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Demand for vehicles in China, India tightens supplies for tires
toledoblade.com ^ | October 16, 2010 | Larry P. Vellequette, Blade Business Writer

Posted on 10/16/2010 1:34:11 PM PDT by MamaDearest

Demand for vehicles in China, India tightens supplies for tires

Now is not the time to blow a tire.

The worldwide price of rubber is at its highest level in decades as demand from China and India outstrips existing supply, leading tire companies such as Findlay-based Cooper Tire and Rubber Co. to raise their prices.

Cooper Tire announced last month that it would pass along a price increase of as much as 6.5 percent, beginning Nov. 1, citing rising raw materials costs. The increase is the second time in five months Cooper has raised its tire prices, passing along a 7.5 percent price hike on June 1 for the same reason.

And it's by no means alone. Virtually all manufacturers of light truck and car tires being sold in the United States have dramatically increased their prices this year in response to the skyrocketing price of tires' main ingredient: rubber.

(Excerpt) Read more at toledoblade.com ...


TOPICS: Business/Economy; Miscellaneous
KEYWORDS: china; india; supplies; tires

1 posted on 10/16/2010 1:34:15 PM PDT by MamaDearest
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To: MamaDearest
And if I understand correctly, once a tire always a tire ... or a reef.

You just can't melt it back down like steel and aluminum.

How are the rubber tree plantations doing?

2 posted on 10/16/2010 1:39:13 PM PDT by knarf (I say things that are true ... I have no proof ... but they're true)
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To: MamaDearest
Now is not the time to blow a tire.

Nope, wait until we are a super power again and WE reap instead of bow to other nations for goods.

3 posted on 10/16/2010 1:45:17 PM PDT by EGPWS (Trust in God, question everyone else)
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To: knarf
Profile of rubber plantations in Indonesia

Snips

The prices of natural rubber fell hitting the rock bottom toward the end of the 1990s and early 2000s. The price was only 50 U.S. cents per kg in 2001. Now (in October, 2006) the price has shot up to around US$ 1.5 a kg.

The prices of natural rubber began to scale down in mid 2006 but producers in the country believe that the price will not fell to less than US$ 1 a kg. The price is forecast to stay close to the ITCR target of US$ 1.3 a kg. The market of natural rubber is predicted to remain firm for a long time to come as it is not easy to increase production through expansion of rubber plantations, which will take years to be ready for harvest.

Indonesia is no longer number one in natural rubber production in the world. That position has been taken over by Thailand. Indonesia failed to fully take advantage of the rise in the rubber prices as wide rubber plantations have not been well taken care of in the country.

4 posted on 10/16/2010 1:47:35 PM PDT by MamaDearest
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To: MamaDearest

Set of Michelin cost 1000.00 nowadays. I know of one guy selling his truck for 1500.00 to keep from replacing tires.


5 posted on 10/16/2010 1:48:31 PM PDT by Orange1998
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To: knarf

Granulated rubber (recycled tires) is used as infill in synthetic lawns and sports fields. It is also used in PIP - poured in place rubber - for playground safety surfaces. It is also used to produce rubber mulch, edging, curbing, etc.

There are countless uses for used tires and you don’t ever see them being burned anymore. They are too valuable. At least in civilized countries.


6 posted on 10/16/2010 1:51:01 PM PDT by FlJoePa
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To: EGPWS
Nope, wait until we are a super power again and WE reap instead of bow to other nations for goods.

You got that right. Years ago we made tires, aluminum, steel, appliances, electronics and about everything under the sun that we now depend upon to be imported from foreign nations. We need leadership in America to give businesses incentives to produce here in America and tariffs if they insist upon importing their products back to us from countries they've enriched that detest us.

7 posted on 10/16/2010 1:54:04 PM PDT by MamaDearest
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To: MamaDearest

Thanks MD, that’s just the information I was looking for.


8 posted on 10/16/2010 1:59:00 PM PDT by knarf (I say things that are true ... I have no proof ... but they're true)
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To: FlJoePa
Yeah .. they're recycled as something else, not as tires.

Whereas gran'pa's 1930 LaSal could be part of a 2010 hybrid ... car - car .. conversion.

That was MY point.

There might be enough steel in America to keep manufacturing steel products by re(s)melting used steel. A toaster can become a hubcap, etc.

A tire can be recylcled but it will never be a tire again, thus a continuous supply of rubber must always be filling in the need.

Tires are relatively short lived, rarely much more than a year or two and in some cases, twice a year (summer all seasons, switched out to winters,all seasons bought new the next spring, switched out for winters ... etc.)

9 posted on 10/16/2010 2:07:16 PM PDT by knarf (I say things that are true ... I have no proof ... but they're true)
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To: knarf

Noted...I guess I misread the entire thread. My bad.


10 posted on 10/16/2010 2:15:22 PM PDT by FlJoePa
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To: FlJoePa

>>you don’t ever see them being burned anymore. <<

One of those countless uses is burning speed cameras :)

http://www.speedcam.co.uk/gatso2.htm


11 posted on 10/16/2010 5:05:04 PM PDT by Malsua
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