Bridgestone declares to raise tyre price by 7% to 10% in China
According to Bridgestone China Investment Company, Bridgestone will raise their truck price in China in Aug. 2008. By then prices of buses and trucks will be increased by 7% to 10%.
Compared with late Mar. oil price has risen up to 40% and caoutchouc price risen up to 20% which are great pressure to the tyre maker. According to Bridgestone China Investment Company, they have taken every possible means including upgrading production capacity and trying to realize raw material localization but they are far from offsetting the effect of raw material price rise.
The price rise of oil and other raw materials has increased costs of driving a car. The auto market expects low fuel consumption tyres. As early as 2002, Bridgestone has developed a new technology by which fuel consumption can be lowered by decreasing tyre rolling resistance. It is learned that this kind of tyre will be imported into China soon.
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