Rubber prices fell as much as the price of tires, some brands raised prices by 5% this month

Although natural rubber prices have fallen sharply, the prices of tires at retail terminals are still rising against the market. The Herald reporter visited a number of tire shops in Xiamen yesterday and was informed that tire brands such as Michelin and Bridgestone had just completed a new round of product price hikes this month, with a margin of around 5%.

Brand tires have increased their prices. Michelin tires just finished a round of price adjustments in early November and all of their products have been raised by about 5%. Bridgestone tires also adjusted their product prices across the board in October. Positive new tires were raised during the same period. The prices of individual products are all around 5%,” said the person in charge of Haoyinbang Trade Development Co., Ltd., which specializes in tyres on Xiamen’s Linyue Road, and told the reporter that imported tires are particularly eye-catching in this wave of rising prices.

Intriguingly, the main raw materials for tires, such as gasoline and natural rubber, have just begun to drop sharply.

According to Wang Liqun, assistant to general manager of Xiamen Jianfa Raw Materials Trading Co., Ltd., in late September, the raw material prices of natural rubber were still hovering around 36,000 yuan/ton. Yesterday, the price of domestic rubber has dropped to about 26,000 yuan/ton, and the import rubber decreased. Bigger, the same day quote has dropped to 23,000 yuan / ton. In addition, not long ago, the National Development and Reform Commission just lowered the price of domestic refined oil, and Xiamen No. 93 gasoline was reduced from 7.37 yuan/liter to 7.14 yuan/liter.

It takes time for the cost to pass. “The price of raw materials has fallen sharply. How have tires increased their prices?” More than Hao Youbang Company, several tire shops on the sports road also find it difficult to comprehend the current tire price increase.

"Tire manufacturers' inventory raw materials also need a consumption process." Fujian Rubber and Plastics Industry Association analysts believe that the raw material price fluctuations, from the manufacturer to the retail terminal needs a process, this process is generally about 3 months. Therefore, it is estimated that the tire prices on the retail terminal may be reflected around New Year's Day next year.

In fact, retail outlets have already smelled the loosening of tire prices as news of favorable prices for tires comes. Mr. Chen of Dongpu Road, Xiamen Shunbangda Automobile Repair Factory told the reporter that the recent tire prices are not as strong as in the past. Individual brands can already bargain. 500-600 yuan/piece of tires are 10-20 yuan cheaper. There are still some.

“Sometimes, even if dealers have received notifications from manufacturers, they will not inform retailers at the first time.” Mr. Chen stated that the dealer’s inventory was established before the price reduction, so of course he hopes to find all stocks. Clear light enough.