In response to the currently very high price level for the main types of natural rubber used in the production of tyres, Continental AG will be increasing the list prices of summer and all-season passenger and light truck tyres in the Asian and Pacific replacement market by an average up to 5%, effective from 1st December 2010.
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It says that at well over US$4 per kg, the prices for natural rubber are now at a historic high. The planned price rises affect all the company’s car and light truck tyre brands.
“We are currently working on implementing this price increase right across Asia and the Pacific region in order to offset at least some of the substantial increases experienced this year in the cost of raw materials. The new prices will come into effect until 1st December 2010 in China, Taiwan, Thailand, Malaysia, Indonesia, Philippines, Vietnam and Singapore,” said Dr. Andreas Esser, Head of the Business Unit Replacement Asia Pacific (APAC) for Passenger Car and Light Trucks Tires.
Natural rubber accounts for over 40% of a tyre’s cost, making it one of the most important raw materials in tyre manufacture – even though Continental is working vigorously to find alternatives to gradually replace it, without having to sacrifice performance characteristics in the process.
