Kumho Tire, and other groups are to discuss adjustments to the retail price of tires.

Reporters from the dealers found that until the end of last year, 4S store level than the price of each tire early in 2007 rose nearly 10%. It is understood that such a rise as early as 2006 have been revealed, the data show that in recent years, the retail price of the tires up in a row, has some of the tire brands and models of the price increase of 30% -40%.

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