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Old 03-14-2012, 07:23 PM   #1
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Can You Believe the Increase in Tire Prices

About to purchased 4 tires for my 07 Monaco Knight. Checked early last month and got a quote of $550 per from a local Goodyear dealer ( 275 70R 22.5). Also, checked with the local Michelin dealer for Monaco club pricing. Not such a great deal as I anticipated. Thought I had a month or two to arrange purchase. Checked two days ago the same Goodyear tire is $700 dollars each. They said it was because the tires are petroleum based. I asked “How many gallons does it take to make a tire?” No comment. Tonight I talked with a friend that worked in the tire manufacturing process. He said “they do not use that much petroleum base in the process. So I’m thinking “another way of sticking it to the consumer.” It’s my mistake for not purchasing the tires earlier but it’s ridiculous, I’m probably getting tires that are at least 4 months old which means oil prices were less when they were manufactured. Too bad we all can’t drive on just our rims!

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Old 03-14-2012, 07:37 PM   #2
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It all goes back to the oil price increases. The speculators on Wall Street are driving up the price.


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Old 03-14-2012, 07:41 PM   #3
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Michelins went retail price ballistic over the past 18 months as well. Retail on mine during that time went from ~$600ea to ~$1,000ea when I priced a couple months ago. It did that rise in fairly equal stages during that time-frame. I'll bet your GYs did too. No one has any explanation.

Of course, the FMCA Michelin pricing for your 275 70r/22.5 tire today is right at $496. You might want to consider that option.
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Old 03-14-2012, 08:08 PM   #4
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Originally Posted by TXiceman View Post
It all goes back to the oil price increases. The speculators on Wall Street are driving up the price.

Credible financial people have said speculators can account for 15 to 20 percent of the price increases in the oil market. There are many other variables in the mix.
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Old 03-14-2012, 08:33 PM   #5
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maybe when the price gets high enough to crash the economy again,those speculators will jump out a window when they lose there accounts/jobs
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Old 03-14-2012, 08:43 PM   #6
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Originally Posted by FleetMan View Post
Credible financial people...
Isn't that an oxymoron?
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Old 03-14-2012, 08:49 PM   #7
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I am a part owner of a small rubber molding company. I can attest to the fact that rubber suppliers have increased their prices by astronomical amounts! We have been hit with 30, 40, 50% (and more) increases in various types of rubber we use in our products. Of course we can't easily pass this along to our customers! The reason given by our suppliers is that many of the chemicals and the raw rubber itself have been in short supply or have petroleum components.

The reality is "commodity" items are being driven higher and higher by speculation. Everyone wants in the game. Leather prices are skyrocketing. Cotton has gone through the roof. Some goofball zillionaire in Britain bought tons of raw chocolate to force the price way up. As speculation continues unabated, the only real "recovery" is for the very top... The rest of us pay more and more and get less and less... Very sad...
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Old 03-14-2012, 08:58 PM   #8
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Did some Googling using "gallons of crude to make a tire" and lots if interesting hits.

Of particular value and cred to this thread is

How Oil Prices Impact Tire Pricing

Certainly amplifies what rvguy02 said.....
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Old 03-14-2012, 10:07 PM   #9
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Went to buy some new race tires this week - up nearly 50% per tire over 2010 - and they have very little rubber in them - mostly hand-made labor and QA costs (100% x-ray).

The article above talks about a rubber shortage due to weather conditions - but has anyone seen evidence o this other than prices? I've not seen a lack of availability of rubber goods. Seems like the demand is being met despite the "shortage".
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Old 03-14-2012, 10:40 PM   #10
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Two years ago the Goodyears were $325, last summer they were $550. So I guess it takes an additional 2 barrels of oil now to make one tire. .
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Old 03-14-2012, 11:03 PM   #11
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I guess between gas and tires I will travel a few less miles. I had a long trip planed.
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Old 03-15-2012, 07:22 AM   #12
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Re: The high price of tires: Well you see the ship that brings them to the US from China runs on high priced OIL.
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Old 03-15-2012, 08:39 AM   #13
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Originally Posted by wa8yxm View Post
Re: The high price of tires: Well you see the ship that brings them to the US from China runs on high priced OIL.
Well ya, but they take a big load of oil from the US back with them so it all evens out.
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Old 03-15-2012, 09:12 AM   #14
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We can always hope that high shipping costs will drive more manufacturing home. If we have to pay high prices anyway why not let our coutnry and its people share in it. Can pay folks here decent wages putting money in the economy and more tax revenue.

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