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May 22, 2001 02:00 AM

Michelin joins Goodyear in hiking tire prices

Tire Business Staff
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    GREENVILLE, S.C. (May 22, 2001)–Michelin North America has joined Goodyear in announcing plans to raise tire prices.

    Effective Aug. 1, Michelin said it will hike prices by up to 5 percent on all brands of Michelin Americas Small Tires (MAST) passenger and light truck tires. The increase is necessary due to the continuing increase in raw material, manufacturing and logistics costs, the company said.

    The price increase is the second in less than six months for the Greenville-based tire maker. Michelin boosted prices 3 to 8 percent Jan. 1 on its aftermarket passenger and light truck tires and raised prices of its replacement truck tires 3.75 percent last Dec. 1.

    Goodyear earlier announced a price hike of its own. The Akron-based tire maker said it raised prices in the North America replacement market by 4 percent on Goodyear and Dunlop brands, 3 percent on Kelly and private labels and 5 percent on Aquatred and bias-ply light truck tires, effective June. 15.

    The company said the increases are being sought to offset higher natural gas and fuel oil costs and higher labor costs related to the pattern contract agreement established by Bridgestone/Firestone Inc. last year.

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