'Tis the season for soaring tire prices
If you are buying new car tires this winter, you've picked a bad time.
Retailers are at their busiest, and manufacturers know they don't need to run specials to get people to buy tires in this region in the winter, said Casey Coleman, a manager for F&F Tires in Delavan.
Add to that the fact that some of the largest tire manufacturers, including Goodyear, Bridgestone and Yokohama, have raised their prices or have scheduled price increases for January. Other manufacturers are expected to make similar announcements soon, according to automotive industry analysts.
Retailers will determine whether to pass the full amounts on to consumers. But at the wholesale level, retailers could pay 6 percent to 15 percent more for tires depending on the brand and tire model.
Those are normal, annual, inflationary increases, Coleman said.
"I know the first of the year they're going to hit us with 6 to 8 percent on most lines," Coleman said. "… And I have to pass it on to the consumer."
Not all prices have increased; some have come down recently, said Dale Courtney, manager at Firestone Compete Auto Care in Janesville. But Courtney said he can't control manufacturers' prices.
"Everything goes up. I wish it would stay the same or go down," Courtney said.
Courtney recommended watching for coupons or looking for discounts.
Coleman said those most upset might be those who buy the cheapest tires. Those used to come from China, but the Obama administration recently placed a 35 percent tariff on Chinese tires.
Coleman said Chinese tires went up 30 percent, and his suppliers won't even handle them anymore, but that might be a good thing.
Now the bottom-of-the-line tires cost more, but they're better quality, and they're made in America, supporting American workers, Coleman said.
"Some of these consumers who are looking for the cheapest thing are a little upset. We can't help them," Coleman said. "Others, they understand."
The tariff stemmed from a complaint filed by the United Steelworkers of America that blamed a surge of Chinese tire imports for the loss of 5,000 jobs at U.S. tire factories.
About 17 percent of the tires bought in the United States come from China, up more than threefold since 2004.
At least four U.S. tire manufacturers have factories in China and other countries. They're likely to raise the wholesale price of many tires, besides those made in China, to spread out the cost of the tariff.
"If you are going to buy tires, and want to buy them for less, you should probably try to do it now," before prices jump again, said Bob Ulrich, editor of Modern Tire Dealer magazine.
Tire makers have blamed higher manufacturing costs for some of the increases.
"It was a difficult decision to raise prices, and we held off as long as we could," said Shawn Denlein, director of consumer-product sales for Yokohama Tire.
"Unfortunately, the costs of some raw materials, energy and transportation continue to escalate, leaving us no option," he said.
Some consumers are buying used tires—possibly saving hundreds of dollars.
Esperanza Unida, a Milwaukee nonprofit, sells used tires for $25 apiece including basic installation.
"We help people when we can," said Robert Miranda, the organization's executive director.
There are other ways to save on tires, including buying a different brand than what came on your car.
Consumer Reports tested 23 mid-priced, all-season replacement tires. Seven of the models were made in China, and six of the seven Chinese tires placed in the top half of the test group.
Car tires are rated by traction, tread wear and other characteristics. Ratings are printed on the sidewalls.
Tires that have an AA-traction rating offer a better grip on the road than tires with a B or C rating. Tires with a higher tread wear rating could last longer before they have to be replaced.
"Typically you can ignore the temperature rating," which notes how well a tire resists heat, Wiesenfelder said.
Winter tires, made specifically for winter driving, are useful under some conditions but must be removed in the summer. A set of all-season tires is well suited for Wisconsin, according to Wiesenfelder.
"All-season tires have become very good at adapting to different conditions," he said. "If you live somewhere that has decent snow removal, they should be fine for winter driving."
Consider paying more for tires with a longer tread life. In the long haul, it's cheaper because higher-quality tires don't have to be replaced as often, said Filippo Reina, manager at Reina International Auto, Brookfield.
Coleman said the best time to buy tires is before the first snowfall increases demand. Retailers across the region are seeing an increase in business of 25 percent to 50 percent after the big snowfall of Tuesday and Wednesday, he said.
With demand like that, manufacturers see no need for special offers, Coleman said. Those come in the warmer months when business is slow.
"Every year it's gangbusters when the snow flies," Coleman said. "People just don't think about their tires."
Gazette reporter Frank Schultz contributed to this story.

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