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John Deere Tractors Discussion Forum
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Tire prices going up?

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36 A

03-29-2006 19:08:15




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Has anybody else heard of tractor tire prices going up in the coming month.I"ve heard up to 50 % more.




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Mike M

03-30-2006 06:19:40




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 Re: Tire prices going up? in reply to 36 A, 03-29-2006 19:08:15  
The local tire dealer had an ad in the paper last month ? about this. They wanted you to order now before the increase.

Seems everything is going up but wages !



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DPG

03-30-2006 08:39:56




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 Re: Tire prices going up? in reply to Mike M, 03-30-2006 06:19:40  
Costs on tires having been moving upwards at an fast rate over the last 3 years. Domestic mfgs have high overheads (ie labor)to contend with. Also a lot of "blame" is placed on petroleum products and their increasing costs not to mention past steel price increases. Most these companies can ride the "high-cost" wave and make more gross dollars even if they net less.( ie poor management) Titan bought out GY this last year and I"m sure their goal is to make money and increase market share. Any of the other farm tire Mfgs will adopt that same philosophy easily. (follow the leader)

A manufacturer looks at what he can produce that nets him the most $. "Pressing" out low yeild bias farm tires from a tire press or should I "press" out higher yeilding radial farm tires from the same tire press? Considering plant wages, it is more economical (for a mfgr)to let bias farm tire production "slide" and get fulfilled in North America by overseas mfgs of farm tires. If they are going to build a bias farm tire it"s going to have to cost more domestically, to offset their fixed production expenses.

Another way the farm tire market gets looked at is this way: Hi performance tires for a $80,000 sports car cost substantially more than tires for your old 1980"s sedan. Then shouldn"t high-perf. farm radials cost sustantially more? A marketing idea for bias farm tires is this: Since vintage cars are so popular; those in that hobby pay more for authentic tires...why can"t those who need authentic farm tires for their properly restored tractors pay more? Remember I didn"t say I agree with these arguments...but they are ones being used about the farm tire industry.

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