Another aggravating factor is the disruptions in supply chain due to Covid-19. Consequently, oil prices are at a seven-year high. Natural gas prices have nearly doubled in six months. Petrol prices in many locations are north of USD 4 a gallon. Cotton prices are up 25 percent since last month. Food prices have been rising steadily for the past few months. Not until the recent news stories about brownouts in China, very few people were aware about the steady ascent of coal prices, past USD 100 per metric tonne in June and then past USD 130 in mid-July to over USD 170 in early October. This is almost four times the price in September 2020!

So far, the U.S. Federal Reserve Bank has maintained that this inflation is transitory, but many experts believe otherwise.

Tyre Segment Not Immune To Inflation

The global tyre market reportedly sold more than 2 billion tyres in 2020, and is projected to grow to more than 2.7 billion tyres sold annually by the year 2026.

One large independently-owned tyre retailer urges buyers not to put off purchasing new tyres, as prices for tyres and vehicle parts have been trending up for the last several months, in part due to rising commodity costs and supply chain interruptions caused by Covid-19. These increases have shown no signs of levelling off.

“We have tracked as many as 20 price increases from 10 major tyre manufacturers,” said Jake Burt, owner of Burt Brothers Tires & Service in State of Utah. And the price hikes aren’t just limited to tyres. “We are also seeing prices climbing for parts, so we’re urging customers needing repairs to get those taken care of now rather than paying more for parts in the future — or having to wait longer than usual to get those parts.”

Burt said that his dealership is working overtime to beef up their inventory ahead of more changes. “We order every day and are doing everything to fill trucks and get them in our warehouse and to our stores so we can shield our customers from future increases.”

The Goodyear Tire & Rubber Co will increase consumer tyre prices for the fourth time in less than a year. Goodyear raised its tyre prices twice within a short window of time, first in December 2020 and then again in April 2021. The next increase went into effect in September 2021. Goodyear Chairman, CEO and President Rich Kramer told investors during the latest earnings call that consumer tyre prices will increase up to eight percent with this latest pricing action. The action will cover passenger and light truck tyres from both Goodyear and the recently acquired Cooper Tire and Rubber Co.

These price actions are also the result of the rising cost of raw materials like natural rubber and oil, used to make butadiene and carbon black for synthetic rubber. These materials make up more than 30 percent of the cost to manufacture a tyre, and their prices have already surpassed pre-Covid levels and continue to rise steadily. Goodyear predicts its cost of raw materials used for tyres will rise by about USD 175 million in 2021.

On a personal level, my trusty old mountain bicycle, purchased for about USD 50 in mid-1990s, needed a replacement tyre. No tyres were available during the height of the pandemic, but are now becoming available at few outlets, provided you are willing to part with about USD 25 – half the cost of the bicycle!

Bridgestone will supply tailored-made tyres for Lamborghini’s Huracán STO, which will be launched in 2021.

Bridgestone ensured the high-performance tyre can maximise the Huracán STO’s traction, handling, control, and extreme overall performance.

Key to the tyre’s success in maximising the super sports car’s performance is the combination of pattern and cavity design. The Potenza tyres apply an asymmetric tread design for enhanced steering response and cornering stability, and an internal crown structure that distributes footprint pressure evenly when cornering.

As well as the road-focused, custom-developed Potenza fitment, Bridgestone will also be providing a track-oriented, road-homologated version of the tyre that applies “race” technologies to maximise the vehicle’s track performance, especially in dry conditions.

Steven De Bock, VP Consumer Replacement and OE at Bridgestone EMIA, said, “It’s been a pleasure for our team to work so closely with Lamborghini for the first time, and on such an exciting project. The Huracán STO is an incredible piece of engineering that deserves a custom tyre that can fulfill its full potential. I can proudly say that Bridgestone has delivered such a high-performance tyre. It has been fantastic for the team to have worked on a project that is at the forefront of technology in so many ways.”

Hankook, one of the major global tyre brands, has started testing and development operations at its new ultra modern facility in Spain.

The testing facility has been set up on the premises of the Applus+ IDIADA Group and can also cater to European premium car manufacturers that have their own demanding tyre tests. The facility is completely automated and will host a 20-member team from the Spanish testing centre, which is affiliated to the Hankook Europe Technical Centre.

Klaus Krause, Head of European Research and Development Centre, said, "With the further expansion of our testing capacities in Spain, we are reaching the next level together with our local partner Applus+ IDIADA."

He also added, "We are confident that the newly installed testing facilities in particular will significantly improve our efforts to provide the best tyre testing conditions and services to our employees and customers. In addition, we will also be able to conduct significantly more tests on site." (TT)

ASCENSO introduced a construction tyre - BLB 730- which is used for boom lift vehicles used in construction and other industries. It comes with several features that cater to the unique needs of aerial lifting equipment.

The BLB 730 tyre is available in different sizes to fit various boom lift vehicles. This range of sizes provides versatility and compatibility with different types of aerial lift work platforms.

“ASCENSO's BLB 730 tyre is a significant advancement in specialised equipment for the construction industry. It focuses on load capacity, stability, traction, and durability to improve the performance and safety of boom lift vehicles. Whether working at heights or manoeuvring on tough terrains, this tyre offers reliability and durability for efficient operations,” said the company in a statement.

The BLB 730 tyre is built to handle heavy loads and stabilise boom lift vehicles. It has solid lugs and a more extended shoulder design, which ensures good traction and prevents slipping during operation. This is important for safely carrying heavy weights at high elevations. ASCENSO has used a special rubber compound in making the BLB 730 tyre, making it durable and long-lasting, resulting in less downtime and more productivity on construction sites.

To make the tyre even better, the company has optimised its inner volume to reduce tyre fill consumption, reducing the risk of tyre punctures, minimising the need for maintenance, and keep the vehicles running smoothly.

Falken Tyre Europe is an official IHF Men's World Championship 2023 partner for the upcoming tournament, the company has announced. The tournament is taking place at nine venues in Sweden and Poland from 11-29 January, 2023. Falken Tyre claims that the partnership was organised by the sports marketing agency SPORTFIVE. SPORTFIVE is responsible for exclusive marketing and media rights for all IHF World Championships until 2031.

Falken Tyre claims that this is its second agreement with the International Handball Federation. In addition to title and logo rights (Official IHF Men's World Championship 2023 Partner), the company has also secured advertising rights, including the Falken logo in each goal and centre circle of the courts, as well as the presence of Falken branding in the official tournament social media communications and print materials. According to Falken Tyre, this is complemented by 30-second video ads that will be shown on the big screens in the nine sports halls before the start of each match and at half-time.

Sharing his views, Robert Müller von Vultejus, Chief Growth Officer at SPORTFIVE, said, “With Falken, the IHF World Handball Championships have secured a great partner who is positioned with far-reaching influence in the relevant core markets. We are delighted to have been able to bring two global partners together for one of the most exciting sporting events of next year.”

Markus Bögner, COO and President of Falken Tyre Europe GmbH, explained, “Handball isn’t just of great importance in Europe, but all over the world, which has led us to partake in this top-level tournament once again. The fact that the international tournament is taking place in countries that are among our core markets is another great reason for our involvement. We can also look back on a long partnership with our colleagues at SPORTFIVE, who always offers us excellent opportunities that are an excellent fit for the Falken brand, which stands for enthusiasm, performance and achievement.”