Goodyear raising N.America tire prices up to 6 pct

[tenderloin]

Goodyear raising N.America tire prices up to 6 pct
Thu Nov 12, 2009 1:07pm EST
* Raising prices on all retail tire sales in N. America

* Increases take effect Dec. 1

* Goodyear shares up 3.8 percent

DETROIT, Nov 12 (Reuters) - Goodyear Tire & Rubber Co (GT.N) will raise prices on consumer replacement tires in North America by up to 6 percent to recover higher raw materials costs, the company said on Thursday.

Goodyear, which has forecast a fourth-quarter operating loss for its key North American Tire unit, said the price increases would take effect Dec. 1.

The increases cover all consumer tire brands and will be Goodyear's first in about a year, company spokesman Jim Davis said. He declined to specify which raw materials costs drove the decision to raise prices. There were also other unspecified costs that contributed to the price increase.

Goodyear shares were up 52 cents, or 3.8 percent, at $14.05 in afternoon trading on the New York Stock Exchange. (Reporting by David Bailey; editing by John Wallace)

 

[mrsilv04]

Raw materials:

1) Oil



??????

 

[daves87rs]

Sad...my gut tells me that it will be more than that....

 

[jcwit]

Chinese tire sales will now go up even higher.

 

[Boomer]

The other price contributors are rubber curative chemicals, specialty carbon blacks, waxes and antioxidants, cords , etc. SInce we are buying all of this raw material stuff from China these days, as there demand goes up, so does our price.

 

[NHHEMI]

Amazes me that people buy their tires. 95%+ of them are nothing but JUNK. Worst tire line I have ever used. Funny but despite such a poor product, for the most part( couple decent tires ), every tire they offer seems to carry a premium price tag.

Now they want to raise prices even higher? They are some of the most expensive tires there are now yet some of the worst quality wise. And they want to raise prices? May as well as people will probably stiill buy them for some reason.

What Goodyear needs to "raise" is the quality of their [censored] tires.

 

[daves87rs]

Originally Posted By: NHHEMI
Amazes me that people buy their tires. 95%+ of them are nothing but JUNK. Worst tire line I have ever used. Funny but despite such a poor product, for the most part( couple decent tires ), every tire they offer seems to carry a premium price tag.

Now they want to raise prices even higher? They are some of the most expensive tires there are now yet some of the worst quality wise. And they want to raise prices? May as well as people will probably stiill buy them for some reason.

What Goodyear needs to "raise" is the quality of their [censored] tires.





Maybe I'm lucky, but my GYs have been pretty good...

 

[mrsilv04]

Originally Posted By: NHHEMI
Amazes me that people buy their tires. 95%+ of them are nothing but JUNK. Worst tire line I have ever used. Funny but despite such a poor product, for the most part( couple decent tires ), every tire they offer seems to carry a premium price tag.

Now they want to raise prices even higher? They are some of the most expensive tires there are now yet some of the worst quality wise. And they want to raise prices? May as well as people will probably stiill buy them for some reason.

What Goodyear needs to "raise" is the quality of their [censored] tires.


To be fair, I think every tire manufacturer has their share of "duds". And to take that one step further, some manufacturers have more duds than others. I'm simply not a fan of Firestone, simply based on the millions and millions of tires that they've recalled in the last 30 years.

I have a set of Goodyear Assurance ComforTreds on my folks' Park Avenue. They do everything that I expected them to do, and more.

If that same tire was put on a sports car, then most folks would call it "JUNK". The ComforTred would perform poorly on a sports car, and that could lead to a person saying that Goodyear tires are junk... even though it would be a great tire when installed on the proper vehicle.

Also, I think a lot of tire manufacturers get bashed because of the OE tires that they produce for the vehicle manufacturers. What a consumer wants to see from a tire, and what a vehicle manufacturer wants to see from a tire can and will be different qualities. A vehicle manufacturer wants to see low rolling resistance. We want traction or long life. These types of qualities are often mutually exclusive. Therefore, someone buys a new vehicle, and with it, the vehicle owner gets tires that don't do what THEY want the tires to do.... so the tire brand is considered junk. It's a shame, but it happens often.

When I buy a tire, I buy what I believe is the best tire for the application, for the money. I refuse to pay what I believe is too much for a tire. Therefore, the last three sets of tires that I bought for two cars and one truck were BF Goodrich, Goodyear, and Michelin. On the motorcycle, I've bought Dunlop and Bridgestone. There's not a whole lot of blind brand loyalty there.

As with the rise of the South Korean auto manufacturers, especially in the last 10 years, I think we're going to start seeing more and more Asian designed and manufactured tires here in the state. Kumho has been around longer than one would realize (I've been using their tires since the early 90's... before that, what I recall was a Korean(?) tire by Trisun), and Hankook is carving out their share as well, by landing OE contracts with Ford. We've also seen companies like Yokohama grabbing more and more share as well.

A company named Shinko is starting to wedge itself into the American market for economical motorcycle tires. These tires are made in South Korea.

The mainstream tire manufacturers need to take note, as what happened to the auto market with the rise of the Korean vehicles, is likely going to happen to them as well.

 

[PT1]

The US dollar is falling against other currencies because of all of the debt we have. Prices will climb steadily for the next few years maybe longer. We are headed for another period of stagflation much like the late 1970's. My first home mortgage interest rate in 1983 was 16.5%

 

[nthach]

Originally Posted By: NHHEMI

What Goodyear needs to "raise" is the quality of their [censored] tires.


OEM ones, yes. I have TripleTreds on a 1996 Nissan Quest and they are every bit as good as the Michelin HydroEdges they were mixed with.

 

[robbobster]

Most GY tires are decent, but are priced at a premium for consumers...strength of the brand, as well as public apathy toward tires in general.

If I'm going to pay a premium price, I'm going to buy a premium tire...and not many GY tires meet this criteria for my vehicles.

 

[Mr Nice]

Any body know how many Goodyear tire plants are left in the USA ?

 

[CapriRacer]

Originally Posted By: LT4 Vette
Any body know how many Goodyear tire plants are left in the USA ?


According to the Sep 7, 2009 issue of Rubber & Plastics News, 7.

Akron, OH
Danville, VA
Fayetteville, NC
Gadsden, AL
Lawton, OK
Topeka, KS
Union City, TN

But if you want to count "others"

Goodyear Dunlop Joint Venture in Tonawanda, NY

 

[nthach]

I find that Goodyear "company" or chain stores are horribly, horribly overpriced for what they want. If I want any other tire besides what Costco carries, I go to America's Tire or get them off Tire Rack and it's a DIY affair.

 

[Bryanccfshr]

I don't like Goodyear(their new MT with Kevlar is nice looking but expensive for the quality). I like Cooper, michellin and Interco.